I would think that as a board member you should be permitted, in fact responsible to, see these contracts. Something is fishy here!

Thanks, Jeff Lee. I'm smelling something as well. I've looked into NYS laws and find that BCL 701 says: " the business of a corporation shall be managed under the direction of its board of directors." I also know that I have taken on a fiduciary duty to protect the interests of the shareholders. I am unable to see how I can full those 2 duties if building-related contracts are withheld from me. I intend to make my case to the board. I've also engaged an attorney on the question of whether board permission may legally be required. I'll post the results. Thanks again.

There was a question like this in the comparator mag within the last 2 years i believe. They have a question and answer section, but only pick about two.
The board member has the absolute right to see every document concerning the co-op from the day the corporation was formed, was the answer provided by a co-op law firm in nyc. cooperator.com is somewhat searchable and you should be able to find it. I believe it even told the new board member what to do as far as getting a court appearance, without a lawyer, and they said every case they knew of like this the member won and in some cases the judge ordered the board to provide the new member with a copy of everything from day one, for pulling this stunt, at their cost, not the co-ops. The other poster is correct as a board member you are responsible for everything that happens on your watch,even if you don't know about it, i guess if you did your due diligence you would be off the hook, but if you were a puppet or yes'm it's your dime, not the insurance company,you are not indemnified if you do not do your fiduciary duty to the building.

I suggest you keep fighting for your rights. Do not allow the management or the Board bully you into being blind sighted in your investment. You as a shareholder have the right to make sure your investment is handled properly. If contracts and financials are being hidden from you then something is wrong. Get an attorney to reveiw your black book and BCL, I am sure there is a clause in their that gives shareholders the right to inspect books at any time during normal business hours. If managment give you a hard time do yourself and the building a favor and take them to court, get an index number on file so if they pull anymore nonesense you can always open your case with the same index number and supeona the records you want. Good Luck, don't give up the fight or you will lose everything you invested in.

I don't believe it to be true...but I want to know why wouldn't the board give there permission anyway. Also remember the managing agent works FOR you, you do not work for them

Thanks you for taking the time to reply, Phyllis. It remains to be seen if the board will give permission. On our board, it seems that the managing agent is running the show. I ask a lot of questions and the managing agent doesn't seem to like that.

This is another example of why an ombudsman bill is necessary. I live in an upscale co op and our management company runs our board as well. We have major building dept violations, a restaurant that serves wine and beer without the permit required, the owner was not properly certified in NYC when he was granted the right to operate the restaurant, a golf course that is open to the public which is contrary to the permitted use, and on and on. Unless we the shareholders hire our own attorney and pay tens of thousands of dollars in fees, we are unable to fight the powers that be. We need a government agency to whom we can turn. Contact your local state senator and assembly member and demand an explanation as to why this bill sponsored by Sen Liz Krueger is langushing and was not acted upon promptly. We deserve protection from unscrupulous mangement companies and boards that do nothing.

Please get behind this bill so we can get the protecrion to which we are entitlted.

Big thanks, Diane Stomfield, for mentioning this bill. I googled it and, although I have not yet read the entire bill, I am very excited - as a board member and as a shareholder - about what I have read. I'm sure I'm behind the curve on this as my Google search revealed that Habitat has extensively covered the debate in earlier issues. I'll include the some of links I found below in case others like me are getting to the table a little late. The introductory text to the bill points directly to the problems I have already seen: the process of changing a board takes years; the alternative option, i.e., a lawsuit, is costly and intimidating to most shareholders. As a result our board ignores state law, the by-laws, and the proprietary lease (except the parts of it that they like) with impunity. Thanks again for helping me become informed. Here are the links I have explored so far: http://condocoopowners.org/ombudsman-bill-s-395/ AND http://www.habitatmag.com/Publication-Content/2010-December/Featured-Articles/Ombudsman-Bill AND http://condocoopowners.org/wp-content/uploads/2011/03/Habitat-Mar-11-Ombudsman-Debate.pdf

PS: Do you know where one would go to learn which senators and assemblypersons are on record as being for or against the bill?

The Alliance of Condo & Co-op Owners is aware of essentially no circumstance in which the right of a board member to review contracts--or any other corporate documents--is legitimately constrained. Indeed, any attempt to impose such restrictions is often the 1st sign of serious trouble, & we advocate prompt action.

The apparent misapplication of a BCL provision which is, indeed, directed at shareholders would be comical if it weren't so serious.

We're not attorneys, but would like to discuss the particulars of your situation; contact us in confidence: advo@condocoopowners.org

Thank you. A million times, thank you. An email is on the way.

According to our Black Book, it specifically states that shareholders may review the financial books to the coop any day during normal business hours. It does not state you need an appointment, or what documents you cannot review. I would go to court and take out a complaint and summons and request that you be granted a supeona to review the documents of your coop that you belong to as a owner. I did just that and got the documents sent to our lawyer, you can go prosey.

Sorry, DD, but you miss the point. Yes--an SH can always "review the financial books" (though rules vary, e.g. appointments are often needed, & some buildings require that the SH sign an affidavit re: his/her intended use of the information).

...But there is no standard definition as to what constitutes a co-op corporation's (or condo association's) fiscal records. Documentation an SH is allowed to see tends to be extremely limited & general...& we've NEVER seen an SH gain access in this fashion to building contracts, which is what the original poster wants to see.

In sharp contrast, the right of a board member to review corporation/association records is without limits. We strongly recommend that "New Board Member" not get bogged down in misguided discussion of what records shareholders are entitled to review, & instead assert his/her rights as an elected fiduciary.

As a Board member you should be able to read all contracts and each month must get a monthly financial statement. All Board members must review and agree to all contracts before signed. You as a Board member will be responsible for any misappropriation of funds and misconduct in the building so how can the management refuse you your rights to the running and approval of all management tasks conducted, it can't and shouldn't. If I were you I would get other shareholders together and take the management and the Board principals to court and supeona the records. I did and won.

This is unheard of, don't know who your managing agent is, but it's time for a new one that is somewhat more aware of how to manage.