Maharashtra Court Backs Society’s Right to Clamp Illegal Vehicles

The Maharashtra State Co-operative Appellate Court held that housing societies can clamp illegally parked automobiles after delivering a 48-hour written notice for acceptable reasons.

The Maharashtra State Co-operative Appellate Court dismissed an appeal filed by two residents of Magnum Tower Co-operative Housing Society in Lalbaug challenging the society’s power to clamp vehicles parked in unauthorised spaces, reinforcing co-operative housing societies’ authority to regulate common amenities.

In a 16-page decision issued on July 1, President SS Sapatnekar maintained an earlier order of Co-operative Court No. 3, Mumbai, allowing the society to clamp illegally parked vehicles if it first sends a 48-hour written notice outlining the reasons for the action.

The appeal followed an interim order issued on February 26, 2026, in a disagreement between the unit owners and the society. The appellate court refused to overturn the lower court’s interim decision, stating that the trial court had used its power wisely and had already balanced the interests of both parties by establishing procedural safeguards before any coercive action could be taken.

The court confirmed that vehicle clamping can only be carried out after a 48-hour prior written notice; the notification must include recorded and cogent reasons, and the trial court’s interim protection stays in effect until the issue is resolved.

The flat owners complained that…

The society delayed membership, subjected them to harassment, placed additional financial obligations, and arbitrarily enforced parking restrictions.

The appellants argued that the housing society…> Collected Rs 5000 for legal document verification.> Accepted a cash donation of Rs 1.50 lakh for the welfare fund.> Fined Rs 86,138 for alleged illegal parking.> Refused to provide more parking, despite having many available places.> Constructed a communal hall, kitchen, and laundry rooms in areas supposedly intended for parking

They also wanted >.> Alleged unlawful buildings are removed.> Refund of sums allegedly obtained illegally.

Parking dispute.

During the appellate hearing, the appellants stated that they were not pursuing their interim prayers for additional parking places or a waiver of parking charges. Instead, the appeal focused only on challenging the Trial Court’s approval for the organization to clamp illegal automobiles.

The Housing Society argued that…

Parking areas remain under the developer as conveyance has not yet been finalized.
The group does not allot or sell parking spaces.
Flat buyers obtained parking directly from the developer.
Members cannot rightfully claim numerous parking places.

The General Body authorized severe parking rules.

Parking areas remain under the developer as conveyance has not yet been finalized.
The group does not allot or sell parking spaces.
Flat buyers obtained parking directly from the developer.
Members cannot rightfully claim numerous parking places.

Democratic decisions are upheld.

The Appellate Court ruled that General Body resolutions reflect the collective desire of members.
Courts should generally not interfere unless resolutions are illegal or beyond jurisdiction.
The appellants had never disputed the legitimacy of the resolution dated May 5, 2025.
Therefore, the parking resolution remains to bind all members.

Court relies on precedents.

The appellate court cited previous precedents stating that cooperative societies had constitutional autonomy.
Courts should avoid unwarranted meddling with their internal matters.
Valid resolutions taken under the Maharashtra Co-operative Societies Act should be carried out.
The Act, the society’s bye-laws, and General Body resolutions all govern the rights of members.
Such resolutions are binding unless overruled by a competent legal forum.

The dispute

The issue is between Nirmal Ajayraj Sottany and Rushek Nirmal Sottany, who bought Flat No. 1501 in Magnum Tower in an auction held by Punjab National Bank. They claimed to have cleared maintenance dues of around Rs 3 lakh, paid a transfer fee of Rs 25,000, and acquired a no-due certificate from the developer.