Mumbai Housing Society Queries: ‘A Nominee Holds Property On Behalf Of Legal Heirs,’ Says Expert

Confusion over housing society rules, nominations, and property rights continues to trouble many Mumbai residents. Addressing some of the most common concerns, Sharmila Ranade, a legal expert associated with the Mumbai Grahak Panchayat, has clarified key aspects related to SRA societies, society bylaws, authority of office staff, and the legal status of nominees in cooperative housing societies.

Are SRA Society Laws Different From Private Societies?

Answering a query from a Worli resident, Ranade explained that all cooperative housing societies in Maharashtra are governed by the Maharashtra Cooperative Societies (MCS) Act. Every society must adopt the model bylaws prescribed under the Act or amend them by following the procedure laid down in Bylaw 166.

However, societies developed under the Slum Rehabilitation Authority (SRA) scheme are subject to additional restrictions. These restrictions, imposed under the Maharashtra Slum Areas (Improvement, Clearance and Redevelopment) Act, relate to matters such as transfer of ownership, renting out flats, and sale permissions.

While the MCS Act applies uniformly to all registered societies, SRA societies must comply with both the Act and the conditions imposed by the SRA. Such societies may incorporate SRA-specific restrictions into their bylaws with the approval of the assistant registrar (SRA).

Residents looking for a copy of the model bylaws can purchase them from the Mumbai Housing Federation office in Fort, local bookshops, or online e-commerce platforms.

Can Office Staff Issue Threatening Letters?

In another query from Bandra, a resident raised concerns over a letter issued by society office staff threatening to break bathroom tiles following a complaint from a lower-floor neighbour.

Ranade clarified that office staff work strictly under the instructions of the managing committee. Any letter issued without authorisation from the secretary, chairman, or managing committee cannot be considered valid.

She further noted that issuing threatening letters is inappropriate and reflects poor governance. Residents facing such issues should seek written clarification from the managing committee, which holds ultimate responsibility for managing the affairs of the society.

Who Owns A Flat After The Death Of A Nominee Holder?

Responding to a complex query from Powai, Ranade explained a crucial legal principle that often causes confusion: a nominee is not the owner of the property.

In the case where a flat owner dies intestate (without a Will), the nominee merely acts as a trustee, holding the property on behalf of the legal heirs. Under the MCS Act, nominees must submit either a succession certificate or a family arrangement identifying the rightful heirs.

Ranade advised that all legal heirs should execute a registered family arrangement clearly specifying how the property and shares will be distributed. If one heir—such as a daughter-in-law—is not interested in her share, she can execute a release deed in favour of other heirs.

She also clarified that legal heirs automatically gain rights, and a fresh nomination is not required to protect their interest. Once the necessary documents are submitted, the society will admit the heirs as joint members, with the first holder acting as the main contact person.

Key Takeaway For Flat Owners

Ranade emphasised that misunderstanding society laws often leads to unnecessary disputes. Knowing the difference between nomination and ownership, understanding the authority structure within societies, and following proper legal procedures can help residents avoid prolonged conflicts.

For Mumbai’s growing cooperative housing community, clarity on these issues is essential to protect property rights and ensure smooth society management.