Know Your Rights and Responsibilities: A Comprehensive Guide to Bye-Laws for Housing Societies

A housing society is like a mini country requiring certain structure to ensure peace and harmony. Bye-Laws for Housing Society serve exactly the purpose of retaining an organised and peaceful community. This blog discusses how sample bye – laws for housing societies look like.

A Sample Bye-Law For Housing Society draft:

<ASSOCIATION NAME> (Regd.)

MEMORANDUM OF ASSOCIATION BYE-LAWS FOR HOUSING SOCIETY

Registered office:

<apt name>

<address>

<City><Pin code> “<Association Name> “

Memorandum of Association

PREAMBLE: In its efforts to promote and sustain an outstanding community, the <APT NAME>

APARTMENT OWNERS’ ASSOCIATION shall be guided by a set of shared values, to which all its members stand committed. These values, expressed as the guiding principles of the community, shall be the touchstone for the bye-laws for housing society, rules and operating guidelines of the Association.

The guiding principles inspiring the bye-laws for housing society relate to:

• Harmonious  living culture

The emphasis here is on consideration for others, with residents relating to each other in the spirit of mutual support and fellowship. The basis for all key apartment management decisions is the greater common good.

• Good citizenship

Residents  respect  the  rights  of  others.  They  also  willingly  and  voluntarily  conform  to  the bye-laws for housing society, rules and operating guidelines of the Association

• Outstanding physical environment

High  standards  are  maintained  for  all  common  areas,  infrastructure  and  services.  Also, standards and guidelines are applied consistently and uniformly, where relevant to personal property.  Residents  are  guided  in  their  actions  by  the   need  to  conserve  and  protect  the environment. In the same spirit, the Association also actively promotes and advocates the use of eco-friendly methods for the long-term benefit of the community through the drafted bye-laws for housing society.

NAME:  The  name  of  the  association  shall  be  “<APT NAME>  APARTMENT

OWNERS’ ASSOCIATION”, which shall be registered under the Karnataka Societies Registration Act of 1960 and rules framed there under.

REGISTERED OFFICE

The Registered Office of the Association shall be at <apt name> , situated at

<address>,

AIMS AND OBJECTIVES OF THE ASSOCIATION:

The main objectives of the association to be attained through the bye-laws for housing society shall be:

a) To act as an Association of Apartment Owners of the Building known as <apt name> ,  who  have  filed  their  Declarations  submitting  their  respective  Apartments to the provisions of the Act, in such a manner as to protect the legitimate rights, privileges and interest of all its Members, with prejudice, or favour to none;

b) To provide for, and do all or any of the matters as laid down in these Bye-laws for housing society;

c) To represent the Association before Government and other authorities for any common purpose, which may impact the members monetarily or otherwise and take all such steps as may be necessary in this regard.

d) To  represent  the  Association  in  all  matters  pertaining  to  the  common  property  of “<APT NAME> APARTMENT OWNERS’  ASSOCIATION” and  to negotiate, carry on  litigation, settle  or  compromise  with  third parties any  matter  affecting  the  common rights and properties.

e) To  establish  and  carry  on  jointly  with  individuals  or  institutions,  or  its  own  volition, educational,  physical,  social,  recreational,  or  other  activities,  for  the  benefit  of  the Apartment  Owners  AND  for  regulation,  maintenance,  up  keep  and  welfare  of  all  the APARTMENT OWNERS.

f) To  provide  for  the  security,  maintenance,  repair,  replacement,  or  improvements  of  the BUILDING,   and   the   COMMON   AREAS   AND   FACILITIES   by   proportionate contribution from the Owners, and, if necessary, by raising loans for that purpose;

g) To carry out urgently needed repairs inside any of the units, which would otherwise affect the building in common, if the apartment owner or the occupant of the unit fails to carry out the same within the time prescribed by the respective apartment owner.

h) To  establish,  maintain  and  reinforce  contacts  to  render  help/assistance  to  all  members regarding the society maintenance of the premises.

i) To  invest,  to  acquire  legal activity or  deposit monies   to  the advantage  of  the Owners, notwithstanding, the profits and income derived from the above objects shall be utilized for  the  development  and  improvement  of  the  association  and  shall  not  be  distributed among the members.

j) To frame rules and administrative procedure with the approval of the general body of the association. In  exceptional / day-to-day cases, the  MC  is  authorized  to  frame  / change rules from time to time.

k) To promote close co-operation between members and to render all possible advice and guidance  to  members  in  any  matter  relating  to  ownership  and  enjoyment  of  living  in Apartments and to provide such amenities and facilities to members as the MC may deem fit;

m) To carry out the above objectives and activities to facilitate their efficient and effective functioning,  to  liaison, collaborate  and  share  experience  with  individual and  / or  other bodies  and  organizations  with  similar  objectives  in  the  city   of  Bangalore,  organize meetings or participate in them, make representations or carry out other activities of the aforesaid objectives;

n)  To do all other lawful acts (within the ambit of the bye-laws for housing society) for attainment of the aforesaid objectives;

o) To  engage  the  services  of  any  professionals  like  contractors,  architects,  structural engineers, Chartered accountants, advocates to take up any necessary civil or structural work or to take the services of any professionals initiating any action or defending the same generally.

p) To frame rules, with the approval of the general body of the Association, to administer the building and common facilities.

q) To  do  such  other  things  as  may  be considered  as  to  be  incidental or  conducive  to  the attainment of the aforesaid objectives;

The Secretary of the Association is authorized to correspond and deal with the Registrar,

Bangalore District, Bangalore;

The Association shall not act beyond the scope of its “Objects” without duly amending the provisions of the Bye-laws for housing society for the purpose.

The income of  the  Association  shall be utilized  for  the  objects  of  the Association  and shall not be distributed among its members.

Signed by the Management Committee Members

“<APT NAME> APARTMENT OWNERS ASSOCIATION”

BYELAWS OF <APT NAME>

SHORT TITLE AND APPLICATIONS

a)   The  name  of  the  Association  shall  be  “<APT NAME>  APARTMENT  OWNERS’ ASSOCIATION”

b)   The  Registered  office  of  the  Association  shall  be  situated  at  < office Address>  <apt name>, situated at  <Address>

c)   The  provisions  of  these  Bye-laws for housing society  apply  to   the  <APT NAME>   APARTMENT OWNERS’ ASSOCIATION. All present or future owners, tenants, or their employees, or any other person who is lawfully entitled to use the facilities of the said Building, in any manner whatsoever, shall be subject to the regulations set forth in these Bye-laws for housing society.

The mere act of acquisition or rental or taking on license any property or mere occupancy of any of the Apartments in the <APT NAME> will signify that these bye-laws for housing society have been read and understood, are accepted, stand ratified and will be complied with at all times.

