Short Answer

In the absence of a specified method in the by-laws, the Gujarat Cooperative Societies Act, 1961 provides guidance on splitting maintenance.

Detailed Explanation

Section 61 of the Gujarat Cooperative Societies Act, 1961 addresses the issue of maintenance charges in cooperative societies. This section empowers the society to levy maintenance charges on its members for the upkeep of common areas and facilities. In the absence of a specific method mentioned in the by-laws for splitting maintenance charges among members, the society can follow a fair and equitable method to distribute the expenses.

Furthermore, Rule 70 of the Gujarat Cooperative Societies Rules, 1965 supplements Section 61 by providing guidelines on the calculation and distribution of maintenance charges. The rule emphasizes the importance of transparency and fairness in determining the maintenance charges payable by each member. It suggests considering factors such as the size of the unit, amenities availed, and other relevant criteria to ensure a just allocation of maintenance expenses.

In practice, cooperative societies without a specified method in their by-laws can convene a general body meeting to discuss and decide on a suitable approach for splitting maintenance charges. Members can collectively agree on a formula that takes into account factors like unit size, usage of common facilities, and financial capabilities of individual members.

Practical Examples

• Scenario: A cooperative housing society lacks clarity on how to split maintenance charges among its members due to vague by-laws. The managing committee calls for a special meeting where members propose a formula based on the size of the units and the number of occupants.

• Scenario: In a commercial cooperative society, disputes arise over the unequal distribution of maintenance expenses. Following Section 61 and Rule 70, the society conducts a detailed assessment of each unit's usage of common facilities to determine a fair allocation method.

• Scenario: A newly formed cooperative society faces challenges in setting maintenance charges without specific guidelines in the by-laws. Members collaborate to establish a transparent system based on square footage, amenities used, and financial capabilities.

References

• Section 61 of the Gujarat Cooperative Societies Act, 1961: Official PDF

• Rule 70 of the Gujarat Cooperative Societies Rules, 1965: Official PDF