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Fenil Shah   17 August 2024

Excess charges levied by housing society

I have recently purchased property and given on rent. I want to understand whether society by passing resolution in meeting can recover other charges in addition to 10% non occupancy charges. 



Learning

 9 Replies

T. Kalaiselvan, Advocate (Advocate)     17 August 2024

The society cannot levy any charges including excess charges against it's members on its own fancies and whims. 

They have to follow the guidelines as stipulated in the bylaws of the society. 

If they enter into any illegal demands violating the provisions of bylaws. then you can drag the society to consumer commission against its unlawful demand besides for unfair trade practice and can seek compensation besides restrain orders. 

1 Like

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     17 August 2024

The laws are different from State to State. If yours is a co-operative housing society in Maharashtra, the society can levy non-occupancy charges if the flat is given on rent at the rate prescribed by the Government. If the society charges you any other amount, you write to the society refusing to pay and you just do not pay. The society will not be able to recover the amount from you.

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Fenil Shah   18 August 2024

Sir thanks, Society is demanding Rs.1000 per month as other charges ( charged selecively to the members who have given flat on rent ) .

Society thinks general body has power to levy this charge. They are in majority hence, not want to understand my position. 

I am already paying 10% Non occupancy charge, which is as per law and i dont have any objection for the same. 

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     18 August 2024

I still presume that yours is co-operative housing society in Maharashtra. I repeat that the Society cannot  levy anything more than the maintenance charges as from other members + non-occupancy charges at the Government prescribed rate. You can write to the Society that you will not pay and do not pay. If you want, complain to the Assistant Registrar of your ward.

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Amit (legal Manager)     22 August 2024

YES.

In general, a society can only charge what is specified in the bye-laws or the agreement between the society and the property owner. If the bye-laws or agreement only mention a 10% non-occupancy charge, the society may not be able to recover additional charges without amending the bye-laws or getting the owner's consent.

Some possible scenarios:

1. Bye-laws might allow for additional charges with a resolution.
2. The agreement might specify other charges.
3. Local laws or regulations might permit additional charges.

Fenil Shah   22 August 2024

General body has imposed other charges only on members who have given flats on rent in addition to non occupancy charges.

 

T. Kalaiselvan, Advocate (Advocate)     22 August 2024

The general body is not an authority to change the bylaws at his whims and fancies.

Any bylaw proposed to be changed has to be concurred by the deputy registrar of cooperative societies if the association is a registered body.

you can always raise your objections in the general body meeting, if your objections are over ruled and you don't get justice  then you can approach registrar concerned with a complaint to intervene and pass on orders as per prevailing law of land in this connection.

If you still feel aggrieved then you can challenge the same in the court of law

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     22 August 2024

Levy of the so called non-occupancy charges are limited by an order of the Registrar of Co-operation in Maharashtra. It cannot be increased even by an amendment of the byelaws


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