• Rights of apartment owners who have not furnished documents or paid approved charges under TNAOA, 2022

Respected Learned Friends,

Under the Tamil Nadu Apartment Ownership Act, 2022, some apartment owners in our complex have neither furnished ownership/KYC documents required for migration nor paid the ₹500 approved by the General Body towards administrative expenses.
Kindly clarify:
What is the legal status of such persons under the TNAOA?
Are they still members by virtue of ownership, or can they be treated as non-members?
Are they merely defaulting/non-compliant owners?
Can such owners refuse to furnish documents required for migration and still claim membership rights?
Are such owners entitled to attend General Body Meetings?
Can they participate in discussions and express their views?
Can they vote and contest elections despite not furnishing documents or paying the approved charges?
If voting rights can be restricted, should such restrictions arise only under valid bye-laws?
Does non-compliance affect ownership rights, UDS rights, access to common areas or liability to contribute towards common expenses?
Can the Association recover dues and enforce compliance through legal proceedings instead of denying membership or property rights?
Kindly cite any Madras High Court or Supreme Court judgments, if available, on the distinction between ownership rights and voting rights of defaulting apartment owners.
I request a reasoned opinion with reference to the Tamil Nadu Apartment Ownership Act, 2022, the Rules and judicial precedents.
Asked 8 hours ago in Property Law
Religion: Hindu

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4 Answers

 

1) Under the TNAOA, membership in an Association of Apartment Owners is an inseparable statutory incident of ownership. Anyone who owns an apartment automatically becomes a member. 

 

2) The Association cannot strip them of membership or treat them as "non-members" simply because they have failed to furnish KYC documents or pay the ₹500 migration administrative fee. They are legally classified as defaulting/non-compliant owners.

 

3)  Defaulting owners are entitled to attend General Body Meetings and participate in discussions. Because they hold an undivided share (UDS) in the property, decisions made by the General Body directly affect their assets and financial liabilities. Depriving them of the right to voice their views violates basic principles of natural justice and the democratic functioning of the Association

 

4)   If an owner fails to clear financial dues (the ₹500 fee) or submit vital compliance data (migration/KYC documents), the Association can restrict them from voting or contesting elections, provided such restrictions are explicitly drafted into valid, registered Bye-laws

 

5) the Association cannot lock out a defaulting owner from standard common facilities (lifts, staircases, common passages) or disconnect basic utilities (water, electricity). Doing so amounts to an illegal restriction on property enjoyment.

 

Ajay Sethi
Advocate, Mumbai
100580 Answers
8225 Consultations

Dear Sir/Madam,

They cannot be treated as non-members merely for not giving KYC/ownership documents or not paying ₹500. They remain apartment owners, but are defaulting/non-compliant members.

Their ownership, UDS and right to use common areas cannot be taken away. However, voting or contesting rights can be restricted only if the TNAOA, Rules and valid registered bye-laws permit it.

The Association should issue written notice and recover dues/enforce document compliance through the competent authority or legal proceedings, instead of denying property rights.

No direct Madras High Court/Supreme Court judgment on this exact TNAOA 2022 migration issue should be relied on without checking all documents.

Advocate Saurabh Agrawal

Saurabh Agrawal
Advocate, Greater Noida
149 Answers

Under the Tamil Nadu Apartment Ownership Act, 2022 (TNAOA) and the accompanying Tamil Nadu Apartment Ownership Rules, 2024, the rights and liabilities of apartment owners are clearly bifurcated into two distinct categories: Statutory Property Rights (which are absolute) and Administrative/Voting Rights (which are conditional and subject to compliance with the Association's bye-laws).

Under Section 3 of the TNAOA and Rule 5(1) of the 2024 Rules, membership is an inseparable, statutory consequence of owning an apartment. If a person holds a registered title/sale deed to a flat within the project, they are automatically a member of the Association by operation of law.

While they cannot be stripped of their title, an owner cannot demand the active exercise of administrative privileges while refusing to comply with the statutory migration requirements. The submission of ownership details (such as carpet area and exact Undivided Share - UDS) is a mandatory requirement to register the Association's Master Declaration under the Act.

 

Defaulting owners are entitled to attend General Body Meetings (GBMs) and participate in discussions. Because the decisions taken by a majority at a GBM are legally binding on all owners (Section 23), a non-compliant owner cannot be barred from the room or silenced during deliberations, as any final resolutions directly impact their financial and property liabilities. However they cannot vote or contest elections if they have failed to clear approved charges or supply necessary KYC data, provided this restriction is explicitly detailed in the registered bye-laws.

Administrative restrictions cannot be applied arbitrarily or via a loose committee decision. Under the TNAOA framework, any suspension of voting privileges or the right to stand for the Board of Managers must arise strictly out of the registered bye-laws of the Association.

During a structural migration between regulatory Acts, the existing governing body acts as a de facto caretaker caretakers to ensure community services do not collapse, provided they do not pass new rules that defy the incoming statute.

 

T Kalaiselvan
Advocate, Vellore
90788 Answers
2523 Consultations

Only if the association makes you member they can recover the charges otherwise not. Denying your rights and seeking charges from you is not teneble in law 

Prashant Nayak
Advocate, Mumbai
35102 Answers
256 Consultations

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