This case involved “the parameters for allowing a shareholder of a cooperative corporation to name as defendants, in an action against the corporation, individual members of the corporation’s board of directors.”
The plaintiffs had purchased a penthouse apartment in a residential cooperative in September 2005. They claimed that although the defendants knew that “the apartment required major renovations to make it habitable, and had assured plaintiffs before the purchase that their renovation plans would be given prompt consideration, defendants have unreasonably withheld their approval for plaintiffs’ planned renovations…, in violation of the provision of the proprietary lease stating that the consent of the lessor ‘shall not be unreasonably withheld.’”
