N.Y. Civil Practice Law & Rules § 2510: Discharge of surety on the undertaking of a fiduciary

§ 2510. Discharge of surety on the undertaking of a fiduciary. (a)

Motion; new undertaking; accounting. Surety on the undertaking of any

fiduciary may move with notice to the person upon whose behalf the

undertaking was given, to be discharged from liability for any act or

omission of such fiduciary subsequent to the order of the court or the

time when a new undertaking satisfactory to the court is filed. The

court may restrain such fiduciary from acting pending the order

discharging such surety from liability. Upon the hearing, the court

shall order the fiduciary to give a new undertaking and to account,

within such time as the court orders but not exceeding twenty days, for

all his acts. If a new undertaking is filed the fiduciary shall account

for his acts up to and including the date of such filing. Where the

fiduciary does not comply with the order to account, the surety may make

and file such account with the same effect as though filed by the

fiduciary, and may utilize any disclosure device in obtaining

information necessary for such an accounting. The court shall make such

provisions with respect to commissions, allowances, disbursements and

costs as it deems just.

(b) Settlement of account. When such account has been filed, the

court, upon sufficient notice, shall order all persons interested in the

proceedings to attend a settlement of the account at a time and place

specified, and such settlement shall be made and the rights and

liabilities of all parties to the proceeding shall be determined and

enforced. After settlement of the account, the court shall make an order

relieving the surety from any act or omission of the fiduciary

subsequent to the date of such order or the time when a new undertaking

satisfactory to the court was filed, whichever is earlier. Upon written

demand by the fiduciary, the surety shall return any compensation paid

for the unexpired portion of such suretyship.