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By S R Agarwal Advocate

After the consideration of the Committee’s Report, the state Government issued an Order dated 1.8.2001 in Public Interest under Section 79 A of the said Act, there by directing the Societies not to charge non-occupancy charges beyond 10% of the service charges (excluding Municipal Taxes)

The levy of non-occupation
charges has been a controversial issue for a long time, which resulted into disputes between members and the Societies flooding the offices of the Deputy Registrar and the Courts. Therefore, attempts have been made by the State Govt from time to time to regulate it. The commissioner for Co-operative Societies, Maharashtra State, issued a Circular on 13.3.1992 laying down that the Societies could levy non-occupation charges upto a maximum of 25% of service charges and, accordingly, clause No: (C) of Bye-law No: 45 (2) (iii) of the old bye-laws was replaced by the following words.

“He shall pay non-occupancy charges to the Society at a rate of not exceeding 25% of the service charges as will be determined by the meeting of General body of the Society.”

This Circular was challenged in Writ Petition No: 1618 of 1993, but it was disposed off as the said Circular was withdrawn. In exercise of the powers vest in the State Government under Section 79 A of the Maharashtra Co-Operative Societies Act, the State Government issued an Order on 9.3.1995 laying down that the non occupation charges shall not be fixed beyond 100% of the maintenance charges. But this Order was also challenged in Writ Petition No: 1398 of 1996. Therefore, the State Government appointed a Committee on 19.6.1997 to look into the whole gamut of non-occupancy charges. The Committee submitted its report to the State Govt. on 31.7.1998 and when the said Writ Petition came up for hearing in January 2000, it was dismissed as withdrawn, as the State Govt submitted that the report of the said Committee was under consideration of the State Government and, in the meanwhile, the earlier Order dated 9.3.1995 was not being applied.

After the consideration of the Committee’s Report, the state Government issued an Order dated 1.8.2001 in Public Interest under Section 79 A of the said Act, there by directing the Societies not to charge non-occupancy charges beyond 10% of the service charges (excluding Municipal Taxes). Again a number of the Societies led by Palm Beach Riviera CHS Ltd. challenged this Government Order dated 1.8.2001, fixing the non-occupacncy charges not more than the 10% of the service charges, before the Hon’ble High Court during the years 2002 and 2006 on various grounds such as, that this Order was against the interest of the Societies, arbitrary, not in public interest and unwarranted interference in the affairs of the Societies and there is no legislative policy enabling the Govt or Registrar to override the bye-laws of the Societies duly approved by the Registrar enabling the General Body to fix the non-occupancy charges payable by the members and that the said Order may enable a member to use the flat as a vehicle for carrying out the object of earning money, thereby defeating the spirit of the co-operative housing.

The State Government, justifying the Order dated 1st August 2001, submitted before the Hon’ble High Court that it has been issued in exercise of statutory powers under Section 79 A of the said Act in public interest as it serves the interest of the Societies, as well as the members, because by virtue of a brute majority and with a view to extract more money from the members not occupying the flats, non-occupancy charges were being imposed whimsically and at exorbitant rates and on the basis of the income earned by such members, which amounted to levying the tax on income of the members and in some cases at the rate of per sq. ft. of the area of the Flat and the complaints were received by the Govt. that in case of a few Societies, the non-occupancy charges recovered in respect of two flats were being utilized towards the property taxes for the remaining 47 members, who were not required to pay anything towards the Property Tax and the non-occupancy charges recovered from three to sex flats were more than the property tax bill of the entire Society, which levied these charges @ of Rs. 9/- per sq.ft. per month. Therefore, the Government constituted a Committee and after due consideration of its recommendations decided a uniform rate of non-occupancy charges throughout the state, without linking the same with the rateable value of the flat or the rental income derived by such members and to achieve the objective of stopping the Societies from profiteering and to prevent unjust enrichment and acting to be detriment of the members, who gave their flats on rent or on leave and license basis and to protect such minority members from the oppression by majority in as much as a flat is a property of the member and he is entitled to return from the same sa he has invested the money for acquiring the same. It was also pointed out that in such cases, Societies do not spend any extra money on account of the member giving the flat on leave and license or rental basis and Govt is concerned for solving the housing problem in the State. Therefore, the State Govt issued the Order dated 1-8-2001 and at the same time, replaced by Bye-law No: 45 in the amended Bye-law numbered as 43 which, interalia, provided as under :-

“C) He shall pay non-occupancy charges to the Society. Non Occupancy charges shall be charged in accordance with the circular issued by the Government of Maharashtra/Commissioner for Co-operation from time to time and shall not be levied if the flat is occupied by the family of the member as defined under these Bye-laws.”