2.   DEFINITION:

In these Bye-Laws for housing society, unless the context requires otherwise:

a)  ‘ACT’ means the Karnataka Societies Registration Act, 1960 and Rules, 1961 and also the Karnataka Apartment Ownership Act, 1972 and Rules, 1975, both as amended from time to time.

b) ‘ASSOCIATION’    means    the    <APT NAME>    APARTMENT    OWNERS’

ASSOCIATION constituted by such owners for the purpose of carrying out objectives of the association as provided by the rule 3 of the Bye-laws for housing society.

c) ‘COMMITTEE’ means the Management Committee of the Association consisting of the President  and  persons  all  of  whom  shall  be  Apartment  Owners  (members/deemed members) who are all residents of the Apartments in <apt name>; from among whom, a Vice-President,  a  Secretary,  a  Treasurer,  and  a  Joint  Secretary  will  be  elected  by  the Members of the Management Committee(MC).

d) ‘BUILDING’ means the apartments in any of the towers and blocks in “<apt name> I & II “, situated at <address> and known as <APT NAME> Condominium and includes the land forming part thereof.

e) ‘OWNER’   or   ‘APARTMENT   OWNER/OWNERS’   means    the   person   owning  an Apartment in the <APT NAME> Condominium with or without car parking space.

f) ‘RESIDENT’ means any person staying in <APT NAME>

g) “MEMBER” means an Owner, as aforesaid. Such an Owner shall have full voting rights, provided that such rights  are exercised by only one person in respect of an Apartment jointly  owned  by  more  than  one  person.  In  the  latter  event,  the  voting  right  shall  be exercised  by  the  persons  whose  name  stands  first  in  the  Declaration,  unless  otherwise authorized by the other Owner/Owners of the said Apartments.

h) “ASSOCIATE  MEMBER”  means  any  person  who  is  not  an  Owner,  but  is  wholly residing, occupying, or otherwise in lawful possession of any Apartments in the Building, and  who  has  been  co-opted  into  the  MC  as  hereinafter  mentioned.  Such  an  Associate Member shall have no voting rights whatsoever.

i) “DEFAULTING  MEMBER”  means  any  Owner  who  has  not  paid  the  dues  to  the Association for three months or over. Such defaulting Members shall not be entitled to any of the rights and privileges enjoyed by the other Members, or to the services, and facilities offered by the Association, and shall forfeit all voting rights, whatsoever till all dues are cleared.

j) ‘DEEMED MEMBER’ means a deemed member of the Association; the spouse, parent or any one of the children above 18 years of age who is authorized by such Owner and who is also a Resident may be treated as a deemed member of the Association in place of such Owner. If the Apartment is Company owned for residential purposes, the Company may nominate a deemed member.

k) “REGISTRAR”  means  the  Registrar  of  Societies,  appointed  under  the  Act,  Bangalore Urban District, Bangalore.

l)  “APARTMENT” which may also be termed a “FLAT” or “UNIT”, (hereinafter referred to as “APARTMENT”), means part of the Building , intended for use as a family unit for residential purposes, including one, or more rooms, and/or enclosed space with direct exit to a Common Area, leading to a public road. The Apartment shall not be used for any purpose other than residential, except with specific, written permission of the Managing Committee, and under such terms and conditions as may be laid by it.

m) COMMON AREAS AND FACILITIES: Common Areas and Facilities, unless otherwise provided in the Declaration, or lawful amendment thereto, means:

i)   The land on which the Building is located, but excluding the Building itself;

ii)   The foundations, columns, girders, beams, supports, main walls, parapets, roofs, halls, corridors, lobbies, stairs, stairways, fire-escapes, entrances and exits of the Building;

iii)  Yards, gardens other than those allotted for private use, parking areas other than those sold, and storage spaces;

iv)  The  premises  used  as  offices,  store-rooms,  rest  rooms,  or  rooms  for  the  lodging  of janitors, or persons employed for the management of the property;

v)  Installation  for  the  central  services,  such  as  power,  light,  gas,  hot  and  cold  water, heating, refrigeration, air-conditioning and incinerating, etc;

vi)  The  elevators,  tanks,  pumps,  motors,  fans,   compressors,  ducts,  filtration  apparatus, communication  facilities  such  as  cable  for  television  and  Internet  access,  security equipment and installations existing for common use;

vii) Such community and commercial facilities as may be provided for in the Declaration;

viii)   All other parts of the property necessary, or convenient to its existence, maintenance and safety, or normally in common use;

ix)  Club House including all its fittings, fixtures, equipment, both movable and fixed

n) RESTRICTED COMMON AREAS AND FACILITIES:

Limited Common Areas are those portions which are part and parcel of the Common Areas and Facilities, but are reserved for the use of certain apartment, to the exclusion of other apartment, and designated as such in the Declaration.

This right shall be exercised only by persons who are wholly resident in the Building. Other than the privilege of exclusive use, no right or title whatsoever to these Limited Common Areas shall accrue to the Owners of the Apartments to which they are attached, save and except  as  is  vested  in  the  other  Owners  by  virtue  of  their  owning  an  Apartment  in  the Building.

No   structure  of   any  kind  whatsoever  temporary  or   permanent  shall  be  erected  or fence/partition  put  up  on  any  Limited  Common  Area  that  may  obstruct,  or  impede  free movement in the event of an emergency of any kind. In addition, on the Limited Common Areas adjoining the ground floor apartments, no trees shall be planted, which may cause 7 similar  hindrance.  Structure/fences/trees  which  do  not  impede  free  movement,  may, however, be put up/planted, but with the specific, prior, written permission of the MC, and under such conditions as it may specify.

3. MEMBERSHIP OF THE ASSOCIATION:

a) Any person, or persons, HUF, Firm, Association of Persons and /or Company who/which has purchased an Apartment in the Building from M/s <> Developers Pvt. Ltd. (hereafter  referred  to  as  the  “Developer”),  shall  automatically  become  the  Member  of  the Association and the “Deposit” paid by him/her per apartment to the Developer towards the  proper  upkeep  of  the  building  shall  be  transferred  to  his/her  account  with  the Association, or to the common account of the Association. Any dues to the Association not paid for three months or more, at the discretion of MC, will be deducted from the said deposit. A Member should be 18 years or above. The membership shall not exceed the total number of individual apartments.

b) Upon  any Owner  selling his/her/their Apartment, or absolutely conveying the  same  by way  of  gift,  or  otherwise,  the  Purchaser,  or  Donee   shall,  become  a  Member   of  the Association with same right and privileges as the previous Owner provided the seller has paid the Transfer Fee of Rs. X  per sqft of apartment area and, all other dues and obtained a ‘No Dues Certificate” from the Association. The “Deposit” lying in the account of seller shall be transferred to the new member. Any short fall in the “Deposit”, as decided by the Association and its office bearers has to be made up by the new Member.

