After reviewing our generic Assignment of Lease – COOP (Cx4982), we will be adding new language to it in which the borrower (assignor) “covenants and represents” to the lender that:
- The assignor has all rights to the proprietary lease and is in compliance with the terms of such lease;
- The assignor has not done or allowed anything to be done which could result in liability against the lender; and
- There are no legal matters which could adversely affect the lease, cooperative shares in the apartment, or fixtures and personal property installed in the apartment.
The language will also stipulate that any actions brought against the assignor based on these must be done within one year of execution of the assignment, subject to applicable law. We will also be adding a date field specifying on what date the assignment is executed.
These changes will take effect on March 20, 2018. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.