After the careful consideration of the submissions made on behalf of the Societies and the State Government, the Hon’ble High Court observed that the validity of Section 79 A of the said Act has already been upheld by this Court in the cases 1989 Mh-L-J. 173 and 1993 (2), Mh L.J. 1716 and that it has been found that in some area, levy of non-occupancy charges has become a profit making business and the State Government is empowered to issue Order in public interest preventing the affairs of the Society being conducted in a manner detrimental to toe interest of the members and looking at the housing cost as at present, the member concerned must be allowed to earn some income on the investment he has made and a good member of flats remain unoccupied for various reasons and if non-occupancy charges are allowed at the rate, the majority decide, it would be an additional impediment in the flats being available on leave and licence or tenancy basis, which does not in any way violate the provisions of the Maharashtra Ownership Flats Act and the provision of the earlier Bye-law No: 45, empowering the General Body of the Society to fix the non-occupancy charges, was being abused by some of the Societies, which cannot be allowed to use the authority under the Byelaws, a vehicle for making money and exploit the minority members, as it is not the business of the societies to impose taxes and derive income by different modes, like non-occupancy charges etc. The Hon’ble High court came to the conclusion that the exercise of the power by the State Government is bonafide one with the objective to avoid unnecessary litigation and disputes and bringing uniformity in the rate of non-occupancy charges without linking the same to the income derived by the concerned member or the rateable value of the Flat and to prevent the exploitation of minority members. The argument on behalf of the Societies that the entire property of the Society was assessed as one Unit for Municipal Taxes and the flats given on rent or leave and licence basis would add to the rateable value component thereby, giving rise to increase in such taxes did not find favour with the High Court as of no significance and need not be considered, as each flat is assessed separately for Municipal taxes with effect from 1st April 2006.

Thus, the issue of the quantum of the non-occupancy charges has been finally settled by the Hon’ble Bombay High Court by its Judgment dated the 2nd March 2007 by unholding the Government Order dated 1st August 2001, prescribing the non-occupancy charges not more than 10% of the service charges, excluding property taxes, both in respect of residential as well as commercial premises, irrespective of the fact whether the new Bye-laws are adopted by the Societies or not. This Judgment has brought in a great relief to the members of the Societies, who give the flats on rent or leave and licence basis.

81 thoughts on “Non Occupancy Charges can not be more than 10% of Service Charges”
  1. Since the High Court order the matter had been appealed at the Apex Court. It is understood that the interim order of the High Court permitting societies charge upto 10% of rent as NOC chagres was stayed by the Supreme Court, pending final disposal of the appeal. I would like to know whether the matter has been disposed of finally and what was the order.

  2. We salute the judgement of Hon’able Mumbai High Court & Supreme Court, We Pray for following. It is also to be instructed to the concerned that, NOC for providing flats on leave & licence is not required. For saling flat NOC not required. The committee has no right to intervene or harrass the member. Once the share certificate is vested in the name of member, he should be given every right. The committee should not be permitted to appoint advocate for issuing notices to member for the reason what so ever.

    Please look in to.

    Submitted. kiran joshi

  3. I had a query
    I have rented out my flat and the society is charging me Non Occupancy charges double the maintenance. Say maintenace is 1000 then I have to pay 2000 per month as NOC (inclusive of maintenace) So I have to shell out extra 1000 as NOC charges exactly 100% of maintenace charges.
    It was being passed very long time ago may be more than 12years in a board resolution that NOC will be double the maintenance and supported by majority of vote.
    Can I challenege them ?

    Regards,
    Shripal

    1. Majority can not go ultra virus of the Act. Non Occupancy charges have to be just 10% of the service charges. NOC cannot be charged. It is not provided for in the Act.

