Gujarat Cooperative Societies Act, 1961 and The Gujarat Cooperative Societies Rules 1965 provide for framework for cooperative society. But there are variety of co-operative societies and  it is not possible to cover the requirements of all the types of cooperative societies in a single legislation, i.e. . Therefore, there is a provision for framing bye-laws under Rule 5 of Gujarat Cooperative Societies Rules. 1965.

The definition of bye-laws is given under Sec. 2(2) as under:

“Bye-laws means bye-laws registered under this Act and for the time-being in force, and include registered amendments of such bye-laws. “

Different Stages of Byelaws

  • Under Sec. 9, the bye-laws of the society are also registered along with the registration of the Society if the bye-laws are not contrary to the Act and the Rules.
  • The bye-laws, registered along with the registration of the society are placed before the first Annual General Meeting under Rule 5. The first Annual General Meeting is for approval of bye-laws under Rule 5.
  • Management Committee runs the society based on bye-laws, Act and Rules.
  • Annual General Meeting and Special General Meeting are convened under Sec. 77 and Sec. 78 of the Act, wherein bye-Laws can be proposed to be amended.
  • The Last Annual General Meeting is convened under Sec. 114(3) after the liquidation proceeding and before the cancellation of registration.

There is no provision for model bye-laws under the Act or Rules. However, Gujarat State Cooperative Union and District Cooperative union are getting the bye-laws printed for the facility of the public.

What can included in Bye-laws

List is illustrative and can have more details as per the requirement of each society.

  1. Name and address of the society and its branches if any
  2. Class or occupation of its members, if membership is proposed to be so restricted.
  3. Area of its operation
  4. Object of the society and its liability or unlimited.
  5. Members related provisions.
    • Terms and qualifications for admission to membership, and
    • Disqualification of members
    • Rights and Liabilities of members
    • Shares to be held by members
    • Provision related to collection of dues incase of default by members
    • In case of credit societies, the conditions on which loans may be granted; the rate of interest the systems of calculation of interest; and in case of non-credit societies,
    • The mode of conduction business, purchase, sale, stock-taking and other like matters
  6. The privilege, rights and liability of nominal, associate and sympathiser members.
  7. Payment and acquisition of interest in the society before the rights of membership are exercised by the members
  8. Rights of voting by a nominal, associate or sympathiser member and the voting rights of a federal society
  9. Restrictions on borrowing from members and non members
  10. Manner in which the loss of the society will be determined and its re-reimbursement by the members who has not disposed of his produce through the society and who is found guilty of a breach of the bye-laws of any such contracts.
  11. The scale of remunerations to be paid to a member who has rendered any service to the society
  12. Appropriation of profit for any other purpose which is not prescribed in sub-section (2) of Section 66.
  13. Manner of summoning general meetings under Section 73 and the manner of making, altering abrogation bye-laws.
  14. Constitution and election of the Managing Committee and it s powers and duties.
  15. Number of members required for the requisition of a special general meeting
  16. Utilisation of surplus assets of the society under section 115
  17. Manner in which capital may be raised
  18. Mode of custody and investments of funds
  19. Distribution of profits.
  20. Responsibility of Chairman
  21. Responsibility of Secretary
  22. Related to books of account

Members

Lack of awareness / knowledge of various rules, regulation, bye-laws and applicable society laws leads to many issues with the housing society. Thus it is advisable, for members of society to go through the bye-laws of the society. As discussed in article “Member’s Right : Inspection of Books and Records” members can get copy of Bye-laws from society.

Reference

  1. Gujarat Co operative Societies Act, 1961
  2. Rule 5 of Gujarat Cooperative Societies Rules, 1965
  3. Model Bye-laws

30 thoughts on “Bye-Laws of Cooperative Societies

  1. I am a member of housing society and our Society has not had elections since 3/4 years nor they have distributed annual accounts for last 3/4 years. Society had a surplus of 44lacs when the builder handed it over to members. Surplus increased to over 80lacs. They increased monthly rate from Rs. 800 to Rs. 1200 which was not needed but we were told the increase is for painting outside as it has deteriorated. Last 2 years have done nothing. My main concern is Fire Safety. There are Firefighting equipment nor sand buckets or Fire extinguishers. There are 9 towers each tower has 20 flats. Total 180 flats.
    Could you please help us.

  2. if block member is not pay society maintenance and category refused it what is the process for action for maintenance by society chairman

  3. કો ઓપ્રતીવ સોસાયટી ના મેઈન રોડ પર આવેલા બંગલો માં ગરમેન્ટ શોપ કરવા માટે સું કરવું જોઇએ

  4. What are the limitations and restrictions for being a shareholder in Housing cooperat ive society ? Can some one who is occupying unathorised shop be admitted as a holder of share certificate of Housing society ? Is he not required to hold any legally constructed property to be elgible to be a share holder of exisitng housing coooperative society ? Kindly clarify and give law or case references ,please .