c) On the death of an Owner, his/her/their Apartment shall be transferred to the person, or persons, to whom bequeathed, or to the legal successor in case no bequeathment has been made. The Legatee, or the Successor shall, on satisfactory completion of legal formalities, if  any,  automatically  becomes  a  Member  of  the  Association,  with  the  same rights  and privileges as the previous Owner. No Transfer Fee need be paid, and the “Deposits” paid by the deceased Member shall stand transferred to the Successor under the same terms and conditions as aforesaid.

d) Each Apartment Owner may purchase a copy of the Bye-laws for housing society on payment of Rs. X (Rupees X only.). [We highly recommend having a personal copy of the bye-laws for housing society to ensure you are aware of the rules and regulations and also have a back up in case of disputes.]

e) All  owners  will  have  to  pay  to  the  <APT NAME>  APARTMENT  OWNERS’ ASSOCIATION a sum as decided by the committee before the specified last date. All Revenue  accumulated  shall be deposited  as  a  Fixed  Deposit in  a Public/Private  Sector Bank or used to acquire legal activity to achieve effectively, the objectives and welfare of the <APT NAME> APARTMENT, as decided by the committee as a dedicated fund termed  sinking  fund.  The  amount  so  collected  shall  be  utilized  for  reconstruction  of common buildings or for carrying out structural additions or alterations to the buildings or for carrying out heavy repairs/replacements, provided that such reconstruction /repairs do not fall within the ambit of any agreement with an external agency for maintenance of <APT NAME> Condominium.

4. CESSATION OF MEMBERSHIP:

[In accordance to the bye-laws for housing society, there are certain set rules that guide the cessation of membership in a community.]

a) On  the  Death  of  an  Owner.  If  before  demise,  title   to  the  Apartment  had  legally  been bequeathed/transferred, the Legatee(s) shall automatically continue as Member(s). In the case of Joint Owners, the surviving Owner shall continue as Member;

b) On an Owner selling, gifting, exchanging or otherwise disposing off the Apartment;

c) On a Trust, or Registered Company, winding up its affairs.

5.  JOINT APARTMENT OWNERS:

Where  two  or  more  persons  have  purchased  an  Apartment  jointly,  they  shall  be  jointly entitled to the Apartment and the person whose name stands first shall alone have the right to vote. However, the first Joint Owner, by a letter of authority deposited in the office of the Association, may authorize the other Joint Owner to vote on his/her behalf.

6. ELIGIBILITY FOR VOTING IN CASE OF JOINT APARTMENT OWNERS:

Only one of the Joint Apartment Owners shall be entitled to vote or be eligible to be elected and not all the Joint Owners.

7. DISQUALIFICATION:

No Apartment Owner or deemed member shall be entitled to vote on the question of the

election  of  Members  of  the  Management  Committee  or  the  President,  Vice-President, Secretary,  Treasurer,  Joint  Treasurer,  Joint  Secretary  or  any  other  office  bearer  or  be entitled  to  stand  for  election  to  such  office  if  he/she  is  in  arrears  in  respect  of  his/her contribution for common expenses to the Association for more than 30 days on the day of election. The names of Owners and the amounts in arrears for more than 30 days shall be displayed  on  the  Notice  Board  of  the  Association  till  such  time,  as  the  arrears  remain uncleared.

8. VOTING:

One  or  more  persons:  the  voting  rights  shall  be  exercised  by  the  person  whose  name stands first in the Declaration, unless otherwise authorized by the other joint Owners of the said Apartment.

a) A Trust: by any of the Trustees, duly authorized by the other Trustees;

b) A Registered Company: by a Director, or any officer duly authorized by the Company.

c) Voting will  be  by  secret  ballot,  or  show  of  hands,  as   decided  by  the  Members  voting either in person, or by proxy, as specified in Bye-law for housing society herein below.

9.  QUORUM:

For  an  Annual  General  Body  Meeting  or  a  Special  General  Body  Meeting,  30%  of  the members  or  their  duly  authorized  person  can  constitute   a  Quorum.  In  the  absence  of  a majority, the Meeting shall be adjourned and shall be held at the same venue after one hour on  the  same  day,  without  further  adjournment  and  with  available  members  present.

Communication about the new time of the meeting will be put on notice board.

10. VOTE TO BE CAST IN PERSON OR THROUGH PROXY:

In any Meeting of the Association, vote shall be cast in person or through a duly authorized proxy. The authority to a proxy must be in writing. The proxy must be deposited with the Secretary/President of the Association not less than 48 hours before the time for holding the Meeting. The proxy need not be a Member, but no person may be a proxy for more than four  members.  The  role  of  proxy  is  only  restricted  to  the  extent  of  casting  of  votes  as authorized by the society management members. The proxy cannot participate in the deliberations of the Annual General Meeting.

11. POWERS AND DUTIES OF THE ASSOCIATION:

a) The Association shall be a non-profit organization.

b) The  Association  will  have  the  responsibility  of  administering  the   <ASSOCIATION NAME>, approving the Annual budget, collecting periodical and ad-hoc payments and arranging for management of the Condominium in an efficient manner.

Except otherwise provided, a Resolution of the Association shall require approval by a

majority of owners either present in the meeting and casting votes in person or casting

votes through the authorized proxy.

c) The Association may frame rules to amplify these bye-laws for housing society and these rules, which shall be applicable to all society management members & residents after they are passed in the annual general meeting or a special general meeting (“AGM/SGM”). In the event of any doubts or contradictions, the bye-laws for housing society shall prevail over the rules.

d) The Association shall generally look after and be responsible for safeguarding, promoting and protecting rights and well being of members, and enforcing their respective obligation to each other.

e) The  Association  shall  represent  the  collective  interest  of  the  Community  in   <APT NAME> with various external agencies.

f) The  Association  shall  commence/defend  any  legal  proceedings  only  in  so  far  as  it  is related or connected with and affects the Members and the affairs of the <APT NAME> & its Residents.

g) The Association shall promote and strive for a peaceful co-existence among all members of the association.

h) The Association shall regulate the manner and prescribe restrictions and conditions for

and under which any member shall transfer or part with the possession of his ownership

of a property in <APT NAME>  so as to ensure compliance with these bye-laws and

rules by the transferees.

i) The Association shall have unhindered access to all its facilities located and designated as Association Office for operation & its maintenance.

j) The association will not be responsible for any loss caused to members they might have

suffered  by act of  God  like: earthquake, flood,  fire, riot  or  willful  act of  any member

personally.

k) In emergent situations the President and or Secretary can take decisions which may be

even out side the purview of bye laws but will seek ratification for such decisions from

the Committee at a later date.

