­

Essential Elements in a Conveyance Deed

The term “Deed” means a written legal contract that binds the parties to its terms and can be proved in the court as evidence.
The term ‘Conveyance’ is used when there is transfer of ownership or legal title in a property from one person to another. Hence, a conveyance deed is a legal document between a transferor and a transferee, which proves that a title or ownership in the property along with all other rights related to the property have been transferred from one person to another.
It informs that the property is free from any restrictions and disputes. Both parties sign it and it can be produced in a court if any dispute relating to the agreement arises in future.
However, a conveyance deed is a wide term which not only includes a sale of the property but also other kinds of transfers such as gift, exchange, lease, mortgage, relinquishment and other transfers.
A conveyance deed is valid only when the property is sold for a valid consideration (usually money) except in the case of a gift deed which results out of love and affection.
It can be signed for either movable or immovable property.
A conveyance deed is executed in accordance with the legal provisions under the Transfer of Property Act 1882, Registration Act 1908 and Indian Stamp Act, 1899.
In order to be valid and acceptable in a court, a conveyance deed needs to contain some essential elements. For instance, it must:
* Establish exact boundaries of the property to avoid any dispute relating to land ownership,
* State that all the rights relating to the property have been transferred along with the property,
* Provide details regarding delivery and acceptance of the property,
* State all terms and conditions relating to the transfer,
* Be made on a non-judicial stamp paper and signed by both parties,
* Mention full names, addresses and other requisite details of the seller and the buyer,
* State that the property is free from any disputes and restrictions,
* Be signed by at least two witnesses
* Be in writing and notarized, and
* Be registered through the local registrar’s office by submitting appropriate registration fee. Registration is proof that the property is free from any disputes and has been transferred to the buyer permanently with a clean title.
Once the registration is complete, the buyer becomes the absolute owner of the property and the conveyance process gets over officially. A lawyer and a real estate agent can help two parties compose, sign, and register a deed of conveyance during a transaction. The government obtains its revenue from the stamp duty and registration fees.

By |February 16th, 2019|Uncategorized|0 Comments

Deemed Conveyance of Co-operative Housing Societies in Pune

In most of the cases people believe that a Purchase Agreement is the final document they need to own. However, a mere purchase agreement does not pass on the developer’s rights on the land to the society. Societies need to make sure they have the complete right to the land, and mere society registration and formation does not provide those rights.
A Conveyance Deed helps societies to gain the right of their land. Post this builder relinquishes his legal right on the land.
We the “VED LEGAL” provide end-to-end conveyance services to the societies including execution of Conveyance Deed, Deemed Conveyance, and Deed of Apartments. We work closely with co-operative societies and government officials and make sure the complete process is hassle free.
With our team of legal advisers and professional approach, we have handled more than 100 cases across Pune. We guide our clients through the complete process of transferring builder’s rights, allocation of additional space and finally establishment of society rights, as per the law.
Our conveyance services include:
Apartment formation:
• Deed of Declaration • Deed of Apartment
Co-operative Societies Conveyance:
• Conveyance deed with builder’s consent • Deemed Conveyance – without builder’s consent

By |February 16th, 2019|Uncategorized|0 Comments

BUILDER-NON COOPERATION CO-OPERATIVE HOUSING SOCIETY

If builder/promoter procrastinate in registering the Co-operative Housing Society, then in that case, the application for registration of society be submitted in Form 6 (Rule 12) before the authorized officer (District Dy. Registrar in the respective district, who have given power under section 10(1) of the Maharashtra Ownership Flats Act 1963 (For making regulation for encouraging their constructions, their sale, management and transfer).
While submitting the said proposal, following documents are Necessary.
• 7/12 extract of the land or property card.
• Competent Authority Certificate regarding non-Agricultural land.
• Order regarding applicable/non-applicable Land ceiling Act Map of the construction approved by the competent authority.
• Letter of given permission for construction.
• Completion certificate of Construction.
• Development Agreement if the land is taken for development.
• Power of Authority letter of the Land.
• Copy of the Title search Report.
• Agreement copy of the flat purchased.
• Architect certificate regarding construction.
• List of the Members.
• Scheme of the Society.
• Application regarding reservation of Name.
• Minimum 10 Members shall necessary for the registration of the Society.
• Application for registration of Society (A Form)
• Table containing information of the society (B Form)
• Table containing information of the members (C Form)
• Statement of Accounts of the members (D Form)
• Notarized guarantee letter of the chief promoter of society on the stamp paper of Rs. 100/-
• Notarized Indemnity Bond of the members who applied for the registration of society on the stamp paper of Rs. 200/-
• Affidavit of the Members (Minimum 10 promoters’ Affidavit)
• Two copies of bye laws approved by the Commissioner, Co-operation and Registrar, Maharashtra State, Pune.
• Bank balance statement of the promoter members who have deposited Rs.500/- each as a share and admission fee Rs.100/- in District
• Central Co-operative Bank after getting sanction for the reservation of name in district of Rs.2500/- paid as society Registration fee in the Government Treasure.
The proposal submitted after fulfillment of above mentioned documents, the competent authority by taking hearing, issued orders to the concerned officer for registering the society.
The scrutiny of the registration proposal submitted after fulfillment of documents as mentioned above and criterion will be done after taking into consideration the instructions in the circular/ directives regarding registration issued by the Government/ Commissioner, Co-operation. It is obligatory on the concerned Registrar to make registration by considering various provisions in the Act and Rules and instructions given in the circular/ directives.

