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coop board dictates sole exclusive broker for all apt sales- legal?

Started by peledasaf
over 17 years ago
Posts: 6
Member since: Oct 2008
Discussion about
Co-op board said to tenants that they may only be represented by the one broker the coop stated for all apartment sales. It is in Brooklyn. Is this legal?
Response by 30yrs_RE_20_in_REO
over 17 years ago
Posts: 9913
Member since: Mar 2009

I don't think so. Of course, after Pullman a lot of Coop Attorneys are telling every board that they can do anything they want, and with Pullman you have to wonder if they actually can.

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Response by NWT
over 17 years ago
Posts: 6643
Member since: Sep 2008

Ah, David Pullman, everyone's dream neighbor.

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Response by 30yrs_RE_20_in_REO
over 17 years ago
Posts: 9913
Member since: Mar 2009

While Coop Boards need ways of dealing with problem tenants like Pullman, there's been a lot of abuse of the case already by Boards seeking to harass tenants they had other issues with. Now, if a tenant has a real issue with a Board, if he threatens to sue them because they are doing nothing, they can Pullman the tenant rather than dealing with the issues.

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Response by alpine292
over 17 years ago
Posts: 2771
Member since: Jun 2008

who is David Pullman?

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Response by NWT
over 17 years ago
Posts: 6643
Member since: Sep 2008

True, it swings too far one way or the other.

alpine, google pullman 67th, and the decision will be right on top.

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Response by dwell
over 17 years ago
Posts: 2341
Member since: Jul 2008

http://www.cooperator.com/articles/871/1/Push-and-Pullman/Page1.html

If coop bds abuse Pullman, that decision will be revisited & narrowed (I hope).

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Response by 30yrs_RE_20_in_REO
over 17 years ago
Posts: 9913
Member since: Mar 2009

"If coop bds abuse Pullman, that decision will be revisited & narrowed (I hope)."

they are right now and it isn't being, so...................

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Response by peledasaf
over 17 years ago
Posts: 6
Member since: Oct 2008

Thank you guys, but do you know the answer to this question? (legal answer please).
Why should I use their broker if I own the apartment? this is a free market.

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Response by NWT
over 17 years ago
Posts: 6643
Member since: Sep 2008

How did the board "say" that? In writing somewhere, or just verbally? The board may choose to reject any sales applications involving a broker other than the one they want, and the business-judgement rule might protect them. You or another seller might choose to litigate over that. You want out of the building anyway, though, so why plow money into being the hero? The remaining owners might want to vote the board out, but if there're staggered terms that might take a few years.

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Response by patient09
over 17 years ago
Posts: 1571
Member since: Nov 2008

disclaimer: I don't know shit....but..you don't own the apt. you own shares in a coop. Maybe there is some minor loophole similar to a publicly traded coorporation that allows them declare who the transfer agent needs to be. who knowa!

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Response by peledasaf
over 17 years ago
Posts: 6
Member since: Oct 2008

They sent a letter to all apartments owners to give exclusive to one broker if they decide to sell, there is more then 1000 apartments in the building, most of the people are old.
to NWT - my mom lives in the building and does not want to move out. I did sell her sister apt in the building after she died and the board tried to do some funny business with me at that time as well. they are taking advantage of old people all time, I have so many stories about this corrupt board and management company.

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Response by Squid
over 17 years ago
Posts: 1399
Member since: Sep 2008

You need to check with an attorney on this. No one here can advise you without specifics (proprietary lease, amendments, etc).

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Response by 30yrs_RE_20_in_REO
over 17 years ago
Posts: 9913
Member since: Mar 2009

Someone is getting a kickback.

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