SECTION 55-425. Applicability  

A. This chapter applies to all cooperatives created within this Commonwealth after July 1, 1982. Unless the declaration provides that the entire chapter is applicable, such a cooperative is subject only to §§ 55-429 and 55-429 if the cooperative contains only units restricted to nonresidential use or contains no more than three units and is not subject to any development rights.

B. Except as provided in subsection C, §§ 55-429 , 55-429 , 55-429 , 55-429 , 55-429 , 55-429 , 55-429 subsection A, subdivisions 1 through 6 and 11 through 17, §§ 55-429 , 55-429 , 55-429 , 55-429 , 55-429 and 55-429 shall apply to all cooperatives created in this Commonwealth before July 1, 1982. Those sections apply only with respect to events and circumstances occurring after July 1, 1982, and do not invalidate existing provisions of the cooperative documents of those cooperatives. With regard to any cooperative created before July 1, 1982, § 55-429 applies only to real estate acquired by that cooperative's association on or after that date. For the purposes of this section, a cooperative was created before July 1, 1982, if the cooperative was conveyed to the association before that date.

C. If a cooperative created within this Commonwealth before July 1, 1982, contains no more than three units and is not subject to any development rights, it is subject only to §§ 55-429 and 55-429 unless the declaration is amended to make any or all the sections enumerated in subsection B apply to that cooperative.

D. This chapter does not apply to cooperatives or cooperative interests located outside this Commonwealth, but the public offering statement provisions as given in §§ 55-429 through 55-429 apply to all contracts for the disposition of cooperative interests signed in this Commonwealth by any party, unless exempt under subsection B of § 55-429 . The agency regulations provisions under Article 5 (§ 55-429 et seq.) of this chapter apply to any offering thereof in this Commonwealth.

E. This chapter does not apply to any cooperatives which receive federal funding pursuant to the public housing or section 8 program under the United States Housing Act of 1937, as amended.

F. This chapter does not apply to any cooperative which, when acquired by an association, is subject to a mortgage or deed of trust securing an indebtedness owed to any government or governmental authority to which the association has contractual obligations in addition to those set forth in such mortgage or deed of trust.

1982, c. 277; 1983, c. 312; 1986, cc. 368, 557.