New York §716

Loans to directors, officers and key persons

Statute:
New York §716 · Law NPC (Not-for-Profit Corporation Law)
Topic:
Officers & Directors · Loans
Applies to:
Nonprofit associations

Loans to directors, officers, or key persons are generally prohibited.

loan; director; officer; key person; prohibited

📄 Read the official text at nysenate.gov →

How SoShiny helps with Loans to directors, officers and key persons

SoShiny keeps your board roster, officer titles (President, VP, Secretary, Treasurer, Director), and election history current in one place — so the statutory requirement to identify directors and officers is always one click away.

See the feature → Start free

Related sections in Law NPC

Frequently asked

What does New York §716 require?
Loans to directors, officers, or key persons are generally prohibited.
Who does New York §716 apply to?
New York §716 applies to Nonprofit associations in New York.
What happens if our co-op or condo doesn't comply with §716?
Non-compliance with this New York statute can expose the association and its officers to private civil suit, and (for offering-plan / sponsor matters under GBS) to enforcement action by the New York Attorney General's Real Estate Finance Bureau. SoShiny's audit trail and documented workflows are designed to demonstrate good-faith compliance.
Where can I read the official text of New York §716?
The official text is published by the New York State Legislature at nysenate.gov. The summary on this page is for plain-English reference only and is not legal advice.
How does SoShiny help with Loans to directors, officers and key persons?
SoShiny keeps your board roster, officer titles (President, VP, Secretary, Treasurer, Director), and election history current in one place — so the statutory requirement to identify directors and officers is always one click away. Learn more →

Not legal advice. This page is a plain-English summary of New York §716 prepared by SoShiny for board members and managers. For binding legal advice or interpretation, consult a New York-licensed attorney. For the official statutory text, see the link above.

Don’t run your co-op or condo on spreadsheets.

Start your community free →