Builder Fined Rs. 20 lakhs for Delayed Possession



An analysis of the Judgment passed by the Maharashtra State Consumer Disputes Redressal Commission by Adv. R. P. Rathod.



In a Landmark Order the Maharashtra State Consumer Commission recently directed a developer to shell out Rs. 20 lakhs at the rate of Rs. 2,000 a day for a delay in giving possession of a Shop Premises to a purchaser.

. . .Read More

The Maharashtra State Cabinet has approved the Maharashtra Housing (Regulatory and Development) Act 2011


Shri Sachin. Ahir. Minister of Maharashtra State for Housing.


At last Consumers harassed by Builders get’s a breather.

The Maharashtra State Cabinet on Wednesday the 28th day of December 2011 approved the setting-up of a Regulatory Body which you can approach for help, if you have any grievance against a builder. Adv. R. P. Rathod says that this is a New Years Gift & positive news for the Consumers.

. . .Read More

Builder restrained from demolishing Society building contracted for Re-development



In one case of Re-development says Adv. R. P. Rathod, the Mumbai High Court has rightly observed that while redeveloping properties of Co-operative Housing Societies (Chs) when there is dissent by a few members, the stakeholders and persons concerned in such cases should include the society, the developer, minority members, consultants, and the Municipal authorities. After this observation there are sharp reactions from such quarters. It is unfortunate that a well-worded and analyzed decision of the Mumbai High Court has given rise to apprehensions. In my view, these are baseless.

. . .Read More

When to make EXIT from a property - Timing the Markets




Real estate is not a 'get rich quick' investment route. It pays off only when one invests in a property for at least three-four years. Even with a long term investment horizon, one needs to have a clear exit strategy in mind before one buys real estate as an investment. During the peak of India's real estate markets in early 2008, a number of investors would 'flip' their properties (buy a property, hang on for few months for the prices to go up and then sell it for an instant profit) explains Adv. R. P. Rathod.

. . .Read More

Ten important changes in the New Bye-Laws of Co-operative Housing Society – 2009




Ten important changes in the New Bye-Laws of Co-operative Housing Society – 2009 by Adv. R. P. Rathod.

New model Bye Laws 2009 for Co-operative societies have some changes incorporated as compared with the Bye Laws of 2001. These Bye Laws have been printed in English & Marathi by the Mumbai District Co-operative Housing Federation Ltd. After approval of the Commissioner for Co-operation and Registrar Co-operative Societies, Maharashtra State, Pune given vide letter dated 24.12.2010. 

. . .Read More

Some of Standard Amenities which the Builders have to provide



Some of Standard Amenities which the Builders have to provide are explained below by Adv. R. P. Rathod.

List of amenities: Some Builders or Developers offer or promise list of amenities for apartment you are buying such as playground, lift, swimming pool etc. After completion of construction, buyers or investors find that Builder has not provided all amenities as per promised or agreed. Check your agreement to see the list of amenities and make sure each one is provided as per specification.

. . .Read More

Societies read this for members not vacating the flats for Re-development of the society building



IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
NOTICE OF MOTION NO: 707 OF 2010 IN
SUIT (LODGING) NO. 229 OF 2010

M/s. Jasmina Constructions Pvt. Ltd. ...Plaintiffs.
Vs.
Mandapeshwar Kripa Co-operative Housing Society Limited & Ors: Defendants
Mr. Rajiv Narula with Mr. Basant Trilokani i/by M/s. Jhangiani Narula & Associates for the Plaintiffs
Mr. S. U. Kamdar, Sr. Counsel with Mr. Vinay Deshpande with Ms. Meenakshi Mhapeukar i/by M/s. Shamim & Co. for Defendant No.

1. Mr. Ajay M. Talreja for Defendant No. 8
Mr. Deepak S. Jadhav for Defendant Nos. 2, 3, 4 & 6

. . .Read More

Significance & Formation of Co-operative Housing Societies



Housing Societies function as small communities, organising social and economic activities for members and affording them opportunities including higher social values.

HOUSING SOCIETY

DEFINITION: The Definition of "Housing Society" under Section 2(16) of Maharashtra Co-operative Societies Act 1960 is as follows:-
"Housing Societies" means a Society, the object of which is to provide its members with open plots for housing, dwelling houses or flats; or if open plots, the dwelling houses or flats are already acquired, to provide its members common amenities and services."

. . .Read More

Section 101 of MCS Act 1960 – Recovery of Dues of Co-operative Housing Societies




Section 101 of MCS Act 1960 provides easy route for Recovery of Dues of society says Adv. R. P. Rathod.

The recovery of dues from the defaulting members of any Housing Society is a thorny task when such unashamed members do not co-operate with the Managing Committee of their Society. They enjoy all the facilities under the laws governing the Societies simultaneously by breaking the laws of Society in the matter of timely payment of their monthly dues.

Earlier, the Co-operative Housing Societies used to proceed against the defaulting member for recovery of dues under Section 101 of the MCS Act, 1960 with full-fledged trial in the Co-operative Court with all the ingredients e.g. cross-examination of witnesses, exhibiting the documentary evidences and their interpretations etc.    