By |February 16th, 2019|Uncategorized|0 Comments

Advocates for register a new housing Society

A co-operative society is the perfect fit for a residential building as flat-owners have common needs (water connection, watchmen, etc) and interests (maintenance of common areas, such as the terrace and compound). If you’ve purchased a flat in a new building, it would probably be best if you took interest in forming a society. The builder may also be statutorily obligated to form a society. For example, under Maharashtra Flat Ownership Act, 1963, a builder must form a society within four months of selling 60% of the flats.
But you needn’t wait for the builder to form the society. In many states, including Delhi and Maharashtra, ten flat-owners are enough to promote a co-operative housing society. A building without a housing society usually indicates that there is a dispute between members or a general lack of interest. If you’re considering buying a house in a building where the society has not been formed, find out what the problem is. If the builder does not form a society, rights to the terrace and the compound continue to rest with him.
We, the “VED LEGAL” provide registration and formation services which help you at every step of society formation, right from inception to final handover. We look after all the legal complications involved in society formation and carry out necessary negotiations with developers.
We have also completed the registration process for various projects. We specialize in society formation of housing societies, commercial societies, maintenance societies and large townships. We help developers and societies with complex registration process during society mergers, society split, and federation registrations.
Our specialized services include:
• Initial screening
• Gap identification and ratification
• Process documentation and finalization
• Dispute resolution
• Society name reservation at respective co-operative departments
• Account formation and legal documentation
FOR MORE DETAILS CALL:
VED LEGAL,
Adv. Gajanan Rahate
Mob: 9763040088
E_mail: [email protected]

By |February 16th, 2019|Advocates for register a new housing Society|0 Comments

SOCIETY FORMATION AND HANDOVER PROCESS BY BUILDER

SOCIETY FORMATION AND HANDOVER PROCESS BY BUILDER
The Registration process and requirements are governed by Maharashtra State Co-operative Society Act 1960.

To Register Co-op. Housing Society, Minimum 10 member are required.

Less than 10 members Societies are also Registered as per M.S.Govt. Ordinance No. 1094 and 277/14 Dated 10/03/1995. But such member’s flats should be less than 700 Sq.ft. Carpet Area

As per M.S. Govt. Notification dated 24/07/1992 conditions for registrations are liberalized.
60 % of the Promoters are must be ready to form Co-op. Housing Society.
If flats are sold as per the Maharashtra Ownership Flats Act,1963 [MOFA] then it is the duty of the Builder / Developer to form society and hand over the Account + Documents to Provisional Working Committee [PWC] In this case the builder become CP and other flat owners become Promoters for Registration purpose. This society registers under Co-operation.
When the builder is not registering society due to some reasons or not support to registered society then flat purchasers can apply for registration of Co-operative Housing Society under Non Co-operation. In this case one of the flat owners should be elected as CP for Registration purpose. In this case some more time is taken to registered society as registrar is issue notice to builder for Non Co-operation. If no response then ex-party decision are taken for registration of the society. Now all the case of Non Co-operation Registration decisions is given by District Deputy Registrar [DDR] then society is registered
All flat owners should hold meeting and elect Promoter. All power for Registrations, documentation etc. should be given to promoter. The resolution should be passed and must be sign by all flat owners who wish to become member of the Co-operative Housing Society
Appoint Consultant / Legal Advocate for registration and ask him to comply all requirements. All members together also can do work for registration.
For registration of Co-op. Hsg. Society the following documents should be filed to Dy. Registrar / Asst. Registrar of Co-operative Department area concern in order as follow:
• Applications for Name to be reserved for Proposed Society’s
• Form of resolution electing a CP and Promoter and giving them authority for doing certain acts on behalf of the proposed society
• Notice to Builder
• Application form “A”
• Information in Annexure ” A ” ” B ” ” C ”
• Bye-Law of the Society 2 copies
• Details of Accounts Annexure ” D ”
• Bank Balance Certificate in Original
• Namuna 6
• Agreement of 1 Flat
• Advocate Search Report [Title Certificate]
• Society’s Building Plan
• Lay Out Plan
• Sanction Plan from Authority
• Commencement Certificate
• Completion Certificate
• Promoter’s Guarantee in form ” X ” On Rs. 100/- Stamp paper & notarized
• Guarantee in form” Y ” On Rs. 100/- Stamp paper & notarized
• Guarantee in form ” Z ” On Rs. 100/- Stamp paper & notarized
• Latest 7/12 or City Survey Revenue Record of Land [not more than 1 month old]
• Promoters Affidavit On Rs. 100/- Stamp paper & notarized
• Indemnity Bond On Rs. 500/- Stamp paper & notarized
• NA Order
• ULC Order
• Development Agreement and Power of Attorney
• List of Members in the society
• Scheme/Yojana Form
• Registration Fee Challan for Rs.2500
• Builder Non Co-operation form Z On Rs. 100/- Stamp paper & notarized if required 1 copy
On submission of above document the Dy./Asst. Registrar will go through the papers And document. If found OK he will make order for issue of Registration Certificate.
If any deficiencies are found then the applicant will be inform accordingly and documents will be corrected wherever necessary. When all papers are in order, he will issue order for issue of Registration Certificate.
Registration Certificate is issued with covering letter and Officer’s name is mentioned who will attend First General Meeting. Normally the Officer concern is not attending meeting. In absence, all members has to hold meeting and has to elect Provisional Working Committee [PWC] whose working period will be ONE Year.
After electing PWC the member of PWC has to submitted the M-20 bond on Rs. 100/- stamp paper with the sign of Officer’s whose name is in Covering latter to Dy./Asst. Registrar. All Rule and Regulations, resolution and minutes which is written in AGM Register must be sign by Officer’s name is mentioned in covering letter it is the most important step.[Many society forget this which create problem latter] After First Annual General Meeting PWC is replaced with new Working Committee [WC] whose working period will be FIVE Year. The new WC election can conduct before PWC time over with proper election process. WC also has to submitted the M-20 bond on Rs. 100/- stamp paper with the sign of election officer to Dy./Asst. Registrar.
When application for Name reservation of Society has given, the Dy./Asst. Registrar give instruction to Open Bank Account in Dist. Central Co-op. Bank The Account has to opened in the name of CP And deposit all money of Share Capital Contribution [per member Share Money is Rs. 50*10 = Rs. 500 i.e. 10 share of 50 rupees each] and Member ship Fees of Rs. 100/- i.e. Per member you have to deposit Rs. 600/- in bank and obtain Bank Balance Certificate and submitted it to Dy./Asst. Registrar. After First Annual General Body Meeting the Bank Account has to transfer in the name of Society. For bank Account operation Chairman sign must and either Secretary and Treasurer. Expenditure has to be made as per provision of Bye-Laws. Bank and Cash Transaction [Collection and Payment are handled by Treasure when Billing Clerk or Accountant are not been kept.

