§ 207. Service of process on unlicensed corporation formed under laws

Terms Used In N.Y. Banking Law 207

  • Affidavit: A written statement of facts confirmed by the oath of the party making it, before a notary or officer having authority to administer oaths.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • Plaintiff: The person who files the complaint in a civil lawsuit.
  • Service of process: The service of writs or summonses to the appropriate party.

other than the statutes of this state.

1. Every corporation formed under laws other than the statutes of this state which is required by this chapter to obtain a license from the superintendent, and which itself or through an agent does any business in this state for which such license is required either without obtaining such license or after the revocation thereof, submits itself to the jurisdiction of the courts of this state and is deemed to have designated the superintendent as its agent upon whom process against it may be served, in any action or special proceeding arising out of or in connection with the doing of such business. Such process may issue in any court in this state having jurisdiction of the subject matter.

2. Service of such process upon the superintendent shall be made by personally delivering to and leaving with him or his deputy, or with any person authorized by the superintendent to receive such service, at the office of the superintendent, a copy of such process together with the statutory fee, which fee shall be a taxable disbursement. Such service shall be sufficient if notice thereof and a copy of the process are:

(a) Delivered personally without this state to such foreign banking corporation by a person and in the manner authorized to serve process by law in the jurisdiction in which service is made, or

(b) Sent by or on behalf of the plaintiff to such foreign banking corporation by registered mail with return receipt requested, at the post office address specified for the purpose of mailing process, on file in the department of financial services, or with any official or body performing the equivalent function, in the jurisdiction of its incorporation, or if no such address is there specified, to its registered or other office there specified, or if no such office is there specified, to the last address of such foreign banking corporation known to the plaintiff.

3. Proof of service shall be by affidavit of compliance with this section filed, together with the process, within thirty days after such service, with the clerk of the court in which the action or special proceeding is pending. If a copy of the process is mailed in accordance with this section, there shall be filed with the affidavit of compliance either the return receipt signed by such foreign banking corporation or other official proof of delivery or, if acceptance was refused by it, the original envelope with a notation by the postal authorities that acceptance was refused. If acceptance was refused, a copy of the notice and process together with notice of the mailing by registered mail and refusal to accept shall be promptly sent to such foreign banking corporation at the same address by ordinary mail and the affidavit of compliance shall so state. Service of process shall be complete ten days after such papers are filed with the clerk of the court. The refusal to accept delivery of the registered mail or to sign the return receipt shall not affect the validity of the service and such foreign banking corporation refusing to accept such registered mail shall be charged with knowledge of the contents thereof.

4. Service made as provided in this section shall have the same force as personal service made within this state.

5. Nothing in this section shall affect the right to serve process in any other manner permitted by law.

6. The department of financial services shall keep a record of each process served upon the superintendent under this section, including the date of service. It shall, upon request made within ten years of such service, issue a certificate under its seal certifying as to the receipt of the service by an authorized person, the date and place of such service and the receipt of the statutory fee. Process served upon the superintendent under this section shall be destroyed by him after a period of ten years from such service.