Cooperatives Can’t Afford the Liability of “Reasons” Bills
Both in Albany and in Westchester County, well-intended lawmakers are intent on fighting potential housing discrimination by dramatically increasing the regulation of the admissions process for housing coops and condominiums. The proposal that has the greatest potential to increase legal liability and therefore explode costs for coops and condos is the requirement that applicants should be a given a reason in writing when their application is rejected.
There’s little evidence that this would promote fair housing. Housing discrimination is already illegal at all levels of government, and there are resources to root it out through the NYS Attorney General’s office, the Westchester County Human Rights Commission, and other agencies. There is no indication whatsoever from Suffolk County – which passed a law like this for coops years ago – that this requirement correlated in any way to an increase in housing discrimination complaints or cases involving coops.
What it would do is increase the liability of the coop or condominium association in the most difficult and awkward situations they face with admissions. According to statistics, Westchester County saw 87% of applications successfully go through in 2019. Of those that were rejected, most were either incomplete applications or because of financials. The very few rejections that were for another reason typically involved a potential purchaser who made clear he, she, or they did not intend to follow house rules, or where something troubling that had previously not been disclosed came up in the reference or credit check. Unfortunately, these atypical situations are the ones most likely to get contentious and potentially lead to expensive litigation.
Please write to your member of the Assembly and State Senate and let them know your building cannot afford that level of liability. You can use our suggested letter or write your own using our online tool.
Cooperatives Can’t Afford the Liability of “Reasons” Bills
Both in Albany and in Westchester County, well-intended lawmakers are intent on fighting potential housing discrimination by dramatically increasing the regulation of the admissions process for housing coops and condominiums. The proposal that has the greatest potential to increase legal liability and therefore explode costs for coops and condos is the requirement that applicants should be a given a reason in writing when their application is rejected.
There’s little evidence that this would promote fair housing. Housing discrimination is already illegal at all levels of government, and there are resources to root it out through the NYS Attorney General’s office, the Westchester County Human Rights Commission, and other agencies. There is no indication whatsoever from Suffolk County – which passed a law like this for coops years ago – that this requirement correlated in any way to an increase in housing discrimination complaints or cases involving coops.
What it would do is increase the liability of the coop or condominium association in the most difficult and awkward situations they face with admissions. According to statistics, Westchester County saw 87% of applications successfully go through in 2019. Of those that were rejected, most were either incomplete applications or because of financials. The very few rejections that were for another reason typically involved a potential purchaser who made clear he, she, or they did not intend to follow house rules, or where something troubling that had previously not been disclosed came up in the reference or credit check. Unfortunately, these atypical situations are the ones most likely to get contentious and potentially lead to expensive litigation.
Please write to your member of the Assembly and State Senate and let them know your building cannot afford that level of liability. You can use our suggested letter or write your own using our online tool.