  4. Thanks for the article of non occupancy. Our society will be replaced by tower, as it happens now-a-days in Mumbai being crowded. When socy’s building is vacated for tower building it is my duty to provide accommodation to my tenant who is on leave and license or my broker. Or in agreement if it is mentioned that tenant will be responsible to vacate when decision of society is taken to demolish and vacate building for tower. This sentence will be objected by Registrar of the leave license agreement or what. Your reply is appreciated to my e-mail address hasmukhmali@yahoo.com

  5. Ref. Query by PSostalA. On 19.06.07, the Supreme Court of India gave a judgementt on Special Leave Petition Nos 7964,7965 and 7966 filed by Mont Blanc CHS, Peddar Road, Mumbai, challenging the Govt of Maharashtra Notification dated 01.08.01 issued by the Govt. by virtue of powers u/s 79 of MCS Act 1960 . The Supreme Court in its Order upheld the Constitutional Validity of the Govt. of Maharashtra Notification dated 01.08.01 restraining Housing Societies from charging Non Occupation Charges (NOCh) exceeding 10% of Service Charges, excluding BMC taxes. The Supreme Court Order put an end to Managing Committees taking law in their hands and charging NOCh according to their whims and wishes. Since collection of NOCh in excess of thelegai limit is illegal, the aggrieved memebr of the CHS is entitled to obtain a refund of the overcharged amount, with interest.

    1. Please provide the soft copy of judgment dated19.06.2007 of SLP Nos. 7964,7965 and 7966 filed by Mont Blanc CHS. On verification of https://main.sci.gov.in/judgments( website of hon’ble Supreme court), it is fund that no any judgment is available on the date 19.06.2007.If the judgment is not available with you please provide the year of filing of SLP Nos.7964,7965 and 7966.

  6. The committee of society should not given any right for issuing NOC for sale & L/L of flat, Once the member submit application it should be deemed sanctioned. If member interfare or refuse the same a public interest suit should be file against him. The expenses should be born by him personally. Because of his obstruction any loss incurred to any member society should be recover from him along with compensation with compounding interst. Penalty and Punishment clause should be introduce.

  7. I am staying in western suburb in a 11 floor building in a posh locality, the ground floor is of about 4000 sq feet is commercially used by a nationalised bank at a nominal maintanenance charges, totalling to Rs.58000 a month, the rent rate in this area is very high and owner of ground floor is enjoying fruit and society is not getting much benifit out of it. My question is , what are the ways where society can charge more and extract more money from the occupant or the owner. Is there any way we as a society members has more benefit by way of maintanance or levi more charges ? How a society could be more benefited legally.

  8. A Co-operative Housing Society is not a private business and the question of profiteering from a member or a minority group of members does not arise and therefore no question of ‘extracting’ money from a member. In a CHS all members pay Service Charges (commonly known as maintenance charges) equally, irrespective of the size of the flat. If a CHS charges more to a member because the bigger size of his flat it amounts to ‘extortion’ which is illegal. The CHS has nothing to do with the tenant) as the Lease Agreement is between the member of the CHS and the tenant.

  9. I have a query about method of calculating service charges. According to the Bye-laws the service charges are expected to be levied uniformly to all kinds of flats be they a 100 SQFT or 22 SQFT flat. I find this to be having an anamoly, since the benefits accrued by the flat owners are not same like the rent received. This in effect reflects that the service charges are loaded on to the flat owners who are not able to buy larger flats. I need guidance on this issue as to how to tackle this issue through judicial mechanism. I had suggested a few options to the commitee members however they have flatly refuted the same and unfortunately the society members are not as interested.

  10. I have a query. Is it true that non occupancy charges can be 10% of service charges or rent received, whichever is higher?
    What is the position in case the flat is given on leave and license basis.

  11. I have given my flat on rest and society is charging sinking fund+repaire fund+ Non occupancy charges. I want to know by law, what are the charges applicable for a rented flat?
    please help.
    REgards Pankaj

  12. I have a query, It is understood that, Non Occupancy chgs. can not be charged more than 10% of service charges, but we want to know what figure should be consider for service chgs. We are billing to members p.m. 320/-, biferficated in 150 – Water Chgs. ; 50 – Electricity chgs. ; 40 – Sinking Fund ; 30 – Service Chgs.; 50 – Repairs & Maint. As per my knowledge we shall charged the member Rs.32/- p.m. as Non Occupancy Chgs., but one member in our society is submitting Rs.3/- only as Non Occupancy Chgs. He is considerig Rs. 30/- for the calculation (Service Chgs. which we are mentioning in bill). I hereby requested you to give your valuable suggestion to resolve this matter,

  13. I have query to make. My Society is demanding Rs.5,000/- per year as charges for issuing NOC for leasing out my flat at Shivaji Park, Dadar, Mumbai. Can this be justified ? Is it legal ? Pl enlighten me.

