N.Y. Personal Property Law § 421: Security interest in other property

§ 421. Security interest in other property. Except as provided in

section four hundred ten of this chapter, no retail instalment contract

or obligation, or any other agreement executed in connection therewith,

may provide for the creation of a security interest in any real or

personal property, other than the goods which are the subject matter of

the retail instalment sale, to secure the payment of the time sale price

under such contract or obligation or any part thereof; provided,

however, that the prohibition of this section shall not be applicable to

the taking of a mortgage upon real property to secure the payment of the

time sale price of a retail instalment obligation, if the transaction

which gave rise to such obligation was the furnishing of goods or

services for repairs, alterations or improvements upon, or in connection

with buildings upon, such real property. Any such prohibited provision

shall be void but shall not otherwise affect the validity of the

contract or obligation.