19.17 - Clarifying title to property on loan.

§  19.17  Clarifying  title  to  property on loan. Notwithstanding any  other provisions of law regarding abandoned or lost property the  office  may,  beginning  five  years from the date the lender last contacted the  office, clarify title to property on permanent loan  or  loaned  for  an  indeterminate period or a specified term that has expired.  Proof of the  date  on  which  the  lender  last  contacted  the  office  may  include  previously sent registered letters or loan  forms,  returned  envelopes,  inventories and other documentary evidence. The procedure for clarifying  title shall be as follows:    1. The office must give notice by mail to the lender that it wishes to  clarify ownership rights in the property.    2.  In  addition to the information described in section 19.16 of this  article, the notice shall be entitled "Notice of Termination"  and  must  include  a statement containing substantially the following information:  "The  records  of  the  office  of  parks,   recreation   and   historic  preservation  indicate  that  you  have  property  on  loan  at (name of  facility).  The office is seeking to determine whether you wish (i) that  the office return the property to you, (ii) that the property remain  on  loan  to  the office subject to annual renewal, or (iii) that the office  retain the property permanently as its owner. Please  contact  (name  of  contact)  in  writing within one hundred twenty days, in order to advise  the office as to which of the above alternatives you wish to follow."    3. If, no  later  than  one  hundred  twenty  days  following  receipt  thereof,  the  lender  does  not respond to the notice of termination by  submitting a written claim  to  the  property  on  loan  with  verifying  documentation  the  office  shall  send  a  second  notice to the lender  containing the following information: "On (date of  first  notice),  the  office  of parks, recreation and historic preservation sent you a notice  concerning property that, according to our records, has been  loaned  to  the  office.  You  have not responded to that notice, a copy of which is  enclosed, and the office will commence proceedings to acquire  title  to  the  property if you do not contact (name of contact), in writing within  one hundred twenty days of receiving this second notice."    4. If the lender fails to respond to the second  notice  described  in  subdivision  three  of  this  section  within one hundred twenty days of  receipt, at the request of the commissioner, the  attorney  general  may  make  an  application to the supreme court pursuant to article thirty of  the civil practice law and rules for a declaratory judgment to determine  the office's right to such property.  In a case in  which  there  is  no  evidence that the notices previously sent by the office were received by  the lender, upon application, the supreme court shall specify the method  by which service shall be made upon the lender.