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The Bombay High Court has dismissed a petition by individual members of Satyam Lok Prabhat Cooperative Housing Society in Mumbai who challenged a deemed conveyance order issued to their society. The court ruled that once the society negotiates a settlement with the builder, individual members cannot contest it separately. The decision refers to the 2018 government resolution under the Maharashtra Ownership of Flats Act (MOFA) and highlights that disputes regarding property conveyance must be handled collectively through the society.
The Bombay High Court rejected a petition by members of Satyam Lok Prabhat Cooperative Housing Society who had objected to the area granted in a deemed conveyance order. The July 2025 order by the deputy registrar issued a certificate for approximately 2,473 sq m in favour of the society, following a settlement between the society's managing committee and the builder. The petitioners claimed that the society was entitled to a larger area and described the settlement as "illicit and unwarranted." Advertisement
Justice N J Jamadar observed that the conveyance was in line with a 2018 government resolution under the Maharashtra Ownership of Flats Act (MOFA), which prescribes the methodology for determining property entitlements in housing societies. The court held that once the society itself agrees to a settlement with a developer, individual members cannot independently challenge the decision.
This case marks the second round of litigation on the dispute. In 2023, the society had petitioned against an earlier conveyance of less than 1,000 sq m. The High Court then remanded the matter to the registrar for reconsideration. During the process, negotiations between the society and the builder resulted in a substantially larger area being granted, which the registrar accepted according to the 2018 GR provisions.
Deemed conveyance is a legal process under MOFA that allows a housing society to obtain ownership rights over land and buildings from the developer once the society has been formed and flats are sold. The process ensures that members collectively gain legal title to the property, and individual members cannot claim separate ownership rights beyond the society's entitlement. It also specifies the procedure for measurement, registration, and certification, preventing disputes over property rights once the society receives formal conveyance.
The High Court emphasized that once a person becomes part of a cooperative society, they act through the society. Rights and duties are exercised collectively, not individually, reinforcing the principle that disputes regarding society property must be addressed by the society as a whole.
Advocates Aadil Parsurampuria represented the petitioning members, MS Srivastav appeared for the state, Siddhesh Borkar represented the housing society, and Aditya Kanchan appeared for the builder.
5th Jun, 2025
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