An apartment cooperative will typically involved a corporation renting apartments to people who are also owners of stock in the corporation. The apartment complex is owned by the corporation.
Two basic documents are ordinarily involved in the transfer of a member's or stockholder's interest in a cooperative apartment corporation: (1) an agreement for the purchase and sale of the proprietary lease and the appurtenant membership or stock; and (2) the instrument of assignment.
The agreement of purchase and sale is similar in format to an agreement for the sale of real property. The seller agrees to assign all rights under the proprietary lease covering the unit, and to sell the membership or stock in the corporation. The seller also agrees to procure the consent of the corporation to the transfer if this is required in the proprietary lease. The purchaser agrees to pay the purchase price and to submit references to the corporation and otherwise cooperate in procuring its consent to the transfer, and also promises to execute an agreement in a form approved by the corporation by which the purchaser assumes and agrees to be bound by all covenants and conditions of the proprietary lease.
The instrument of assignment does not differ materially from an ordinary assignment of a lease of real property, except that the assignor's interest in the membership or stock in the corporation is assigned together with interests under the proprietary lease. Ordinarily, the assignor declares that there are no liens or other claims outstanding against the lease or the shares to be assigned, that there are no undischarged bankruptcy proceedings or unsatisfied judgments or tax liens outstanding against the assignor, and that the assignor has full right and authority to assign the lease and shares.
The Missouri Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership is a legal document that governs the assignment of the proprietary lease and the membership of a cooperative apartment in the state of Missouri. This agreement serves as a binding contract between the assigning party, the current leaseholder or member, and the assignee, the individual or entity taking over the lease and membership rights. This Agreement outlines the terms and conditions under which the assignment can occur, ensuring that all parties involved have a clear understanding of their rights and responsibilities. It encompasses key elements such as the identification of the cooperative apartment, the names and contact information of the assigning party and assignee, and the effective date of assignment. Furthermore, the Agreement may also include provisions relating to the financial aspects of the assignment, such as any consideration or payment made by the assignee to the assigning party. It may also specify the manner in which any outstanding fees, assessments, or other financial obligations related to the cooperative apartment and membership will be handled and transferred. Additionally, the Agreement may establish conditions regarding the approval process for the assignment. This could involve obtaining the consent and approval of the Cooperative Board or any other relevant governing body overseeing the cooperative apartment. The assignee may be required to submit an application, provide supporting documentation, and meet certain eligibility criteria to qualify for the assignment. There may be different types or variations of the Missouri Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership, depending on individual cooperative associations and their specific bylaws or regulations. For example, some agreements may include provisions regarding the transferability of the proprietary lease and membership rights upon the death, disability, or divorce of one of the parties involved. Overall, the Missouri Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership is a critical legal instrument that safeguards the rights of all parties involved in the assignment process. It ensures transparency, accountability, and compliance with the rules and regulations governing cooperative apartments in the state of Missouri.
