COURT COUNTY .OF. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ......... .. : Index No. : Plaintiff(s) -against- Calendar No. : JUDICIAL SUBPOENA : : QUESTIONNAIRE ON LEASEHOLD COOPERATIVE OFFERING PLANS : Defendant(s) All offering plans which purport to convey a leasehold interest to the Apartment : ...................................................... Corporation must contain adequate disclosure to answer each of the following questions. Please indicate on this questionnaire the page number in the plan where such disclosure is made, cross-referencing the pages to the lease or mortgage where applicable. THE PEOPLE OF THE STATE OF NEW YORK A. LEASEHOLD - TERMS OF THE GROUND LEASE. TO 1. When was the original leasehold created? 2. What GREETINGS: is the chain of assignment of the leasehold from the original ground lessee to the sponsor? Indicate date of each assignment. WE COMMAND YOU, that all business and excuses being laid aside, you and each of you attend before 3. Is the (the , the Honorable sponsor related to the fee ownerat the ground lessor) or the original ground Court located at County lessee? of in4. roomCan the present lesseeday of ownership 20 the, building on leasedthe back toand at any recessed , on the , of at o'clock in land noon, trace or adjourned date, to testify and give evidence as a witness in this action on the part of the construction of the building? 5. If the answer to question 4 is no, how does the present lessee justify ownership of the building for real estate taxthis subpoena See Rev. Rul. 62-178. 1962-2 Cum. Bul.make you liable to Your failure to comply with purposes? is punishable as a contempt of court and will 91; Rev.whose62-177, 1962-2, Cum. Bul. 89.for a maximum penalty of $50 and all damages sustained as a the party on Rul. behalf this subpoena was issued result of your failure to comply. 6. What are the major obligations of the ground lessee? (These would be the obligations assumed by the Apartment Corporation as the ground lessee.) DiscussJustices of the to Witness, Honorable , one of the obligations Court inmaintain and repair, to pay rent, taxes and20 County, day of , other charges, to keep premises insured to comply with all applicable laws, etc. 7. What are the material terms of default under the(Attorney must sign above and type name below) ground lease? 8. Are there any restrictions against the ground lessee making any structural or nonstructural alterations? Whose consents are required? Attorney(s) for Office and P.O. Address Telephone No.: Facsimile No.: E-Mail Address: Mobile Tel. No.: American LegalNet, Inc. www.USCourtForms.com COURT COUNTY .OF. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ......... .. : : 9. Index No. Calendar No. : Is there a non-disturbance clausePlaintiff(s) which allows lease to survive a foreclosure on fee JUDICIAL SUBPOENA mortgage(s), bankruptcy of the fee owner or other proceedings by lien judgment : holders or taxing -againstauthorities? If not, does the ground lessee have the right to make payments in default and be subrogated to the rights of the lienor? : 10. Does the lease provide for survival in the event of substantial destruction and provide : /a right to rebuild? What is the disposition of insurance proceeds in the event of destruction? Does the insurance Defendant(s) Schedule B meet the requirements of the budgeted in : ...................................................... lease? 11. Does condemnation clause result in compensation to the leaseholder and no unjust THE PEOPLE OF THE STATE holder? YORK enrichment to the fee OF NEW TO 12. Does the ground lessee have an option to purchase the fee or a right of first refusal? What are the terms? 13. Can the GREETINGS: lease be renewed and if so, on what terms? Are there conditions to the renewal option so as to jeopardize the possibility of exercising the option to renew? WE COMMAND YOU, that all business and excuses being laid aside, you and each of you attend before 14. Is the , the Honorable wasting assest nature of the leasehold discussed in the special risk section and in at the Court located County the financial features section?at of in room , on the day of , 20 , at o'clock in the noon, and at any recessed or15. If any spacetestify and by the lease is carved out by the sponsor (for example, adjourned date, to covered give evidence as a witness in this action on the part of the commercial space), is there a reciprocal agreement detailing the relationship between the carved out space and the remaining space? Are the terms of such agreement reasonable? to comply with this subpoena in punishable problem under court and will make you liable to Your failure Does the carve-out result is an 80/20 as a contempt of IRC Section 216 because of behalf this subpoena was by the for a maximum penalty of Alstoresall damages sustained as a the party on whose the income generated issued carved out space? See $50 and Realty result ofCorporation, 46 T.C. 363 (1966), acq. 1967-2 C.B. 1; and Rev. Rul. 77-413, 1977-2 your failure to comply. C.B. 298. Witness, Honorable B. Court in LEASEHOLD MORTGAGES County, day of , one of the Justices of the , 20 16. Does the plan disclose the terms of each leasehold mortgage in compliance with 13 N.Y.C.R.R. Section 18.3(s)? Include mortgages (Attorney will sign assumed byname below) which must be above and type the Apartment Corporation and any proposed new leasehold mortgages to be placed on the building when the lease is assigned to the Apartment Corporation. Disclose any relationship between the leasehold mortgagee and the sponsor. Attorney(s) for 17. Could the Apartment Corporation secure additional leasehold mortgages so as to refinance the existing mortgages or to fund repairs, replacements, improvements or reconstruction of the building? Discuss any restrictions on such refinancing. Would Office and P.O. Address such financing be available from conventional mortgage financing sources? 2 Telephone No.: Facsimile No.: E-Mail Address: Mobile Tel. No.: American LegalNet, Inc. www.USCourtForms.com COURT COUNTY .OF. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ......... .. : Index No. : C. FEE MORTGAGES Plaintiff(s) Calendar No. : JUDICIAL SUBPOENA -against: 18. Does the plan disclose the terms of each mortgage on the fee in compliance with 13 N.Y.C.R.R. Section 18.3(s)? Disclose any relationship between the fee mortgagee and : the sponsor. : 19. Would all fee mortgages and any replacement or extensions of such mortgages be Defendant(s) subordinate to a refinancing by the Apartment Corporation to fund repairs or : ...................................................... replacements or reconstruction of the building? 20. Could the assignment of the leasehold to the Apartment Corporation trigger a due on THE PEOPLE OF THE STATE OF NEW YORK sale clause in a fee mortgage? TO submissions of the offering plans which purport to convey a leasehold interest to the All Apartment Corporation should include the following documents in the Exhibit B binder. 1. Ground GREETINGS: Lease. 2. All existing and proposed leasehold mortgages. 3. All existing and proposed fee mortgages. excuses being laid aside, you and each of you attend before WE COMMAND YOU, that all business and 4. Title s , the Honorablereport which must be in an appropriate form to insure Apartment Corporation’ at the Court located at County prospective status as an assignee of the lessee under the ground lease. of in5. roomAgreementon the , to Assign Lease. day of , 20 , at o'clock in the noon, and at any recessed or adjourned date, to testify and give evidence as a witness in this action on the part of the Your failure to comply with this subpoena is punishable as a contempt of court and will make you liable to the party on whose behalf this subpoena was issued for a maximum penalty of $50 and all damages sustained as a result of your failure to comply. Witness, Honorable Court in County, , one of the Justices of the day of , 20 (Attorney must sign above and type name below) Attorney(s) for Office and P.O. Address 3 Telephone No.: Facsimile No.: E-Mail Address: Mobile Tel. No.: American LegalNet, Inc. www.USCourtForms.com