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Due to an oversight, some of the shareholders in our coop hold different leases than others. Specifically, new buyers have a lease that omits important amendments made at conversion but the older owners have the actual lease which contains the amendments (no votes were ever taken to change the lease.)
My understanding is that shareholders MUST have all have identical leases.
Unfortunately, when our board of directors became aware of this, they decided not to reissue valid leases to new owners and kept issuing incorrect one to new buyers (with full knowledge the lease is erroneous.) This seems to be a breach of fiduciary obligations. Thoughts?
Parkside,
An amendment that was not validated by a vote cannot be included in the proprietary lease. That means that the new shareholders received the correct version.
A proprietary lease is given and signed by a new owner at closing. Amendments are issued to all shareholders after a vote was conducted in compliance to the governing documents (super majority 66% or simple majority 50%)
Your board should review this issue with the coop's attorney.
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Parkside:
Based on your message, and all other things being equal, your board appears to have made a judgment error.
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