FORMATION OF A NEW HOUSING SOCIETY

FORMATION OF A NEW HOUSING SOCIETY

First general body meeting (before registration)

In this meeting under Society’s Model Bye-law 3(iii), the Chief Promoter (could be the builder) is primarily selected by the promoters, who are members co-signing the registration application before the Registering Authority, under Bye-law 3(xii).

Application for registration

Normally, the name reservation proposal should be accompanied with the society resolutions and signatures of at least 10 Promoters who have attended the meeting. On allotment of name and permission to open a bank account by the Registrar, the Chief Promoter has to collect Share Capital, Entrance Fees from promoters and deposit the same in the branch of the bank permitted by the Registrar. It should be noted that the amount cannot be withdrawn from the Bank till the society is registered or its registration is refused, except with prior written permission of the Registrar. The Chief Promoter should submit registration proposal to the registering authority within a period of 3 months from the date of issue of Letter of Reservation in the name of the proposed society.

Co-operative Societies Commissioner & Registrar’s GR No. SAGRUVO/1094/Pra.Kra 277/14C dated 10 March 1995 says “By exercising the powers in section 7 of the Co-operative Societies Act 1960 the government is pleased to exempt the provision of minimum 10 members for registering co-operative Housing society under sub-clause 1 in Section 6 of the said Act subject to the conditions that the plinth area of each flat in the proposed co-operative Housing Society should not be more than 700 sq. ft and FSI should not be balance for utilization in the proposed societies land/ building.

If builder/ promoter is not co-operating in registering the Co-operative Housing Society, then in that case, the application for registration of society be submitted in Form 6 (Rule 12) before the District Deputy Registrar, who has been given power under section 10(1) of the Maharashtra Ownership Flats Act 1963. While submitting the said proposal, a Notarized Indemnity Bond of the members who applied for the registration of society on the stamp paper of Rs. 200 is required.

Approval by Registrar

It is the duty of the concerned Registrar to register the Co-operative Housing Society, by scrutinizing the proposal submitted after fulfillment of above mentioned documents, and shall make an arrangement of issuing certificate of registration society under Section 9(1) of the Maharashtra Co-operative Society Act 1960, and copy of the registered bye-law, memorandum regarding registration of society to the chief promoter. The order regarding registration of society should have been sent for publishing in government gazette to the Government Printing Press for appropriate action. It is necessary to take decision on the registration of the society within a period of two months from the date of the proposal of the society submitted to the Registrar.

If proposal of society registration is denied or no decision is taken within two months then it is necessary to send that proposal to the Divisional Joint Registrar, Co-operative Societies under Section 152 of the Maharashtra Co. operative societies Act, can be approached.

First General Body Meeting obligatory Agenda (after registration):

• To elect a Chairman for the meeting
• To admit persons to membership who have applied for membership of the society.
• To elect a provisional Managing Committee
• To receive and approve the statement of account as prepared by the Chief Promoter of the society up to 14 days prior to the first general body meeting of the society.
• To authorize the committee to secure conveyance of right title and interest in the property in the name of the society from the promoter builder
• To impose restrictions on raising loan amount from outside
• To appoint internal auditor and to fix his remuneration
• To authorize one of the members of the provisional committee to call the first meeting of the provisional committee
• To take decision about taking membership of District Housing Federation and other institutions
• To give power to one member of provisional management committee to call meeting of the managing committee
• To consider the matters raised by the member except these matters which are necessary for giving advance notice with the permission of chairman and eleventh hour matter and to make resolution in that regard.