  14. To Milind (10.05.10): After a long history of different methods of levying of Non Occupation Charges (NOCh) and various disputes between societies and members and appeals to High Courts and the Supreme Court, the issue is now settled. As regards equal Service Charges to all types of flats, there are Bye Law no. 68 and 69 which are very explicit and nothing can be done about them. The law does not make any difference between members who stay in their flats and those who rent out their flats, except that the second category of members have to pay NOCh for not living in the flats.

    To R K Tolani 02.06.10:Non-occupation charges, which are applicable only to members giving their flat on rent, cannot exceed 10% of Service Charges (excluding municipal taxes). It has nothing to do with the rent obtained by letting out of the flat.

    Mr. Pankaj 14.07.10: Society will charge you contribution to Sinking Fund, Repairs and Maintenance Fund and all other charges applicable following bye law no 68 and 69 like all other members. It will also charhe you NOCh if you give your flat on rent.

    Mr. Padmakar Bhosle 02.08.10: If your Service Charges are Rs.30/-, he can only pay you upto Rs.3.20

    ‘Common electricity’ should be a part of “Service Charges” (bye law 68(xii)). Are you not contributing to Repairs & Main. Fund ?

    Plese check if your charging of water is correct. In Thane, municipal corp. charges Rs.150/- per flat per month, irrespective of he area of flats.

  15. Printers devil!!! Error correction: Mr. Padmakar Bhosale (posted on 02.08.10) pl. note.

    NOCs . Pl read Rs.3/-(instead of Rs.3.20) Pl. read water charges as Rs.160 (instead of Rs.150) Regret the errors.

  16. i am happy with the judgement but stil i am paying NOC , nither they R refund me nor duduct in my maintananice charges so please advice and guide me

  17. New rachna park co op soci, Dhokali, manorama nagar, thane west.. how can i refund from society, they are not ready to refund me what ever they charged me more.

  18. I have a query, my mother give flat on LL from 1997, society charged NOC charges 100%, we have pay 100% NOC to the society feb 2007, can I claim my excess pay 90% NOC charges from society, they told me they can not pay my excess NOC charges and they told me that you have not registred your LL and we are charging as a plenty 100% of antance, it is justify, pl help me, urgently

  19. anil jain
    Posted on August 30, 2010 at 11:11 am
    I have a query, my mother give flat on LL from 1997, society charged NOC charges 100%, we have pay 100% NOC to the society feb 2007, can I claim my excess pay 90% NOC charges from society, they told me they can not pay my excess NOC charges and they told me that you have not registred your LL and we are charging as a plenty 100% of antance, it is justify, pl help me, urgently

  20. DEAR SIR

    I HAVE A FLT AT KADIWALI WEST WHICH I HAVE GIVEN ON LEAVE AND LICENCE MY SOCIETY IS CHARGING ME THE NON OCCUPANCY CHAGES TO BE VERY HIGH CAN I ASK YOU THE DETAILS REGARDING THE SAME ?
    MRS MODY

  21. DEAR SIR WITH REFERENCR TO MY INQUIRY AS ON 01ST OCTOBER 2010 I HAVE TO STATE THAT IT IS VERY CLEAR IN MY MIND THAT HE NON-OCCUPANCY CHARGES SHOULD NOT EXCEED 10% OF THE SERVICE CHARGES (MAINTANANCE LESS THE TAXES) MAY I KNOW WHICH OF THE FOLLOWING COMPONENTS MAY BE DEDUCTED FROM MAINTANACE TO GET THE EXACT AMOUNT OF SEVICE CHARGE CHARGES . 1.SINKING FUND,2.REPAIRS AND MAINTANANCE,3.MUNICIPAL TAX,4.INSURANCE PREMIUM,5.SERVICE CHARGES,6.FUNCTION CHARGES,7.WATER CHARGES. 8.NON AGRICULTURAL TAX,9.COURIER CHARGES,10.INTERCOM MAINTANANCE CHARGES

    MRS GEETA MODY

  22. pl replay urgentaly at my email add

    I have a query, my mother give flat on LL from 1997, society charged NOC charges 100%, we have pay 100% NOC to the society feb 2007, can I claim my excess pay 90% NOC charges from society, they told me they can not pay my excess NOC charges and they told me that you have not registred your LL and we are charging as a plenty 100% of antance, it is justify, pl help me, urgently

  23. Can General body decide the percentage of non occupancy charges ? or it is not more than 10% of the service charges. If yes, can I claim the amount paid to society as a non occupancy charges more than 10% of service charges since 2001 onwards from the society.

