High Court Upholds Petitioners in Co-operative Society Dispute — Jurisdictional Issues Addressed. The court clarified that redevelopment disputes do not fall under the jurisdiction of the Co-operative Court as they do not pertain to the business of the society under Section 91 of the MCS Act, 1960.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The case involved multiple writ petitions filed under Article 227 of the Constitution of India concerning disputes within the Everard Co-operative Housing Society Ltd. The petitioners, who were members and officials of the society, challenged the decisions of the Maharashtra State Co-operative Appellate Court that restored disputes to the Co-operative Court for adjudication. The disputes arose from allegations regarding the legality of meetings and resolutions related to the redevelopment of the society's premises. The petitioners contended that the Co-operative Court lacked jurisdiction to hear these disputes, as they pertained to redevelopment, which they argued did not constitute the 'business of the society' as defined under the Maharashtra Co-operative Societies Act, 1960. The respondents, on the other hand, argued that the disputes were valid under the Co-operative Court's jurisdiction, as they involved the conduct of general meetings. The court analyzed the nature of the disputes and the relevant provisions of the MCS Act, concluding that redevelopment issues should be addressed by the Civil Court, not the Co-operative Court. The court ultimately upheld the petitioners' position, emphasizing the need for jurisdictional clarity in disputes involving co-operative societies and redevelopment matters.

Headnote

A) Co-operative Societies Law - Jurisdiction of Co-operative Court - Disputes related to redevelopment - MCS Act, 1960, Section 91 - The court held that disputes concerning redevelopment do not fall under the jurisdiction of the Co-operative Court as they do not pertain to the business of the society. The court emphasized that the jurisdiction of the Co-operative Court is limited to matters specified under Section 91, and redevelopment disputes must be adjudicated by the Civil Court (Paras 30-34).

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Issue of Consideration

Whether the Co-operative Court had jurisdiction to entertain disputes related to the redevelopment of the society premises.

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Final Decision

The High Court upheld the petitioners' contention that the Co-operative Court lacked jurisdiction to adjudicate the disputes related to redevelopment, emphasizing that such matters should be addressed by the Civil Court.

Law Points

  • Co-operative Society Jurisdiction
  • Redevelopment Disputes
  • MCS Act
  • 1960
  • Article 227
  • Civil Court Jurisdiction
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Case Details

2026 LawText (BOM) (09) 64

WP-9817-2026

2026-09-18

N. J. Jamadar

Saket Mone, Abhishek Salian, Ayesha Dhorajiwalla, Pravin Samdani, Vineet Naik, Akash Rebello

Anthony Irineus Carneiro, Hayley Maria Misquitta

Francis Colaco, Raymond Nogueira, Mathew Sunny, Everard Co-operative Housing Society Ltd, Hon’ble Chairman, Hon’ble Secretary, Hon’ble Treasurer

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Nature of Litigation

Disputes regarding the management and redevelopment of a co-operative housing society.

Remedy Sought

Petitioners sought to quash the orders of the Co-operative Appellate Court restoring disputes to the Co-operative Court.

Filing Reason

Petitioners contended that the Co-operative Court lacked jurisdiction over redevelopment disputes.

Previous Decisions

The Co-operative Court had previously returned the disputes to the petitioners for presentation to the Civil Court.

Issues

Whether the Co-operative Court had jurisdiction to entertain disputes related to redevelopment. Whether redevelopment constitutes the business of the society under the MCS Act.

Submissions/Arguments

Petitioners argued that redevelopment does not fall under the business of the society, thus the Co-operative Court lacks jurisdiction. Respondents contended that the disputes pertained to the conduct of general meetings, which are within the Co-operative Court's jurisdiction.

Ratio Decidendi

The court held that disputes concerning redevelopment do not fall under the jurisdiction of the Co-operative Court as they do not pertain to the business of the society as defined under Section 91 of the MCS Act, 1960.

Judgment Excerpts

Rule made returnable forthwith, and, with the consent of the learned Counsel for the parties, heard finally. The court emphasized that the jurisdiction of the Co-operative Court is limited to matters specified under Section 91. The thrust of the submission on behalf of the Petitioners was that redevelopment does not constitute or touch upon, 'the business of the co-operative society'.

Procedural History

The petitions were filed against the judgments and orders of the Maharashtra State Co-operative Appellate Court, which restored disputes to the Co-operative Court after the Co-operative Court had returned them for presentation to the Civil Court.

Acts & Sections

  • Maharashtra Co-operative Societies Act, 1960: Section 91, Section 79A
  • Code of Civil Procedure, 1908: Order VII Rule 10
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