By |February 15th, 2019|FORMATION OF A NEW HOUSING SOCIETY|0 Comments

A COMPLETE GUIDE TO DEEMED CONVEYANCE

A COMPLETE GUIDE TO DEEMED CONVEYANCE

Most of the flat-owners of the newly constructed Societies/apartments do not have their sale deeds or conveyance deeds. Mostly in the newly constructed buildings, the builders provide for forming a housing co-operative society to which they shall transfer their interest in the property. Then the builders form the society but do not transfer the title of the property (read ownership) to the flat-owners or the society till he has transferred all the rights in the building/ Societies/apartments. Thus the builders/promoters are benefiting from the buyers lack of awareness and information.
To curb this practice, amendments were carried out in the Maharashtra Ownership Flats Act, 1963, in 2008 to appoint a Competent Authority (Registrar of Co-operative Housing Societies) to hear the grievances of such Societies/apartments owners and to safeguard their interest by executing deemed conveyance of such societies u/s 11(3) of Maharashtra Ownership Flats Act, 1963.
Ved Legal is having enough experience to deal with these kinds of Deemed Conveyance of Co-operative Housing Societies, in and around Pune. Any aggrieved society or apartment holder can get resolution from us in regards of the same.

MEANING OF DEEMED CONVEYANCE:
A deemed conveyance means when the builder/ promoter/ developer of the project refuses to sign the conveyance deed the court can sign the same on behalf of the builder and record the same in the government records.

NEED FOR DEEMED CONVEYANCE:
In a situation when a promoter or owner of residential premises/ buildings does not transfer/convey the ownership of the flats to the housing society or association of persons (AOP), the society or AOP can make an application to Registrar of Co-operative Housing Societies, to transfer the ownership of the said flats to them. This process is carried on through Deemed Conveyance of the title of the buildings and land in favour of the Society or AOP without the need of the builder to do so.

IMPORTANCE AND PROVISIONS OF LAW ON CONVEYANCE:
As per the Housing Society bye-laws, the main objective of formation of the Society is to obtain the Conveyance; and if Conveyance is not given by the Builder within four months from the date of registration of the Society, a case can be filed against the Builder to obtain the Conveyance. As per Section 13 of Maharashtra Ownership Flats Act, 1963, failure to give Conveyance is an offence and the Builder can be imprisoned up to 3 years or fined or both.

ADVANTAGES OF CONVEYANCE:
1. Getting a proper and legal title in the name of the Society.
2. Retaining the additional FSI as per the Government announcements.
3. Property will be free and marketable.
4. Society can raise the loans for repairs and reconstruction by mortgage.
5. Permission from planning authorities is possible if the building has to be reconstructed at a later date due to dilapidation of the structure due to age or by earthquake.
6. Society can take the benefit of TDR.
7. Members can receive compensation from Builder on redevelopment of the building.
DISADVANTAGES OF NOT HAVING CONVEYANCE DEED
Even though you have purchased ownership flat, you are not the owner of the land and building. 2. In the event of a building collapse or damage to the building, you cannot reconstruct the building without the permission of the Builder / Land owner.
1. The Builder/Developer may mortgage the property purchased by you as he is the legal owner and holding the Title Deeds of the Property.
2. The Builder/Developer may tap the benefits in case the building is later taken up for redevelopment or if the plot has some unutilized floor space index.
3. The Builder may make profit by sale of open spaces, gardens, terrace, parking space belonging to the Society.
4. The Builder may demand a huge amount from the Society, if Conveyance is sought by the Society after a lapse of many years.
5. The Builder may sell the entire Development Rights and the Legal Rights on the land to third party and create a third party interest in the Property and the Society will have to incur a huge amount to clear the same.
CONDITIONS PRECEDENT FOR GETTING A DEEMED CONVEYANCE:
There are certain important conditions which need to be fulfilled to go ahead for deemed conveyance, some of them are:

1. At least 60% of the flats in that scheme should be sold.
2. A Co-operative Society or Association of Persons should have been formed of the flat-owners and at least 3-4 months should have been passed since then.
3. There should be communication between the builder and the society or AOP regarding Deemed Conveyance wherein the builder should have made a promise of completion of conveyance or refused to do the same.

PROCEDURE FOR FILING AN APPLICATION FOR DEEMED CONVEYANCE:
After the above mentioned conditions are fulfilled, the following steps shall be taken:
Write a letter /email to builder/ promoter requesting him to provide a draft of the SALE DEED/ CONVEYANCE DEED or providing the draft to him and requesting him to sign the same.
• If the Builder rejects or postpones the same, send him a legal notice through an advocate requesting for the same.
• Even then if the builder refuses, File an application with the Registrar of Co-operative Societies together with all the relevant documents and 2000 Rs. Court stamp fees.
• Self-attestation all the copies enclosed (by the society)
• The Competent Authority will assess the application and if any documents are missing he will ask the applicant to correct the mistake within fifteen days.
• Thereafter, notice would be sent to the promoter and the land owners.
• After receipt of the notice by the land owners and the promoters, the authority will hear both parties in the first hearing and ask both parties to produce further evidences in next hearing.
• Thereafter, second hearing would be held and if the builder or landowners do not attend both first and second hearing then the authority will pass an exparte order.
• Thereafter, the third and final hearing would be held and the authority would be held and order would be passed unless a legal question is raised.
• Normally the whole process is completed within a period of 6 months.
DOCUMENTS REQUIRED:
Further, the application required to be made with the Registrar shall be accompanied by copies of certain 20 odd documents which the society shall have to prepare or get prepared.

