Understanding Undivided Interest and Common Area Rights under Section 6 of the Maharashtra Apartment Ownership Act

When purchasing a flat in a multi-unit complex in Maharashtra, owners often focus primarily on the four walls of their individual unit. However, the legal framework governing the shared spaces—the lobbies, elevators, gardens, and foundations—is where many of the most contentious legal disputes arise. The Maharashtra Apartment Ownership Act, 1970 (MAO Act) serves as the primary legislation for condominium-style living, and specifically, Section 6 provides the mathematical and legal basis for how shared property is owned and maintained.

A common question for many buyers and association members is: How does Maharashtra Apartment Ownership Act Section 6 operate in practice, and how does it affect the distribution of maintenance costs and usage rights?

The Core Mechanism of Section 6: Undivided Interest

Section 6 of the MAO Act establishes a dual-layer ownership structure. While an apartment owner possesses exclusive ownership of their specific unit, they simultaneously hold an undivided proportionate share in the common areas and facilities.

Unlike the exclusive unit, the interest in common areas is undivided, meaning an owner cannot claim a specific physical portion of the garden or a particular section of the lobby as their own private property. Instead, this interest is collective and irrevocable. According to the statute, this share is calculated based on the value of the apartment relative to the total property value, a detail that must be explicitly specified in the Deed of Declaration.

This ensures that ownership is not merely about square footage but is tied to the economic value of the unit. Consequently, the law promotes equity; those with more valuable assets in the building hold a correspondingly larger stake in the shared infrastructure.

Common Areas: Scope and Statutory Protections

Under Section 6, common areas are defined broadly to ensure that essential infrastructure remains accessible to all. These include:* The land on which the building stands and the foundations.* Roofs, staircases, and elevators.* Water tanks, piping, and recreational facilities.* Surrounding open spaces.

Judicial interpretations have strengthened these rights against developers. In certain disputes, courts have clarified that surrounding open spaces associated with a residential building are common areas available for shared use among flat owners, effectively overriding any exclusive claims made by a developer PRAVIN G. JOSHI & 3 ORS. vs SAROJINI GANGADHAR & 3 ORS. - 2022 Supreme(Online)(NCDRC) 159.

Furthermore, these statutory rights are paramount. The courts have emphasized that private agreements can't override statutory rights under Section 6 PRAVIN G. JOSHI & 3 ORS. vs SAROJINI GANGADHAR & 3 ORS. - 2022 Supreme(Online)(NCDRC) 159, preventing promoters from using fine-print contracts to strip owners of their shared interests.

The Maintenance Charge Dispute: Proportionality vs. Flat Rates

One of the most frequent areas of litigation under Section 6 involves the calculation of maintenance charges. Because Section 6 mandates that ownership of common areas is proportionate to value, it follows that the financial responsibility for those areas should be similarly distributed.

The law requires proportionate contributions to maintenance. A common point of contention occurs when societies attempt to levy flat rates across all units regardless of size or value. However, judicial precedents have consistently upheld the principle of proportionality. In a landmark ruling, the Co-operative Court upheld a Deputy Registrar's order directing proportionate maintenance charges based on undivided shares 2025 0 Supreme(Bom) 980.

The court's reasoning is clear: Maintenance charges in a condominium must be proportionate to the undivided interest of each apartment owner in common areas and facilities, as governed by the Apartment Act 2025 0 Supreme(Bom) 980.

Obligations of the Promoter and the Deed of Declaration

For Section 6 to be enforceable, the promoter must first comply with Section 4 of the MAO Act by executing and registering a Deed of Declaration. This document is the birth certificate of the condominium, formally recording the building as a condominium and assigning the undivided shares.

For instance, records show that developers have executed and registered Deeds of Declaration under the provisions of the Maharashtra Apartment Ownership Act, 1970 to formalize these shares 2023 0 Supreme(Bom) 1461.

Failure by a promoter to be transparent about common areas can lead to severe legal consequences. The courts have ruled that by not disclosing common areas and facilities meant for all apartment owners, amounts to unfair trade practice

Rajeev Nohwar VS Sahajanand Hi Tech Construction Pvt. Ltd.

Rajeev Nohwar VS Sahajanand Hi Tech Construction Pvt. Ltd.

Interplay with MOFA and Other Legal Frameworks

The MAO Act does not operate in a vacuum; it works alongside the Maharashtra Ownership Flats Act (MOFA), 1963. Section 10 of MOFA requires promoters to either form a cooperative society or submit the property to the MAO Act. Non-compliance with these obligations—such as failing to execute agreements—can be seen as a violation of both frameworks

M. MADHAVAN VS ATUL REALTY PVT. LTD.

In cases of significant delay in possession or failure to disclose the common area details stipulated by these acts, consumer forums may award interest. For example, courts have found that Interest @ 9 per cent will be just, fair and reasonable and it will be in accord with the Section 8 of Maharashtra Flat Ownership Act, 1963

ARUNA DATTATRAYA ITAI VS SUVARNA M. KANSHETTY

Practical Summary for Apartment Owners

To protect their investment and ensure fair treatment within a condominium, owners should consider the following:

1. Verify the Deed of Declaration: Confirm that your specific undivided share is accurately recorded and matches the value of your unit.
2. Challenge Non-Proportionate Billing: If maintenance charges are being applied uniformly despite vastly different unit values, you may have grounds to demand proportionate billing based on Section 6.
3. Audit Common Areas: Ensure that the surrounding open spaces and amenities promised in brochures are legally designated as common areas and not retained by the developer.
4. Prompt Action: Be mindful that laches can bar challenges 2022 0 Supreme(Bom) 1662; therefore, disputes regarding common areas or maintenance should be filed promptly in Co-operative Courts or Consumer Forums.

Key Takeaways

Section 6 of the Maharashtra Apartment Ownership Act is the cornerstone of equity in condominium management. By linking the ownership of common areas to the proportional value of individual units, it ensures that those who benefit most from the property's value also contribute fairly to its upkeep. While promoters may attempt to limit these rights through private contracts, the judicial trend remains firmly in favor of statutory rights, ensuring that common facilities remain the collective property of all owners.

Note: This summary is provided for general informational purposes and typically reflects judicial trends; it is not a substitute for professional legal advice tailored to a specific case.