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The Supreme Court has recently opined that a local unit or a Sakha unit of a registered society cannot file a suit in its name unless the unit is also registered under the Societies Registration Act, 1860 and its bye­laws support the institution of such a suit.

The bench of Justices Hemant Gupta and V Ramasubramaniam further noted that a society registered under the Societies Registration Act is entitled to sue and be sued, only in terms of its bye­laws.

“The bye-­laws may authorise the President or Secretary or any other office bearer to institute or defend a suit for and on behalf of the society…”, added the bench.

Section 6 of the Societies Registration Act, 1860, states, “Every society registered under the Act may sue or be sued in the name of President, Chairman, or Principal Secretary, or trustees, as shall be determined by the rules and regulations of the society and, in default of such determination, in the name of such person as shall be appointed by the governing body for the occasion."

The bench further found that the Travancore­-Cochin Literary, Scientific and Charitable Societies Registration Act, 1955, which is applicable to parts of Kerala carries a similar provision in section 9.

Before the Waqf Tribunal, Kollam, cross-­suits between the same parties on a dispute relating to the right to management and administration of a mosque and its properties was filed.

The Waqf Tribunal held that one of the parties to the dispute, the Mahal Committee is a legal entity, entitled to sue and be sued on the ground that the Mahal Committee was one of the Sakha units affiliated to a registered society by the name Kerala Naduvathil Mujahideen (‘KNM’)

However, the top court found this to be contrary to law. It held that unless the plaintiff in a suit which claims to be a society, demonstrates that it is a registered entity and that the person who signed and verified the pleadings was authorised by the bye­laws to do so, the suit cannot be entertained.

“The fact that the plaintiff in a suit happens to be a local unit or a Sakha unit of a registered society is of no consequence, unless the bye­laws support the institution of such a suit”, Court added.

It was further opined that Waqf Tribunal committed a gross illegality, first in not framing an issue about the status of the Mahal Committee and then in recording a finding as though the local unit of a registered society which is in enjoyment of affiliated status, was entitled to sue.

With this view, the top court refused to interfere with the decision of the High Court as taken by it in the revisional jurisdiction.

Case Title: P. Nazeer Etc. Vs. Salafi Trust & Anr. Etc.