Konrad v. 136 East 64th Street Corp

In Konrad v. 136 East 64th Street Corp, 254 AD2d 110 (1st Dep't 1998), lv denied and dismissed, 92 N.Y.2d 1042 (1999), the First Department was asked to rule on a shareholder's challenge to a cooperative's decision concerning the extent of repairs and renovations to the building. The Court invoked Levandusky and applied the business judgment rule to grant the defendant cooperative's motion for summary judgment. It held: Defendants' decisions concerning the manner and extent of repairs and renovations to the building were within the scope of their authority under the by-laws and proprietary lease of the cooperative, and were therefore shielded from judicial review by the business judgment rule, Konrad, 254 A.D.2d 110, 678 NYS2d 629 (1st Dep't 1998).