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BDA Upholds Allottees’ Rights in Landmark Ruling on Maintenance Dues

Association Empowered to Cut Services of Defaulters Under Odisha Apartment Act, 2023

TNC BUREAU by TNC BUREAU
July 11, 2025
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BDA Upholds Allottees’ Rights in Landmark Ruling on Maintenance Dues
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Bhubaneswar-  In a precedent-setting move, the Bhubaneswar Development Authority (BDA) has passed a decisive order empowering a residential association to act against defaulters who have consistently failed to pay their monthly maintenance charges. The order allows the association to disconnect essential services to such units, marking a significant victory for housing societies seeking better compliance from residents.

The dispute arose in a prominent housing complex comprising over 160 residential units. According to sources, four homeowners had stopped paying their share of common maintenance costs, citing that the association was not properly registered and that the builder was still responsible for maintaining shared facilities.

However, the association’s secretary confirmed that the group is duly registered and has already taken charge of maintaining the common infrastructure. Each unit, the association asserted, is obligated to pay a monthly fee toward these shared expenses.

The BDA, after thoroughly reviewing the case, cited “Section 19(1) of the Odisha Apartment (Ownership and Management) Act, 2023”, which authorizes registered housing associations to suspend essential services like water or electricity if any allottee fails to contribute to common expenses for a period exceeding three months.

In its order, the BDA instructed the defaulting homeowners to clear all pending dues within a month. Failing to do so would allow the association to initiate service disconnections as per the law.

This judgment is being hailed as a major milestone in apartment governance and a strong step toward ensuring financial discipline within housing societies across Odisha.

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