Bombay HC Restores Borivali Society’s Deemed Conveyance, Slams Registrar Overreach

Court Clarifies That MOFA, Not Co-operative Law, Governs Title Transfer And Redevelopment Rights

In a significant ruling dated October 8, 2025, the Bombay High Court allowed Writ Petition No. 18234 of 2025 — Shree Sai Baba Co-operative Housing Society Ltd. vs. State of Maharashtra & Ors. — reaffirming that deemed conveyance decisions under MOFA fall exclusively within the jurisdiction of the Competent Authority, not co-operative registrars.

The Borivali-based society, comprising residents of a 35-year-old building, had obtained deemed conveyance in 2024 after applying in 2022. The Competent Authority (District Deputy Registrar) granted ownership rights for their 1,800 sq. m. land, as the promoter had failed to execute the conveyance deed since granting occupancy certificates in 1998.

However, the promoter appealed to the Divisional Joint Registrar (DJR), which set aside the conveyance on grounds of incomplete documents and minority member objections. The society then moved the High Court, arguing that the DJR had no jurisdiction to review a MOFA order — an argument that the court ultimately upheld.

Court’s Findings

The High Court held that Section 13 of the Maharashtra Ownership Flats Act (MOFA) clearly designates the Competent Authority as the final statutory forum for granting deemed conveyance, subject only to an appeal before the State Government or judicial review by the High Court. The DJR’s intervention under the Maharashtra Co-operative Societies Act (MCS Act) was therefore ultra vires (beyond authority).

Citing Neelkamal Realtors vs. Union of India (2025), the court emphasized that deemed conveyance is a statutory right, intended to protect homebuyers’ ownership and redevelopment interests. It cannot be delayed by internal society disagreements or promoter objections, once basic documents like sale agreements, building plans, payment proofs, and occupancy certificates are produced.

The bench also clarified that minor internal dissent — in this case, 15% of members opposing redevelopment — falls under the MCS Act’s internal governance provisions, not under MOFA. Such differences cannot block title transfer or redevelopment of aging structures.

Rejecting the promoter’s plea of incomplete documentation, the court observed that the society had provided adequate evidence of possession, ownership, and construction compliance, and that the DJR’s reasoning was procedurally and legally unsound.

Court’s Order

1. DJR’s Order Quashed: The Divisional Joint Registrar’s 2024 order was set aside as ultra vires.
2. Deemed Conveyance Restored: The Competent Authority’s 2024 order granting conveyance to the society was reinstated.
3. Registrar Execution: The Sub-Registrar must register the conveyance deed within 45 days.
4. Costs Imposed: The promoter to pay ₹1.5 lakh to the society toward redevelopment planning expenses.
5. Redevelopment Liberty: The society may initiate redevelopment under RERA with 75% member consent, in line with the 2019 Maharashtra Government Resolution.

Broader Significance

This judgment reinforces jurisdictional clarity under MOFA, ensuring that housing societies no longer face parallel interference from co-operative registrars when seeking title transfer. It strengthens societies’ legal autonomy to pursue redevelopment despite minority objections or promoter resistance — a major relief for Mumbai’s aging housing stock.

Legal experts note that the ruling will streamline hundreds of pending deemed conveyance cases in Maharashtra, particularly where dual authorities created procedural gridlocks. By reaffirming the finality of Competent Authority orders under MOFA, the court has accelerated title resolution — a critical precondition for urban renewal and self-redevelopment.

---