Society maintenance billing dispute in Mumbai and other Metro cities primarily arise due to lack of communication from managing committees, unapproved extra charges (e.g., for tankers), or backdated decisions. Members who are facing such disputes should gather evidence (bills, emails, AGM minutes) and initiate collective action with other members.
Recently, an important ruling from Mumbai’s Co-operative Court in January 2025 was faed with the issue whether a society can charge maintenance on a per-square-foot basis instead of a per-unit billing method. The case involved advocate Abha Singh and Trade World Premises Co-operative Housing Society Limited.
The court restrained the society from charging maintenance on a per-square-foot basis, mandating a per-unit billing method instead. Judge SK Devkar ruled that charging based on flat size lacked rational basis under Section 79 of the Maharashtra Co-operative Societies Act and violated a 2000 state government order. This stemmed from Singh’s challenge to bills totaling ₹10,77,740 in 2023, which varied monthly without explanation. The court found this practice illegal, ordering societies to issue uniform per-unit bills until disputes are resolved.
A similar view has been taken by the Bombay High Court and it has been emphasized that maintenance for shared services (like security, lifts, or common areas) should be equally distributed among members, not scaled by flat size, unless the society’s bye-laws explicitly allow it and all members agree. However, many societies still charge per square foot, especially for amenities tied to usage or property size, leading to frequent conflicts.
Maintenance billing disputes in Mumbai’s cooperative housing societies often revolve around how charges are calculated—whether per square foot or per unit/flat—and issues like transparency, arbitrary billing, or non-payment.
If you’re facing a similar dispute, here’s what you can do:
Check Society Bye-Laws: Review your society’s registered bye-laws (typically Bye-Law No. 65-71 under Maharashtra’s model bye-laws) to see how maintenance is defined and apportioned. These often specify equal sharing for common expenses but may allow proportional charges for certain costs (e.g., water or repairs).
Request Transparency: Demand a breakdown of the maintenance bill. The managing committee must justify charges, and inconsistent or unexplained amounts (like in Singh’s case) can be legally challenged.
Legal Recourse: If unresolved internally, escalate it to the Registrar of Co-operative Societies or file a case in the Co-operative Court. The 2025 ruling sets a precedent you could cite if your society charges per square foot without legal backing.
Non-Payment Risks: Courts, including the Bombay High Court, have ruled that non-payment of maintenance is a serious violation of bye-laws, potentially leading to penalties or restricted access to amenities. If you dispute the bill, pay under protest and seek resolution rather than withholding payment entirely.