The papers required for doing Deemed Conveyance are as follows:
o Application Form 7 to the District Deputy Registrar, Co-operative Societies, affixing a court fee stamp of Rs 2,000 on the application
o Affidavit made before the Notary or Executive Magistrate True copy of the Society Registration Certificate
o Stamp duty paid and registered agreement copy of 1 individual flats/ shops with Builder/Developer
o List of members in prescribed format
o Index-II for each member as issued by the Sub-Registrar of Assurance
o Copy of the Development Agreement between land owner and builder
o Copy of the Power of Attorney between land owner and builder
o Copy of the legal notice issued to the original owner or developer for doing conveyance
o Details of corresponding address telephone number etc. of the original owner or developer
o Draft conveyance deed/ Declaration proposed to be executed in favour of the applicant

Documents to be obtained from City Survey Office, for submission:
o City (CTS) Survey Plan
o Property Registration Card or
o 7/12 extract of the Land
o Village form 6 (Mutation entries from Revenue Office)

Documents to be obtained from the Collector’s Office, for submission:
o Copy of the Non-Agricultural Order
o Certificate of the exclusion from Land Ceiling Act (ULC) Certificate

Documents to be obtained from the concerned Municipal Authority Office, for submission:
o Copy of the approved plan
o IOD
o Commencement Certificate
o Building Completion Certificate
o Occupation Certificate (not compulsory)
o Property taxes paid
o Location plan of the building

Documents to be obtained from other professionals, for submission:
o Search Report of the land issued by the Solicitor/Advocate
o Title Certificate of the Property issued by the Solicitor/Advocate (Search by minimum for last 30 years)
o Land Measurement Map/ Architect’s Certificate (layout plan of the plot)
o Certified copy from Panel Architect about the utilization of full FSI or FSI if any left in respect of the said property /Plot.
After, the Application is heard by the Registrar he may grant an order for deemed conveyance which shall then be produced before a court for execution and hence the conveyance may be done by a court order.
PROCEDURE:
Stage 1- Preparation for Deemed Conveyance
During this stage the Managing Committee prepares the Members of the Co- Operative Housing Society for Deemed Conveyance.
Stage 2- Documentation for Deemed Conveyance
During this stage the Documents Required for Deemed Conveyance are collected/ organized & the Case is prepared.
Stage 3- Legal Case for Deemed Conveyance
During this stage the case is filed before the Competent Authority & after contesting the same the Order & Certificate upholding the right of Deemed Conveyance of the Society is obtained.
Stage 4- Registration of Deemed Conveyance
During this stage the Deemed Conveyance Deed is Adjudicated, properly Stamped & Registered.
Stage 5- Transfer of Property after Deemed Conveyance
During this stage the Society Name is incorporated in the Land Revenue Records.
Let’s discuss each step in detail:

1. Preparation for Deemed Conveyance:
This is a very important stage where the Managing Committee prepares the Members of Co- Operative Housing Society for the Deemed Conveyance.
The Managing Committee convenes a Special General Meeting (SGM) of the Society by giving suitable notice highlighting the agenda.
The Managing Committee places before the SGM the difficulties faced for obtaining the Conveyance from the Land Owners/ Property Developers. The Managing Committee explains the effects of non- availability of Conveyance to the Members. The Managing Committee explains the Procedure & Benefits of Deemed Conveyance to the Members.
During this SGM the following Resolutions are typically passed.
1. Resolution for going ahead with Deemed Conveyance
2. Resolution for Appointment of Authorized Representative
3. Resolution for Appointment of Legal Consultant for Deemed Conveyance
4. Resolution for Per Member Contributions
2. Documentation for Deemed Conveyance:
This is the most crucial step in obtaining deemed conveyance. It is a very meticulous job and make sure all the documents are lined up within the right format. You would require land revenue records, municipal corporation records, society records, property development records and professional certificates.
All these documents can be obtained from various departments such as Land revenue records from City Survey Office, Tahasildar/Talathi Office & District Collector Office, municipal corporation records from Building Proposal Department of the Municipal Corporation. Society records and certificates can be obtained from society offices and professionals.
Once all the documents are lined up, society needs to fill in Deemed Conveyance Application- Form VII and attached all the related documents. In case of deemed conveyance, a legal notice is sent to the developer for their consent. In regular conveyance procedures, since the developers or promoters are willingly providing the rights lot of documents can be easily recovered from them.
Once the form is filled up and all documents are annexed it is submitted to the Competent Authority- the District Deputy Registrar of Co- Operative Societies of the particular District.
3. Legal Case for deemed conveyance:
Once the application is submitted to the authorities they issue Deemed Conveyance Scrutiny Report- Form VIII within 1 month. Once the compliance is provided the authorities issues Summons & Newspaper Notices to the Land Owners & Property Developers for appearing for the hearing.
During the hearing process authorities take into consideration the arguments of the both parties. The process takes place within 3-4 months. Once all the arguments are documented the office issues a Deemed Conveyance order within 1 month. The whole process is completed within 6 months as this is a time bound activity.
4. Registration of deemed conveyance:
A deemed conveyance deed is created during this phase and is signed by both societies and developers. If developers do not appear for hearing in the prior stage (Which is the case in deemed conveyance), authorities have the power to sign the deed on behalf of developers.
The society needs to conduct a meeting and appoint 3 members to sign the deed. Post that the deed is submitted to district stamp office for adjudication. If all the members have paid their stamp duty and if there is no balance FSI, the office issues adjudication certificate. (Note – Deed only requires Rs 100 stamp duty). The adjudication certificate needs to be then franked from local bank and resubmitted to registration office.
The registration office then issues notice to land owner/developer to verify if there is any stay order against the deed of conveyance. (Note – The developer can get the stay order only from high court). If there is no stay order the deed of deemed conveyance is registered and then the office issues scanned documents and Index II. This mark end of registration process and the society becomes the owner of the land and structure.
5. Transfer of property:
In this phase a new application is submitted to various departments to make mutation entries in their records. This would make the process complete.
FOR MORE DETAILS CALL:
VED LEGAL,
Adv. Gajanan Rahate
Mob: 9763040088
E_mail: [email protected]

