
In a recent decision, the Bombay High Court ruled in favor of Mr. Vijay S. Khetan and Mrs. Meena Vijay Khetan, allowing them to become members of the Vallabhnagar Co-operative Housing Society despite a disagreement over lease conditions. Here's what happened.
The Vallabhnagar Co-operative Housing Society, located in Vile Parle (West), Mumbai, had rented out Plot No. 26 to the Gandhis in 1963 for 999 years. The rental agreement included strict rules against transferring the plot without written permission and payment of a lease fee.
On October 20, 2012, the Gandhis wanted to sell the plot and asked the society for permission. The society responded on April 5, 2013, listing the necessary documents and fees. However, the plot was eventually transferred to the Khetans on August 1, 2024, without the society's prior written permission or payment of the fee.
The society rejected the Khetans' application to join on October 11, 2024, saying they broke the lease rules. The Khetans appealed, and the Deputy Registrar agreed with them, telling the society to let them join. The society challenged this decision but lost again in another appeal on October 15, 2025.
Justice Amit Borkar of the Bombay High Court looked into whether the Khetans had followed the necessary steps and legal requirements. The court found that they had submitted all required documents and paid the necessary fees, as per the legal limits.
"The revisional authority directed enrollment after finding compliance with statutory dues and documentary formalities," noted Justice Borkar.
The court emphasized that any demand for a lease fee must match the legal limits set by the Maharashtra Cooperative Societies Act. The society's demand for a higher fee was found to be against the law.
The court decided to allow the Khetans to join the society, dismissing the society's complaint. This case highlights the importance of following legal rules over private agreements.
No costs were ordered in this case.