News: Poor Services Don’t Let Flat Owners Stop Paying Maintenance-29-09-2026
Protests at two societies in the Noida region have revived a question many apartment owners ask: can common area maintenance (CAM) charges be withheld when services fall short? Legal experts say no, though residents have other remedies.
A few weeks ago, a 40% increase in CAM charges at Noida’s Cleo County set off multiple protests. Now residents of Ajnara Homes in Greater Noida West are agitating over alleged deficiencies in basic services and curbs on entry of delivery personnel and workers. They allege that delivery staff, carpenters, electricians, maids, cooks and housekeeping staff are being denied entry, and have raised concerns over garbage collection, lift maintenance, fire safety and the sewage treatment plant (STP). Some also alleged rainwater had collected in the basement.
Resident Dinkar Pandey told Hindustan Times Real Estate that nuclear families were struggling because residents had to go to the gate to collect milk, groceries, medicines and food. He asked why residents should pay maintenance when basic services are not provided, and said around 2,200 people live in the society, of whom around 1,000 had joined the protest. Residents said their decision to withhold payments stemmed from dissatisfaction with the management’s services. The maintenance team could not be reached for comment.
The dispute follows a roughly four-day disruption in garbage collection. Greater Noida Authority officials visited on September 26 and met residents and the maintenance management, after which door-to-door collection resumed and the management was told to improve cleanliness, according to media reports.
Abhishek Kumar, a Central Advisory Council member of the Noida Extension Flat Owners Welfare Association (NEFOWA), said there are no clear guidelines on CAM charges and no mandatory audit mechanism, and that guidelines should preferably come under RERA.
Experts said whether owners can stop paying depends on the applicable agreement, state laws, RERA provisions and the stage at which maintenance has been handed to the residents’ association.
Amitraj Kaushal, advocate at the Supreme Court of India, said residents cannot unilaterally stop paying merely because they are unhappy with services. The obligation typically arises from the sale agreement, society bye-laws or a maintenance agreement and is independent of service quality, he said, and courts have generally held that non-payment is "not a valid form of self-help" even where the grievance is genuine.
Withholding payment carries risks, he said. Builders or RWAs can usually levy interest or late-payment penalties as provided in the agreement or bye-laws and, in some cases, restrict access to certain common amenities. Persistent default can lead to recovery proceedings. Essential services such as water and electricity generally cannot be cut off arbitrarily, and doing so can itself invite legal action.
The appropriate course, Kaushal said, is to document deficiencies and raise them in writing with the builder or maintenance agency. If unresolved, residents can approach RERA for builder-related lapses or a consumer forum under the Consumer Protection Act for deficiency in service. Depositing disputed amounts in escrow or with a third party cannot be done unilaterally and typically needs a direction from RERA, a court or a consumer forum. Residents can also seek a proportionate adjustment or refund through these forums if the deficiency is established.