  24. I had a query: In my monthly society the bill is received as follows: Prperty tax= Rs 1386, sinking fund = Rs 75, Building Repair Fund=Rs100, Maintenance and Service charges = Rs 900, Non Occupancy Charges = Rs 100. In this structure, should the NOC be Rs 100 or Rs 90 or less that Rs 90?

  25. To Smita Bhatt (27.08.20). If the Managing Committee is not refunding the excess charged on Non Occupancy Charges, you take the case to Consumer Forum under deficiency in service-excess charge is treated as deficiency in service- and also claim interest.

  26. Anil Jain (11.10.10} Managing Committee cannot charge you more than 10% of Service Charges (less municipal taxes) as Non Occupation Charges. Please obtain a copy of your Society’s approved Bye Laws to know more about “Service Charges’ (Bye Law no. 68 /69/70.. Ask your Society to show the Non Occupation Charges and the extra (penalty) amount for not producing the LL agreement. Managing Committee can charge you a penalty for not fulfilling the conditions before letting out the flat, if the penalty is reasonable and approved by the General Body

  27. As per law Society has to take 10% of Service Charges and this is confirmed by court . But I am asking you as a common man did the person taking charges as per rules from person who stay for LL. Then why those float owner not given a some good amount to Society

  28. Dear Sir, I hold a 490 sq.ft. flat in a Cooperative Housing Society in Pune and have given my flat on rent since May 1, 2010. My Society is insisting that I pay an additional amount of 100% of my maintenance charges towards Non Occupancy charges. I have told them that I will pay only 10% additionally but they do not agree. What should I do?

  29. regarding your comment of (14.12.2010) I asked secretary about 100% NOC, they can’t give me any refund or adjust my excese payment, they gave me letter that u have not registred your LL or we have no recourd your previous letters becasue in time their was so many commitee and secretary, so v can’t adust and refund your exces payment. pl help what can I do?

  30. Our society is of independent houses and we have constructed upper floor on earlier alooted ground floor structure and are maintaining the house incl repairs , water & electricity. Our Soceity M/s Ramya – jeevan chs , Andheri east has been demanding Non-occupation charges because I have sub-let the upper floor premises for residential purpose and though I have been paying NOC @ 10 % , they are insisting that NOC be paid @ 8-10 % of rent received as they are not agreeing to High-court order . In fact they have gone to Supreme court for demanding the same and are threatening me to pay the dues based on their calculation of NOC @ exhorbitanat rates and entrely as per their whims and fancies . They are issuing me bills for same and levying 15 % inetrest on same inspite of my paying them regularly 10 % of Mainetnance charges every month.NOW THER ARE THREATENING THAT THEY WOULD GET LAND REVENUE APPROPRIATED TOWRDS THIS , WHICH is indicating their high-handedness. In fact I also made them a proposal to pay 100 % of maintenance charges of 400 PM as NOC , which they are flatly refusing.
    Kindly guide me and whether I should take -up this with Registrar of Co-op Soceites., Maharashtra ,

  31. Dear, I have given my house on rent in Ahmadabad ,Gujarat . I pay 1.5 times maintenance charges for that. The law of maximum 10% non occupancy charges enforceable or not .

  32. I have given a flat on leave and license basis to a group of bachelors in Pune. As Non Occupancy Charges, the society charges 30% because bachelors are staying in my flat. If the flat is let to a family, then the occupancy charge would be 10%. Is “charging 30% as Non Occupancy Charges if bachelors stay” as per govt regulation?

  33. Another query. Anytime a tenant changes or 11 months of leave and licence expires, does society have any right to collect money from flat owner on account of “incidental charges”. If yes, how is this amount calculated?

  34. My flat is locked and no one is staying there .Do I have to pay the same maintenance as the others who stay there.Is there any supreme court ruling on this matter as my apartment is new and it is not registered.

