Real Property Actions & Proceedings

ARTICLE 4

VALUING INTERESTS IN REAL PROPERTY
Section 401. When interests are valued under this article.
402. Interest rate.
403. Mortality and other tables.
404. Evidence as to ancestry, health and habits of individual.
405. Interest defeasible by remarriage.
406. Computation by superintendent of insurance.

S 401. When interests are valued under this article. The following
interests shall be valued in the manner provided by this article: (a) an
interest in real property dependent as to value upon the duration of one
or more lives in being, whether such interest is present or future; and
(b) a future interest preceded only by one or more interests described
in clause (a); whenever 1. the owner of such interest is entitled to
receive a sum in gross in satisfaction of, or in compensation for
impairment of, his interest in real property which has been transformed
into a fund by judicial action or proceeding; or 2. ownership of real
property is divided into successive legal interests, including one or
more interests dependent as to value upon the duration of one or more
lives of persons in being, and the fraction of complete ownership
belonging to each partial owner must be ascertained so as to permit an
adjudication of the fraction of some new capital expenditure required
either for the payment of a mortgage, special assessment or other lien
upon such property, or for the satisfaction of an obligation imposed by
law as an incident of ownership; or 3. such valuation is necessary for
the final determination of some action or proceeding, other than an
action or proceeding for which the insurance law, the workmen`s
compensation law or the tax law prescribes methods of valuation.

S 402. Interest rate. In all valuations made under this article, the
interest rate of four per centum, compounded annually, shall be employed
for all purposes.

S 403. Mortality and other tables. In all valuations made under this
article where such valuation depends upon the continuance of, or upon
the termination of a life or lives in being, the table of mortality
prescribed by section four thousand two hundred seventeen of the
insurance law for new, ordinary life policies shall be employed in the
manner required by accepted actuarial practice. If, in any case, such
table fails to provide required data, other tables accepted by actuarial
practice may be employed.

S 404. Evidence as to ancestry, health and habits of individual In all
valuations made under this article, no significance shall be given to
the ancestry, health or habits of the person whose life is involved.
Each valuation shall be based exclusively on the actuarial data.

S 405. Interest defeasible by remarriage. Whenever an interest is
defeasible on the remarriage of a person whose life is involved, this
fact of defeasibility may be taken into account in the valuation of any
such interest or of any interest subject thereto, if justice requires.
For this purpose, the Casualty Actuarial Society`s Table on Remarriage
or other tables accepted by actuarial practice shall be employed.

S 406. Computation by superintendent of insurance. Any court, judge,
referee or other judicial or administrative officer by whom any
valuation under this article must be made is authorized to transmit to
the superintendent of insurance such statement of facts as is necessary
to permit the required computation, and such superintendent shall
thereupon make the computation and, without charge, certify the same to
the court or other officer submitting such statement. Any such
certificate shall be conclusive evidence that the method of computation
adopted therein is correct.