N.Y. State Finance Law § 139-a: Ground for cancellation of contract by state

§ 139-a. Ground for cancellation of contract by state. A clause shall

be inserted in all specifications or contracts hereafter made or awarded

by the state or any public department, agency or official thereof, for

work or services performed or to be performed, or goods sold or to be

sold, to provide that: (a) upon the refusal by a person, when called

before a grand jury, head of a state department, temporary state

commission or other state agency, or the organized crime task force in

the department of law, which is empowered to compel the attendance of

witnesses and examine them under oath, to testify in an investigation,

concerning any transaction or contract had with the state, any political

subdivision thereof, a public authority or with any public department,

agency or official of the state or of any political subdivision thereof

or of a public authority, to sign a waiver of immunity against

subsequent criminal prosecution or to answer any relevant question

concerning such transaction or contract; or (b) upon the conviction of

any person of a crime defined in article two hundred or four hundred

ninety-six or section 195.20 of the penal law,

(i) such person, and any firm, partnership or corporation of which he

is a member, partner, director or officer shall be disqualified from

thereafter selling to or submitting bids to or receiving awards from or

entering into any contracts with the state or any public department,

agency or official thereof, for goods, work or services, for a period of

five years after such refusal, a period of five years upon a conviction

of a misdemeanor defined in article two hundred or article four hundred

ninety-six or an attempt to commit a violation of section 195.20 of the

penal law, provided that in the event such conviction is the result of a

plea agreement resulting in a plea to such charge in lieu of a plea or

conviction of a felony defined in section 195.20, article two hundred or

article four hundred ninety-six of the penal law, all parties to such

agreement may agree that the period of such bar may be for a period of

up to ten years from the date of conviction, or upon conviction of a

felony defined in article two hundred or four hundred ninety-six or

section 195.20 of the penal law, for life, any convicted firm,

partnership or corporation is disqualified for its existence and to

provide also that

(ii) any and all contracts made with the state or any public

department, agency or official thereof, since the effective date of this

law, by such person, and by any firm, partnership or corporation of

which he is a member, partner, director or officer may be cancelled or

terminated by the state without incurring any penalty or damages on

account of such cancellation or termination, but any monies owing by the

state for goods delivered or work done prior to the cancellation or

termination shall be paid.