12. PLACEMENT OF ANNUAL GENERAL BODY MEETING, SPECIAL GENERAL

BODY MEETING AND ELECTION OF CHAIRPERSON.

First  meeting  of  the  Association  shall  be  held  at  the  premises  of  <APT NAME>

Apartments. Chairperson to conduct the proceedings/meeting shall be elected from among Members/deemed   Members  present,  prior   to   the  commencement  of   such   Meetings.

President of  the Association shall be the Chairperson for  all subsequent meetings.  In  his absence, Vice-President will chair these meetings.

13. ANNUAL MEETING

The first Annual General Body meeting of the association shall be held within one month of the  date  of  registration  of  the  Association.  Thereafter,  the  Annual  Meeting  of  the

Association shall be held during any day of the month of July or August, in each succeeding year.  The  Meeting  may  also  transact  such  other  business  of  the  Association  as  may  be properly brought up before it.

The  principal  Officers  of  the  Association  shall  be   elected  preferably  by  ballot  among Apartment Owners/deemed members in accordance with the requirement of the Bye-laws for housing society.

14. SPECIAL MEETING:

It  shall  be  the  duty  of  the  Secretary  to  call  a  Special  General  Body  meeting  of  the Apartment Owners as directed by a resolution of the Management Committee or within 10 days upon petition signed by at least 21 members of the Association having been presented to the Secretary. The notice of the Special Meeting shall state the date, time and place of such Meeting and the purpose thereof. No other business shall be transacted at a Special meeting except as stated in the notice.

15. NOTICE OF MEETING

It shall be the duty of the Secretary to circulate an e-mail, or a notice of each Annual or

Special Meeting, stating the purpose thereof and the Agenda for the meeting as well as the date, time and place where it is to be held, to each Apartment Owner, at least 21 days prior to the date of such Meeting. The circulation of this notice in the manner provided in this Bye-laws for housing society  shall  be  considered  as  notice  served.  The  notice  shall  also  be  displayed  on  the Notice board of the association. No notice shall be required to be sent in respect of any adjourned meeting.

16. ADJOURNED MEETING:

If the meeting of the owners cannot be organized because of lack of quorum, the members who are present may adjourn the meeting to the same day, 1 hour later. And, the meeting will take place with the available members. .

17. ORDER OF BUSINESS

The order of business at the Annual general body meetings of the Association shall be

stipulated by an Agenda that shall include, among other things, the following:

a) Roll call and election of chairman to conduct the meeting.

b) And reading of the agenda of the Meeting.

c) Consider and approve the Minutes of the preceding Annual General Meeting and Special Meeting/s, if any and to note the actions taken thereon.

d) Consider  and  approve  the  Management  Committee’s  Annual  Report  for  the  preceding year.

e) Report of sub-committees and their adoption, with changes, if any.

Adoption of the audited accounts for the preceding year along with the Auditor’s Report

and the treasurer’s report, after discussion thereon.

f) Election of the office Bearers and members of the management Committee.

g) Adoption of the Budget for the following year.

h) Amendments, if any, to Rules and Bye-laws for housing society of the Association.

i) Appoint auditors and fix their remuneration. Auditors so appointed shall hold office till

the next Annual General Meeting.

j) Any other business with the permission of the chair.

k) Consider,  scrutinize,  approve  and  accept  the  Income  and  Expenditure  Account  and Balance  sheet of  the  Association  for  the  preceding  year  and  approve  and  sanction  the annual budget for the next year;

l) Consider,  approve,  and  initiate  such  action  as  may  be  necessary  on  the  reports  of  the secretary and Auditors;

m) Consider,  approve  and  initiate  such  action  as  may  be  necessary  on  reports,  if  any submitted by the committees;

n) Consider, and initiate such action as may be necessary on the report of the Registrar, or of the Officer duly authorized by him;

o) Consider,  and deal with  appeals  against  the  action  of  the  MC,  if  any,  or  any Member thereof;

18. MANAGEMENT OF ASSOCIATION:

A Management Committee of the Members of the Association shall govern the affairs of

the  Association.  The  working  hours  for  the  office  of  the  Association  –  which  will  be

manned by the appointed Estate Manager, shall be from 09.00 hours to 17.00 hours on all

11 days except ( weekday), ((weekday) will be the weekly holiday) and other statutory holidays as may be fixed by the society Management Committee from time to time.

19. POWERS AND DUTIES OF MANAGEMENT COMMITTEE:

The  Management  Committee  shall  have  all  the  powers,  and  duties  necessary  for  the administration of the affairs of the Association, and may do all such acts, and things as are, by law, or by these Bye-laws for housing society directed to be exercised and done by the Owners. The MC shall also have the powers to co-opt two persons from among the Owners, or from persons who are not Owners, but are wholly residing, occupying, or otherwise in lawful possession of any Apartment in the Building, to assist the MC in its day-to-day activities. In the latter case, the persons so co-opted shall become “ASSOCIATE MEMBERS”, which title they shall  hold  till  such  time  they  serve  on  the  MC  as  co-opted  Members.  Such  Associate Members  shall, however, have no  voting rights  whatsoever.  The MC shall also have  the powers to appoint Sub-Committees from among its Members, and Associate Members, or from persons who are not, Owners, but are wholly resident in any apartment In the Building, and  assign  such  duties  to  them  as  they  deem  appropriate  for  the  better  upkeep  of  the Building.

20. OTHER DUTIES:

a) The care, upkeep and surveillance of the Building, including the Common Areas and

Facilities;

b) The assessment, and collection of all charges towards maintenance/supply of goods and services and the general upkeep of the Building by Apartment Management;

c) The designation, employment, remuneration, and dismissal of the personnel necessary

for the maintenance and operation of the building, including the Common Areas and

Facilities;

d) The  setting up  of  a  proper  procedure  for  carrying out  the  audit  and  maintaining  the accounts of the Association;

e) To inspect the accounts kept by the Secretary, or Treasures, and examine the register

and account books, and to take steps for the recovery of all sums due to the Association;

f) To   sanction   working   expenses,   maintain   cash   balances,   and   deal   with   other

miscellaneous business;

g) To see that the Cash Book is written up promptly,  and is  signed duly by one of  the

Members of the MC so authorised in this behalf;

h) To hear, and deal with complaints;

i) To make all payments to Government, semi-Government and other such bodies, as due

by the Association.

j) Finalize the Budget to be presented to AGM.

k) Present duly audited accounts to AGM

l) To levy and collect parking fee from owners who do not have parking slots.

m)  Authorized to enter into contracts with service providers

21. MANAGER/SUPERVISOR:

The Management Committee may employ, for the Association, a Manager / Supervisor and the other subordinate workers at remuneration determined by the Management Committee to  perform  such  duties  and  services  as  the  Management  Committee  may  authorize.  The Management Committee may, by a Resolution, remove, dismiss, or suspend any employee of the Association.

