Different types of membership in a cooperative society are offered to individuals seeking to participate in their operations and benefits. Understanding these membership categories, including the definition of bonafide members and the minimum and maximum member limits, is essential for those interested in cooperative housing societies.
Membership of Cooperative Society: What Does it Mean?
Being a member of a cooperative housing society holds significant importance as it not only provides individuals with a place to reside but also empowers them to actively participate in the management and governance of their residential community. Let’s delve deeper into what it means to be a member of a cooperative housing society in India:
1. Share Purchase
To become a member of cooperative society in India, an individual must first apply for membership by purchasing shares in the society. These shares represent a financial stake in the cooperative and are typically the primary source of funding for the society’s activities, including the construction and maintenance of residential units and common facilities.
2. Application and Registration
Once an individual acquires shares, they need to apply for membership to the society’s managing committee. The application should include all necessary documents as per the society’s bylaws and regulations. The managing committee evaluates the application and, if it meets the eligibility criteria, registers the applicant as a member.
3. Membership Rights
As a member, individuals enjoy various rights within the cooperative housing society. These rights may include the right to attend and vote in general body meetings, participate in decision-making processes, and access common facilities and amenities provided by the society.
4. Residential Unit Allotment
One of the primary benefits of being a member is the allocation of a residential unit within the cooperative housing society. Members are allotted housing units based on their shareholdings and as per the society’s rules and regulations. This allocation ensures that members have a place to live within the cooperative community.
5. Responsibilities
Along with rights, members also have responsibilities. They are expected to abide by the cooperative society’s bylaws, pay maintenance fees, and actively participate in the maintenance and management of the society. Members may also serve on the managing committee or other sub-committees to contribute to the society’s smooth functioning.
6. Minimum and Maximum members in cooperative society
Cooperative Society Minimum Members
Most state Cooperative Societies Acts require a minimum of 10 members to register a cooperative society. For a multi-state cooperative society, the requirement is higher at least 50 members across the states it operates in, per the Multi-State Cooperative Societies Act, 2002.
Cooperative Society Maximum Members
There's generally no fixed maximum, membership isn't capped by law and typically grows with the number of units/flats sold in the project. Some states or society bylaws may set internal conditions for associate or nominal members, but a hard numerical ceiling is uncommon.
Read Also: New Rules for Associate Members in the Housing Society
Types of Cooperative Society Membership
Cooperative housing societies in India offer various types of memberships to accommodate different categories of individuals and entities. Each type of membership comes with its rights, responsibilities, and qualifications. Let’s explore the different types of memberships in a housing society:
| Types of members in cooperative housing society |
|---|
| 1. Original Member |
| 2. Associate Member |
| 3. Nominal member |
| 4. Sympathizer Member |
| 5. Corporate Member |
| 6. Minor Member |
| 7. Bonafide Member |
1. Original Member
- An original member is the person whose name appears on the purchase deed of the property.
- They are registered as shareholders and granted membership in the society.
- The original member’s name is recorded as the primary shareholder on the share certificate.
- To maintain active membership status, they must attend at least one general body meeting every five years and pay maintenance and other society charges on time.
2. Associate Member
- Associate members are individuals who jointly own the property or shares in the society, with their name appearing after the original member’s name on the share certificate.
- They can occupy the residence with the written consent of the original member.
- Associate members have the right to attend general body meetings, vote, and even contest elections if they meet the ownership criteria.
- Typically, associate members are spouses, parents, or children of the original member.
- Associate membership ceases upon the death or resignation of the member but remains valid as long as they own shares or property in the society.
Read also:New Rules for Associate Members in the Housing Society
3. Nominal member
- Rights of nominal members in a co-operative housing society – Nominal members do not hold any right, title, or interest in the property individually or jointly.
- Nominal Members are admitted to membership after registration but are not given any shares in the society.
- Usually, nominal members are subletters, tenants, or licensed caretakers.
- They have the right to occupy the residence and live in the society but do not participate in general body meetings, elections, or the Managing Committee’s workings.
4. Sympathizer Member
- Sympathizer members hold an honorary position and share the society’s goals and objectives.
- They do not have voting rights, nor are they allotted shares in society.
- Sympathizer members often possess expertise in specific fields (e.g., architects, engineers, finance experts) and guide society in their area of specialization.
5. Corporate Member
- Legally registered companies can become members of a housing society to provide accommodation to their employees.
- However, government regulations stipulate that more than 50% of the total membership cannot be granted to a company in a housing society.
- The company’s Memorandum of Association (MOA) should include a clause allowing investment in the housing society.
- Corporate members have representation in the Managing Committee and the right to vote if they have invested funds in the society.
6. Minor Member
- Minors are eligible to become members of a society through their guardian or legal representative.
- Once they reach adulthood, they can participate in property transactions independently.
- In cases where the property is under the minor’s name and managed by a guardian, the society cannot take legal actions regarding transfers without a court judgment.
7. Bonafide Member Meaning
A “bonafide member” is a term used to describe a member who actively participates in the cooperative society’s affairs, abides by its rules, and fulfills their financial obligations. Bonafide members are often given preference in various matters, such as the allocation of parking spaces or leadership roles within the society.
Read Also: Types of Cooperative Societies in India
Managing Cooperative Society Memberships with NoBrokerHood
With so many membership categories to track original members, associate members, nominal members (tenants), corporate members, minors, and more keeping accurate, up-to-date records manually can quickly become a headache for managing committees. NoBrokerHood's Apartment Management system feature helps MC members maintain a digital, error-free record of every resident type in the society, while giving owners and tenants a simple way to stay connected and informed.
- Digitized member database: Store and update records for original, associate, nominal, and corporate members in one place no more relying on scattered paper share certificates or registers.
- Owner - tenant tracking: Easily distinguish between flat owners and nominal members (tenants/sub-letters), so MCs always know who's occupying a unit and who holds voting rights.
- General body meeting management: Digitally notify eligible members (original and associate) about meetings and track attendance useful given the "one GBM every 5 years" active-membership rule.
- Approval workflows: Streamline associate/nominal member additions with digital consent and approval requests routed straight to the managing committee.
- Transparent communication: Keep all members regardless of category informed on society updates, dues, and notices through a single app.
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