Bombay High Court Rules Larger Flats Must Pay Higher Maintenance Fees

The Bombay High Court has ruled that flat owners with larger apartments in Maharashtra’s apartment condominiums must pay higher maintenance charges, in line with the Maharashtra Apartment Ownership Act, 1970. The judgment clarifies the distinction between the Maharashtra Ownership Flats Act, 1971 and the Maharashtra Apartment Ownership Act, 1970, which determine how maintenance is calculated. Under the 1971 Act, common in co-operative housing societies, maintenance is usually charged equally per flat. However, under the 1970 Act, applicable to apartment-condominiums, charges must be proportional to the carpet area of each unit, as owners hold an undivided share in the common property.

The case arose from a dispute in Treasure Park, a Pune residential complex with 356 flats in 11 buildings. In 2022, its managing body resolved to collect equal maintenance from all owners, regardless of flat size. Owners of smaller flats challenged this, arguing it violated the law, which mandates that maintenance costs be shared according to each owner’s share in the common areas—linked directly to the apartment size. The deputy registrar of co-operative societies agreed with them, ordering proportional fees.

Larger flat owners contested the order before the Co-operative Court in Pune, which dismissed their plea in May 2022. They then approached the Bombay High Court, claiming maintenance funds were for equally used common areas and that assuming larger flats house more residents—and therefore must pay more—was unfair.

Justice Milind Jadhav rejected this argument, citing both the Act and the condominium’s declaration, which require proportionate charges. He emphasised that larger units have a greater undivided interest in the property’s land and amenities, justifying higher contributions.

The ruling reinforces that under the 1970 Act, apartment owners are co-owners of the land and common areas, unlike under the 1971 Act where ownership is limited to individual units with access to shared facilities. The judgment ensures that maintenance costs reflect property size and ownership share, bringing clarity to disputes over charges in Maharashtra’s apartment complexes.

In summary, the Bombay High Court ruled that larger apartment owners in Maharashtra condominiums must pay higher maintenance under the 1970 Act, which bases charges on carpet area. In a Pune dispute, smaller flat owners won against equal fees, with the court affirming proportional charges to reflect ownership share in common property.