Bombay High Court Mandates Higher Maintenance Fees for Larger Apartments

MUMBAI: The Bombay High Court has ruled that owners of larger apartments in housing complexes must pay higher maintenance charges, aligning with the provisions of the Maharashtra Apartment Ownership Act, 1970. The decision clarifies the distinction between flats and apartments under Maharashtra’s housing laws, impacting how maintenance fees are calculated in residential complexes.

The ruling stemmed from a dispute at Treasure Park, a residential complex in Pune comprising 356 flats across 11 buildings. The condominium’s managing body had implemented a resolution to charge equal maintenance fees for all flat owners, regardless of apartment size. However, the court overturned this, emphasizing that under the 1970 Act, maintenance charges for apartment-condominiums must be proportionate to the carpet area of each unit. This reflects the legal framework where apartment owners are considered co-owners of the entire property, including common areas and land.

In contrast, the Maharashtra Ownership Flats Act, 1971, which governs most cooperative housing societies, typically mandates equal maintenance charges per flat. The court’s decision highlights the legal nuances between the two acts. Under the 1971 Act, flat owners hold individual units and access to common amenities, but lack ownership of an undivided share in the property’s land and common areas, unlike apartment owners under the 1970 Act.

This ruling establishes a precedent for apartment-condominiums in Maharashtra, ensuring that maintenance costs are distributed based on the size of each unit. The decision aims to reflect the proportional ownership structure outlined in the 1970 Act, where larger apartments bear a greater share of maintenance expenses due to their increased stake in the property’s common areas.

The Bombay High Court’s judgment, reported by Hindustan Times, underscores the importance of adhering to the specific legal frameworks governing housing societies. It serves as a reminder for condominium managing bodies to align their maintenance policies with the appropriate legislation, ensuring fairness in cost allocation based on apartment size.

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