. . .Read More

Redressal of Complaints & Authorities



Redressal of Complaints & Authorities has been well covered in Bye-laws of Co-operative Housing Societies says Adv. R. P. Rathod.

Bye-Laws are the rules and regulations for running the business and management of the Society. Bye-law has been defined in sub section (5) of Section 2 of the Maharashtra Co-operative Societies Act, 1960 Bye-Law means Bye-Laws registered under this Act and for the time being in force and includes registered amendments of such Bye-Law. Though there are model Bye-Laws every Housing society may have modifications or changes according to their needs, objectives however, these Bye-Laws should not be inconsistent or contrary to the provisions of Maharashtra Co-operative Societies Act, 1960 and rules there under.

. . .Read More

Nominee is not sole heir of the property


Nominee is not sole heir of the property explains Adv. R. P. Rathod.

A nominee of a property in a housing society does not automatically become the absolute owner of the property after the death of the original owner, the Bombay High Court has ruled in an important order.

Delivering the verdict in a legal battle that has dragged on for over 29 years, Justice A P Deshpande said it would be the personal law of an individual that would determine the successor to the property and not the nomination under the Maharashtra Co-operative Societies Act, 1960.

. . .Read More

Minority Members obstructing Redevelopment



Minority Members obstructing Redevelopment, read this says Adv. R. P. Rathod.

Here I have published four judgments passed by High Court of Mumbai in the matter of Minority v/s majority of members agreeing to the proposal of Redevelopment which are contradictory to each other.

However, the High Court Judgments dated 11/12/2009 and 28/06/2010 over rule all the earlier Judgments the High Court has given in September, 2007 and on dated 09/12/2009. All the four cases are summarized here under:

. . .Read More

Judgment passed by the Hon’ble High Court, Mumbai on the issue of Bond M-20



Judgment passed by the Hon’ble High Court, Mumbai on the issue of Bond M-20 is reproduced below

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE SIDE: WRIT PETITION NO.7774 OF 2007

Raj Residency I Co-Op. Housing Society limited: Petitioner
Versus
Divisional Joint Registrar, Co-op. Society and others: Respondent.
Ms. Divya Trivedi for the petitioner
Mr. A. C. Tamhane for Respondent no.2
Mr. Shrihari Aney Sr. advocate I/b Mr. Amit Potnis for respondents 3 and 4

. . .Read More

Indemnity Bond in Form M-20 under the MCS Act 1960 – now should be filed within 45 days


It’s a Positive amendment & Good News for the Managing Committee of Housing societies.

The M-20 Bond which was earlier required to be executed within 15 days by the members of the Managing Committee of the Co-operative Housing Societies has be amended and now it is required to be filed within 45 days from the date of their assuming the office under the Maharashtra Co-operative Societies Act 1960 w.e.f 14th January 2011 says Adv. R. P. Rathod.

. . .Read More

Demolition of Society Property by sidelining minority members


The Mumbai High Court has deeply analyzed the legal issues at stake while redeveloping properties of co-operative housing societies when there is dissent by a few members. The stakeholders and persons concerned in such cases should include the society, the developer, minority members, consultants, and municipal authorities.

There have been sharp reactions from such quarters. It is unfortunate that a well-worded and analyzed decision of the court has given rise to apprehensions. In my view, these are unfounded.

. . .Read More

Builders are still cheating Buyers



Builders are still cheating Buyers explains Adv. R. P. Rathod.

Citing the landmark judgment recently delivered by a State Commission has ensured redress for a harassed Matunga couple. The Maharashtra State Consumer Disputes Redressal Commission directed Khar-based Monish Builders to pay Aarti and Vikas Modi Rs 7.86 lakh as damages and hand over possession of the Chunabhatti flat they had bought in 2006 says Adv. R. P. Rathod.

. . .Read More

Builder to pay Compensation for Delay in handing over possession of Flat



An analysis of the judgment passed by the National Consumer Disputes Redressal Commission, New Delhi by Adv. R. P. Rathod.

The said judgment is issued in the matter of Mrs. Veena Khanna of New Delhi Vs M/s. Ansal Properties and Adharshila Towers, New Delhi: Before National Consumer Disputes Redressal Commission, New Delhi: Order dated 9th July 2007.

. . .Read More

Additional FSI and TDR for Housing Societies



Additional FSI and TDR for Housing Societies, what does it means explain Adv. R. P. Rathod.

The Brihanmumbai Municipal Corporation (BMC) entrusted with the task of making user of the available land as per the requirements and need felt by the citizens if required to make optimum utilization of the scarce available land. For implementation of this task under overall development plan the plots are demarcated according to varying land use and for various public utilities under the various plan of the BMC says Adv. R. P. Rathod. He adds that the Government publishes the priority list every year on the basis of which they demarcate lands/ plots in different categories.

