progress

We Run Societies

Can society propose to society members to start paying maintenance 2 months in advance(from feb 2015). Is this legal?


02 January 2015 sandeep, pune

Hi,

we are going to take handover from builder on1st apr 2015. As per our agreement with builder he is not going to give us any amount in society account.so we want to propose to society members to start paying maintenance 2 months in advance(from feb 2015). is this legal?

Or will it cause some problem during audit? We want to be legally correct.

Society Maintenance Charges


Add comment


Post

Comments (15)


  1. Societyhive support
    03 January 2015

    Dear Sandeep,

    This is not just a legal question. We will have to understand your complete situation including reviewing your agreement document (with the builder) before recommending. Below are few factors that may help you:

    Generally, builders ask for a one time amount. They take an amount as initial contribution towards initial maintenance. However, almost all the time builders will keep an open ended clause in the agreement stating that they can change the amount depending on expenses. There can be situations with builders where cost really goes higher than planned. This could be due to genuine cost rise or date of handover may happen at much after the planned date.

    Practically, yes, a society can ask for maintenance and shouldn't be a problem in the audit.

    Often the problem happens when the builder has run out of money or not willing to spend further on maintenance. In such a situation, society has choice to either take control in their hands or go to consumer court. Getting verdict from any court is a time consuming process so always better to run the society and go to courts after that (if at all you want to take the legal track).

    Answer
  2. sandeep
    03 January 2015

    Hi, thanks for the reply.

    In our case the builder is going to mainain the society till march 2015. After that from apr 15 we have to manage it. As on 1st april 2015 we need money to pay, can we ask the members to pay the maintenance in advance.

    Regards,
    Sandeep

  3. Societyhive support
    03 January 2015

    Of course yes. How would the managing committee run the society otherwise. You mentioned that the builder is not giving any amount in society account. This means, you'll have to collect money in advance from everyone to form a workable fund to start with. You not only have to get ready financially, you should get ready legally and operations wise to do smooth handover of everything and for functioning of society after the builder has left.

    You could hire our services to help you in handover process from the builder and also for operations of your society. This includes legal consulting, management, planning and all other activities that is required to setup and run a housing society.

  4. Miteysh Shah
    12 February 2015

    In my case society is asking 2 months advance maintenance to pay forcibly without any reason. If not paid they are charging late fees per day.
    Can i refuse it or i am bound to pay ?

  5. Societyhive support
    12 February 2015

    Dear Miteysh,

    This depends on the general body resolution. If they have opted for quarterly, half yearly or monthly in advance you must pay.

    Else, suggest you write to society expressing the fact that it’s not possible to pay in advance but will pay monthly before the 5th of each month.

  6. ashok kumar
    13 April 2015

    builder is asking 24 months maint. charges as advance payment at time of possession . it is legally right ? what is rule ?

  7. chetan padhiyar
    15 April 2015

    Dear Sir,

    My Quotation is if Builder Not Done his work Proper in newly made Society, and they want to handover society, is genuine? very body's flats has many little problem like water proofing , wall crashing, plaster damage, plumbing, water in parking at time rain. electric filing, can we handover society from builder or we asking him to complete or solve this issued before handover. and also before handover they will asking monthly maintenance again is genuine. we already paid advance maintenance at time booking.

  8. Societyhive support
    16 April 2015

    Dear Ashok,

    You should check your agreement document that you have signed with the builder. If you have such clause you have to pay else you can negotiate with the builder. Its common that builder put such clause and unfortunately most home buyers do not take those sections seriously enough.

  9. Societyhive support
    16 April 2015

    Dear Chetan,

    Taking over from the builder and builders responsible for work are two different aspects. Builder's liabilities remains even after the society handover.

    Unfortunately, this is a common problem with builders. In such case, we recommend residents to first take control of the society. Get hold of all that you can including operations, society handover, amenities, corpus, etc. Once you have an association (condominium or cooperative society), you can fight with the builder together. Fighting with the builder now will make it very difficult for your society.

    While signing the legal documents you write or stamp "Accepted subject to verification and without prejudice to our rights" on all the documents instead of just writing "Received".

    After getting all the documents, get it inspected throughly to ensure you are starting your society operations on right footing. Once you have got the documents reviewed and handover done, you can follow up with the builder and get most of what you can. Finally, if not resolved, you can approach the consumer court.

  10. Chetan Padhiyar
    16 April 2015

    Dear Sir, can Bulder ask again Maitanace Charge ? we take posssation just Nov-2014 and give him advance maitanace for one year now builder write for 500/- per month maitance at scoeity notice board is genuine?

  11. jagdish
    30 January 2016

    WHAT IS ADVANCE RATE PAID TO SOCIETY ? WHEN ADVANCES AS TO BE MADE ?

  12. jagdish
    30 January 2016

    WHAT IS ADVANCE RATE PAID TO SOCIETY ? WHEN ADVANCES AS TO BE MADE ?

  13. Sanjay
    27 June 2017

    In my case builder has taken two years maintenance charges and as per agreement charges are for two years from date of possession.
    I have taken possession in nov2015 and as per agreement clause i have paid up to nov2017 i.e. two years from date of possession.
    Now my society is asking to pay me maintenance charges from may2017 as majority of people have taken possession in May2015.

    Can the society charge me from may2015 ?

  14. sandeep
    16 April 2018

    Newly Managing Committee, decided to collect Maintenance on Quarterly because Builder was collecting the same.
    This proposal yet to Pass on GBM and so far GBM was not done.
    And the due date of Quarterly Maintenance was just 7 days that suppose tome between 45 to 60 days as per my understanding. Pls suggest wht to do?

  15. Nishi A
    2 weeks ago

    My society is forcing me to pay for mahanagar Gas connection in my flat without my permission. I have informed Mahanagar gas about this and they made it cleat that it is an optional facility & society cannot be forced. But my society has added the installation charges in my maintenance bill are are not ready to deduct it. Can you please tell under what Act of Maharashtra Co-op Society Act I can stop this unlawful action by the society

  16. Disclaimer: We are providing this information as a public service. We try to make it accurate as of the date noted in the materials. Sometimes the laws change. We cannot promise that this information is always up-to-date and correct. You should consult your lawyer or contact our legal advisers and get into greater detail before taking legal action.