FAQs on KAOA vs. Cooperative Societies for Resident Associations
Can a builder form an association under any Act in Karnataka?
Technically, yes – but there are important legal nuances around apartment association registration in Karnataka. As per Section 11(4)(e) of RERA, a promoter can form an association of allottees under applicable laws, which could include either the Karnataka Apartment Ownership Act (KAOA), 1972 or the Karnataka Cooperative Societies Act.
However, the Karnataka High Court clarified in multiple judgments – most recently in May 2025 (Ramky One North case) – that if a society is primarily residential in nature, the builder should ideally form the association under the Karnataka Apartment Ownership Act, 1972. This interpretation has legal backing from earlier cases like Shantaram Prabhu v. Dayanand Rai as well.
Key takeaway: If your apartment complex is residential, the law favours formation under KAOA. If your sale deed specifically mentions KAOA, the builder is legally bound to form the association accordingly.
What if my society is registered under the Cooperative Societies Act?
That’s still legal – provided your sale deed doesn’t mandate KAOA for apartment association registration.
If your sale deed is silent on the matter, you have the option to register under either the Karnataka Apartment Ownership Act or the Karnataka Cooperative Societies Act. Societies registered under the latter are valid legal bodies, with elected management committees. Caution: You cannot form an association under the Karnataka Societies Registration Act, 1960 for residential apartments. The courts have not recognised this route as valid for residential housing societies.
How to Decide the Right Act for Apartment Association Registration in Karnataka
It depends on:
The applicable law for apartment association registration, based on project type and legal documents.
- Your sale deed – If it says the association must be formed under KAOA, then that takes precedence.
- Your sanctioned plan – If the project is primarily residential (even with small commercial areas like shops or gyms meant for residents), then it qualifies as a residential apartment comple
- Mixed-use developments – If your sanctioned plan designates a portion of the complex for public commercial use (e.g. shops open to the general public), you cannot form an association under KAOA and must opt for the Cooperative Societies Act or Companies Act instead
Legal Differences in Apartment Association Registration: KAOA vs. Cooperative Societies
| Feature | KAOA, 1972 | Karnataka Cooperative Societies Act |
| Applicability | Residential apartments | Residential and mixed-use buildings |
| Basis | Requires a Deed of Declaration for each apartment | Registration of a society with by-laws |
| Key Documents | Sale deed must mention KAOA (as the basis for apartment association registration) or be amended later | Resolution by owners and society registration |
| Flexibility | Limited to residential use | Allows both residential and commercial |
| Court View | Preferable for residential apartments | Acceptable if KAOA not mandated |
For more details on the legal process and what RWAs need to know during transitions, check our blog on RWA Handover-Takeover (HOTO): Navigating Legal Complexities
What if our society has already registered under the Cooperative Societies Act?
You don’t need to panic. Your society is still a valid legal entity. The High Court hasn’t invalidated such registrations – it only says that if your sale deed mandates KAOA, then that must be followed.
If there’s no such mandate in the sale agreement, you can legally continue under the Cooperative Societies Act.
Important: The recent 2025 judgment reinforces the importance of reviewing your sale deed before choosing how to register the association
What is the Karnataka Ownership of Flats Act (KOFA), 1972? How is it different?
This Act applies primarily before possession, during the sales process. It governs how apartments are marketed, agreed upon, and sold.
Once possession is handed over and residents want to form an association, the KAOA takes over, provided you opt into it. If you don’t, and form under the Cooperative Societies Act, then KOFA continues to apply..
Think of it this way:
- Before handover – KOFA governs your rights.
- After handover, if KAOA is opted – KAOA takes precedence.
- After handover, if KAOA is not opted – KOFA remains applicable.
Final note for Compliant Apartment Association Registration in Karnataka:
If you’re a newly elected RWA or part of a Management Committee, and you’re unsure about your society’s legal standing, consult a legal professional. Ensure your apartment association registration aligns with your sanctioned plan and sale agreement, especially if your project is residential in nature. The laws are evolving, but recent High Court rulings provide a strong foundation for asserting your rights under the right statute.
Disclaimer: This blog post is for informational purposes only and should not be considered legal or financial advice. Always consult certified professionals for specialised guidance.