S T A T E O F N E W Y O R K
________________________________________________________________________
8347
2011-2012 Regular Sessions
I N A S S E M B L Y
June 14, 2011
___________
Introduced by M. of A. ENGLEBRIGHT -- read once and referred to the
Committee on Governmental Operations
AN ACT to amend the civil rights law, in relation to discrimination in
the ownership of cooperative housing
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings and declaration of intent. The legis-
lature recognizes that cooperative ownership in multi-family dwellings
is a popular form of home ownership in New York state. An ongoing
concern for consumers dealing in the cooperative housing market is the
potential for the unlawful rejection by a board of directors of a buyer.
The legislature finds and determines that, not infrequently, a co-op
board rejects what appears to be a well-qualified customer. Often, the
prospective purchaser has concerns that the rejection was in fact unlaw-
ful discrimination. Both federal and state laws protect our citizens
from unfair housing practices, which include discrimination based upon
race, ethnicity, gender, age or family status.
For such reasons, it is the legislature's intent to require boards of
directors of cooperative housing to disclose to proposed purchasers, the
reasons for rejecting a sale.
S 2. Section 19-a of the civil rights law, as added by chapter 376 of
the laws of 1971, is amended to read as follows:
S 19-a. Prohibition against unreasonable withholding of consent.
WHENEVER ANY CORPORATION FORMED FOR THE PURPOSE OF THE COOPERATIVE
OWNERSHIP OF REAL ESTATE WITHIN THE STATE WITHHOLDS CONSENT TO THE SALE
OR PROPOSED SALE OF CERTIFICATES OF STOCK OR OTHER EVIDENCE OF OWNERSHIP
OF AN INTEREST IN SUCH CORPORATION, SUCH CORPORATION SHALL PROVIDE THE
PROSPECTIVE PURCHASER WITH A WRITTEN STATEMENT OF ITS REASONS FOR WITH-
HOLDING CONSENT NO LATER THAN FIVE BUSINESS DAYS AFTER ITS DECISION TO
WITHHOLD CONSENT.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06151-01-1
A. 8347 2
1. No SUCH corporation [formed for the purpose of the cooperative
ownership of real estate within the state] shall withhold [its] SUCH
consent [to the sale or proposed sale of certificates of stock or other
evidence of ownership of an interest in such corporation] because of the
race, creed, national origin, or sex of the purchaser.
2. For the purposes of this section a "corporation" shall include the
cooperative management, cooperative tenants, cooperative shareholders,
or any appointee or successor in interest of a corporation.
3. This section shall apply to every sale or proposed sale whether by
a corporation directly, its successor in interest, or by any other
lawfully entitled party.
4. Every agreement, negative covenant, restrictive covenant or other
provision, whether written or oral and wherever contained, inconsistent
with this section shall be void and unenforceable.
S 3. This act shall take effect on the ninetieth day after it shall
have become a law.