Each year, our representatives in the New York State Legislature propose, debate, and ultimately pass or reject scores of laws and pieces of legislation.
This issue of The Cooperator is devoted to the legal and legislative issues affecting the city’s co-op and condo-dwelling population and the boards and managers who serve them. Let’s take a look at some of the bills making their way through the assembly this term.
One of the most confounding aspects of the co-op purchasing process for many buyers is the fact that building boards are not obligated to give rejected buyers any reason whatsoever for their rejection.
Now however, a group of proposed bills aimed at streamlining and equalizing the application/rejection process are making their way through both houses of the Legislature. Assembly bills A10733 and A00259 tackle the issue of rejections, and propose that “cooperative housing corporations provide a prospective purchaser with a written statement of reasons when withholding consent to purchase.”
The other bills cover everything from requiring boards to give their reasons for rejection within five business days of the decision to “sanctions, fines, and other punitive damages” for co-ops that willfully withhold their reasons for rejection from prospective buyers. The bills also propose a standardized co-op purchasing application that would be universal among all co-op buildings in the state, and obligates condo boards to respond to applications within 60 days of receipt. If a board drags its feet and doesn’t give the buyer an answer one way or another, the buyer is automatically approved.