. . .Read More

A recent Judgment passed in 2009 by Hon’ble High Court, Mumbai on the issue of Bond M-20



IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO.1671 OF 2009

Mr. Shashikant Jesrani & Ors...Petitioners
vs.
Assistant Registrar & Ors...Respondents
Mr.Satyajeet Mirajkar i/b.Gabriel Pillai for the Petitioners
Mr.S.N.Patil, A.G.P. for the Respondents

CORAM: - V.C.DAGA, J.
DATE: 27TH JANUARY, 2009

P.C
1.                 Heard learned Counsel for Petitioner. This Petition is directed against the order dated 13th January, 2009 passed by the Divisional Joint Registrar, Co-operative Societies, Mumbai Division, Mumbai.

. . .Read More

Taxability of corpus received from the Builder



What is the tax liability on Corpus received from the builder in case of re-development examines Adv. R. P. Rathod.

In the Last month the Chairman of a Housing Society in the suburbs approached me on the issue of redevelopment of their society building. The proposal was received from a reputed builder and the package offered by them was very attractive says Adv. R. P. Rathod.

. . .Read More

Woman can't use husband's name after divorce: Supreme Court



Must a name mean something? Asks Alice as she travels through Wonderland while William Shakespeare famously asked "What's in a name?" To a Mumbai resident it definitely meant something as he fought a legal battle all the way to the Supreme Court to stop his ex-wife from using his surname. Fifty-three-year-old Mr. Dinesh Patil, an Assistant Police Inspector with the Mumbai police, finally won the battle with the apex court recently dismissing an application by his former wife Nisha (34) to continue using her ex-husband's name after their divorce. "We are not inclined to interfere with the impugned order (passed by the Bombay High Court and family court)," said the apex court.

. . .Read More

Why do we need the Co-operative Law or even for that matter any other law?

Before we begin with, it may be pertinent to trace the roots of Law, its emergence, various stages of its evolvements & its use.

At the advent of Human Civilization, “Men” were Sovereign in their own, in the sense that, they were free and were not subject to or bound by any law. Then, men were Ruled by their own conscience and not by codified laws and were even free to the extent of inflicting violence at their will & strength, i.e. Might is right was the scene. Men were guided by own conscience and greed. An action not emanating from reason and the freedom to do as one pleases.

. . .Read More

Think twice before purchasing property in joint names



Implications of purchasing property in Joint Names by Adv. R. P. Rathod.

More often than not a flat is acquired in joint names of two or more persons and the agreement for purchase is silent in respect of proportions of their Co-ownership rights. In such circumstances, as per law the proportions of co-ownership rights would be measured with reference to funds contributed to acquire the flat by each of them. It is also possible that the earlier asset was entirely owned by the person and by consequently long-term capital gains have been earned by him and to avail exemption in respect of such long-term capital gains he invests his own funds but in the purchase agreement adds names of his family members.

. . .Read More

Tenants can claim protection against increase in rent by Public Sector Undertakings – An analysis

In a recent landmark judgment delivered by the Supreme Court of India, it was held that certain provisions of the Maharashtra Rent Control Act, 1999 (MRC Act) with respect to fixation of standard rent for premises and requiring the landlord not to cut off or withhold essential supply or service and to restore the same when necessary, are not in conflict with or repugnant to any of the provisions of the Public Premises (Eviction of Unauthorised Occupants) Act, 1971 (Public Premises Act). Some of the relevant facts of the case are briefly as under: 
. . .Read More

Tenant landlord relationship & the Model Rent Agreement


The Model Rent Agreement aims at reducing landlord-tenant disputes. The majority of tenants - landlord disputes pertain to landlords not able to get market rent. On one ground or the other, litigation is initiated pertaining to eviction by the landlord, increase in rent by the landlord and so on. This is no-win situation for landlord, tenants and, of course, judiciary.

. . .Read More

Supreme Court of India rests out the much awaited & debated issue of Power of attorney



Will there be any impact of the same in the real estate transactions involved in Maharashtra?
Do the home seekers here in Maharashtra have any reason to worry?

Consider a situation where a developer enters into an arrangement with a landowner which is 'intent to do a deal' and gets a general Power of attorney signed by the land owner but doesn't register it. Based on this POA, he does a 'soft launch' or ‘pre launch’ booking of flats in the project which is yet to be sanctioned. What do you think of the situation the Home Seekers might have to face on booking in such projects?

. . .Read More

Significance & Formation of a Co-operative Housing Society in the State of Maharashtra



Housing Societies function as small communities, organising social and economic activities for members and affording them opportunities including higher social values

Before we discuss this subject in length, lets first have a look at the definition of a Housing Society

DEFINITION: The Definition of "Housing Society" under Section 2(16) of Maharashtra Co-operative Societies Act 1960 is as follows:-

. . .Read More

Responsibilities, liabilities & Rights of Members



With Powers comes responsibilities & with Rights comes duties says Adv. R. P. Rathod

RESPONSIBILITIES AND LIABILITIES OF MEMBERS
1.           Society may by resolution passed in general meeting held for the purpose, expel a member for acts which are detrimental to the interest or proper working of the society under Sec 35 of the M.C.S. Act

. . .Read More