Bombay HC: Irani Brothers Must Pay Long-Overdue Maintenance Fees

Summary: The Bombay High Court dismissed requests by Aspandiar and Gustad Irani against Pasayadan Cooperative Housing Society in Thane. The court agreed with the society's demand for unpaid maintenance fees going back to 2005.

Background of the Case

Aspandiar Rashid Irani, aged 96, and Gustad Rashid Irani, aged 86, both businessmen from Thane, made an informal development agreement on September 26, 1996, with P and M Associates. They were supposed to receive four apartments on the fifth floor in return. The Pasayadan Cooperative Housing Society was officially formed on May 18, 2005, and the Irani brothers were given the apartments.

The Dispute Over Maintenance Fees

On March 29, 2023, the society sent a notice asking for maintenance fees from 2005. When the fees weren't paid, the society took steps to get the money back under the Maharashtra Cooperative Societies Act. The Irani brothers argued that the claims were too old and that they weren't society members, so the process to get the money back shouldn't apply to them.

Court's Decision

• Deputy Registrar's Order: On March 15, 2024, the Deputy Registrar rejected the Irani brothers’ arguments and issued orders to recover the money.
• Revisional Authority's Stand: On April 28, 2025, the higher authority dismissed their appeals, leading to the current legal challenges in the High Court.

Key Arguments

• Petitioners’ Stand: They argued that the claims were too old and that they were not members of the society. They also claimed that the society had not officially decided to start the recovery process.
• Society’s Defense: The society argued that the Irani brothers were basically apartment owners and had to pay the fees since they benefited from the apartments. They also pointed out that the fees were ongoing and not erased by time.

Court's Rationale

Justice Amit Borkar pointed out that the responsibility to pay society fees is ongoing and doesn't expire over time. The court emphasized that the fees are required by law and linked to the apartments, not personal debts.

"The obligation to pay society dues is a recurring and continuing obligation," the court noted, highlighting the ongoing nature of the fees.

Summary of Verdict

The court dismissed the requests, agreeing with the society's right to get the fees. The Irani brothers' request to pause the judgment was also denied.