Non-Occupancy charge of flat in cooperative housing society

As of today, the Mumbai HC Judgment dated the 2nd March 2007, stands good and un-vacated.

Therefore, in Maharashtra, within  the provisions of MCS Act,  the non-occupancy charges stands at 10% of the regular society service charges.  Beyond that everything is illegal & unauthorised and would be a contempt of court orders.

Keep Smiling .... Hemant Agarwal

I have an queries... hope you might solve...

Non-occupancy means when the member of the CHS doesn't stay/live in his/her respective flat in CHS,

or is it that people in legal contract with the member of CHS stay/live in the respective flat.

or it means the flat is vacant (for sale purpose/not for sale... etc)

Understanding it very SIMPLY :

1.  Members flat Closed / Locked / Vacant / not occupied for any period = is equal to Self Occupied,  which is further equal to = Regular maintainence charges and non-occupancy charges cannot be levied.
Criteria = Possession should remain with the Member itself. Period.

2.  Members flat occupied by non-family members,  that is Rentees / Leasees / Licensees = is equal to  "non self-occupancy"  which is further equal to =  compulsory levy of non-occupancy charges subject to maximum of 10% of the maint.bill (excluding statutory taxes)
Criteria = Possession should remain with the "Rentees / Leasees / Licensees"

Keep Smiling .... Hemant Agarwal
 

Mr. Hemant Agarwal is  right

Dear Mr. Agarwal,

I request a clarification.  In case of non-occupancy charges at the rate of 10% of "regular maintenance bill", is contribution to Repairs and Maintenance Fund, and contribution to Sinking Fund also to be considered as part of "regular maintenance bill?

As per the CHS approved bye-laws,  "Repairs & Maintenance Fund, and contribution to "Sinking Fund"  form part of the regular monthly maint. charges.  Hence  "non-occupancy charges" component,  is liable to be levied, as a routine.  Non-Compoundable Simple Interest too @ 21%, is liable to be levied, on default of regular monthly maint. charges (as above)

Keep Smiling .... Hemant Agarwal

Hemant Agrawal gives always 100% complete answer. Thanks for it Mr. Hemant. It solves so many of mine queries also. !!

Dear Mr.Agrawal 

i need one expert advice from you ,  i am staying in borivali west , this is flat is of my elder sister , she is abroad , and given the flat to me to use and keep maintained , i am living in this flat since more than 6 years but not on rental basis , it is cleraly brother -sister relation , society is chaging 10 % extra towards non occupancy charges since more than 4 year , and i was giving blindly on trust that they are right , since 3 days i got an circular they have increased to 25 % , according to the articles i read is totally illegal , while as i am iiving here in sister flat but not on rental basis - i doubt whether non occpancy charges is applicable to me or not 

dipak jain

2.  Members flat occupied by non-family members,  that is Rentees / Leasees / Licensees = is equal to  "non self-occupancy"  which is further equal to =  compulsory levy of non-occupancy charges subject to maximum of 10% of the maint.bill (excluding statutory taxes)
Criteria = Possession should remain with the "Rentees / Leasees / Licensees"

Keep Smiling .... Hemant Agarwal
 

Dear Mr.Agrawal 

thanks for your quick reply , i am sorry to ask you again , you mean to say that non occuancy charges is levied except self ocupancy while when i was browsing such details on internet i found following article order , as i m new in this hence cannot undestand exactly , please help 

Under section 79 A of the Cooperative Act,

If a memebr has given his tenement to persons mentioned below, which cover near relations, then the society cannot charge non-occupancy charges from such memebrs. Near relatives would include mother, father, brother, sister, son daughter, son-in-law, brother-in-law, sister-in-law, grandson, grand-daughter and besides this any other relatives decided by the society.

Further, the Department of Cooperation issued an order dated August 1, 2001, undes section 79 of Maharashtra Cooperative Societies Act, encouraging flat-owners and members of cooperative housing societies to avoid keeping flats vacant and to give it on leave and license on reasonable terms and conditions.

By law, the non-occupancy charges cannot exceep 10 per cent of the service charges, excluding municipal charges.

can you please help me in this regard  once again

Since you are your sisters brother (family relation), you are entitled to stay in your sisters flat  WITHOUT PAYING NON-OCCUPANCY CHARGES.  In case of others the CHS is lawfully entitled to charge 10% only and nothing above this, which would be illegal and contempt of High Court orders.

IF you have been paying Non-Occupancy-Charges to the society, THEN your sister (and not you) may make an complaint application to the "R" ward dy.registrar, stating the facts and seek directions to the CHS, asking back all the non-occupancy charges collected towards the flat's account.

Keep Smiling .... Hemant Agarwal

Dear Mr.Agrawal 

thank you very much for your expert advice 

regards

Dipak jain

I have gone through this post and could read the clear message - Non Occupany changes should not be more than 10%. My Society has increased the NOC from 10 to 50%. I would like to know How to defend this decision and legal steps to take it forward :

a) Should be Just give 10% occupancy , Ignoring Society Notice.

b) Is there a procedure that we should follow to appeal against this. Also please advise If we can do this online as I am out of town. Any Reference links /advice would help.

Hello,

1. I have bought flat in May 2010, and have got possession from seller after 14 months that is July 2011. (coz sellers new flat was under development).  Can Society charge NON OCCUPANCY CHARGEs for 14 months to me ?
    
2. Is it necessary for society to have a copy of Registered Rent Agreement for charging NON OCCUPANCY CHARGES ?
   in other words  .. If somebody  is staying illegally (without rent agreement) on rent, Can society Charge NON OCCUPANCY CHARGES ?