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Emotional service animal - Bob Dec 14, 2016

Is the board legally allowed to discuss the application of a stockholder's request to have an emotional service animal in his/her unit at a public board meeting? Does this act not violate the stockholders right to privacy about his/ her disability?

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As a courtesy to shareholders the board can advise shareholders that a service animal has been engaged by a fellow shareholder so that other shareholders are aware that a service animal is on premise.

The board is not allowed to discuss the application or your reasons/requirements for the animal nor is it an item that is up for vote. Here is an excellent article from Habitat explaining service dogs. Cut and paste into your search bar:

https://www.habitatmag.com/Publication-Content/Legal-Financial/2012/2012-September/Service-Animals-in-Co-ops-Condos

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Sponsor - LAV Dec 13, 2016

Is a sponsor's representative legally entitled to a prospective shareholder's application information?
We have a sponsor that is attempting to sway new shareholders to his side so he can attempt to get control of the board. He recently demanded he be provided a copy of a prospective shareholder's application and demanded to be present at the interview.

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I would say that you need to read your governing documents first. Do you have a committee established to review applications? If so, does the board accept their decision without question? Or does the board do the interviews? As a sponsor rep holding a seat on the board, I would think that he's entitled to sit in on any board business, including interviews, and cast a vote as well, unless there in something in the governing documents to the contrary.
In my building, the sponsor does not participate in interviews for buyers, but there is nothing in our governing documents preventing him.

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As JG said, if the sponsor has a seat on the board then they are entitled to receive the same financial package for review as every other board member. If not, I don't believe they are entitled to that information unless stated otherwise in your proprietary lease and bylaws.

If you feel that the sponsor will make a play for board majority, you should plan to try to sway new purchasers towards supporting the non-sponsor board members. You're lucky you have some advance warning of their plans and tactics so you can properly prepare for them when the time comes.

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Co-Op Inaction causing damage to our Unit - helicopterjeff Dec 13, 2016

We live in a fairly large co-op in Rockland county NY. We have a foundation leak in our basement unit that floods our kitchen every time it rains and it's been going on for at least 5 years and probably a decade and ruined our kitchen cabinets. We have photographic and time lapse videos of the water coming in soaking the kitchen cabinets multiple times a year (aka everytime it rains) as well as emails from the site manager claiming they're going to talk to the board and get it fixed. That was months ago. Literally.

After giving notice to the site manager, we've been getting a run around to getting it fixed.

What are our options? I know the legal route is the worst route but they're ignoring our calls and emails. We're going to start sending certified letters to the site manager and "management company" about it. They've known about this and worse, have acknowledged it via email and their "online reporting system" for about 6 months but have done nothing.

What can/should we do?

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If I was in the same situation I think I would write one last letter to both the BOD and management company advising them that unless the situation is addressed and remedied within the next (e.g.) 30 days, you have no other alternative than to make a formal complaint to Attorney Generals Office.

Alternatively, since they have not done anything in 5 years, you could simply contact the Attorney Generals Office (information & complaint line 1-800-771-7755) - or go to a lawyer directly. Not only would they be responsible for the damages in your unit, they may also be responsible for your legal fees. The NY law firm of Grimble & LoGuidice appear to specialize in these types of matters. They can be reached at (212) 349-0450.

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Sounds good. I found out that we have a right to withhold any co-op maintenance fees and assessments until this is resolved but I have to notify them via mail.

My problem now is that I can't find a complete copy of our proprietary lease. I have page one, but it's essentially useless and since they know we have an issue they've stopped communicating with us so directly asking for a copy may (I suspect) be an issue. Any thoughts on that part?

Thanks!!!

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I am surprised to hear that you can withhold maintenance payments. I would verify this with the Attorney Generals Office before I proceed to withhold.

As for a copy of your lease, they must provide you with a copy. Request one in writing and indicate a date in which you require it (e.g. within 7 days).

There is something called Warranty of Habitability. In NY state, co-ops fall under this warranty in Section 235-b of the Real Property Law of New York. The warranty is important as a co-op unit owner could seek an abatement of his or her maintenance if the co-op failed to provide the services stated in the proprietary lease or failed to cure a condition or make a repair. The warranty is there to protect your rights. I encourage to seek legal counsel; if they have breached the warranty, it may take a simple lawyers letter to move them into action.