By |February 15th, 2019|A complete guide to Deemed Conveyance|0 Comments

How to register the society and which documents required for it?

How to register the society and which documents required for it?

Ans: It is obligatory to apply for co-operative society or Association of Apartment within four months from the taking possession of galas/flats/shops/units by holders, necessary for forming the co-operative society or Association of Apartment according to provisions mentioned under section 10 of the Maharashtra Ownership Flat Act 1963 and rule 8 of Rules 1964 there under. While taking into consideration of these provisions it is necessary to make an application for getting permission for opening bank account by keeping the name of the proposed society reserve by the builder/promoters/chief promoter to the Registrar, co-operative societies in the concerned. It is necessary to make selection of the chief promoter in the primary meeting of the members. If not desire to work as Chief Promoter for some reason than in such situation, any member from the galas/flats/shops/units holder can be selected as a Chief Promoter. However while submitting proposal it is necessary to submit consent letter that builder promoters are ready to co-operate for the work of registering the society. Following papers are necessary for submitting the proposal for getting permission for opening the bank account.

1. Application for opening the bank account by reserving the name of the proposed society in the prescribed format. (On adhesive court fee stamp of Rs.25/-)
2. Copy of the minutes of primary meeting (in the prescribed format)
3. Photo copy of the sale deed/development agreement executed between the original owner of the land and builder promoter.
4. Photo copy of the 7/12 extract or the Property Registered Card.
5. Photo copy of the power of attorney if given to the builder, promoter by the original owner.
6. Copy of the order form competent office under Urban Land Ceiling Act 1976.
7. Detailed scheme of the proposed society and its nature
8. List of the proposed members.
It is necessary to submit the proposal for official registration within three months of the date of getting permission for opening bank account by reserving the name of the proposed society for registration. If for some inevitable reasons, it was not possible to submit the registration proposal in the prescribed time limit then it is necessary to submit an application for extension of time limit for submitting the proposal of registration by the Chief Promoter.

In case of registration, the chief promoter should have to submit following documents:-
1. Application for registration in the prescribed format under rule 4(1) of the Maharashtra Co-operative Societies Rules 1961-Form A (Annexure A)
2.
If the number of galas/flats/shops/units mentioned in the application submitted for registration is more than 10 then inclusion of promoter members for 51 per cent galas/flats/shops/units out of the total galas/flats/shops/units built or to be built in the said application. Otherwise, by preserving such proposal as immature, it is denied for registration. It is necessary that 51 per cent members out of the total members included in the application for registration should have to sign be their name. It is necessary that 10 members of the different families (Definition of the family) includes mother, father, son, husband, wife, unmarried daughter). Similarly minimum 10 members should be the residence in the jurisdiction of the society. As per prevalent policy of the government even less than 10 member’s society can be formed. However in such proposals the carpet /built up area of each galas/flats/shops/units should not be more than 700 sq. ft. Similarly it is also necessary to ensured that the entire F.S.I to be available as per prevalent constructions rules has been used and there is no possibility of additional construction work.

2. Form-B : Information of proposed society (In prescribed format)
3. Form-C : Information of Promoter Members
4. Form-D : Accounts statement (In prescribed format)
5. Detailed scheme of the proposed societies and its nature.
6. Balance statement of saving accounts in the Pune District Central Co-operative Bank (Share Capital of Rs.500 and in addition Admission fee of Rs.100/- of each promoter member and its total amount)
7. Original chalan of payment of Rs. 2,500/- as a co-operative housing societies registration fee paid in the Government Treasury.
8. A photo copy of the sale deed or Development agreement executed between original land owner and builder/promoters.
9. Photo copy of the 7/12 extract or Property Registration Card.
10. Photo copy of the Power of Attorney given to the builder promoters by the original land lord.
11. Photo copy of the NOC from the Charity Commissioner if the land is of Public Trust.
12. A photo copy of the land search report or title certificate from the advocate.
13. Photo copy of the order issued by the competent officer under Urban Land Ceiling Act.
14. True copy of the construction lay out approved by the Municipal Corporation.
15. Photo copy of the permission for commencing construction or of completion certificate issued by the Municipal Corporation.
16. Architect certificate endorsing to the construction of the building of the proposed society.
17. Minimum 10 persons affidavit on the stamp paper of Rs.20 (individual) regarding they are residence in the jurisdiction of the society and there is no residential house, open plot in their name or in the name of the other persons in the family depend on them in the jurisdiction of the society. (Affidavit should be made before the competent officer)
18. Guarantee letter of the Chief Promoter on the stamp paper of Rs.20/- in the prescribed format registered before the competent officer.
19. Guarantee letter of the builder promoters on the stamp paper of Rs.20/- in the prescribed format ‘Z’ registered before the competent officer and in accordance with that information in A B C D Table.
Table A: number of galas/flats/shops/units sale, name to whom it sale, area of the galas/ flats/shops/units and its price.
Table B: number of galas/flats/shops/units not sold and its area.
Table C: Name of the person to whom the galas/flats/shops/units was sold and total amount received from him.
Table D: Details of the expenditure, name of the person to him galas/flats/shops/units was sold, amount of the share capital, amount of the admission fee and price of the galas/flats / shops /units .
20. A photo copy of the registered agreement executed between the builder promoters and galas/flats/shops/units holder.
21. A photo copy of the receipt of the payment made in respect of the registration fee of the galas/flats/shops/units and stamp duty of the promoter members mentioned in the application made for registration.
22. The signature of the minimum 10 promoter members at the end of model bye laws no 175 is necessary.

