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 Indiana Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership is a legally binding document that allows an individual to transfer their rights and obligations as a tenant to another party. This agreement is specific to cooperative housing, which refers to a type of housing where individuals purchase shares in a corporation that owns the building instead of owning the property outright. In Indiana, there are several variations of the Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership, including: 1. Individual Assignment: This type of agreement is used when a single tenant wishes to transfer their lease and membership rights to another individual. It outlines the terms and conditions of the transfer, including any fees or approval processes required by the cooperative housing association. 2. Joint Assignment: In the case where multiple individuals are listed as tenants, and they all wish to transfer their rights, a Joint Assignment agreement would be used. This agreement ensures that all parties involved are in agreement and specifies the responsibilities and liabilities of the new tenant. 3. Partial Assignment: Sometimes, a tenant may want to assign only a portion of their rights and obligations to another party. This is referred to as a Partial Assignment, which dictates the specific terms of the partial transfer, such as the areas of responsibility or percentage of ownership being transferred. In an Indiana Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership, the following details are commonly included: — Names and contact information of the assigning party (current tenant) and the assignee (new tenant). — Description of the cooperative apartment being transferred, including its address, unit number, and any additional amenities. — The effective date of the assignment and the duration of the lease period. — Terms and conditions of the assignment, including any restrictions or limitations set by the cooperative housing association. — Obligations and liabilities of both the assigning party and the assignee, such as payment of maintenance fees, property upkeep, and adherence to cooperative association rules and regulations. — Any required fees or approvals needed from the cooperative association for the assignment to occur. — Provisions for termination or disputes regarding the assignment. It's essential to consult with a legal professional to ensure that the Indiana Agreement to Assign Proprietary Lease of Cooperative Apartment and Membership complies with state laws and covers all necessary aspects of the lease transfer.
