All You Need To Know About Association Registration Under Karnataka Apartment Ownership Act

The Karnataka Apartment Ownership Act of 1972 (KAOA), which came into force in 1975, encourages homeowners to form associations on democratic grounds. These associations ensure a smooth functioning within the housing societies and apartment complexes. Generally, such associations are registered by the developers. However, in case that doesn't happen, the apartment residents can take a lead and get it registered with the help of a lawyer.

The case in Karnataka

In Karnataka, there is a general confusion about whether apartment associations must be registered under Karnataka Apartment Ownership Act 1972 or Karnataka Societies Registration Act 1960 (KSRA). By law, the KAOA is the provision. But, the confusion arises because there is no authority specified for it to register the association through the Registrar of Cooperative Societies is regarded as the competent authority in this regard. However, note that you have the provision to tackle issues if you go by the rules of the KAOA. When it comes to the KSRA, the powers are well laid out and therefore, it paves way for such confusion. At this juncture, it is important to mention that while the KAOA deals with apartment complexes, the KSRA's jurisdiction involves- literary, scientific, charitable and other organisations. As of now, those registering their apartments along the KSRA guidelines, generally put in a 'welfare' motive in the clause.

Also read: Is Your Apartment Association Registered? 

Besides, the KSRA, most apartment owners also get confused with the Karnataka Ownership Flats Act (KOFA). Promotion, construction, sale, management and transfer of the apartment only. On the other hand, KAOA was passed to help make apartments heritable, transferable and mortgageable as also to address the management of the property.

Other key features of KAOA

• The homeowner under the KAOA is the absolute owner with a clear title of the apartment and its proportional undivided share (UDS).

• It is governed by the Transfer of Property Act,1882.

• It requires a Deed of Declaration that describes the property- byelaws, the number of units, lifts, generators, gymnasiums, pools, firefighting equipment and such common facilities. The Declaration is made perfectly traceable by giving it a registration number as well.

• Owners may also need to sign Form B that states that all home owners/members of the association duly agree to abide by the rules of the KAOA.

• Other provisions include duties of office bearers, the process of voting, charges, and encumbrances against each apartment. It extends to steps to be taken in case of demolition or destruction due to a natural disaster.

Common concerns

There is a difference of opinion among lawyers who consider that KAOA has not served its purpose fully since the role of the competent authority in this regard is unclear. All stakeholders — developers, buyers, banks must be guided about the right way out.

Recently, an activist's RTI received government's response and the latter wasn't sure as to which department is responsible for KOFA or KAOA.

Also Read: Why Karnataka Apartment Ownership Act Is Important For Homebuyers