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.
District of Columbia Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership is a legal document that establishes the transfer of rights and responsibilities regarding a cooperative apartment and membership in the District of Columbia. This agreement outlines the terms and conditions that both parties must adhere to when assigning or transferring the lease and membership rights. Keywords: District of Columbia, Agreement to Assign, Proprietary Lease, Cooperative Apartment, Membership There are several types of District of Columbia Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership, including: 1. Individual Assignment: This type of agreement occurs when an individual tenant wishes to assign their proprietary lease and membership to another individual. It typically involves a thorough approval process by the cooperative board, ensuring that the new member fulfills all necessary requirements. 2. Corporate Assignment: Sometimes, a corporation or business entity holds a proprietary lease and membership in a cooperative apartment. In such cases, this form of agreement is used to transfer the lease and membership rights to another corporation or entity. It involves legal considerations specific to businesses and may require additional approvals. 3. Family Transfer: In certain situations, a cooperative apartment may pass within a family. This may happen due to inheritance, divorce, or other familial circumstances. The District of Columbia Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership can be utilized to formalize the transfer and ensure compliance with relevant laws and regulations. 4. Sublease Assignment: Occasionally, a tenant with a proprietary lease and membership wishes to sublease their cooperative apartment to another individual. This type of agreement specifies the terms and conditions under which the sublease can be assigned, taking into account the rights and obligations of both the original tenant and the sublessee. Regardless of the type, a District of Columbia Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership typically includes key provisions such as the names of the parties involved, the effective date of the assignment, the terms and conditions of the lease transfer, and any restrictions or limitations imposed by the cooperative board. It is essential to engage legal professionals experienced in real estate and cooperative law when drafting or reviewing such agreements to ensure compliance with District of Columbia regulations and to protect the rights and interests of all parties involved.
