Every member of a cooperative housing corporation shall be entitled to receive from the cooperative housing corporation a written proprietary lease which shall include the following:
(1)A provision that no sublease in excess of one year, no amendment, and no modification to such proprietary lease shall be permitted or created without the prior written consent of the board of directors of the cooperative housing corporation. A member who sublets does not relinquish the rights and benefits of membership.
(2)A provision that the security for a loan against the member’s cooperative interest shall be in the nature of a personal property security interest, and any default of such loan shall entitle the lender to treat such default in the same manner as a default of a loan secured by personal p
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Every member of a cooperative housing corporation shall be entitled to receive from the cooperative housing corporation a written proprietary lease which shall include the following:
(1) A provision that no sublease in excess of one year, no amendment, and no modification to such proprietary lease shall be permitted or created without the prior written consent of the board of directors of the cooperative housing corporation. A member who sublets does not relinquish the rights and benefits of membership.
(2) A provision that the security for a loan against the member’s cooperative interest shall be in the nature of a personal property security interest, and any default of such loan shall entitle the lender to treat such default in the same manner as a default of a loan secured by personal property.
(3) A provision that the cooperative housing corporation’s possessory remedy in event of default of a member affecting that person’s right to occupancy shall be in an action under 12 V.S.A. chapter 169, subchapter 3. However, good cause shall be required for termination of the right of occupancy. Good cause shall include nonpayment of loans, fees, costs, or assessments pertaining to the cooperative interest, or material violation of bylaws, rules, or proprietary lease which continues following reasonable notice and reasonable opportunity to cure the alleged material violations.
(4) Provisions for determining maintenance and carrying charges for the unit.
(5) A right on the part of the cooperative housing corporation to cure any default in the member’s obligations pertaining to the member’s cooperative interest, including share loans, and cooperative fees, costs, and assessments.
(6) A provision requiring that terms and form of the proprietary lease shall be amended by the board of directors only.
(7) A provision requiring that any lease term which is not uniformly applied to all members or prospective members of the same or similar category shall be unenforceable. (Added 1987, No. 254 (Adj. Sess.), § 1, eff. June 16, 1988.)