Where a court grants a motion pursuant to subdivision (a) of section one thousand one hundred one of this article, recovery by judgment or by settlement had in favor of the moving party shall be paid to the clerk of the court in which the order determining the motion was entered, to await distribution pursuant to court order.
§ 1103.Distribution of recovery in favor of party with insufficient means to pay costs, fees, and expenses.
Article 11. Waiver of Costs, Fees, and Expenses · Last amended 2024 · Last verified July 21, 2026
In one sentenceCPLR 1103 requires any judgment or settlement recovery won by a fee-waiver party to pass through the court clerk first, so the court can direct how it's divided under CPLR 1102 before the party collects it.
Full Text of CPLR 1103
Plain-English Summary
Section 1103 covers what happens after a party who received fee-waiver relief under CPLR 1101(a) wins a recovery. Instead of going straight to the party, the money — whether from a judgment or a settlement — goes to the clerk of the court that granted the waiver.
The clerk holds the funds until the court orders how to distribute them. That distribution order is where the costs, fees, any assigned attorney's fee, and county or city transcript expenses described in CPLR 1102(d) get paid, before the balance reaches the party the case was brought for.
Frequently Asked Questions
What happens to my settlement money if I had a fee waiver in New York?
It goes to the clerk of the court that granted your waiver, not directly to you, until the court orders how to divide it.
Does the court take money from my recovery to cover waived fees?
It can. The distribution order can direct payment of costs, fees, an assigned attorney's fee, and any county or city transcript expense before you receive the rest.
Who holds my recovery before it's distributed under CPLR 1103?
The clerk of the court where the order granting your fee waiver was entered.
Can I collect my settlement directly if the court waived my court costs?
No. The recovery must be paid to the court clerk first, and the court decides the distribution.
Why does CPLR 1103 route recovery money through the court clerk?
It gives the court a way to recover the costs, fees, and expenses it waived under CPLR 1101 and 1102 out of any money the case produces.
Advisory Committee Notes
This section replaces the last two paragraphs of CPA § 1493. The provisions of these paragraphs are too inelastic; for example, when the recovery is of property necessary for the poor person or his family it may be inappropriate for the court to order that costs be paid out of the recovery. Under this section the eventual distribution of any recovery in favor of a poor person is left to the discretion of a court. The requirement that the recovery be paid into court assures the safety of the property until the court directs final distribution. The word “recovery” includes amounts received as a settlement and as costs.
This bill would amend CPLR Sections 1101, 1102, and 1103, as well as Criminal Procedure Law Section 380.55, to eliminate the use of the phrase “poor person.” The designation of individuals with insufficient means to prosecute or defend a legal action as “poor persons” is a highly outdated, pejorative, and often inaccurate legal term. This bill would amend the affected statutes to eliminate such designation and to clearly and accurately reflect their combined purpose, which is to describe the making of a motion to waive costs, fees, and expenses, and the benefits that can flow from a successful motion. Furthermore, this bill would clarify that the "property" that must be reported by a moving party under CPLR Section 1101 as among the party’s assets, in addition to the party’s other income, is real property owned by the moving party. In addition, given recent amendments to CPLR 2106 authorizing the use of affirmations in lieu of affidavits for any person in a civil action pursuant to chapter 559 of the Laws of 2023, the bill further amends CPLR 1101 to provide that a party may submit an affirmation when moving for a waiver of costs, fees, and expenses. This change will help make it clear that a party is no longer required to submit a notarized affidavit when making such motion. This should save individuals, many of whom are impecunious, the time, cost, and burden associated with locating a notary.
Amendment History
Add, L 1962, ch 308, eff Sept 1, 1963; L 2024, ch 589, § 4, effective December 13, 2024.
Source & verification. Provision text, History, and Advisory
Committee Notes are reproduced verbatim from the Consolidated Laws of New York.
Last verified July 21, 2026.
· Official source
Also known as: poor person recovery distribution New Yorksettlement money after fee waiver NYCPLR 1103 distribution of recoverywho gets paid first after waived court fees