State of New York v. Avco Financial Service of New York, Inc.

This is a proceeding brought by the Attorney-General pursuant to subdivision 12 of section 63 of the Executive Law for an injunction against a security clause in respondent Avco Financial Service of New York, Inc.’s (hereinafter Avco), loan agree*861ment form. In the petition it is asserted that the clause "purports to act as a waiver of a judgment debtor personal property exemption as provided by the C.P.L.R 5205(a)” and as such "is void as against public policy and contrary to law.” The clause objected to, as set forth in the petition, is as follows: "This loan is secured by: (a) If check at…