I would require help in c-operative society matter.
Kindly throw on light in regard to nomination right: if member is nominated a person, on death of such member, interest will directly transferred to nominee
I C Naik
Upon death of a Nominator of housing society the rights and interest of the nominee is governed by Section 30 of the MCS Act 1960 reproduced below.
Section 30 – Transfer of interest on death of member
(1) On the death of a member of a society, the society shall transfer the share or interest of the deceased member to a person or persons nominated in accordance with the rules, or, if no person has been so nominated to such person as may appear to the committee to be the heir or legal representative of the deceased member.
Provided that, such nominee, heir or legal representative, as the case may be, is duly admitted as a member of the society:
Provided further that, nothing in this sub-section or in section 22 shall prevent a minor or a person of unsound mind from acquiring by inheritance or otherwise, any share or interest of a deceased member in a society
(2) Notwithstanding anything contained in sub-section (1), any such nominee, heir or legal representative, as the case may be, may require the society to pay to him the value of the share or interest of the deceased members, ascertained in accordance with the rules.
(3) A society may pay all other moneys due to the deceased member from the society to such nominee, heir or legal representative, as the case may be.
(4) All transfers and payments duly made by a society in accordance with the provisions of this section shall be valid and effectual against any demand made upon the society by any other person. “
On a plain reading of the Section, answer to your question is “yes” Also because the legislature did not want uncertainty in the membership for a flat of the deceased member. It can creates uncertainty in discharging of the maintenance liability.
At the same time honouring nominater’s wish is fraught with litigations. For example you can read latest Supreme Court matter on following post
https://www.indiancooperative.com/from-states/daughter-can-be-nominee-understanding-sc-judgment/
Daughter can be nominee: Understanding SC judgment
Mark the Sentence in last Para “this did not mean the title of heirs was also decided in favour of nominee. “
The MCS Act 1960 is all about the Society management and the Society is governed by applicable laws depending on the matter. Interest in immovable property is governed by transfer of Property Act and every housing society is bund to follow the same.
