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AIR 2010 Cal 181
IN THE HIGH COURT OF CALCUTTA
Biswanath Somadder, J.
Manojit Nag Chowdhury – Appellant
Vs.
Saptaparni Co-operative Housing Society and Anr. – Respondent
C.O. Nos. 946, 952, 954 and 957 of 2003
Decided On: 21.05.2010
CO-OPERATIVE HOUSING SOCIETY - DISPUTE - JURISDICTION OF ARBITRATOR - ALLOTMENT OF SERVANT ROOM - LIMITATION - WEST BENGAL CO-OPERATIVE SOCIETIES ACT, 1983 - SECTION 2(20), 95(1).
Fact of the Case:
The dispute arose between members of a co-operative housing society regarding the allotment of servant rooms. The society was subsequently divided into two societies, and the allottees of 'B' type flats, who were not initially allotted servant rooms, filed dispute proceedings under the West Bengal Co-operative Housing Societies Act, 1983, seeking possession of the servant rooms adjacent to their flats.
Finding of the Court:
The Court held that the dispute fell within the definition of 'dispute' under Section 2(20) of the West Bengal Co-operative Societies Act, 1983, as it was a matter capable of being the subject of civil litigation and related to the affairs of the co-operative society. The Court further held that the arbitrator had jurisdiction to adjudicate upon the dispute, as it related to the 'allotment' of servant's quarters and not to 'title' to an immovable property.
Issues: 1. Whether the dispute raised before the arbitrator was a matter capable of being the subject of civil litigation "concerning" the "business of or "was related to the affairs of the co-operative society? 2. Whether the arbitrator had limited jurisdiction and authority and did not have power to declare "title" in respect of an immovable property? 3. Whether the learned Tribunal proceeded on the basis of the relief granted in the award, which was under appeal, and not on the authority of the relief prayed for in the pleadings?
Ratio Decidendi: 1. The definition of 'dispute' under Section 2(20) of the West Bengal Co-operative Societies Act, 1983, is wide enough to include any matter capable of being the subject of civil litigation, including claims in respect of any sum payable to or by a co-operative society. 2. The arbitrator's jurisdiction is limited to disputes concerning the business or affairs of the co-operative society, as provided under Section 95(1) of the Act. However, in the present case, the dispute related to the 'allotment' of servant's quarters, which fell within the scope of the arbitrator's jurisdiction. 3. The learned Tribunal did not err in affirming the award of the arbitrator, as the arbitrator had competent jurisdiction to adjudicate upon the dispute.
Final Decision: The Court dismissed all the revisional applications filed by the Petitioners, upholding the impugned judgment and order passed by the learned Tribunal affirming the award of the learned arbitrator.
Biswanath Somadder, J.
1. The common subject-matter of challenge in these revisional applications is the impugned judgment and order dated January 17, 2003, passed by the learned members of the West Bengal Co-operative Tribunal in Appeal No. 25 of 1998, affirming the judgment and award dated April 30, 1998, passed by the learned arbitrator, in Dispute Case Nos. 44/RCS/1987-88, 50/RCS/ 1987-88, 51/RCS/1987-88, 52/RCS/1987-88, 53/RCS/1987-88 and 54/RCS/1987-88.
Briefly stated, the facts are as follows:
National Co-operative Housing Society Limited, acquired certain plots of land on 58, Ballygunge Circular Road and caused construction of several multistoried buildings, comprising of several residential flats, community hall, servants' rooms, car parking space etc. Such allotments were made as far back as in the year of 1975/76. Thereafter, possession of the flats were given to the members from time to time. Of the several multistoried buildings, there is one building which has fourteen stories. In this particular building there are seven flats of each floor namely, A, B, C, D, E, F and G. There are three servant rooms in each floor -- one each is marked for A type, C type and G type flats. The A type flat allottees, at the time of taking possession, took possession of the servant room also. Since 1976, they were possessing the flat along with the servant's room, so also the owners of flat "C" and flat "G".
2. Owners of flat "B" was handed over with the possession of their flats in 1976-1977, without servant's room. In 1978, the society, National Co-operative Housing Society Limited, by its circular dated 7-1-1978, indicated the area of the flats, cost of the flats and the status of the servant's room. Later on, the Administrator subjected the entire property to the West Bengal Apartment Ownership Act.
3. The Society, National Co-operative Housing Society Limited, was later sub-divided into two societies, namely, Saptaparni Co-operative Housing Society Limited and Naba Kailash Co-operative Housing Society Limited, by an order contained in the Calcutta Gazette published on July 22, 1985.
4. Five allottees of "B" type flats namely, Mrs. Binita Sen, Smt. Jayasree Ghosh, Smt. Aparna Dasgupta, Smt. Reba Banerjee and Smt. Anjali Bose filed six separate dispute proceedings, being Dispute Case Nos. 50/ RCS of 1987-88, 51/RCS of 1987-88, 52/ RCS of 1987-88, 53/RCS of 1987-88, 54/ RCS of 1987-88 and 44/RCS of 1987-88, which culminated in the award dated 30th April, 1998 passed by the learned arbitrator appointed under the provision of the West Bengal Co-operative Housing Societies Act. The operative portion of the award dated 30th April, 1998, reads as follows:
Award:
(1) The allotment of the servant room to the Defendants who are allottees of A type flats is declared void.
(2) The Defendants shall vacate the servant room within a period of three weeks and hand over quiet possession of the servant rooms to the Defendant No. 1.
(3) The Defendant No. 1 shall there upon allot the servant rooms adjacent to the flats of the Plaintiffs within a period of two months after re-measurement in the same manner the Defendant No. 1 has handed over servant quarter to 'C', 'F' and 'G' type flat allottees.
(4) If upon re-measurement an amount is payable by the Plaintiffs to the Defendant No. 1 the Plaintiffs shall pay such amount to the Defendant No. 1 before taking possession of the servant rooms in question.
(5) There shall be no order as to costs.
5. This award was later challenged before the learned Tribunal which passed the impugned judgment and order dated January 17, 2003, confirming the award of the learned arbitrator.
6. It has been submitted by the learned senior advocate appearing on behalf of the Petitioners that the proceedings prescribed under the provisions of the West Bengal Cooperative Housing Societies Act is a summary procedure restricted to determination of the business or affairs of the society. An arbitrator appointed to adjudicate disputes ra
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