Bill Text: NY S04956 | 2019-2020 | General Assembly | Introduced


Bill Title: Requires the board of directors of residential cooperative corporations and not-for-profit corporations to provide tenants with changes to the by-laws in writing within ten days of adoption; requires notification to tenants of changes affecting occupancy or the rules of the building.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-04-02 - REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS [S04956 Detail]

Download: New_York-2019-S04956-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          4956
                               2019-2020 Regular Sessions
                    IN SENATE
                                      April 2, 2019
                                       ___________
        Introduced  by Sen. BENJAMIN -- read twice and ordered printed, and when
          printed to be committed to the Committee on Corporations,  Authorities
          and Commissions
        AN  ACT to amend the cooperative corporations law and the not-for-profit
          corporation law, in relation to requiring the board  of  directors  of
          residential  cooperative  corporations and not-for-profit corporations
          to provide tenants with changes to the by-laws in writing  within  ten
          days  of  adoption;  in relation to notification to tenants of changes
          affecting occupancy or the rules of the building
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  Section 16 of the cooperative corporations law is amended
     2  to read as follows:
     3    § 16. By-laws. 1. The by-laws may provide for their amendment  by  the
     4  board  of  directors;  but  any  amendment adopted by the board shall be
     5  reported to the annual meeting of the corporation and, if  not  affirma-
     6  tively  approved  thereat,  shall  cease to be in effect. By-laws may be
     7  adopted, repealed or amended on the affirmative vote  of  two-thirds  of
     8  the  members, stockholders or delegates voting thereon at a meeting held
     9  after due written notice setting  forth  the  proposed  action  and  the
    10  purpose of the meeting.
    11    2.  In  the  case  of  residential  cooperative  corporations, changes
    12  including the adoption, amendment or repeal of the by-laws by the  board
    13  of  directors shall be provided to the members, stockholders, and deleg-
    14  ates of such corporation in writing, by physical  or  electronic  means,
    15  within ten days of such adoption.
    16    §  2.    The  cooperative  corporations law is amended by adding a new
    17  section 78 to read as follows:
    18    § 78. Notification to  residents.  Upon  the  adoption,  amendment  or
    19  repeal  of by-laws by the board of directors pursuant to subdivision two
    20  of section sixteen of this chapter,  where  such  change  would  have  a
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01517-01-9

        S. 4956                             2
     1  direct  effect on the resident's occupancy or the rules of the building,
     2  the board of directors shall post  the  adopted,  amended,  or  repealed
     3  by-laws conspicuously to ensure tenants will be aware of such adoption.
     4    §  3.  Section 602 of the not-for-profit corporation law is amended by
     5  adding a new paragraph (g) to read as follows:
     6    (g) In the case of residential  not-for-profit  corporations,  changes
     7  including  the adoption, amendment or repeal of the by-laws by the board
     8  of directors shall be provided to the members, stockholders, and  deleg-
     9  ates  of  such  corporation in writing, by physical or electronic means,
    10  within ten days of such adoption.
    11    § 4. The not-for-profit corporation law is amended  by  adding  a  new
    12  section 624 to read as follows:
    13  § 624. Notification to tenants.
    14    Upon  the adoption, amendment or repeal of the by-laws by the board of
    15  directors pursuant to paragraph (g) of section 602 (By-laws), where such
    16  change would have a direct effect on the  resident's  occupancy  or  the
    17  rules  of  the  building, the board of directors shall post the adopted,
    18  amended, or repealed by-laws conspicuously to  ensure  tenants  will  be
    19  aware of such adoption.
    20    §  5.  This  act  shall take effect on the sixtieth day after it shall
    21  have become a law.
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