  35. i have a query  sir i have a shop of 310 sq ft society charge me 350 per for one inlet in hotel and excluding total chage  of society 

  36. My flat is locked and no one is staying there .Do I have to pay the same maintenance as the others who stay there

  37. I have a question Sir,I have given my flat in Naigaum on leave and licence for 11month,the question is why the society is charging so high for water consumption,since there is no municipal water connection the society is bringing water tanker ,each tanker is 10,000-14000 litres the occupied flats are 24 nos rest of the flat are not occupied , the society secretary says he brings 31 nos tankers per month.I would like to know what will the water charges per unit ,there is a water meter for each flat.The reading is taken each month and the cumsumption of water is mentioned on the maintenance bill.recently the bill is showing total unit water cumsumption 3685 unit and the charges are Rs.1366.What will be the chrges for per unit .I need a geneuin answer for the question if anyone can provide me.

  38. I own a flat in a society which is a MHADA property having already completed 5 years. The Society is charging me non- occupancy charges @ 100% of the maintennace charges for having rented the flat . I have objected for teh same and asked them to fix non- occupancy @ 10% of the service charges. They are continuously threatening me that the renting of Premises is illegal without a MHADA NOC. Is the Societ rihgt? To savetheir own skin, teh Society is showing the extra charges as – 10% as non- occupancy and rest 90 % as repair charges in my maintenance bill in addition to the actual maintennace charges. Please help me from teh cluthes of the Society and advise.

  39. Undertaking was given to court that we shall not create third party rights in the premises held by us in our name.Does giving flat for personal use to relatives without agreement lead to creating third party rights in the said property>

  40. We have a flat at MHB Borivali (W), We have given it on leave & license basis for 11 months.Socity was charging Non Occupancy Charges(NOCh).10% of entier bill amount . Now they have started charging NOCh. 100% of the bill . On the ground that we have not register our agreement &/or not taken Non Objection Certificate(NOC) of society &/or not taken NOC from police station.The charges are the same if any one is not their.This was pass in Genral Boad Meating in May 2007. Is any law permits for the same? ,Is NOCh. 100% of the bill is allowed if society had pass in boad meating? Which law restrict them from doing so? Please Reply

  41. if nephew (brother’s son) resides in a society then can society charge non occupancy charges (NOC)? if so, then do managing commitee have any right to fix the amount (NOC)

  42. Does bye-laws give the permission to society to penalize in case the Owner fails to submit the renewed LL registered copy on it’s expiry!! If so, what is the penalty tariff set for a Family and Bachelor’s?? Pls assist.

  43. Most of members in CHS who have rented their premises are happy because of HC &SC Judgements.
    But before that we should think some factors in reality.
    1)In a CHS all members have equal ownership rights.A member who rents out his flat is not full owner.of
    his flat..Part of profit made by him he should share with the Society or other members.
    2) Rent collected by a member has no bearing on CHS Service charges which are expences towards
    maintainances 3)CHS is not an Indiviual but group of members to say that it makes profits which are shared equally by all members4)Due to majority members now renting out ,Society is becoming sick
    as members have no interest in running Society There are other reasons also why we should consider charging N.O.C. 10/- of Rent charged by its member.

  44. All are happy now because of Sc judgement on N.O.C.But real facts about C.H.S.are not known by many
    people.A C.H.S. is formed by a group of people who are in need of accommodation but can not afford to
    build a house.They join to-gether and finance jointly to build a hose to stay them selves.That means in a
    C.H.S.all members have equal qwnership rightsNow people become members for investment purposes and rent flats at higher rates than standard rents allowed by C.H.S. laws.So C.H.S. being co-
    qwner it sjould have rights to demand part of profits made by member.Also in reality service charges have no bearing on rent since they are maintainant costs to be equally shared by all members.Now
    a situation has arrived where most members rent out their flats at higher rents and pay C.H.S a co-
    owner 0.001% of rent collected Also many C.H.S have become sick in the sense that hardly a few real owners stay and C.H.Ss are not managed properly.There are other factors also why C.H.S.s
    should not be deprived of their legitimate incomes So i feel we should rethink on the decison taken
    for N.O,C.by C.H.S.

  45. i have purchased a flat at kharghar at august 2010 i am paid all my maintenance charges that time society took Rs. 52000 excess amount and after six months the general boby meeting passed the resoulation to paid all eight members their excess amount but now our society secretary refuse to pay our excess amount he decided to give the amount excess amount to the seller but at present i am the owner of the flat. and our society till not registered so please suggest me what further action should be taken.

    regards
    swapnil mandlik
    9930555110

    regards

  46. I have given my flat on rent, the society is not yet formed as the builder is delayed it, we have formed a committee and they are forcing us to pay the NOC charges , and are conditons for only keeping families as tenants…….. Kindly let usa know what can we do?

