In a significant judgment benefiting cooperative housing societies across Maharashtra, the
Bombay High Court
has ruled that deemed conveyance for housing societies comprising multiple buildings cannot be restricted merely to the building footprint or plinth area.
The Court clarified that societies are also entitled to:
- Open spaces
- Access roads
- Recreational grounds
- Common amenities
- Appurtenant land necessary for beneficial enjoyment of the property
This landmark ruling strengthens the rights of societies seeking complete ownership and control over their premises.
Background of the Case
The matter involved
Rashesh Cooperative Housing Society
The society challenged an order passed by the
District Deputy Registrar Cooperative Societies Thane
Earlier:
- Deemed conveyance was granted only for the plinth area
- The society’s claim over:
- Open spaces
- Common amenities
- Recreational grounds
was rejected
The society approached the High Court after the developer allegedly failed to execute proper conveyance despite formation of the society in 2015.
What the Society Claimed
The society argued that under the:
Maharashtra Government Resolution June 2018
housing societies are entitled to:
- Common amenities
- Open spaces
- Internal roads
- Recreational grounds
- Proportionate undivided rights in layout areas
The society sought conveyance of:
- 3,987.16 sq m area
- Rights in 703.62 sq m recreational ground
However, the developer attempted to limit conveyance to only 1,050 sq m.
High Court’s Observations
Justice
Justice Amit Borkar
held that:
Conveyance cannot be confined to “the footprint beneath columns and staircases.”
The Court observed that housing societies are entitled to land and spaces that are:
- Appurtenant
- Necessary
- Incidental to beneficial enjoyment of the property
Importance of Development Control Regulations (DCR)
The Court emphasized the role of:
Development Control Regulations
These regulations govern:
- Front and side margins
- Rear setbacks
- Internal roads
- Recreational grounds
- Parking areas
- Drainage corridors
- Distance between buildings
According to the Court:
- These elements are essential for the functioning of the building
- Hence they form part of the property rights linked to the society
Final Relief Granted by the Court
The High Court ruled that Rashesh CHS was entitled to:
- 2201.56 sq m area
- Undivided proportionate rights in:
- 703.62 sq m recreational ground
The Court directed the DDR to:
- Issue a fresh deemed conveyance certificate
- Incorporate these additional areas
- Complete the process within eight weeks
Why This Judgment Is Important
This judgment is extremely significant because many developers:
- Restrict conveyance only to:
- Building plinth area
- Staircases and columns
while retaining control over:
- Open spaces
- Recreation areas
- Internal roads
- Parking and amenities
The ruling reinforces that:
✅ Housing societies are entitled to land necessary for beneficial use of the property
✅ Developers cannot unfairly retain layout rights
✅ Open spaces linked to the building must form part of conveyance rights
Impact on Redevelopment and Society Rights
The judgment will help societies in:
- Obtaining stronger title rights
- Redevelopment negotiations
- Control over common amenities
- Preventing future disputes over open spaces
It also strengthens the position of societies applying for:
- Deemed Conveyance under MOFA
Legal Significance of Deemed Conveyance
Under the
Maharashtra Ownership Flats Act 1963
developers are legally required to transfer:
- Land
- Building
- Common areas
to the society.
If the builder fails, societies can seek:
- Deemed Conveyance through the competent authority.
Conclusion
The Bombay High Court’s ruling is a major victory for cooperative housing societies in Maharashtra. The judgment clearly establishes that conveyance rights extend beyond just the building structure and include all appurtenant and beneficial spaces necessary for enjoyment of the property.
This decision is expected to benefit thousands of societies facing similar disputes with developers over open spaces, recreational areas, and common amenities.
