An apartment cooperative will typically involved a corporation renting apartments to people who are also owners of stock in the corporation. The apartment complex is owned by the corporation.
Two basic documents are ordinarily involved in the transfer of a member's or stockholder's interest in a cooperative apartment corporation: (1) an agreement for the purchase and sale of the proprietary lease and the appurtenant membership or stock; and (2) the instrument of assignment.
The agreement of purchase and sale is similar in format to an agreement for the sale of real property. The seller agrees to assign all rights under the proprietary lease covering the unit, and to sell the membership or stock in the corporation. The seller also agrees to procure the consent of the corporation to the transfer if this is required in the proprietary lease. The purchaser agrees to pay the purchase price and to submit references to the corporation and otherwise cooperate in procuring its consent to the transfer, and also promises to execute an agreement in a form approved by the corporation by which the purchaser assumes and agrees to be bound by all covenants and conditions of the proprietary lease.
The instrument of assignment does not differ materially from an ordinary assignment of a lease of real property, except that the assignor's interest in the membership or stock in the corporation is assigned together with interests under the proprietary lease. Ordinarily, the assignor declares that there are no liens or other claims outstanding against the lease or the shares to be assigned, that there are no undischarged bankruptcy proceedings or unsatisfied judgments or tax liens outstanding against the assignor, and that the assignor has full right and authority to assign the lease and shares.
Arkansas Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership is a legal document that governs the transfer of leasehold rights and membership in a corporation within Arkansas. This agreement is primarily used in the context of cooperative housing or real estate where a proprietary lease exists. It ensures that the corporation, as the governing entity, provides consent to both the assignment of the proprietary lease and the transfer of membership. In Arkansas, there may be different types or variations of the Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership. Some of them include: 1. Residential Cooperative Consent: This type of consent specifically pertains to residential properties within a cooperative housing arrangement. It allows the corporation to review and approve the assignment of a proprietary lease in accordance with the bylaws and regulations set forth by the corporation. 2. Commercial Cooperative Consent: Similar to the residential type, this consent is tailored for commercial properties that operate under a cooperative framework. It ensures that the corporation reserves the right to evaluate and consent to the assignment of a proprietary lease agreement for commercial purposes. 3. Membership Transfer Consent: In some cases, the consent may solely revolve around the transfer of membership within the corporation. This type of consent might not involve the assignment of a proprietary lease but instead focuses on the approval of a new member entering the cooperative entity. 4. Non-Resident Membership Consent: In co-ops where restrictions on non-resident members exist, this variation of the consent is executed. It clarifies the specific terms and conditions applicable when a non-resident seeks to obtain membership and/or assignment of a proprietary lease. The Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership serves as a crucial legal document in maintaining the integrity and control of the cooperative corporation. It ensures that any transfer of leasehold rights and membership adhere to the established guidelines, protecting the interests of all parties involved.Arkansas Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership is a legal document that governs the transfer of leasehold rights and membership in a corporation within Arkansas. This agreement is primarily used in the context of cooperative housing or real estate where a proprietary lease exists. It ensures that the corporation, as the governing entity, provides consent to both the assignment of the proprietary lease and the transfer of membership. In Arkansas, there may be different types or variations of the Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership. Some of them include: 1. Residential Cooperative Consent: This type of consent specifically pertains to residential properties within a cooperative housing arrangement. It allows the corporation to review and approve the assignment of a proprietary lease in accordance with the bylaws and regulations set forth by the corporation. 2. Commercial Cooperative Consent: Similar to the residential type, this consent is tailored for commercial properties that operate under a cooperative framework. It ensures that the corporation reserves the right to evaluate and consent to the assignment of a proprietary lease agreement for commercial purposes. 3. Membership Transfer Consent: In some cases, the consent may solely revolve around the transfer of membership within the corporation. This type of consent might not involve the assignment of a proprietary lease but instead focuses on the approval of a new member entering the cooperative entity. 4. Non-Resident Membership Consent: In co-ops where restrictions on non-resident members exist, this variation of the consent is executed. It clarifies the specific terms and conditions applicable when a non-resident seeks to obtain membership and/or assignment of a proprietary lease. The Consent of Corporation to Assignment of Proprietary Lease and Consent to Membership serves as a crucial legal document in maintaining the integrity and control of the cooperative corporation. It ensures that any transfer of leasehold rights and membership adhere to the established guidelines, protecting the interests of all parties involved.
