Mumbai Court Orders Housing Society to Switch to Per-Unit Billing: A Relief for Property Owners

Mumbai: In a major win for property owners, the Mumbai Co-operative Court has restrained Trade World Premises Co-operative Housing Society Limited (CHSL) from charging maintenance on a per-square-foot basis. The court mandated per-unit billing as per Maharashtra's Co-operative Societies Act, 1860, until a final decision is made in the dispute.

The ruling came in response to a plea filed by advocate Abha Singh, who challenged the society's billing practice, arguing it was inequitable and violated government directives. Her counsel, Aditya Pratap, highlighted that the state government had, in April 2000, explicitly ordered that maintenance charges be equally divided among all flats and commercial units, regardless of size.

Judge SK Devkar criticized the society for failing to present its argument or comply with the government directive, which was upheld by the Bombay High Court. The court noted discrepancies in the society's monthly billing and found no rationale for charging larger flat owners disproportionately for shared services like security and common area upkeep.

This ruling underscores the importance of adhering to fair and uniform practices in co-operative housing societies, offering relief to flat owners burdened by size-based billing.