New York LIE Code § 13

Priority of liens
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13. Priority of liens. (1) A lien for materials furnished or labor\nperformed in the improvement of real property shall have priority over a\nconveyance, mortgage, judgment or other claim against such property not\nrecorded, docketed or filed at the time of the filing of the notice of\nsuch lien, except as hereinafter in this chapter provided; over advances\nmade upon any mortgage or other encumbrance thereon after such filing,\nexcept as hereinafter in this article provided; and over the claim of a\ncreditor who has not furnished materials or performed labor upon such\nproperty, if such property has been assigned by the owner by a general\nassignment for the benefit of creditors, within thirty days before the\nfiling of either of such notices; and also over an attachment hereafter\nissued or a money judgment hereafter recovered upon a claim, which, in\nwhole or in part, was not for materials furnished, labor performed or\nmoneys advanced for the improvement of such real property; and over any\nclaim or lien acquired in any proceedings upon such judgment. Such liens\nshall also have priority over advances made upon a contract by an owner\nfor an improvement of real property which contains an option to the\ncontractor, his successor or assigns to purchase the property, if such\nadvances were made after the time when the labor began or the first item\nof material was furnished, as stated in the notice of lien. If several\nbuildings are demolished, erected, altered or repaired, or several\npieces or parcels of real property are improved, under one contract, and\nthere are conflicting liens thereon, each lienor shall have priority\nupon the particular part of the real property or upon the particular\nbuilding or premises where his labor is performed or his materials are\nused. Persons shall have no priority on account of the time of filing\ntheir respective notices of liens, but all liens shall be on a parity\nexcept as hereinafter in section fifty-six of this chapter provided; and\nexcept that in all cases laborers for daily or weekly wages shall have\npreference over all other claimants under this article.\n  (1-a) Parties having assignments of moneys due or to become due under\na contract for the improvement of real property, unless such assignments\nbe set aside as diversions of trust assets as provided in article\nthree-a of this chapter, shall have priority as follows:\n  An assignee of moneys or any part thereof, due or to become due under\na contract for the improvement of real property, whose assignment is\nduly filed prior to the filing of a notice of lien or assignment of\nevery other party to the action, shall have priority over those parties\nto the extent of moneys advanced upon such assignment before the filing\nof the notice of lien or assignment next subsequent to his assignment,\nbut as to moneys advanced subsequent to a notice of lien or assignment\nfiled and unsatisfied or not discharged such assignee for the purpose of\ndetermining his proportionate share of moneys available for distribution\nas provided in subdivision one of this section shall be treated as a\nlienor having a lien to the extent of moneys so advanced.\n  An assignee of moneys or any part thereof, due or to become due under\na contract for an improvement of real property whose assignment is duly\nfiled subsequent to the filing of the notice of lien or assignment of\nany other party shall for the purpose of determining his proportionate\nshare of moneys available for distribution, as provided in subdivision\none of this section be treated as a lienor having a lien to the extent\nof moneys actually advanced upon such assignment prior to the filing\nthereof.\n  (2) When a building loan mortgage is delivered and recorded a lien\nshall have priority over advances made on the building loan mortgage\nafter the filing of the notice of lien; but such building loan mortgage,\nwhenever recorded, to the extent of advances made before the filing of\nsuch no

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