  47. Dear Sir, I already leave in a 1150 sq.ft. flat in a Cooperative Housing Society in Surat, our yearly maintenance is 13700/- & other big flats 1650 sq.ft. maintenance charges is 18500/- p.a total flats 55 small 11 & big 44, sir present we are doing repairing work in society they charge same collection from both flats big/small so kindly guide me proper rules & how much money maximum collect for the repair work, presently they collect 60000/- per flat with in three months that much amount we can’t afford in short time.
    Kindly let usa know what can we do?

  48. I have a flat given on rent, my society have asked for Rs.3000 in the begining as I have given flat on rent and then they have asked me to give extra maintenance charges, for others they charge 685 and for owner who have given room on rent they charge 815, please advice if its the correct way.

    Regards,

  49. Dear Sir, I have given my house on rent in Valsad ,Gujarat . I pay 100% ( is 1200 Rs.) more and reguler  maintenance charges is 600 Rs. The law of maximum 10% non occupancy charges enforceable or not .
    please advice if its the correctway.

  50. I have aflat in a regisrered chs in MUMBAI. I have let it out . now my sciety is charging me 10%nocharges and Rs 2200 as additional charges as it is passed by the agm. society says that these are the charges leveied on those members who have given their flat on rent to bechelors. i would like to ask you wheather AGM has the right to pass such regulations.

  51. I have purchased a flat in a new society in June11,Society was formed in september-11.As I have not rented my flat and the flat is still vacant. Do i need to pay the maintenance charges.Society is charging maintenance for the last six months Sept- Feb-12

  52. Dear Sir , i have two flats in my apartments and these two flats we are using conjointly to break the wall from inside. society charges towards the member is 450 Rs but society imposed a charge 700 Rs towards us. but i have only single family using the two flats conjointly. so i want to know, is there any government law in respect of society or should i take a legal action against the unnecessary increment happened toward us. please reply

  53. SIR, I HAVE GIVEN MY FLAT ON LL WHERE AS I AM PARKING MY CAR IN THE SAID SOCIETY BUT OSCIETY IS NOT ALLOWING ME TO PARK MY CAR WITH THE REAASONG THAT I HAVE GIVEN THE FLAT ON LL I AM MEMBER BUT NON OCCUPYING MEMEBRS . CAN I PARK MY CAR OR NOT ? PLEASE ADVISE THANKS SHIRISH RAJANI

  54. I can understand that SC has ruled that a max of 10% NOC can be charged on service charges. However there is no clear defination of service charges. Our society has all the necessary charges i.e. Admin Chgs, Water Chgs, common lighting, bldg Main,sinking fund, garbage removal, couirer/postage, Land revenue, property tax, and now a new one called Major repair fund – @ Rs 2 per sw ft. ( which is being used to carry out major repairs to member flats irrespective of the quantum or work.). We charged NOC on all this carges except Property tax and land revenue. now some members saythat even the major repair fund is to be excluded… HOW correct is this ?

  55. I am staying on rent 5000 p.m. and since august 2011. The owner at the time of agreement told me the maintenance charge are 300 to be paid by me but after a month the soc demanded 100 Rs extra. After reading the article above I came to know, the NOC are 10% service charge.
    Kindly let me know, 1.  The NOC charges should be paid by the owner or the tenants on rent?
    2. How do I get to know the service charges? they are levied on flat or society, plz clear
    3. Currently all the owners are charged 300 Rs. p.m. maintenance charge and rentals are charged 400 Rs. p.m.
    Please let me know, what all things are included in this maintenance charges, are the NOC charges included in them?
    Please revert back asap, as I havent paid the maintenance as I am unsure of been looted by the owner or society.

  56. I have let out my flat at Chembur, Mumbai. The society is charging me 10% (Rs. 1,700/-) of the rent that i recieve (Rs. 17,000/-). Is it right on the part of the society to charge me. Could you please let me know under what laws of co-operative societies act I can fight out my case.

    Thanks……….Sundar

  57. Could someone clarify whether non-occupancy charges are payable for vacant flats ? similary if a flst is given on rent can a society charges additional amount under any head such as lift usage charges by a tenant ?

  58. I read an article on the service charge.. We need further clarification on what we mean by a “Service charges”. What does the service charge inclusive of.