22. ELECTION AND TERM OF OFFICE:

a)   The term of Office of the Management Committee elected at any Annual General Body Meeting shall be for one year. New Committee members shall be elected at the Annual General Body Meeting.

b)   The retiring Committee members are eligible for re-election.

c)   No  Committee  member  shall  be  eligible  for  election  for  more  than  two  consecutive terms. It is clarified that such member is eligible for the re-election to the Committee of management after a gap of one year.

23. VACANCIES:

Vacancies caused  in  the MC by any reason,  shall be filled  in by co-option of  another non elected member at the society management committee meeting held next and such newly co-opted member  shall  hold  office  until  the  conclusion  of  next  Annual  General  Meeting  of  the Association.

24. REMOVAL OF MEMBERS OF MANAGEMENT COMMITTEE:

At any Annual or Special General Body Meeting duly constituted with required quorum, any one  or  all  the  Members  may  be  removed,  with  or  without  cause,  by  a  majority  of  the Apartment Owners present at such Meeting and successors may, then and there, be elected to fill the vacancy thus created. Any Committee Member, whose removal has been proposed by the Owners, shall be given an opportunity to be heard at the Meeting. A person so removed shall not be eligible to stand for election to the MC for a period of two years.

25. ORGANIZATION OF MEETINGS OF MANAGEMENT COMMITTEE:

The first Meeting of a newly elected Management Committee shall be held within ten days of election  at  such  place  as  shall  be  fixed  by  the  President.  At  the  Meeting  at  which  such Members  were elected  and no notice  shall be necessary to  the  newly elected  Members, in order to legally constitute such Meeting, provided a majority of the Management Committee shall be present.

26. REGULAR MEETINGS OF MANAGEMENT COMMITTEE:

Regular  Meetings  of  the  Committee  may be  held  at  such  date,  time  and  place  as  shall be determined from time to time by a majority of its Members and, at least, one such Meeting shall be held during each calendar month. Notice of regular Meetings of the Committee shall be given to each Committee Member personally or by mail or telegram at least three clear days prior  to  the  day named  for  such  Meetings.  The notice shall  also  be  displayed  on  the Notice Board of the Association at least 3 days prior to the Meeting.

The  Secretary shall maintain  the  minutes  of  all such  Management Committee  Meetings  in consultation with the President and shall cause such minutes to be recorded within 30 days of the meeting so held.

27. SPECIAL MEETINGS OF MANAGEMENT COMMITTEE:

Special Meetings of the Management Committee may be called by the President on ten days notice to each Committee Member, given personally or by mail or telegram and such notice shall state date, time, place (as herein above provided) and purpose of Meeting. The period of notice for such a meeting shall be decided by the President; dependant on the urgency of the matter to be discussed at such meeting. Special Meetings of the MC shall be called by the President, or Secretary, in like manner, and on like notice, on the written request of at least three Members.

28. EMERGENCY MEETINGS OF THE MANAGEMENT COMMITTEE:

Emergency meetings of the Management Committee may be convened by the President or the Secretary  without  notice  giving  sufficient  jurisdiction   for  convening  the  meeting.  All decisions of the Emergency meeting shall be ratified at a Special Meeting convened for the purpose within 15 days of the Emergency Meeting.

29. WAIVER OF NOTICE

Before, or at any meeting of the MC, any Committee Member, may in writing, waive notice

of such meetings, and such waiver shall be deemed equivalent to the giving of such notice.

Attendance by a Committee Member at any meeting of the MC, shall be waiver of notice by him of the time and place thereof. If all the Committee Members are present at any meeting of the MC, no notice shall be required, and any business may be transacted at such a meeting decided in the society management system.

30. QUORUM FOR MANAGEMENT COMMITTEE MEETINGS:

At all meetings of the MC, the presence of one third of the MC members shall constitute a

quorum for the transaction of business, and the acts of the Members present at the meeting at which the quorum is present, shall be the acts of the MC. If at any meeting of the MC, there be less than a quorum present, the majority of those present may adjourn  the meeting to a subsequent time  and date. If  at such an adjourned  meeting also  no quorum is present,  any business which  was  tabled  for  discussion  at the  meeting may be  taken  up, without further notice, and the decisions arrived at shall be binding on all.

31. RESIGNATION

An elected Management Committee member may resign at any time by sending a letter of

resignation  to  the  President  or  in  his  absence  to  the  Secretary  of  the  Association,  but  the resignation shall take effect from the date of acceptance by the Managing Committee or one month from tendering resignation whichever is earlier.

32. DESIGNATION OF THE OFFICERS

The designations of the Principal Officers of the MC, or Office Bearers as they may also be called, shall be the President, who is so elected by the Management Committee Members, the Secretary, and the Treasurer, all of whom shall be wholly resident in the Building. A Vice President,  a Joint Secretary and/or a Joint Treasurer may also be appointed by the Committee Members.

33. SELECTION OF OFFICE BEARERS

The President, Secretary, and Treasurer shall be selected by the Committee, from among the Members elected to  the MC by the General Body. The selection shall be made at the first organization meeting of the MC, which shall be held immediately after the Annual General Meeting.

34. REMOVAL OF OFFICE BEARERS

Upon the written request of a majority of the Members of the MC, any Office Bearer may be removed from his office by the President if he/she so desires; with or without assigning any reason,  and  his  successor/s  selected  at  any  regular  meeting  of  the  MC,  or  at  any  Special Meeting of the MC called for such purpose. The person so removed may, however, continue on the MC as an Ordinary Member, if he/she so desires. The decision to remove a member shall be ratified at the AGM immediately following the removal failing which the removed 14 shall be entitled to be reinstated to the post he/ she was holding immediately prior to his/ her removal and shall also be entitled hold such position as if he/she was not removed.

35. PRESIDENT

The President shall be the head of the Association, and shall guide and supervise its various activities. He/She shall preside over the Annual General, Special, and other MC Meetings, the proceedings of which shall be conducted under his direction, and general supervision. His/Her rulings  shall  be  final  at  all  such  meetings.  He/She  shall  have  an  additional  “CASTING VOTE” in the event of a tie in the voting. The Vice President shall enjoy all the powers of the President in his/her absence.

