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Adam Leitman Bailey, P.C. Successfully Defeats Challenges to Co-Op Board and Their Ability to Commence Necessary Building Repairs

  • condominium & cooperative litigation, Condominium & Cooperative Representation, Karen M. Chau

After a coordinated campaign of harassment against a Co-Op board, attempts to ignore and undermine that board’s legitimate actions, and efforts to hold illegitimate meetings to unseat lawfully elected board members, Adam Leitman Bailey, P.C. successfully defended the board’s rights, squashed the illegitimate actions, and ensured that the board can carry on with its duty to protect and represent the Co-Op and its shareholders.

Adam Leitman Bailey, P.C. was retained by the board and two directors of a housing cooperative corporation (the “Co-Op”) in order to defend them against claims by a group referring to itself by the ominous name of “the Coalition.” The Coalition consisted of, among other people, prior directors who had been removed pursuant to court order for failing to adhere to the Co-Op’s bylaws and because they had let the Co-Op’s buildings fall into dangerous disrepair — to the point that, for example, the City had forbidden residents from using their balconies because they were deemed actively unsafe.

The Coalition engaged in a campaign of harassment against the board and the directors, complete with letters to all shareholders calling the directors vile names and repeatedly making untruthful allegations against them, in an effort to regain power and to prevent the board from making necessary repairs. The Coalition claimed that a May, 2025 election where shareholders removed a hostile board member — who not only failed to perform her board duties but also harassed building staff, vendors, and other board members — was invalid. They further claimed that they had called a July, 2025 shareholder meeting, and that this purported meeting had removed directors that the Coalition disagreed with.

Through carefully crafted court papers, Adam Leitman Bailey, P.C. successfully demonstrated that the May, 2025 election was valid under the Co-Op’s bylaws and applicable New York State law, and that the hostile, harassing board member was no longer on the board. Adam Leitman Bailey, P.C. further showed that the Coalition had no authority to call the July, 2025 meeting under the Co-Op’s by-laws, and that the results of that purported meeting therefore were moot. And Adam Leitman Bailey, P.C. also demonstrated the board’s need to make repairs to the buildings and showed the court the impropriety of the Coalition’s harassment against the board.

When Adam Leitman Bailey, P.C. appeared before the judge, they were able to demonstrate that, among other things, the Coalition’s court papers were invalid and that the harassing director could not remain on the board. The judge ultimately stated that the parties should draft suggested orders and that she would sign one of them.

Despite Adam Leitman Bailey, P.C.’s overtures, the Coalition refused to work with them to draft an order to which both parties agreed or partially agreed. Therefore, Adam Leitman Bailey, P.C. drafted an Order that ensured that their clients retained their board majority, confirmed that the harassing former director was not on the board and that the directors that the Coalition had unlawfully attempted to remove were still on the board, and allowed the board to move forward with necessary building repairs.

Upon Adam Leitman Bailey, P.C.’s successful arguments, the Court signed Adam Leitman Bailey, P.C.’s proposed Order without making any changes, therefore giving Adam Leitman Bailey, P.C.’s clients exactly what they asked for.

In short, Adam Leitman Bailey, P.C. defeated the Coalition’s attempts to improperly gain control, defended the board’s valid actions in removing the harassing director, and ensured that the board is now free to comply with the Co-Op’s bylaws to make required repairs to the building.

Tags: Condominium & Cooperative Litigation

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