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I did retain council, we are allowed to withhold payment as we are technically a tenet and landlord type situation, however they are reviewing to see if that is appropriate action at this point. It is pretty much a guarantee that if we withhold we'll be sued for it and the goal is to get the leak fixed out of court if at all possible.

So far the mortgage company has been crazy helpful- they got a copy of the PL to us in 24 hours. 50 pages!!

After checking records this has been a documented issue for over a year...so council believes we're in a good position to get this resolved out of court.

As for insurance, they don't cover water that comes in from the foundation (we're not in a flood zone so they said they couldn't add a policy for that). It would only be covered if water came in through a window or from plumbing. The first flood caused by the co-op's inaction of maintaining drainage caused a massive flood in the front of our basement unit and the insurance said it wasn't covered because it didn't come in over the door stoop- it came in- literally- through a hole where the concrete wall meets the floor.

So sadly now I have to pay for council but the odds and laws are in my favor due to the length of time this has gone on and all of the photo and video documentation we he have.

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I just noticed that under the Warranty of Habitability you can withhold payment. I would also claim your legal fees. As you have pointed out, the case is in your favour.

Good luck!

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Have you contacted your insurance company? You may also have mold since your problem is going on for 5 yrs. I give you credit for waiting 5 yrs. but explain your problem to your insurance company and ask them for advice on this matter. In New York we have 311 not sure if your area has it. Best of Luck.

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leaking radiator valve: 2 questions - DP Dec 06, 2016

Hello,
When I purchased my coop, it was explained to me that if you could turn your apt. upside down and shake it, anything that fell loose was the owner's responsibility to fix and maintain, and anything else (walls, plumbing, toilet, tub, etc.) was the building's. I have leaking radiator valves and have been told by management that I must pay for the replacement parts. I have two questions:
1. Is this true? Is it on me to pay for this? I didn't think so b/c the pipes are part of the building and I purchased this apt. with these valves.
2. If indeed I do have to pay for the parts, is the work to replace them part of my maintenance, or does the super have the legal right to charge me for labor?
Knowledgeable responses greatly appreciated. Opinions, not as helpful.
Thank you so much!

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Typically, what you see is yours to maintain, including the radiator, the radiator valves and radiator vents. The pipes aren't leaking, the valves are, and are subject to wear and tear just as your toilet flush valve and faucet washers are. The coop is not responsible for repairs to your apartment, however, it usually is responsible for your entrance door, the bottom lock and the exterior windows.
If the super is willing to replace the valves for the cost of parts and his labor, it's probably cheaper than having a handyman or plumber come in. He can also coordinate the shutdown of the boiler while he does the work.
Maintenance covers the staff salaries, building insurance, common area repairs and maintenance, building mortgage, heat, hot water, etc., but not repairs to individual apartments, unless damage is caused by a leaky pipe within the walls or ceilings, or damage from rain leaks, etc.
The occupant of the unit above you is liable for damages to your apartment if their radiator leaks or their toilet overflows.

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Thank you!

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While the apartmeant envelope idea is helpful there are subtleties.

Unlike some of the other plumbing, the radiators might be considered part of the building equipment and the responsibility of the corporation rather than the lessee. Our Proprietary Lease (from the mid-80s) is written that way.

If your radiator is not original building equipment and was replaced by a former lessee, then it could well be your responsibility.

Also, in NYC generally the valves have to be either fully open or fully closed or else they leak. This is a common cause of damage to the apartment below. But it sounds like you have had the super inspect and spoken with management already, so maybe not your situation.

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We've struggled with who is responsible when a component is trans-envelope, like radiator pipes, shower and bath P-traps, waste lines, etc. If both the board and affected shareholder are reasonable things are usually worked out.

Regarding the problem of fully open or closed radiator valves, we've installed Danfoss valves on most radiators. They replace the traditional screw valve. In their basic form they are like the OEM screw valves, but intended for continuously variable settings. Their main benefit is that a fully mechanical (no electrical connection required) thermostatic unit can be fitted to the valve which provides fairly granular temperature control by regulating the amount of steam or hot water entering the radiator. I highly recommend them.

