Parking, Common Areas, and By-Laws
Are societies allowed to sell common land or convert it (for example, selling land for redevelopment)?
Written By: GatePal Analyst
Last Updated on
Short Answer
Societies are generally not allowed to sell common land or convert it without following specific legal procedures outlined in the Gujarat Cooperative Societies Act, 1961 and Rules.
Detailed Explanation
Section 35 of the Gujarat Cooperative Societies Act, 1961 states that the society can sell or lease its land only with the prior approval of the Registrar. This means that any sale or conversion of common land must be approved by the Registrar of Cooperative Societies. The society needs to follow the prescribed procedure and obtain necessary permissions before proceeding with any such transaction.
Rule 58 of the Gujarat Cooperative Societies Rules, 1965 provides detailed guidelines on the process of selling or converting common land. It specifies that a society must convene a general meeting of its members, pass a resolution with a specified majority, and then seek approval from the Registrar. The rule also outlines the documentation required and the conditions that need to be met for such transactions.
In practice, before selling or converting common land, the society must inform all its members about the proposed transaction, hold a general meeting, and obtain the necessary consent. The society should then submit an application to the Registrar along with all required documents for approval. Only after receiving the Registrar's approval can the society proceed with the sale or conversion of common land.
Real-world Scenarios
Scenario 1: A cooperative housing society wants to sell a portion of its common land for commercial development. The society must follow the procedure outlined in Section 35 of the Act and Rule 58 of the Rules, including obtaining approval from the Registrar and member consent.
Scenario 2: A cooperative society plans to convert its common land into parking space for additional revenue. The society needs to adhere to the legal requirements, hold a general meeting, and obtain necessary approvals before making any changes.
Reference
Section 35 of the Gujarat Cooperative Societies Act, 1961
Rule 58 of the Gujarat Cooperative Societies Rules, 1965
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