Bill > S05170

This bill amends the civil practice law and rules to provide a new mechanism for plaintiffs to recover an unsatisfied judgment from a third-party defendant or co-defendant in certain legal scenarios. Specifically, if a plaintiff has a judgment against a defendant that remains unpaid 30 days after being served, and the defendant has a judgment against a co-defendant or third-party defendant for contribution or indemnification, the plaintiff can now collect the unsatisfied amount directly from that co-defendant or third-party defendant, up to the amount awarded in the contribution or indemnification judgment. Additionally, if the defendant has a potential cause of action for contribution or indemnification that hasn't yet been reduced to a judgment, the plaintiff can attach or take assignment of that cause of action and prosecute it in their own name or the defendant's name. The bill includes important limitations: it does not allow direct recovery against a third-party defendant in cases barred by workers' compensation law, and it does not permit a plaintiff to sue a third party who was their employer at the time of the incident or injury. The bill takes effect immediately and applies to all judgments entered on or after its effective date.

Justice

https://www.nysenate.gov/legislation/bills/2025/S5170