Main objects of formation of a Society?

Ans: The main objects of the formation of a Housing Society are as under:
1. To obtain conveyance from the owner/Promoter (Builder), in accordance with the provisions of the Ownership Flats Act and the Rules made there under, of the right, title and interest, in the land with building/buildings thereon as described in the application for registration of the Society;
2. To manage, maintain and administer the property of the society;
3. To raise funds for achieving the objects of the society;
4. To undertake and provide, for on its own account or jointly with cooperative institution, social cultural or re-creative activities;
5. To provide Co-operative Education and Training to develop co- operative skills of its Members, Committee Members, Officers and Employees of the Society.
6. To do all things, necessary or expedient for the attainment of the objects of the society, as specified in the bye-laws.

Laws Applicable to Co-Operative Society

Laws Applicable to Co-Operative Society

The Cooperative Societies Act, 1912 expanded the sphere of cooperation between its members and provided for supervision by central organization. A cooperative society, which has its object the promotion of the economic interests of its members in accordance with the co-operative principles may be registered with limited or unlimited liability by filing application to the registering authority with requisite documents to be submitted by them
A Co-operative Society has to conduct itself as per the following listed below:
1. Co-operative Societies Act under which the same is registered whether it be under state Act or Central Act.
2. Co-operative Societies rules made there under whether it be central or state rules
3. Bye-laws approved by the registrar at the time of registration and amendments made from time to time and approved by the registrar, these bye-laws have to be formed by the concerned members themselves and present it to the registration authority for its approval.
4. Notification and Orders by the concerned Government
The following steps have to be followed while forming a Co-operative society, they are
Step 1: Ten Individuals together who are desirous of forming a Society
To form a society, law mandates that 10 members minimum must show intention to be part of the society having same aim and objective to be achieved through the society for their mutual benefit and thereby be desirous to be part of it.
Step 2: Provisional Committee to select Chief Promoter
Once a group of individuals have a desire to form a society the next step should be there must be a provisional committee of which everyone is part of and all of them should by mutual consent or by majority whichever their prefer must choose a person who will be a chief promoter of the society which is going to be formed by them.

Step 3: A Name for the Society has to be selected
Thereafter once a chief promoter is selected by set of individuals among them, they have to select a name for the co-operative society which they wish to form
Step 4: Application has to be made to the Registration Authority
Once the name of the society is selected by the members then they have to make a application to the registration authority stating that they have a intention to form a society and the name of the society has to be given to the authority for its approval and registering authority has to confirm that name is in conformity with laws and issue a confirmation certificate to the members. Then when the members get their name approval from the authority it is valid for 3 months from the date of approval.
Step 5: entrance fees and share capital
Thereafter once name approval comes from the concerned authority, the entrance fee and the share capital must be collected from the concerned prospective members to meet the statutory requirements under law and it can be prescribed by the members themselves or society act mandates certain fees to be paid by them.
Step 6: Bank Account
Thereafter once the prescribed fee and share capital is collect from the prospective members, then as per the directions of the registering authority promoter has to open a bank account in the name of the society and deposit the said fees and share capital in that account and a certificate has to be obtained from the bank to that effect
Step 7: Application for registration
Once the bank formalities are completed then the promoter has to apply for the society formation to the registration authority and it has to be accompanied with set of documents, they are
Form No. A in quadruplicate signed by 90% of the promoter members
1. List of promoter members
2. Bank Certificate
3. Detailed explanation of working of the society.
4. Four copies of proposed bye-laws of the society.
5. Proof of payment of registration charges.
6. other documents such as affidavits, indemnity bonds, any documents specified by the Registrar also have to be submitted.
All these documents have to be submitted at the time of applying for registration of the society to the registering authority and the authority after it is satisfied with the documents submitted to it has to apply its mind to whether or not to register the said society.
Step 8: Registrar has to acknowledge
After the submission of the said documents has mentioned in step 7, the registrar of that municipal ward has to enter the particulars in the book called the “register of Application” which is generally specified in form B and give it a serial number to the application. Thereafter the registrar has to issue a receipt to that effect and give it to prospective members to know the status of the application when it is pending.
Then the registrar after perusal of the records submitted to him/her has to make a decision whether has to issue a certificate of registration or not and if there are any discrepancies noticed then he/she has to inform the members of the same and get it rectified if any.
Step 9: Registration
Last step is that the registering authority after being satisfied with the documents meeting the legal requirements will notify the registration of the society in the official gazette mentioned by the state or central government and should issue the registration certificate of the society and give it to the members of the society.
Conclusion
In India, Co-operative Societies were regarded as ideal instruments to motivate the people to come together and help themselves in the process of eliminating the unscrupulous middlemen making a huge profit at the expense of the society.
The main guiding factor if an individual or group of individuals want to form a society must be whether all the concerned members have common goal to achieve or not, it is important factor because only when they share common desire or intention then only society is desirable otherwise the whole purpose of forming a society will be defeated.
Societies like any other business structure come with certain advantages and disadvantages, they are:
Advantages
• Cooperative stores supply quality goods unlike other shops wherein adulterated foods maybe given to its consumers and thus saved them from adulteration and other malpractices.
• As consumers or members of the society are the owners and managers of such stores, genuine requirements of the majority of consumers can be met. In other words, goods required by a majority of the customers or members of the society are always dealt by such stores.
• Cooperative societies are an important form of democratic business enterprise because ownership is not vested in one person completely so as a result, no single group can secure control over the organization.
Disadvantages
• It only caters to the needs of small and medium-income groups so when there are large group with higher economic interest then it is preferable to choose another business model.
• There is much dependence on the honesty, integrity and loyalty of members and workers and once there are trust issues between the members it is hard to transact business thereafter.
• It is limited to certain objectives hence profits are minimal.
• Management of society usually rests in the hands of people with less managerial experience due to which society will suffer and many do not invest in hiring professionals to handle the society due to lack of funds or interest so henceforth growth of the society maybe put to stake by its own members.

