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Cooperative Housing Society – Membership – Auction purchasers & past dues

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Judgment dated 31.7.2025 of the Bombay High Cour in Writ Petition No.3466 of 2025 of Brightland Cooperative Housing Society Ltd   Vs.  The Divisional Joint Registrar Coop Societies Mumbai Division and others

 

Membership -Coop Housing Society – Dues of past members – Liability of auction purchasers

On 30.8.2018 the Respondent Nos.3 and 4 purchased the flat in the petitioner society in an auction sale of the Bank and on 30.12.2018, the physical possession was given.  The petitioner society did not admit the said purchasers as members of the Society inspite of repeated requests till 2023.

 

The respondent nos.3 and 4 filed application under section 22(2) of MCS Act for membership.   By the order dated 4.12.2023, the Deputy Registrar allowed the said application and to admit them as members.   This was confirmed in revision.

 

The society challenged the decision on the ground that outstanding dues of erstwhile members since January 2009 were not paid.  The respondent nos.3 and 4 have contested the liability on the ground that they had purchased the flat on 30.8.2018, free from encumbrances.

 

HELD that the respondent nos.3 and 4 shall be deemed to have become members of the society, on account of default of the society to take decision in three months from the date 3.7.2021 of the application for membership.  However, where there is a genuine dispute on dues of society owed by erstwhile member or the auction purchasers, the determination is to be done by the authorities.

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