When a member of a co-operative housing society in Mumbai dies, the family has two separate questions: who becomes a member of the society in place of the deceased, and who owns the flat. They are not the same question, and confusing them is the most common cause of family disputes over a flat. This guide explains the law and the steps.
Key facts
- Nominee
- Becomes a provisional member, not automatically the owner
- Law
- Section 154B-13, Maharashtra Co-operative Societies Act (Chapter XIII-B, from 2019)
- Transfer to heirs
- On a will, succession or heirship certificate, or family arrangement
- Probate
- Not compulsory in Mumbai since the Repealing and Amending Act, 2025, though a society may ask for it
- Documents
- Death certificate, share certificate, flat agreement, nomination form, maintenance receipts
Updated for the 2026 rules: under the Maharashtra Co-operative Societies (Amendment) Rules, 2026 (notified 18 June 2026), a nominee applies in Form Y-4, with an indemnity bond, to be admitted as a provisional member until the heirs are recorded. Heirs can also have the share transferred on a registered family arrangement, after a public notice inviting claims. What else changed in 2026
A nominee is not automatically the owner
A nomination tells the society whom to deal with after the member’s death. It does not, by itself, make the nominee the owner of the flat or cut out the other legal heirs. Courts, including the Bombay High Court, have repeatedly held that a nominee holds the interest for the benefit of those entitled under the will or the law of succession. Who actually inherits depends on the will, if there is one, or on the personal law of succession that applies to the deceased.
The Supreme Court has taken the same view. In Indrani Wahi v. Registrar of Co-operative Societies (2016), it held that a society must deal with the nominee, but that this does not decide succession; the legal heirs can establish their rights in court. In Shakti Yezdani v. Jayanand Jayant Salgaonkar (14 December 2023), a case about shares and securities, it held that nomination is not a “third mode of succession”: the nominee does not get absolute title, and legal heirs keep their rights under a will or the law of succession. The Bombay High Court applied this to housing societies in Karan Vishnu Khandelwal v. Vaikunth (Andheri) Cooperative Housing Ltd., directing the society to admit the nominee provisionally while the other claimants proved their case, and has repeated in 2026 that nomination does not confer ownership.
What changed in 2019
The Maharashtra Co-operative Societies (Amendment) Act, 2019 added a separate chapter for housing societies (Chapter XIII-B). Under it:
- A nominee can be admitted as a provisional member, so that the society has someone to deal with, until the legal heirs are admitted.
- Under Section 154B-13, the society transfers the deceased member’s share and interest to the person entitled to it on production of documents such as a will or probate, a succession certificate, a heirship certificate, or a family arrangement document executed by the heirs.
Check the society’s registered bye-laws as well, since they set out the forms and the procedure the society follows.
Step by step
- Get the death certificate and several certified copies.
- Find the society papers: the share certificate, the original agreement for the flat, the nomination form (if any), and maintenance receipts.
- Apply to the society. The nominee, or the heirs where there is no nominee, apply in the form the bye-laws prescribe, with the death certificate.
- Settle who is entitled. This is the key step:
- There is a will: the will, and probate where it is obtained or demanded. Since the Repealing and Amending Act, 2025, probate is no longer compulsory for wills in Mumbai, but a society or buyer may still ask for it, especially if the will may be disputed. See legal heir certificate, succession certificate and probate.
- No will, and the heirs agree: a registered release deed by the other heirs in favour of one, or a family arrangement document, is the usual route.
- No will, and the heirs do not agree: the society will not decide ownership. A succession certificate or heirship certificate, or a decision of the civil court, is needed.
- Indemnity and undertakings. Societies commonly ask the applicant for an indemnity bond and undertaking on stamp paper.
- Society notice. Where there is no nomination, the society usually invites claims by a notice before deciding.
- Transfer. The managing committee approves the transmission, and the share certificate is endorsed in the new member’s name.
- Update other records: the property tax and electricity accounts, and the property card where applicable.
Common problems
- The nominee treats the nomination as ownership and refuses to share with the other heirs
- No nomination was ever filed, and the heirs cannot agree
- The original agreement or share certificate is missing
- The society insists on a document the law does not require, or delays without reason
- A release deed by one heir is signed but never registered
A society that delays or refuses can be approached through the Registrar or the Co-operative Court, depending on the dispute.
Frequently asked questions
Does the nominee become the owner of the flat?
Not by nomination alone. The nominee can be admitted as a member, but ownership follows the will or the law of succession.
Is probate needed to transfer a flat in Mumbai?
Probate is no longer compulsory since the Repealing and Amending Act, 2025 omitted Section 213 of the Indian Succession Act. A society may still ask for it where the will is likely to be challenged.
Can one heir get the flat with the others’ consent?
Yes. The other heirs can give up their share by a registered release deed, or the family can record the arrangement in a family arrangement document.
Do we need to pay stamp duty on a release deed?
A release deed is stamped under the Maharashtra Stamp Act and registered. Relief applies to releases within certain family relationships; check the current rate for your case before signing.
Free tool: Society dues checker. Check your society’s interest and non-occupancy charges against the 2026 rules.
Consultations are by appointment. To fix a time, telephone +91 99301 50560 or send a message on WhatsApp.
This guide describes general procedure as understood in October 2026. It is not legal advice; the society’s bye-laws and the facts of each family decide the route.
Related
- A daughter’s share in ancestral property
- Property and housing society matters
- Legal heir vs succession certificate vs probate
- Civil and property matters
Related guides
- MHADA Flat Transfer After the Allottee’s Death
- Selling or Buying a MHADA Flat: Lock-In, NOC and Transfer Fee