  59. I have let out my shop at vasai, Maharashtra. The society is charging me 10% (Rs. 1,500/-) of the rent that i recieve (Rs. 15,000/-). Is it right on the part of the society to charge me & they says we have taken permission from high court. Could you please let me know under what laws of co-operative societies act I can fight out my case. Thanks———- Pramesh Rathod.

    1. It is totally illegal. You can ask for copy of High court permission. As per bye law only 10% of service charges can be charged by Society.

  60. I have flat in “Apartment Association” and not in CHS. The association proposes to increase non-occu charges to 25% stating that Govt rule of 10% is applicable only to CHS and not Apt Association.
    Kindly clarify whether the above contention is correct and oblige

  61. I’m residing in cooperative housing society as a Tenat. My Landlord & his family members has 3 flats in the Society. He & his family members are residing in 2 flats and given a flat to me on lease and licence basis. My Landlord does not have any Car. I own a Car. In the last AGM society has passed a rule where in the non members / tenants have to pay parking charges of Rs 1500/- p.m. while the members have to pay parking charges of Rs 100/- p.m. There is no shortage of parking. All the cars in the society are parked easily. And parking space can accommodate minimum 5-6 more cars.
    My Landlord is ready to help but wanted some legal grounds to challenge the rule passed by the society.
    Request you all to let me know
    Whether society can Charge differential rate from members and non members for parking vehicles.
    If not, then what steps my landlord should take to challenge society.

  62. I m facing same problem of noc( non occupancy charge). I rent my flat in ahmedabad gujarat, soceity charge 50% more maintance charge becoz i rent my flat. As per Rule which amount charge as Noc(non occupancy charge). Plz. rep. me & send me copy of rules.Can i fight against soceity by law & rules.

  63. I have an apartment in Cochin bought from a private builder. I have leased it out to a tenant ( family ) for the past two years. In the recent AGM , the association is contemplating levying charges amount to a percentage of the rent collected. I wish to know whether it is legal and valid in Kerala. Also I was reading about Non occupancy chargeswhich is a percentage of maintenance charges in Maharashtra. Is is applicable to flats by private builders or only for cooperatinve housing in Kerala?

  64. I have a Flat in Andheri (E).since 30years, I am in Australia since 1991.My Nephew( Sister Son)is staying in my Flat since last 7 years with my Mother,Dec 2009 my mother passed away. Since that time my Nephew is staying in my Flat, some time my Siter & brother in law( who leaves in Gujrat)also come & stay with him . I am not taking any money from him. Even, all society rates/ charges & Municipal Taxes paid by me.( Just to help my Nephew to get settle in Mumbai)
    Since December 2014 suddenly society started charging extra RS 500 as Adhoc charges,saying it is a Non occupational charges, Because my Flat is occupied by My nephew. I have already explained to the society Chairman & other committee members that, my nephew is my family member
    the Non occupancy charges not applicable.( I am not taking any money from My Nephew as well) The committee members saying he is not the Blood relation & my sister is not staying all the time in this flat, since My sister is not staying all the time with my Nephew there fore as per by Law society has right to charge NON Occupancy Charges.
    I have read few articles & it says the close relatives are excempted from N O C & it clearly says that N O C should not be more than 10 %.
    Can some one please guide me on this matter.

    Thanks.

    With Regards,

    Anil Panchal

  65. I own a shop and the Society charges me maintenence as under. The area of my shop is 300 sq ft.
    Sinking Fund 22
    Maintenance charges 450
    Service charges 76
    Insurance charges 68
    Non Occupancy charges 200

    Is the amount of Non Occupancy charges justified?

  66. In a newly formed Godrej Garden City Cooperative society in Ahmedabad, Guajarat. The Maintenance charges has been taken in tune of 45% more than regular maintenance charges. Is the rule of 10% cap of Maintenance Charges is applicable in Gujarat ?
    I have seen many questions but not got any answer for Gujarat. Can you please provide your inputs on the same.

    1. It is non Occupancy Charges. 10% of the Service / Maintenance charges . Maintenance charges has to be reasonable and if builder is taking then it cannot take more than what is there in Agreement for Sale.

  67. Hi , My society is charging Non occupancy more than 10 percent. They have passed In the AGM. Secretary says society committee has power to charge Noc as per their will. We are forced to pay and if we don’t pay more than 10 percent interested is also leived In bill. We are forced to pay by committee members. Please help. From Mumbai.

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