‘Non-Refundable’ Parking Deposit Must Be Returned If Society Cannot Justify Retention, Court Rules
A housing society cannot simply keep a member’s money by calling it a “non-refundable” deposit . If the society wants to retain the amount, it must be able to show a valid legal basis for doing so. In a recent ruling, a Co-operative Court made this clear while ordering a housing society in Mumbai’s Kandivali West to return ₹50,000 to a couple, along with interest. The case involved RNA Regency Park Tower Co-operative Housing Society and its members, Jignesh Khiraiya and Kusum K Khiraiya . The court directed the society to refund ₹50,000 with 6% simple interest per year . The interest is to be calculated from January 30, 2022, the date on which the society received the couple’s written demand for repayment, until the amount is fully recovered. The society was also ordered to pay the couple’s legal expenses. How the dispute began The dispute dates back to June 2017, when the couple transferred their flat in the housing society. As part of the process, they paid ₹75,000 as a deposit for ...