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Case Problems · Q12

Q.A society refuses to admit Mr. Rao as a member even though he is fully qualified under the Act and the bye-laws, giving no reason. Later, the same society's managing committee completes five years but no fresh elections are held. Advise on

(i) whether the society could lawfully refuse Mr. Rao, and
(ii) who is responsible for holding the committee's elections.
Maharashtra MsbshseTextbookSubjectiveImportance★★★★★est
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This problem raises two separate provisions of the Act.

(i) Refusal of membership to Mr. Rao. A basic principle of co-operation, given legal force by the Act, is open and voluntary membership: a society shall not, without sufficient cause, refuse admission to any person who is duly qualified under the Act and the bye-laws. Since Mr. Rao is fully qualified and the society gave no reason for the refusal, the refusal is not lawful — 'no reason' is not 'sufficient cause'. Mr. Rao therefore has a remedy under the Act; a person aggrieved by a wrongful refusal of membership can approach the Registrar (or the appropriate authority) for redress, and the society can be directed to admit him. Advice: the society could not lawfully refuse Mr. Rao, and it should admit him. …

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