    1. Revert to Query: Clause 4.i.1 of byelaws, clarifies who can become a member. Based on the details shared, un-authorised shop owners cannot become a member.

      4.i.1 of byelaws:

      Any person

      – Who is owner of property mentioned in above 1(2) clause will only be able to hold shares and can become member of society;
      – Who is having ownership right in the flat in our scheme known as _______ situated block No: _____/paiki & ______ to _____ paiki land admeasuring __________ sq.mtrs.;
      – Who has paid an admission fees of Rs. 5/-
      – Who has paid value of minimum 5 shares of the society;
      – Who has provided the required details required as per byelaws and, who has given an undertaking to act as per the rules framed under the byelaws of the society and rules framed under the Gujarat Cooperative Act.
      – Whose application filed as per the prescribed Form A prepared by the Society has been approved by the Managing Committee.

  5. Hu hal co operative housing service society ma rahu su
    Te jagya a resale makan ni transfer fees 50000₹ vasul karese lese,
    Society na peta niyam ma lakhelu se atle avu batave se
    Su service society flate transfer fees 50000₹ le sai ke nhi ? Please reply sir.

  6. CO OP RECREATION & HEALTH CLUB SOCIETY IN VAPI VALSAD GUJRAT N MULTY SIZE FLET 960/1100/1150/1300/1500/1800/2000SQFT BUT SABHI SE EQUL MAINTENANCE CHARGE 1800/- PM LETI H KYA YAH SAHI KYA ??? PER SQFT CHARGE HONE CHIYE ISKE LIYE HUME KYA KARNA CHIYE

  7. I am living in co-op housing service society and in starting the builder took one year of maintenance from the buyer. After handing over the society to the committee, they gave all the expenses and remaining funds in the bank account. After that, an AGM happened and decided to take a fixed maintenance charge from all members and all agreed. Now some people are asking refund of the previous amount before AGM like it was less expenses and it should be equally divided to all owners. The remaining amount should be credited to each owner’s upcoming maintenance charges. Is it valid?

  8. Hi ,

    Who Become a Associate Member as per Bye-Laws of Cooperative Societies Gujarat Cooperative Societies ?

  9. Hi

    I purchased a piece of land from a multi-state co operative society in 2007. The current co operative society does not seem to exist anymore. I am preparing to sell my land. The buyer is requesting a copy of the bye-laws and office bearers for the society at the time of sale. Is this information available with any government agency and what would be the procedure to obtain this from them?

  10. In our society by-laws it is mentioned that “For any transactions greater than Rs. 5000, Cheque payment shall be done by joint signatory of President and Treasurer. In absence of Treasurer, Secretary an sign and in absence of Precident, Vice-President can sign.” However, now the society committee members wants to change the signing authority to any 3 out of President, Treasurer, Secretary and Vice-President. And in other bank want to change to sign of 8 committee members. Can we do this against our by-laws ? Thanks in advance!

  11. I am having 3BHK flat at Motera, Sabarmati, Gujarat and it is given on rent and I am living at Mumbai. I have given that flat on rent since last 5 years and I am paying monthly maintenance charge to the society regularly without delay. Till March 2024, society was not charging Non-Occupancy charge. Now, in July 2024, society management has told to give Non-occupancy charges effective from April 2024. I want to know, is there any Gujarat Housing Society Bye-law state that Non-Occupancy charge to be paid to Society and if to be paid such charges then what is the basis? Any maximum percentage of regular maintenance charge? I request you to Please let me know what is charge suppose to charge by Society? Please send me response on my email address given below.

  12. we have register society flat of 72 nos let us know if we 60% members agree to installed solar panel system and pay fund personally and balance 40% not agree to pay the fund , this solar panel used for common serive of flat like lift,common light etc. is it any legal provision of that

  13. does this possible that the bungalow is in cooperative society but i want to take my home outside and make it individual ?

  14. I am owner of 2bhk flat in Ahmedabad. Ours is not registered society but it asks for compulsory Navratri festival fund from members and if someone doesn’t pay then they force him to pay higher maintenance charges than the regular. Can society do this? If not where can i complain?

      1. But our society is not registered society under law then also can i file case against it in civil court?

  15. I bought a flat and is not a cooperative society, but still society is asking to pay transfer fee of 51000/-. What should I do and how do I convince them.

Leave a reply to Mehul thakar Cancel reply