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.
Connecticut Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership is a legally binding document that outlines the terms and conditions under which a cooperative apartment and its membership rights can be assigned or transferred to another individual or entity in the state of Connecticut. In Connecticut, there are two common types of agreements related to the assignment of proprietary lease and membership in a cooperative apartment: 1. Assignment of Proprietary Lease and Membership Agreement: This type of agreement is used when a current shareholder or member of a cooperative apartment wishes to assign or transfer their proprietary lease and membership rights to another party. The agreement will include details such as the parties involved, the terms of the assignment, any associated fees or costs, and any specific requirements or restrictions set by the cooperative association or board. 2. Consent to Assignment of Proprietary Lease and Membership Agreement: This type of agreement is used when the cooperative association or board requires the consent of all relevant parties, including existing shareholders or members, for the assignment or transfer of a proprietary lease and membership. This agreement ensures that all parties are aware of and agree to the transfer, and it may include provisions related to the rights and responsibilities of the new shareholder or member. The Connecticut Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership typically includes the following key components: 1. Parties: This section identifies the parties involved in the agreement, including the assigning shareholder or member, the new shareholder or member, and the cooperative association or board. 2. Assignment Details: This section outlines the specific terms of the assignment, including the effective date, the duration of the assignment, and any conditions or restrictions imposed by the cooperative association or board. 3. Consideration: The agreement may mention any monetary or non-monetary considerations exchanged between the parties as part of the assignment. 4. Consent and Approval: If required, the agreement includes provisions for obtaining the necessary consents and approvals from the cooperative association or board and existing shareholders or members. 5. Rights and Obligations: This section clarifies the rights, duties, and obligations of the assigning shareholder or member, the new shareholder or member, and the cooperative association or board. 6. Governing Law: The agreement includes a provision that states which laws of the state of Connecticut will govern the interpretation and enforcement of the agreement. 7. Termination: The agreement may outline the circumstances under which the assignment can be terminated or revoked, including any penalties or fees associated with such termination. It is important to note that while this content provides general information about the Connecticut Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership, it is advisable to consult with a qualified attorney to understand the specific legal requirements and considerations associated with such agreements in Connecticut.
