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2006 Supreme(Online)(SC) 108

SUPREME COURT
*S. B. Sinha, P. P. Naolekar, JJ.
A. Jitendernath – Appellant
Versus
Jubilee Hills Cooperative House Building Society Limited, Hyderabad – Respondent
Civil Revision Petition No. 283 of 2000 | Civil Miscellaneous Petition No. 7763 of 2002



Advocates:
For the Appellants/Petitioners: S. Muralidhar
For the Respondents: H. S. Gururaja, G. Ramakrishna Prasad, T. L. V. Iyer, M. N. Rao, L. Nageswara Rao

The provisional allotment of a society member ceases upon death and non-payment; successor members lose claim rights without proper notifications or documentation.

Headnote:(A) Andhra Pradesh Cooperative Societies Act, 1964 - Bye laws of Jubilee Hills Cooperative Society - Provisional allotment of plot - The allotment made to the deceased member of the society is deemed cancelled due to non-payment of development charges; consequently, a successor member is not entitled to claim the same plot as a matter of right. (Paras 33-34)

(B) Right of Allotment and Membership - The appellant's membership does not entitle him to claim a particular plot; he must seek an alternative plot as the original allotment was never finalized due to the death of the original member and the subsequent actions of the society. (Paras 29, 36-37)

Facts of the case:
The appellant claims rights over Plot No. 39 as a successor to his mother who was a member of the Jubilee Hills Cooperative Society. After his mother's death and failure to pay for the plot, it was allotted to another member, Srinivas, leading to disputes regarding titles.

Findings of Court:
The award in favor of the appellant regarding Plot No. 39 was deemed unenforceable due to procedural errors and the legitimacy of subsequent allotments to Srinivas, despite an acknowledgment of the appellant's claim.

Issues: The main issues include the enforceability of the award granted to the appellant, and whether the society's actions regarding plot allotments were lawful.

Ratio Decidendi: The court found that the society's provisional allotment was voided by the mother’s death and failure to comply with payment requirements. The allotment to Srinivas was valid and upheld based on the registration of the sale deed.

Result: Appeals dismissed; compensation directed for wrongful representations by the Society.

1 These appeals are directed against judgments and orders dated 13/11/2001 and 22/04/2002 passed by the High Court of Andhra Pradesh in Civil Revision Petition No. 283 of 2000 and Civil Miscellaneous Petition No. 7763 of 2002 respectively.

2 Jubilee Hills Cooperative House Building Society Limited, Hyderabad is a Society registered under the Andhra Pradesh Cooperative Societies Act, 1964 . It had enrolled a large number of members. The father of the one Shri Anne Srinivas and the mother of the appellant, Mrs. A. Annapurna Devi, herein were members of the said Society.

3 From a perusal of the bye laws framed by the said Society, it appears that it intended to allot one plot to the family of the member concerned. The bye laws contain provisions for nomination.

4 Bye laws 19 to 22 which are relevant for our purpose read as under:
"19. Every member may by declaration attested by two witnesses nominate a person or persons to whom his share or interest, shall be paid or transferred on his death. A nominee may be changed by filing a fresh declaration with the Secretary. In the absence of any nomination the amount of his share or interest shall be paid or transferred to such person as may appear to the Managing Committee to be legally entitled. In case of any doubt the Managing Committee shall call for a succession certificate and act in accordance therewith. All amounts payable to a minor shall be paid to him through his guardian.
20. The Society shall keep a book wherein the names of all persons so nominated and all revocation or variation (if any) of such nomination shall be recorded within fifteen days.
21. All shares transferred by virtue of a nomination or by him or by legal transfer shall be transferred to the nominee or heir on his becoming a member. He shall not, however, be entitled to withdraw any such share on account of such transfer.
22. The nominee of a deceased member shall be made a member provided he fulfils the qualifications of membership."




5 The mother of the appellant herein expired on 15/08/1977. It was not notified to the Society. A plot bearing No. 39 in Phase III in Jubilee Hills admeasuring 600 sq. yards was allotted in her favour. On or about 05/11/1981, a notice was circulated to the members of the Society that allotment of plots would be done by way of draw of lots. A copy of the said notice was also sent to Mrs. A Annapurna Devi (since deceased). Plot No. 39 was allotted in her favour on a provisional basis by the Society on 20th June, 1982. She was called upon to pay a sum of Rs. 4,003.90 within one month from the date of receipt thereof. However, as no payment was made within the stipulated period, on or about 30/09/1982, a letter was issued granting final extension of time upto 30/11/1982 to make payment. It was categorically stated therein that the provisional allotment would be cancelled and no representation in that behalf shall be entertained if no payment is made on or before 30/11/1982 for confirmation of provisional allotment of the said plot. The said amount admittedly was not paid evidently because in the meantime the mother of the appellant had expired.

6 Shri Anne Srinivas was admitted as a member of the Society on 06/08/1983 in place of his father who was a member of the Society. Indisputably, on 16/09/1983, Plot No. 39 was allotted in his favour.

7 The appellant on behalf of his mother wrote a letter on 16/03/1985 to the first respondent herein for allotment of site in respect of membership No. 1646 stating:
"Sub: Allotment of site for Membership 1646.
I request you to kindly allot me a site in lieu of my Plot No. 39 in phase 3 which has been given to someone else.
I had to pay to the Society around Rs. 4,000/-, I am ready to pay the above amount immediately and start construction of the house if you would kindly allot me a suitable plot nearby.
The plot 39 in phase 3 which was allotted to me was given to some one else. I was not in Hyderabad for more than 2 1/2 years and no correspondence from you w
















































































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