36. SECRETARY:

The Secretary shall be responsible to the MC for all day-to-day activities relating to the proper apartment management system, maintenance, and upkeep. He shall:

a) Look after the administration and other affairs and attend to all correspondence;

Keep accurate minutes of the proceedings of all meetings of the MC, and of the Annual

General and Special Meetings;

b) Give effect to the directions and decisions taken at such meetings;

c) Collect all dues to  the Association  and ensure through the Treasurer, where appointed, that   proper   accounts   are   maintained   of   all   financial   transactions   relating   to   the Association;

d) Manage, and control the staff, and take disciplinary action where necessary;

e) Institute, prosecute and defend suits and other proceedings in which the Association may be involved;

f) Prepare the Annual Report, and financial Statement of Accounts under the guidance of

the MC;

g) Generally  perform  all  such  duties  as  are  incidental  to  the  Office  of  Secretary.  The Secretary shall maintain an imprest cash amount of Rs.20,000/ – (Rupees twenty thousand only) for incidental expenses.

h) Maintain a Register of Members.

i) He shall have charge of such books and papers as the management Committee may direct and  He  shall,  in  general,  perform  all  the  duties  as  authorized  by  the  Management Committee and incidental to the office of an association secretary.

j) The Joint Secretary shall work closely with the Secretary and shall perform the duties of

the Secretary in his/her absence.

37. TREASURER:

The Treasurer shall be responsible for the Association funds and securities and shall also be responsible for keeping full and accurate accounts of all receipts and disbursements in the books belonging to the Association. He shall be responsible for the deposit of all money and other effects in the name and to the credit of the Association in such depositories as may from  time  to  time  be  designated  by  the  Management  Committee.  In  the  absence  of Treasurer, the Joint Treasurer will perform his duties as per the society management system.

38. OBLIGATIONS OF THE MEMBERS

a)   The code of conduct are designed with keeping the common interest of owners/residents in mind with the following objectives:

i)    to ensure a SAFE & Secure and secure living environment for the residents;

ii)   to ensure COMFORTABLE and peaceful living for the residents by ensuring that

the amenities and common facilities are in good shape and available to all;

iii)  to facilitate residents enjoying the benefits of  well connected living ;

iv)  to  preserve  and  enhance  the  BRAND  VALUE  of   <apt name> by  making  it  the

most desirable place to live in the city

b) In  addition  to  following  code  of  conduct,  the  Association  may  issue  additional

guidelines in line with the above objectives. It is the responsibility of the owners to

ensure  that  these  are  communicated  to  the  residents  in  their  apartment  and  are

complied with.

c) Every  Member  shall  abide  by  the  Bye-Laws  of  the  Association  and  follow  all

instructions of the General Body, as conveyed through the Management Committee.

d) Every  Owner  shall  pay  monthly  assessments  as  fixed   by  the  MC  for  the  proper

upkeep and maintenance of the Building, which may include monthly payments to the

General Operating Fund, Reserve Fund and Sinking Fund, if any for periodic repair,

renovation, replacement etc. The assessment may also include an insurance premium

for  a  policy  to  cover  the  cost  of  repair  of  damages  caused  by  hurricane,  fire,

earthquake or other hazard or calamity.

e) The assessment shall be made pro-rata according to the area of the Apartment vis-à-

vis the total area of the land on which the Building has been constructed. All such

assessments  shall  be  paid  within  the  prescribed  time  and  place,  failing  which  the

services rendered by the Association may be forfeited, as provided for in the Bye-law

herein under.

f) Every  Owner  who  lets  his/her/their  apartment  for  occupation  by  other  on  lease,

tenancy, mortgagee, or otherwise, shall include in the relevant Agreement, a clause as

approved by the Association, binding the occupant to pay, in proper time, the monthly

maintenance  assessments  DIRECTLY  to  the  Association.  A  copy  of  the  said

Agreement, along with an undertaking by the occupant to abide strictly by the Bye-

laws of the Association, and to make payment in full, and in time, all maintenance

assessment as raised, shall be submitted to the Association BEFORE occupation of

the Apartment.

g) This, however, shall not absolve the Owner from his/her/their responsibility to ensure

that all assessments on his/her/their/ Apartment are paid in time as specified by the

MC from time to time, and in the event of any default by his/her/their occupant, shall

himself/herself/ themselves make all payment as raised by the MC.

h) Every Owner shall perform promptly all maintenance and repair work within his own

apartment,  which  if  omitted  would  affect  the  Building  in  entirety,  or  in  a  part

belonging to other owners being expressly responsible for the damages and liabilities

that  his/her/their  failure  to  do  so  may  endanger.  In  doing  so  he/she/they  shall  not

make  any  alteration,  or  modification  which  may  affect  the  facade  or  the  main

structure of the Building or the common walls or floors between two units.

i) Every  Owner  shall  bear  the  cost  of  all  repairs  to  the  internal  installations  of

his/her/their  Apartments,  such  as  water,  light,  gas,  power,  sewage,  telephone,  air

conditioners, sanitary installations, doors, windows, lamps and all other accessories

belonging to the apartment.

j) Every owner/Resident shall fully, and without delay, reimburse the Association for

any expenditure in repairing or replacing any damages to the Building including the

Common Areas and facilities caused through his/her/their fault.

k) Every Owner/Resident shall grant the right of entry to the Members of the MC, or any

person authorised by them, in  case of  any emergency originating in  or  threatening

his/her/their apartment whether the Owner is present or not.

l) Every owner/resident shall permit the Members of the MC or any person authorised

by them to enter the Apartment for the purpose of performing installations, alterations,

or repairs to the mechanical or electrical services, provided that the requests for entry

are made in advance, and that such entry is at a time convenient to the Owner. In case

of an emergency such right of entry shall be immediate and without notice.

m)  Every Owner/Resident shall ensure that the Apartment is not used for any purpose

other than residential, except with the express, written permission of the MC and that

other spaces allotted to him/her/them are utilised only for the specified purposes for

which the allotments are made. No Owner/Resident shall use any part of the Premises

for any commercial purpose whatsoever.

n) Every  Owner/Resident  shall  ensure  that  his/her/their  children  play  only  at  places

allotted if any and during the hours prescribed by the MC.

o) Every Owner / Resident shall ensure that the Building and the Common Areas are

kept clean  and  tidy  in  all  respects  and  that garbage  or  trash  is  thrown  only in  the

disposal installations provided for such purposes by the Municipal Corporation.

p) Every Owner/Resident shall ensure that the rights and privileges of other owners are

respected and that no inconvenience is caused to them in any manner.

q) Only one family (plus  domestic  servant)  may occupy one  apartment.  Subletting or

sharing  an  apartment,  whether  for  monetary  benefit  or  otherwise  is  not  permitted.

Servant’s families are not to be permitted to share the apartment. Only one servant

can stay in the apartment

r) Every Owner/Resident shall ensure that the staff employed by him/her/them bear a

good character and shall be responsible for their behavior and actions while in his /her

/ their service.

s) Every Owner/Resident shall use the lifts in such a manner as not to damage them in

any  way.  Other  then  luggage,  no  package,  box,  crate  or  any  other  article  shall  be

permitted, except with the permission of the MC. No single item weighing 50 Kgs

and  above  shall  be  allowed  without  the  prior  permission  and  in  the  presence  of  a

representative of the MC.

t) Every Owner/Resident shall exercise due care about making noise or any kind or use

musical  instruments,  radios,  television  sets,  amplifiers  etc  that  may  disturb  others.

