Short Answer

Yes, a society can restrict you from using your flat for any income-generating activity.

Detailed Explanation

Rule 53 of the Gujarat Cooperative Societies Rules, 1965 empowers the society to regulate the use of flats within its premises. This rule allows the society to make by-laws regarding the purpose for which flats can be used. Typically, societies have the authority to prohibit any commercial or income-generating activities within the residential premises to maintain the residential character of the society.

Furthermore, Section 26 of the Gujarat Cooperative Societies Act, 1961 provides the society with the power to enforce these by-laws and take action against members who violate them. If a member uses their flat for income-generating activities against the society's regulations, the society can levy fines, issue warnings, or even take legal action to stop such activities.

In practice, societies often have clear by-laws specifying the permissible uses of flats, which may include restrictions on running businesses, renting out for commercial purposes, or using the premises for any activity that disturbs the residential environment. These rules are essential for maintaining harmony among the residents and ensuring the smooth functioning of the society.

For example, if a member starts a home-based catering business from their flat, the society can intervene and ask them to cease the commercial activity as it violates the by-laws. Similarly, renting out a flat on Airbnb or using it as a commercial office space would also be prohibited under most society regulations.

In such scenarios, the society would typically issue a notice to the member, asking them to stop the income-generating activity. If the member fails to comply, the society may escalate the matter by imposing fines or taking legal action as per the provisions of the Act and Rules.

Reference

• Rule 53 of the Gujarat Cooperative Societies Rules, 1965: Official PDF

• Section 26 of the Gujarat Cooperative Societies Act, 1961: Official PDF