Cooperatives & Condominiums

AppDiv, Second Dept. (memorandum opinion)

In an action by condominium unit owner for injunctive relief against the condominium board's president and the managing agent, unit owner appealed from Supreme Court's order denying unit owner's summary judgment motion and from Supreme Court's judgment dismissing the complaint against the board president. The Appellate division modified to reinstate the complaint against the board president, and otherwise affirmed, holding that neither party had established entitlement to summary judgment on the claim that the board had acted outside the scope of its authority.

In 2012, the condominium board voted to fund a repair project through special assessments, and the managing agent included a charge for the special assessment on unit owner's bills for common charges. Unit owner then brought this action contending that the special assessments were enacted in violation of the condominium's bylaws. Supreme Court denied unit owner's summary judgment motion, and dismissed the complaint against the board president and the managing agent. Unit owner appealed.

In modifying, the Appellate Division concluded that neither party had established entitlement to judgment as a matter of law on the issue of whether the board's actions were beyond the scope of the board's authority. As a result, the court held that the board president was not entitled to dismissal. The court held, however, that the managing agent was entitled to dismissal because the agent was acting at all times as an agent for a disclosed principal and did not intend to be personally bound.

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