India: Flat Owner Without Legal Title Has Consumer Rights

Date : Feb 7, 2015

In a noteworthy judgment, the South Mumbai Consumer Forum has apprehended that a flat owner legally occupying the flat would be a consumer, even if his title to the flat might be in dispute before a competent court.

In a recent case where Mr.Thurlow owned a flat in a cooperative society. Appuswami was his roommate. In 1976, Appuswami got married and started residing in the same flat with his wife. In course of time the couple had three kids and were born and brought up in the same flat.

After Mr.Thurlow expired Appuswami appealed to court for the title of the flat but unfortunately expired before the title can be granted, but his wife and three kids continued to reside in the same flat. Consequently, the society intervened, opposing Appuswami did not have any right to the flat and it should be handed over to the Society. Also the society refused to grant permission to renovate and fix the aging flat. On this the Appuswami family filed a consumer complaint. The complaint claimed that they were recipients of the services availed of by the deceased Thurlow, and would be considered consumers. Even though the issue of the Title of the Flat was pending, the High Court permitted them to use and occupy till the issue was decided. So they had every right to keep their flat in proper livable condition, and renovation would not cause any harm or prejudice the society's claim.

The society, on the other hand, claimed a consumer complaint was not maintainable as the Appuswami Family had not been recognized as members. The society also argued that no case could be filed before first giving a notice under Section 164 of the Maharashtra Co-operative Societies Act.

The Consumer Forum observed Section 164 was not applicable to consumer complaints. Beside, the Appuswami family had clearly put the society to notice by writing for permission to carry out repairs, and stating the society would be liable if permission was not granted. The Forum observed as maintenance charges had been collected, the consumer complaint was maintainable. The issue of inheritance before the High Court would not debar the filing of a consumer complaint for repairs.

Source And Courtsey By :- http://www.mondaq.com/india/x/371452/real+estate/SIGNING+OF+FIRST+BILATERAL+APA+BY+CBDT