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This is your condos responsibility, contact your super and tell him or her your radiator is leaking. This is part of your HOA Fees

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Hi Anon -- Firstly, please realize that almost *everything* you read here is someone's opinion. The questions you are asking fall under the general realm of "legal" and since I am not a lawyer the opinions I am about to express are worth pretty much what you're paying for them.

That being said, you should start by reading your Proprietary Lease. Most PL's for co-ops formed in the 1980's and after used a standard template. There should be sections in your PL that delineate which areas in your building are "common" and the responsibility of the co-op corporation, and which are proprietary to individual shareholders. Read those sections carefully because the wording is sometimes confusing.

1) In my building, we interpret shareholder responsibility to be anything that is within the envelope of the unit (i.e. four outer walls, ceiling, and floor) to be the responsibility of the shareholder. Anything outside of the envelope is common area. The PL carves out a few specific exceptions, but for the most part this is how we decide. One of the reasons for this is the co-op has very little control over the quality of changes or updates made by a shareholer to their unit. If a radiator was replaced and the contractor used sub-standard parts and shoddy workmanship, the co-op cannot automatically assume financial responsibility for their repair or replacement.

2) The cost of the work will come out of your pocket. Unless stated otherwise in the PL or House Rules you are not required to use the building's super to make the repairs. You should be able to bring in a licensed and insured plumber from the outside. Check with the board for any rules they may have about this. You will need to coordinate with the super because at some point the steam or hot water will need to be turned off to your apartment line while the repairs are underway. If there are no definite rules about using the super, to keep from ruffeling feathers, you might ask him/her for a cost estimate and then get competative bids. That way your decision will appear to be a purely financial one.

Check with the insurance company that carries your co-op owner's policy to see if any part of this is covered and if it is worthwhile for you to file a claim.

Finally, ask the attorney who handled your purchasing of your unit. He/she should have read your proprietary lease and may be able to give you more than the opinions I've provided above.

Good luck!

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Intercom & Virtual Doorman - BK Chris Dec 06, 2016

I'm researching access entry systems for our 37-unit condo in Brooklyn, and am also interested in a "virtual doorman" service. Anybody have a great hardware that plays well with smartphones, and is also compatible with popular virtual concierge systems?

Thanks!

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I just wonder how long a package delivery person will wait to drop off a package if there is no answer at the door in 5 or 10 seconds, while the unit is trying to call you.

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This is Scott from American Security Systems and I would like to help. Please contact me at 718-780-2880 x170.

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Try Academy www.academymailbox.com #718- 539-1000 or 212-539-1000
family owned since 1948.

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I can also recommend Academy Mailbox for these kinds of installations. They have done work in our building for 8 years and we've been very satisfied with the results.

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Transfer of shares to co-shareholder - HDFC CO-OP Nov 21, 2016

I am an original existing shareholder, along with my father who passed away. We are both on the lease and stock certificate, we became a co-op in 2000, the board is now requesting my tax returns to be "income" eligible, in order to transfer his portion of the shares to me. Is this legal? I am not a new purchaser, why do I need re-qualify again? Is there a statute or regulation I can cite on this?

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First, I am not an attorney, so from a legal perspective this post is worth what you're paying for it.

Married couples can hold property as Joint Tenants (With Right of Survivorship). This may also be called Tenants by the Entirety; there are subtle differences. Joint Tenants or Tenants by the Entirety means that each person owns 100% of the property and there is no "passing" of any deed, title, stock shares, etc because each is a full 100% owner. I don't believe Joint Tenants or Tenants by the Entirety can arbitrarily dispose of their shares because those shares are also fully owned by their spouse, but I am not sure about this.

You and your father are probably listed as Tenants in Common. This means you each own 50% of shares of your co-op. You each have full control of the disposition of your half of the shares. He is not required to name you as their new owner. He could, if he wanted to, give them to your sibling(s), a relative, a friend, or a complete stranger.

