
Let's dive into the recent court decision involving the Irani brothers and the Pasayadan Cooperative Housing Society in Thane. This case has been going on for several years, and here's what happened.
Aspandiar Rashid Irani and Gustad Rashid Irani, both businessmen from Thane, entered into an unofficial development agreement on September 26, 1996. They were promised four apartments on the fifth floor of a building after construction. However, they never got an official agreement, which caused problems later.
Fast forward to March 29, 2023, the housing society sent a demand notice asking the Irani brothers to pay maintenance fees dating back to 2005. Since they didn't pay, the society filed to get the money back on September 27, 2024, under the Maharashtra Cooperative Societies Act.
The Irani brothers argued that the claims were too old to be valid and that they weren't society members, so they shouldn't have to pay. They pointed out that the law required money recovery actions to be started within a certain time frame.
On March 15, 2024, the Deputy Registrar rejected the Irani brothers' arguments and issued orders for them to pay. The Irani brothers appealed, but on April 28, 2025, the higher authority dismissed their appeals.
Judge Amit Borkar ruled that the society's demands were valid. He noted that society fees are ongoing obligations and not limited by the usual time limits. The Irani brothers' arguments about not being members didn't work because they lived in the apartments and used the society's services.
"The obligation to pay society dues is not a one-time obligation. It is a recurring and continuing obligation." - Judge Amit Borkar
The society charged a 21% interest on the fees, which was considered legal under their rules. The court found no reason to change the earlier decisions, and the Irani brothers' petitions were dismissed on January 16, 2026.
The Irani brothers asked for a delay on the judgment, but this request was denied. They are now required to pay the fees as per the court's decision.
In summary, the court ruled that the Irani brothers have to pay the outstanding fees with interest, as their arguments were not accepted.