Case Note & Summary
The appellant, Southern Nagpur Co-operative Housing Society Ltd., challenged the judgment of a learned Single Judge dismissing its writ petition against the order of the Maharashtra State Co-operative Appellate Court. The respondent No.1, a member of the society, had filed a dispute under Section 91 of the Maharashtra Co-operative Societies Act, 1960, seeking declaration that he was entitled to allotment of a plot based on a resolution of 1966. He had deposited two installments of Rs. 1,500 each in 1968 and 1972, but the society rejected his claim citing dishonour of the cheque for the second installment. The Co-operative Court allowed the dispute, and the Appellate Court affirmed. The society argued that the Co-operative Court lacked jurisdiction, the claim was barred by limitation, and the matter was res judicata due to an earlier civil suit. The High Court held that the dispute touched the business of the society and was within the jurisdiction of the Co-operative Court under Section 91. The claim was not barred by limitation as the cause of action arose when the society rejected the claim in 1981. The earlier civil suit did not operate as res judicata as it was for different relief. The appeal was dismissed, upholding the orders of the lower courts directing the society to allot a plot to the respondent.
Headnote
A) Co-operative Law - Jurisdiction of Co-operative Court - Section 91 of Maharashtra Co-operative Societies Act, 1960 - Dispute between member and society regarding allotment of plot - The Co-operative Court has jurisdiction to decide disputes touching the business of the society, including allotment of plots to members. The court held that the dispute regarding allotment of plot is a dispute touching the business of the society and is maintainable under Section 91. (Paras 5-10) B) Limitation - Applicability of Limitation Act, 1963 - Section 3 - Dispute filed in 1982-83 regarding allotment based on resolution of 1966 - The court held that the claim is not barred by limitation as the cause of action arose when the society rejected the claim by letter dated 16/5/1981, and the dispute was filed within three years thereafter. (Paras 11-13) C) Res Judicata - Principle of res judicata - Earlier proceedings in Civil Suit No. 123 of 1975 - The court held that the earlier civil suit was for different relief and did not operate as res judicata as the subject matter and parties were not identical. (Paras 14-15)
Issue of Consideration
Whether the Co-operative Court has jurisdiction to entertain a dispute regarding allotment of plot by a housing society to its member under Section 91 of the Maharashtra Co-operative Societies Act, 1960, and whether the claim is barred by limitation or res judicata.
Final Decision
The appeal is dismissed. The judgment of the learned Single Judge and the orders of the Co-operative Court and Appellate Court are upheld. The society is directed to allot a plot to the respondent in accordance with the resolution of 1966.
Law Points
- Jurisdiction of Co-operative Court under Section 91 of Maharashtra Co-operative Societies Act
- 1960
- Dispute between member and society
- Limitation for filing dispute
- Res judicata
- Estoppel
