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co operative society versus federation help help


co operative society versus federation help help

Last updated: April 9 2009
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  • co operative society versus federation help help

    ours is a new complex of four building with 425+ flats on a single plot with a club house in middle and play area and parking space is on one side. the distribution of common area is not even among the four buildings neither the buildings are equal in size , they have different no. of flats from 40 flats to 130 flats. we are in the process of forming the society and members have different opinion whether to form a single society or four societies and a federation of four societies to look after the common areas in the complex, i seek your help for answering following queries...

    1. is the federation of societies recognised with same validity as co - operative housing society under the law?

    2. what are the differences between co - op hsg society and federation?

    3. what are the benifits of federation against forming one society?

    4. can the conveyance take place in the name of federation of society?

  • #2


    Re : co operative society versus federation help help

    Hello friend,
    Regarding your query-
    • Individual members come under an umbrella organization to form a Co-Operative, and when two or more Co-Operatives come under an umbrella organization they form a Federation. Members of federation are co-operatives.
    • Federation of Co-Operative societies is recognized by law with the same validity as a co-operative Housing Society.
    • Usually when there are many buildings on a single layout, for day to day affairs it is difficult to manage all the buildings under a single co-operative, so the members form a Co-operative and have their own managing committees and later all the societies in that layout form a federation.
    • The societies which are formed manage all day to day affairs of their building and the federation manages all the common spaces and common maintenance.
    • Conveyance of the land is done on the name of federation, ownership rests with federation and eventually with societies that are members of the federation.
    Hope this helps.


    • #3


      Re : co operative society versus federation help help

      Dear Friend,
      Thanks For Your Reply.
      A High Court Lawyer Has Advised Us That It Is Always Beneficial To Have One Society And That Federation Of Housing Socities Is Not Recognised Under The Law?
      I Want To Know That What Is In The Best Intrest Of Our Members
      As The Law Permit To Divide The Society But It Seems That There Is No Provision To Join No. Of Societies And Make Them One Society Once Different Societies Are Formed.
      Rgds..... Prashantk


      • #4


        Re : co operative society versus federation help help

        I want to say hi

        My name is Derek andI'm glad to join to this forum.


        Have any questions or thoughts about this?