The most recent federal Coronavirus stimulus law, finally signed on December 27, 2020, extends the PPP loan program to residential cooperatives.

In June, partner Marc J. Luxemburg presented a two-part seminar on “An Introduction to Coop Board Responsibilities” for new directors with co-presenter Gregory Carlson, President of the National Association of Housing Cooperatives.
In October, Mr. Luxemburg presented a seminar on the new form of Proprietary Lease and the changes it makes from current forms in use, with a new emphasis on the changes that may be required to comply with Part M of The Housing Stability and Tenant Protection Act of 2019.

Part M of the New Rent Law contains a number of other provisions that create financial and operating difficulties for all cooperatives and, to some extent, condominiums. Part M was passed without any public input and apparently without any recognition on the part of any of the legislators that it would affect cooperatives. The law specifically affects admissions and operating procedures and adversely affects litigation brought by a cooperative. In this article we deal with the admissions and operating issues – litigation will be dealt with more specifically in a future issue.

Marc Luxemburg, partner at Gallet Dreyer & Berkey, LLP and president of the New York Council of Cooperatives and Condominiums, quoted in Habitat Magazine's article "New Tenant Protections Could Pinch Co-op Sales." 

Both New York State and New York City have recently enacted a number of laws that impose new responsibilities on the Boards of cooperatives and condominiums. We have previously reported on the State requirement to provide an annual conflict of interest report to shareholders or unit owners (Legal Update Summer 2018), and the City obligation to enact a smoking policy (Legal Update Spring 2018). Some of the other significant laws covered in this article include: Sexual Harassment, Fire Safety Plan & Notice, Bed Bug Reports and Gas Piping.

Section 727 of the Business Corporation Law (“BCL”), as enacted last year and recently amended, requires that every cooperative housing corporation incorporated under the BCL and every condominium must report to its shareholders or condo unit owners at least once a year of transactions voted on by the board where one or more of the directors is an interested party pursuant to Section 713 of the BCL. If there is no such transaction, the report must state specifically that no such transaction occurred. Please read on in order to learn what you must do to comply with this new law.

Legal Update

Marc Luxemburg, partner at Gallet Dreyer & Berkey, LLP and president of the New York Council of Cooperatives and Condominiums, quoted in Habitat Magazine's article "Enclosed Balconies Can Stay – Provided They’re Safe."

New York City recently enacted a new local law that requires all owners of Class A multiple dwellings, which includes most cooperatives and condominiums, to adopt and distribute to shareholders, tenants and unit owners a smoking policy prior to August 28, 2018. Cooperatives and condominiums should act now to adopt a comprehensive written smoking policy, amend their existing rules to conform to the new policy and distribute or post the policy by the August 28, 2018 deadline. Failure to comply with the new law can be costly.

Legal Update

Gallet Dreyer & Berkey, LLP partner and President of the Council of New York Cooperatives & Condominiums, Marc J. Luxemburg discusses coop proprietary leases and apartment alterations.

Legal Update

Legal Update

GDB Partner Marc Luxemburg is quoted in The New York Times

Legal Update

GDB Partner Marc Luxemburg quoted in Crain's New York Business

Legal Update

GDB Partner Marc Luxemburg is quoted in The New York Times

Legal Update