Residents  keeping  domestic  animals  or  other  pets  shall  abide  by  the  Municipal

Sanitary Bye-Laws or Regulations. MC may issue additional guidelines to restrict the

hours for the activities that cause noise and disturbance to the residents.

u) Every Owner shall furnish relevant particulars of any person/ persons other than the

Owners themselves in occupation of his/her/their Apartment as may be required by

the MC. A letter of authorization for such occupation shall be given to the MC before

the occupation.

v) Every  owner  should   inform  the  Association   in  advance  about  the  change  in

occupancy  of  their  apartment.  For  every  such  change  that  involves  movement  of

household goods in or out of building, a Shifting Fee of Rs. x   per occasion will be

levied to cover the repairs for minor damages in common area, additional security and

housekeeping  efforts  put  in  by  the  Association.  The  Owner/Resident  should  take

adequate care that no damage is done to lifts or any other common area due to this

movement. The cost of repairing any major damages, at the discretion of MC, will be

charged to the Owner’s account.

w)  No  Owner  shall  sell,  or  otherwise  transfer  his  /   her  /  their  Apartment  to  anyone

without prior notice to the Association and/ or without paying in full all amounts due

to the Association along with a Transfer Fee of Rs. x  per sft of apartment area and

obtaining a “NO DUES CERTIFICATE” from the Association. Any default in this

regard will result in the transferee being denied any or all of the services rendered by

the Association including the supply of services that require upkeep and maintenance

on a regular basis, unless the transferee undertakes in writing to pay all the dues and

does so before occupation of the Apartment.

x) No  Owner  shall  make  any  structural  or  other  modifications  which  may  alter  the

facade of the Building in any way, whatsoever, save and except grills, which may be

provided  as  a  measure  of  safety,  but  only  as  approved   by  the  MC,  and  under  its

written orders.

y) No Owner/Resident shall make any structural or other modification or alteration or

repair within the Apartment or on installations located therein without notifying the

Association through the President/ Secretary of the MC, and receiving its approval.

The Association shall have the obligation to answer; within seven days and failure to

do so within the stipulated time shall mean that there is no objection to the proposed

modification, repair, alteration or installation being undertaken. The Association shall

not refuse permission, unless the work proposed is likely to affect the safety of the

Building, or the installations provided therein, or alters the facade, or inconveniences

the Owners of the adjacent apartments.

z) No  Owner/Resident  shall  place  or  cause  to  be  placed  in  the  lobbies,  vestibules,

stairways,  elevators  and  other  areas  both  Common  and  limited  any  furniture,

packages, cycles or objects of any kind, except while in normal transit through them.

aa)  No  Owner/Resident  shall  use  any  portion  of  the  Common  area  of  the  Building

without the written permission of the MC. The MC may grant permission for such

occupation,  for  short  periods,  for  marriages  or  other  social  functions,  at  their

discretion, provided that the premises so used is released in the same condition as it

was taken, and the cost of cleaning the premises, or repairing damages if any, is borne

by the user.

bb) No  Owner/Resident shall  park his/her/their  car  or  two  wheeler  except at the  place

allotted  to him/her/them. Owners of two wheelers not allotted parking spaces shall

park their vehicles inside the boundary of the Building only at the discretion of the

MC. Visitors’ vehicles shall parked only in the designated area in the Building. Only

one car shall be parked in the one covered parking space.

cc)  No Owner/Resident shall install any machinery, or equipment, like generators etc in

the Common Areas, especially in the lobbies or under staircase that makes a noise, or

causes disturbances to other residents, in any way.

dd) No Owner/Resident shall put up any hoarding, advertisement, notice, or poster of any

kind, in or on the Building, except as authorised by the Association.

ee)  No  Owner/Resident  shall  hang  garments,  rugs,  etc.  from  the  windows,  balconies,

parapets,  or  from  any of  the  facades  of  the  Building,  as  this  is  strictly  prohibited.

Further, no Owner/Resident shall dust rugs in any manner on the windows, balconies

or on the Common Areas, including the lobbies and landings.

ff)  No  Owner/Resident  shall  install  wiring  for  electrical,  telephone,  or  fax  machines,

television  antennae,  air-conditioning  units,  or  machines  on   the  exterior  of  the

Building, which protrudes through, or above the walls or roof, except as authorised by

the MC.

gg) No Owner /Resident shall engage any staff of the Association for any personal work

without the sanction of the MC.

hh) No  Owner/Resident,  or  any  person  connected  with  him/her/them,  shall  cause  any damage, whatsoever, to any asset of the Association. In the event of so doing, the full cost of repairing such damage shall be borne by the Owner/Resident.

ii)   No Owner/Resident shall use the Common Areas, including Limited Areas, for any

purpose  which  may  hurt  the  sentiments,  or  feelings  of  any  of  the  residents.  The

decision of the MC shall be final in any case of difference of opinion.

jj)   No Owner/Resident shall object to any work being undertaken by the MC which is in

the   common   interest   of   the   Owners,   even   if    such   work   may   cause   some

inconvenience to him/her/them.

kk) No  Owner/Resident  shall,  under  any  circumstances,  threaten,  abuse,  reprimand,

assault or in any way take up with the staff employed by the Association, but may

report any misbehavior, or neglect of duty by them to the MC.

ll)   The MC may request the owners/residents to desist from keeping a pet if there are

reasonable complaints from the residents against it. Dogs should always be on a leash

or   carried  while  using  the  common   areas.   The  pets should be immunized regularly and the reports should be given to the manager of the building.

mm)  All  Owners/Residents  are  governed  by  the  club  rules  which  may be  placed  on  all notice boards from time to time.

nn) In  case  of  inter  apartment  seepage/ leakages,  except due   to  inherent defect  arising during  the  construction  of   the  building,  the  managing  committee  shall  fix  the 18 responsibility,  in  consultation  with  the  concerned  apartment  owners,  who  shall  be responsible to repair the same and the decision of the managing committee shall be final and binding on the owner/ s concerned.

oo) Any  Owner  who  fails  to  pay  for  three  months,  or  more,  any  amounts  due  to  the Association, shall be deemed a “‘DEFAULTING MEMBER”, and shall be debarred from voting, or standing for election to MC.

pp) Non-payment of dues to the Association for three months or over shall constitute just

and sufficient reasons, for the MC to deny the use of any, or all, of the facilities and

services, offered to its Members, PROVIDED that due notice in writing, which shall

not be less than fifteen days, is given to the Defaulting Member. The Notice shall be

sent by Registered Post. In the event of the registered letter not being accepted by the

Defaulting  Member,  the  Notice  shall  be  affixed  to  the  main  door  of  his/her/their

Apartment,  and  also  put  up  on  the  Notice  Board  of  the  Association  for  the

information of  its  Members.  On  expiry of  fifteen days  from the date  the Notice  is

posted on the door of the defaulting Member’s Apartment, the Association shall be

entitled to initiate action for withdrawing its services to the defaulting member.

qq) In  the  event of default in payment of dues  to  the Association for  three  months, or

more, the  Association  shall have  the right to deduct such  dues, from any Deposits

made by the Defaulting Member and held by the Association along with the penal

interest  that  may  be  fixed  by  the  Association.  And  the  association  may  initiate

appropriate  legal  action  to  recover  the  dues  against   such  defaulting  member  in

accordance with law.