When your father died, I assume you inherited his half of your co-op shares. Check his will. His shares have to legally change hands from his estate to you, which triggers a "new purchase" event in the eyes of the board. This is why they are going through the "new purchase" procedures.

The income check should just be pro forma and there should not be any board opposition. Check your proprietary lease. It should have a paragraph which states that the board cannot place any undue burden in approving the transfer of shares between Tenants in Common.

In your situation I would strongly recommend you consult with an attorney (because I ain't one) to make sure you are actually entitled to your father's shares and that the transfer goes smoothly. I found this article which briefly describes property ownership. There are many more like it on the internet.

http://homeguides.sfgate.com/definition-joint-tenants-tenants-common-1429.html

Good luck!

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Must Proxy voting be allowed? - Marty Nov 19, 2016

Our co-op was formed in 1960 under the NY Cooperative Corporations Law. We know that The Business Corporations Law trumps any by laws which don't permit proxy voting.

But is the same thing true for co-ops formed under the NYCCL? Our by laws don't permit proxy voting.

We are very uncomfortable with the whole proxy process, feeling that it increases the possibility of voter fraud. Thus, you should be present to cast your vote (which is what our by laws state).

If the co-op does not have to allow proxy voting for NYCCL co-ops, does anyone know where I can find the legal basis which supports this?

Thank you in advance for any help.

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Hi every one there, I have been a Board President for a few years, and my opinion is that as long as it's allowed by your Bylaws it's OK, there are building like mine that without this stipulation there will never be a meeting's quorum.

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Gloria - Thank you for your reply.

Our by laws do NOT permit proxies. We have never had a problem getting a quorum.

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According to BCL 609

"§ 609. Proxies.

(a) very shareholder entitled to vote at a meeting of shareholders or to express consent or dissent without a meeting may authorize another person or persons to act for him by proxy".

I would write a letter to the BOD and Property Manager requesting that they are in conflict with the BCL by not allowing shareholders the right to vote. The co-op attorney will look into the certificate of incorporation to confirm the restriction of proxy voting.

Good Luck

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Also 602 of the BLC
Meetings of shareholders may be held at such place, within or without this state, as may be fixed by or under the by-laws, or if not so fixed, at the office of the corporation in this state.

A meeting of shareholders shall be held annually for the election of directors and the transaction of other business on a date fixed by or under the by-law
- See more at: http://codes.findlaw.com/ny/business-corporation-law/bsc-sect-602.html#sthash.twGj1tpV.dpuf

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Queens - Our attorney confirmed that our co-op was formed under the NY Cooperative Corporations Law, so BCL 609 is not applicable.

There is no authorization for proxy voting in the coop's by-laws, so proxy voting is not permitted.

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Part Time Super - Cecile Nov 02, 2016

We are a 10 unit coop in Tribeca. We would like to know what similar buildings pay for a part time super and what services are performed.

Thank you

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This is a recent (Oct 2016) pay scale of superintendents, New York (cut & paste into your browser): http://www.payscale.com/research/US/Job=Building_Superintendent/Salary/5c8ed29a/New-York-NY

You have to decide what are the key duties that you want a part-time super to perform and have them focus on those duties. For job duty examples, I suggest you Google the recruitment service Indeed and review the superintendent job postings to see job duties for other buildings then pick the duties that are most important to your building.



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How many part time Supers get free rent and free parking? I don't see that in your link regarding Supers salary. Our Super is part time and gets free rent and free parking.

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I don't know of any superintendents that are p/t and get free rent (and parking).

Let's assume that the value of their rent is equal $1,500 per month or $18,000 per year and that your super fits into the median salary range of $49,930 which includes the unit estimated at $18,000. That means that the salary paid is $31,930 or for p/t, 50% of that or $15,965. If the super is only part-time but lives on premise f/t and is therefore expected to be "on call" full time, you need to pay him for this too.

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Actually our Super has a night job away from our building and is not available by any means from 10:00pm through 7:00am. So he's not 'on call' most the time. He gets a $605.00 per month cash salary, free rent, free parking, and free phone. Usual?

