BCL — Authorized Shares; Co-op Equal-Treatment Proviso
The share-equality section of the Business Corporation Law, which governs housing cooperatives (co-op residents are shareholders holding proprietary leases, not real-property owners). Every share of a class must be equal — but subdivision (c) carves out cooperative housing corporations: when liquidation rights are substantially equal per share, maintenance charges are fixed per share or per room, and voting is substantially equal (or one vote per apartment), shares are not unequal merely because transfer fees vary — the proviso that permits co-op flip taxes set in the proprietary lease, occupancy agreement, or offering plan.
Reviewed · New York changes feed
| Ref | Requirement |
|---|---|
| (c) | Co-op flip taxes are legal in New York — as long as they are written into the proprietary lease, occupancy agreement, or offering plan (or a properly approved amendment). |