Anonymous - Unless your by-laws say BMs must be Shs and all BMs must be residents, once your BMS close on their apt sales, they're no longer Shs and shouldn't be on the board.

Many by-laws say a "majority" of BMs must be residents. I agree with Board Treas that it's a person's money that makes him a Sh. But a coop isn't just a business corp. It's a home, a community where hopefully people get along, and a bldg that needs watchful eyes to ensure that residents treat it and each other with respect. If BMs don't live in the coop, they can't relate to that, and if they all they want is an investment, let them buy stocks, bonds, funds or CDs.

I also agree with Board Treas that Business Corp Law prohibits any Sh from being treated differently from the others. All SHs must be treated "fairly and equally". But if a BM must be a Sh, not letting someone be on the board who isn't a Sh is not discrimination.