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A parking space and phone are "usual" so I would not add those into the equation. I think your salary is on the low end (based on industry stats) however if your arrangement works well for you and the super, then I would not be concerned.

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A property's needs, and expectancy, is ultimately how to determine what you should be paying for a Super.

Most buildings that are 10 units don't need a Super and hire a janitorial company, that offers a la carte handyman services to fill the void. If there is an issue with a boiler its best for the building to have a dedicated boiler company that can guarantee services.

If you need any additional guidance, feel free to reach out to me directly. RolandoV@Clean-Habitat.com

I hope that was helpful.

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Bonus for Property Manager - 270NB Oct 28, 2016

The Property Manager has played a significant, instrumental role in helping the Board and the cooperative improve its financial and operational condition in a relatively short amount of time, far exceeding our expectations.

Outside of the normal management fee, I wanted to survey if it's unusual or frowned upon to consider giving the PM a bonus gratuity to show the corporation's appreciation? If you have any thoughts or experience regarding the above, please share.

Thanks in advance!

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You should review your contract to see if it mentions bonuses at all or any restrictions (e.g. bonuses are made to the Property Management company versus individual).

-If the PM is a free-lance property manager (i.e. contracted individual) then it would be appropriate to bonus
-If they are an employee of a property management company, then I would say no - it's up to their company to bonus them for their work efforts

What you could do is give them a "thank you" card signed by all board members with, for example, a gift card to recognize their contribution to successful operations.

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I think it is a perfectly fine idea, but as Ned said, check your contract with the management company company first, and/or speak with the company's president. It would be improper for the PM to give the board gifts, but recognition of a job well done via a financial award should be perfectly acceptable.

I would suggest that when you give the award you indicate that it recognizes a particularly valuable contribution the PM made to your co-op and not something that is provided annually. I would not use the word "bonus" because that implies a re-occurring event. I would also not give it at the end of the year when most re-occurring bonuses are given out.

My building has a particularly good PM and he has been effective year after year so we usually give him an AMEX gift card (good almost everywhere) at the end of the year. If you foresee a long relationship with this PM then it might be ok to establish the precedent.

Don't let him go! Good PM's are very hard to find!

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Per your positive experience with your managing agent, would you mind telling me which managing agent you're using? Our building has not been as fortunate and we are looking for a managing agent that takes a proactive approach and takes pride in their services.

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Where are you located?

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Our co-op consists of two buildings located in Forest Hills, New York.

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Our condo in Queens uses ALG NY Management. We switched about a year ago and are very happy with them. I recommend them. Contact Linda or JoAnn at (718) 925-8200.

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Co-Op alterations - Wet Over Dry condition - Board Prez Oct 26, 2016

We have a new shareholder who is proposing to expand his bathroom into an adjoining hallway. He would not move any plumbing or fixtures into that area. He is replacing the tub with a shower, however. The shareholder would be required to add a waterproof membrane to the new area.

We do not have a policy about this, and it has never come up before. I am told "many, many" co-ops prohibit it.

The co-op's architect says that it is up to the Board whether or not to approve it, though he gives details of some risks.

In our 70 year old building, we have had many leaks from bathrooms from plumbing inside the wall and from shareholder installed fixtures which caused damage to apartments below and adjacent.

Curious to know whether other board routinely grant permission to install wet-over-dry conditions? If you have granted permission, have you had shareholders who feel themselves compromised complain?

Let me know of your experiences.

Thanks so much

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We do not allow these types of projects in our co-op. We would not let a s/h replace a tub with a shower. If there's a tub before renovations, there must be a tub after renovations.

We feel you're opening up a door by allowing this type of renovation. Our building has piping for the bathrooms as they were originally installed. It's not set up to be changed, especially in an old building. That's asking for trouble.

No complaints from s/h. We just tell them that these are the rules and they've all complied.

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Many of my friends pre-war coops allow this. As long as you have a smart architect look it over and the plumbing done correctly and safely by qualified persons. Especially if the appliances stay over a wet area - there is no reason not to expand the footprint of a tiled floor or kitchen area. In fact many apartments in our building have wet over dry layouts from the days when the apartments were divided during the depression.

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