Section 10 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 10 gives every multi-State co-operative society the power to make bye-laws consistent with the Act and the rules, and lists the matters those bye-laws may cover: membership, capital, profits, meetings, the board, the Chief Executive, auditors, dealings with outsiders, training and the place of business. The 2023 Amendment Act made one change: the "address" in clause (a) is now "address, including e-mail address".
The section is stated as per the Ministry of Cooperation copy of the Act read with the Multi-State Co-operative Societies (Amendment) Act, 2023. If your society is drafting or revising bye-laws, a legal consultation can check them against the list below before they go to the Central Registrar.
Every multi-State co-operative society may make bye-laws consistent with the Act and the rules (s.10(1)). Sub-section (2) lists matters from (a) to (zk) that the bye-laws may provide for, including that the board has not exceeding twenty-one members and that tenure of directors, chairperson and other office bearers is not exceeding five years. Since 2023, clause (a) reads "address, including e-mail address". Bye-laws only bind once registered (s.3(c), s.11).
Sub-section (1): the power to make bye-laws
"Every multi-state cooperative society may make its bye-laws consistent with the provisions of this act and the rules made thereunder." Two things follow. First, the power belongs to the society, not to the Registrar. Second, the limit is consistency: a bye-law that conflicts with the Act or the rules is outside the power. Registration tests this at section 7(1)(d), where the Central Registrar must be satisfied that the proposed bye-laws "are not contrary to the provision of this Act and the rules". Bye-laws count as such only once "duly registered or deemed to have been registered" (s.3(c)).
Sub-section (2): the matters bye-laws may cover
The sub-section opens "In particular, and without prejudice to the generality of the foregoing power, such bye-laws may provide for all or any of the following matters". The list is not exhaustive and each item is a "may". Grouped by theme:
| Theme | Clauses (as printed) |
|---|---|
| Identity and objects | (a) "the name, address, including e-mail address and area of operation of the society"; (b) objects; (zi) principal place and other places of business |
| Services | (c) services to be provided to members; (zj) "the minimum level of services, to be used by its members" |
| Membership | (d) eligibility; (e) procedure for obtaining membership; (f) conditions for continuing as member; (g) withdrawal; (h) transfer of membership; (i) expulsion; (j) rights and duties of members; (zg) transfer of shares and interest to a nominee on a member's death |
| Money | (k) nature and amount of capital; (l) maximum capital a single member can subscribe; (m) sources of funds; (n) purposes for which funds may be applied; (o) allocation or disbursement of net profits; (p) constitution of various reserves |
| Meetings | (q) convening general meetings and quorum "other than those provided under this Act"; (r) notice and manner of voting; (s) procedure for amending the bye-laws |
| Board | (t) "the number of members of the board not exceeding twenty-one"; (u) "the tenure of directors, chairperson and other office bearers of the society, not exceeding five years"; (v) removal of board members and filling vacancies; (w) convening board meetings, quorum, number of meetings in a year and venue; (x) frequency of board meetings |
| Chief Executive and officers | (y) powers and functions of the Chief Executive "in addition to those provided under section 52"; (zb) officers authorised to sign documents and to institute and defend suits |
| Penalties and audit | (z) the manner of imposing the penalty; (za) appointment, rights and duties of auditors and procedure for conduct of audit |
| Dealings outside | (zc) terms for dealing with persons other than members; (zd) association with other co-operative societies; (ze) dealing with organisations other than co-operative societies; (zf) rights which the society may confer on another multi-State society or federal co-operative |
| Training | (zh) educational and training programmes |
| Anything else | (zk) "any other matter which may be prescribed" |
The 2023 change: e-mail address
The Amendment Act (section 4 of that Act) substituted, in clause (a), for the word "address", the words "address, including e-mail address". So the bye-laws that state the society's address should now include an e-mail address. Section 14 was changed in the same way (see Sections 12-14). The Act does not say what happens to bye-laws registered before 2023 that give no e-mail address; it is silent on that point.
Points to watch while drafting
- Board size and tenure. Clauses (t) and (u) set ceilings of twenty-one and five years. The board section as amended (s.41(3)) also speaks of directors "not exceeding twenty-one"; see Section 41.
- Quorum. Clause (q) refers to quorum "other than those provided under this Act", so the bye-laws deal with quorum in addition to whatever the Act itself provides elsewhere.
- Minimum use of services. Clause (zj) and section 29(b) (as amended) tie membership to a minimum level of products or services specified in the bye-laws.
- Wording slip. Clause (l) reads "the manner in which the maximum capital to which a single member can subscribe;" without a verb. It is quoted as printed and not corrected.
- Registration and amendment. An amendment is valid only once registered (s.11(1)); see Section 11.
A practical example
Ganga Textile Co-operative, an invented multi-State society, drafts its bye-laws. It states its name, registered address and e-mail address (clause (a)), objects (clause (b)), a board of fifteen (clause (t), within the ceiling of twenty-one), director tenure of four years (clause (u), within five), the way it will deal with non-members such as local traders (clause (zc)) and a training calendar (clause (zh)). Each point is one the Act lets the bye-laws cover. The society then files the draft with its registration application along with four copies as section 6(3) requires; see Section 6.
The detail left to rules ("any other matter which may be prescribed") is not given here. The Multi-State Co-operative Societies (Amendment) Rules, 2023 were notified on 4 August 2023 (G.S.R. 591(E)); the consolidated Rules should be checked.
What the 2023 Amendment Act changed
| Clause | Before | After |
|---|---|---|
| (a) | "the name, address and area of operation of the society" | "the name, address, including e-mail address and area of operation of the society" (the printed word "address" replaced by "address, including e-mail address") |
| (b) to (zk) and sub-section (1) | As printed | No change |
Need help drafting bye-laws?
Bye-laws shape everything that follows: who can join, how the board is chosen, how profits are used and how auditors are appointed. A legal consultation can review a draft against section 10 so that it is ready for the Central Registrar.
Key takeaways
- A society may make bye-laws consistent with the Act and rules (s.10(1)).
- Sub-section (2) lists matters (a) to (zk) the bye-laws may cover; the list is not exhaustive.
- Board size is capped at twenty-one and tenure at five years in the list.
- Since 2023 the address in clause (a) includes the e-mail address.
- Bye-laws and their amendments bind only once registered.
Read next
- Section 11: amendment of bye-laws, procedure and registration
- Sections 12-14: bye-law amendment in force, change of name and address
- Section 41: board of directors
- Multi-State Co-operative Societies Act, 2002: complete guide
Disclaimer: Based on the Ministry of Cooperation copy of the Multi-State Co-operative Societies Act, 2002 read with the Multi-State Co-operative Societies (Amendment) Act, 2023 (in force from 3 August 2023), as consulted on 2 October 2026. The Multi-State Co-operative Societies Rules, 2002 as amended, later notifications and later amendments are not covered and should be checked. This article is general information, not legal advice; check the official text before acting.