39. INCOME:

Funds may be raised by the Association in all or any of the following ways:

a) By Membership Fees and Transfer Fees.

b) By contribution and donation from the Apartment Owners.

c) From  surplus  of  Income  over  Expenditure  which  shall  form  the  nucleus  of  the

Reserve Fund.

d) By raising loans, if necessary, subject to such terms and conditions of the Association

with the approval of the General Body.

e) By hiring/leasing of any permitted common areas/ facilities to providers of commons

goods and services/ members.

40. INVESTMENT:

The Association may invest, or deposit its funds in anyone or more of the following:

a) In any of the securities specified in Section 20 of the Indian Trust Act, 1882;

b) In any Public Sector Bank, or Government Financial Institution; or

c) In any banking company, or institution, approved for this purpose by the Association.

d) In the units of various schemes of listed mutual funds such that no more than 20% of

the total investment of the Association is invested in equity funds.

41. AFFILIATION:

Should there be any Federation of Associations of Apartment Owners in Bangalore, the

Association may become a member thereof and pay the contribution from time to time

payable to such Federation under its rules.

42. ACCOUNTS:

1)  A Banking account shall be opened by the Management Committee of the Association,

into which all money received on behalf of the Association shall be paid, provided that

the Treasurer or the Manager in charge may retain in his personal custody an amount

not  exceeding  Rs.x/-  (Rupees  <x in words >    only)  for  petty  expenses.  All

payments above Rs.x/- (Rupees < in words>  only) shall be made by cheques signed

by the Treasurer and one or two Members of the Management Committee as authorized

by respective Resolutions of the Committee.

2) The Association shall, on or before <Date>  of each year, publish an audited Annual

Financial Statement containing:

a) The profits and loss account

b) The receipts and expenditure of the previous financial year.

c) A  summary  of  the  properties  and  assets  and  liabilities  of  the  common  area  and

facilities  of  the  Association,  giving  such  particulars   as  will  disclose  the  general

nature  of  these  liabilities  and  assets  and  how  the   value  of  fixed  assets  has  been

arrived at.

3)  The audited financial statement shall be open to the inspection of any Member of the

Association during  the  office hours and  in  the  office of  the  Association,  and  a  copy

thereof shall be submitted to the competent authority not later than 15 August every

year.

4)  Every financial statement shall be accompanied  by a  complete  list of  the Apartment

Owners as on <Date >  each year. The financial statement shall state upto what dates

profits and expenses of common area are included.

43. PUBLICATION OF ACCOUNTS AND REPORTS:

The financial year of the Association shall be from 1   of April to 31   of March. A copy of the last financial statement and the report of the Auditor, if any, shall be kept in a conspicuous place in the Office of the Association.

44. APPOINTMENT OF AUDITORS

The Association shall appoint at its Annual General Meeting, an Auditor who shall audit the accounts of the Association, to be prepared by the MC as here in before provided, and shall examine the annual return, and verify the same with the accounts relating thereto, and shall either sign the same as found by him/her to be correct, duly verified, and in accordance with Law, or specifically report to the Association in what respect he/she finds it incorrect, un-vouched, and not in accordance with law.

45. POWER OF AUDITOR

The Auditor shall be entitled to call for, and examine any papers or documents belonging to the  Association  relating  to  the  Building,  including  the  Common  Areas  and  Facilities  and Limited Common Areas, and shall make a special report to the Association upon any matter connected with the accounts which appears to him/her to require notice.

46. NOTICE TO ASSOCIATION

a) An Owner, who mortgages his unit, shall notify the Association through the Secretary

of the Management Committee, the name and the address of the party to whom the

unit has been mortgaged and the Secretary shall maintain all such information in a

book entitled “Mortgages of Units”.

b) An Apartment Owner shall notify in writing to the Association of his intention before

he conducts a Sale, Lease or mortgage Agreement in respect of his Apartment and in

such case he shall pay all the unpaid assessment of the Association including interest,

if any, on such outstanding balance. In case of a default, all such outstanding amounts will automatically devolve upon the buyer or the new lessee. Without  an  explicit  written  NOC  from  the  association  no  such  transaction  –  as referred in (b) above is to be taken up. Any violation of this will be treated as null and void.

The association will have first lien over the rent payable or over the sale proceeds in

the event of any default by any member in paying the dues. The mortgager shall pay

all  dues  to  the  Association  BEFORE  affecting  the  mortgage,  failing  which,  the

services of the Association shall not be made available to the mortgagee.

47. SEAL OF THE ASSOCIATION

The Association shall have a common seal which shall be in the custody of the Secretary and shall be used only under the authority of the Resolution of the Management Committee and every Deed of Instrument to which the seal is affixed shall be attested, for and on behalf of the Association, by two Members of the Management Committee and Secretary or any other person authorized by the Association in that behalf and chronological record of use of the seal shall be maintained in a register kept for the purpose.

48. REGULATIONS, RULES AND ADMINISTRATIVE PROCEDURE:

The  Association  shall  frame  rules,  regulations  and  procedures  for  the  administration  of Apartments, its common areas and facilities as well as frame guidelines of restrictions and measures designed to prevent the unreasonable and improper use of facilities and common areas  which  will  interfere  with  the  peaceful  occupation  of  units  by  respective  Owners  / Residents conducive to day to day living environment. Such measures / restrictions shall be implemented within a reasonable time.

49. AMENDMENT OF BYE-LAWS FOR HOUSING SOCIETY

These Bye-laws for housing society may be amended by the Association in a duly constituted Meeting for such  purpose  and  no  amendment  shall  take  effect   unless  approved  by  the  Owners representing at least three-fifth (3/5) of the Apartment Owners present at the meeting. Rules framed by the resident’s core committee is in the general interest of residents as a guiding factor and the committee alone has the right to amend or alter the same.

Signed by Management Committee Members to ADDA.

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