§ 5-6B-02. Sale of cooperative interest
West's Annotated Code of MarylandCorporations and Associations
MD Code, Corporations and Associations, § 5-6B-02
§ 5-6B-02. Sale of cooperative interest
(a) A contract for the initial sale of a cooperative interest to a member of the public for residential use is not enforceable against the initial purchaser unless:
(b) The public offering statement shall contain at least the following:
(vii) An opinion, based on stated factual assumptions, as to whether the members under current laws will be entitled to a pass-through of deductions from federal and State income taxes for payments made by the cooperative housing corporation for real estate taxes and interest on the property of the cooperative housing corporation;
(viii) A statement of the rights and responsibilities of members regarding the blanket encumbrance and a statement as to the nature and extent of any protection to the initial purchaser if the developer or cooperative housing corporation defaults on such a blanket encumbrance after transfer or a statement that there is no such protection;
(xiv) In the case of a cooperative housing corporation containing buildings substantially completed more than 5 years prior to the date of the notice required under § 5-6B-05 of this subtitle, a statement of the physical condition and state of repair of the major structural, mechanical, electrical, and plumbing components of the improvements, to the extent reasonably ascertainable, the estimated costs of repairs for which a present need is disclosed in the statement, and a statement of repairs which the developer intends to make. The developer is entitled to rely on the reports of architects or engineers authorized to practice their profession in this State; and
(c) Statements required in this section may be summarized or produced in a collection of documents which effectively conveys the required information to the initial purchaser.
Credits
Added by 1986, c. 833, 834.
MD Code, Corporations and Associations, § 5-6B-02, MD CORP & ASSNS § 5-6B-02
Current through legislation effective through May 8, 2023, from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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