By |February 14th, 2019|Laws Applicable to Co-Operative Society|0 Comments

COMPARISON BETWEEN A CONDOMINIUM AND A SOCIETY

COMPARISON BETWEEN A CONDOMINIUM AND A SOCIETY

Though the condominium is more than a forty year old ownership concept for buildings in Mumbai, it is the cooperative society model which has been the most popular so far. However, in recent times, the concept of a condominium is slowly gaining momentum. Buyers who purchase premises on an ‘ownership’ basis require to come together to manage the building and for that purpose, one of the ways is to form a cooperative society, which is governed by the Maharashtra Cooperative Societies Act, 1960.

An alternative to a cooperative society was introduced by the Maharashtra Apartment Ownership Act, 1970, which provides for the formation of a condominium. The buyers of premises in a condominium are called apartment owners who form an association known as an ‘association of apartment owners’, in case of both, residential as well as non-residential premises.

Although the basic purpose of both the models is similar, there are many differences between a society and condominium, some of which are:

FORMATION: To form a society, generally 10 persons, each from a different family who reside in the area of operation of the society (within the same city) and who have taken premises in the building, would be required. However, even one person who owns the entire building can form a condominium provided there are at least five apartments in the building.
OWNERSHIP: In the case of a society, the title of the land and the building is conveyed to the society, which becomes the owner thereof. Persons who have purchased premises are made members of the society and are allotted the particular premises. In the case of a condominium, the title of each apartment rests with the apartment owner, who also has a proportionate undivided interest in the land on which the building stands, the common areas and facilities of the building.
BY-LAWS: A society adopts the model bylaws in which little can be changed. While adopting the bylaws in a condominium, suitable changes can be made, so long as the provisions of the Act are not contravened.
SHARE CERTIFICATE: A society issues certain shares to its members, as per the bylaws and the share certificate becomes an important title deed, since the allotment of the premises are related thereto. This is not so in a condominium.
MANAGEMENT: The affairs of the society are managed by the managing committee, which is elected by the members of the society. The managing committee elects a chairman, secretary and a treasurer. Similarly, the affairs of a condominium are managed by the board of managers, who are elected by the members of the apartment owners association. The board also elects a president, vice-president, secretary and a treasurer.
TRANSFER FEES: Under the model bylaws, a society can charge only Rs 500 as transfer fees and a maximum of Rs 25,000 as a premium. In case of a condominium, the bylaws can be more flexible and the amount of transfer fees can be provided therein.
PERMISSION TO LET: In a condominium, the owner can give his apartment on lease or leave and license basis without the approval of the board of managers, while in a society, permission is required.
VOTING RIGHTS: In a society, every member has one vote, irrespective of the area of his premises. In a condominium, every apartment owner has a voting right in proportion to the value of his premises, which is generally as per the area of the apartment owned by him and which is defined while forming the condominium.
DISPUTES: In a society, disputes are generally referred to the registrar appointed under the Act or to a cooperative court, depending on the nature of the dispute. In the case of a condominium, the court having jurisdiction over the area in which the condominium is located, hears the disputes.

EXPULSION: A society can expel its member under certain extreme circumstances. In case of a condominium, there is no such provision. However, if an apartment owner fails to comply with the bylaws or the rules and regulations, either damages or injunctive relief or both can be claimed against him.
NOMINATION: In a society, a member can nominate a person in whose favour shares of the society should be transferred upon the member’s death. No such facility is available in a condominium. An apartment can be transferred to a person to whom the apartment owner bequeaths the same by his will or to the legal representative of the apartment owner’s estate

By |February 14th, 2019|COMPARISON BETWEEN A CONDOMINIUM AND A SOCIETY|0 Comments