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O. Haridasan (Service)     10 November 2010

Trading in residential flats

Are there any specific laws restricting use of residential flats for purposes other than residential use, of course for legal purposes, like office, business, trade etc. in Maharashtra? Can any permissions be taken from authorities like Corporation, State Government, Central Government etc? I shall be obliged if any member of the forum can throw light on this.



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 2 Replies

Hemant Agarwal (ha21@rediffmail.com Mumbai : 9820174108)     10 November 2010

Residential Flats can be legally used for office work by professionals  like Doctors, Lawyers, Architects, Tuition & Yoga classes.   No statutory permission is required from any Govt. authorities, since these does not imply change of residential user,  which typically means change of user to commercial usage.


For self-employment, while staying in the Flat, the owner (& not tenant) can use part portion of his Flat for purposes of some business activities, that do not cause nuisance to the other flat owners.  Activities like Coaching classes, Sewing, Dance, Papad making and so on are part of self-employment process.


Any other activities apart of above are normally not within the parameters of  "residential activity" and falls under commercial or industrial usage.


Keep Smiling .... Hemant Agarwal

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O. Haridasan (Service)     11 November 2010

Thanks Agarwalji for your feedback. I was aware of the earlier SC judgement differentiating between professions and trades conducted in a residential flat. While the former cannot be objected, trade cannot be done from a residential flat. If I am correct, earlier the provisions of the MRTP Act used to be applied and as of now the Competition Act has come into existence, where "trade" has been defined to include various professions. I wanted the valuable feedback from any of the members just for knowledge on the change of law and its consequences. Once again, thank you, sir.


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