In brief 

The Temporary Measures for Reducing the Impact of Coronavirus Disease 2019 (COVID 19) Amendment Bill 2021 was enacted by the Dewan Rakyat of Parliament on December16,2021. The bill was referred to as the Covid 19 Amendment Bill.

What is the new context in Covid 19 Amendment Bill?

  1. Part XIA

a. Agreement and First Agreement

b. Late payment charges- Developers cannot charge

Q. I bought a house from developer A and failed to pay the monthly payments for the months of June to September during MCO. Is it possible for developer A to charge me late fees for the three months of unpaid instalments?

A. No, if the purchaser failed to pay any instalment under the schedule of payment for the period from 1 January 2021 – 31 December 2021, the developer cannot impose any late payment charges in respect of such unpaid instalments. However, subsequent purchasers will not enjoy these benefits.

c. Developer can apply for extension of delivery of vacant possession

Q. What if you bought a house from developer A and they failed to deliver the vacant possession and incomplete common facilities for the household? Are they liable to pay the penalties for failing to deliver vacant possession and incompletion of common facilities?

A. No, if the developer fails to complete everything by the time given, they are exempted from the calculation of late delivery of vacant possession or completion of common facilities for any period between 1 January,2021 till 31 December, 2021 only if the minister is satisfied that the inability was caused by the COVID-19 control or prevention measures specified, made, or taken under Act 342

d. Taking of Vacant Possession

Q. What if you have bought a house from developer A and you have to move in by the given timeframe from the developer, however you are unable to do so. Does that mean that you have taken vacant possession of the property?

A. No, the purchaser is not regarded to have taken vacant possession if he or she is unable to do so during the period 1 June 2021 to 31 October 2021, or any other time not covered by clause 38C above.

e. Exclusion of calculation of defect liability period

Q. I have taken vacant possession of my new house on 2.5.2020, when is my defect liability period ends?

A. Assuming your defect liability term is 24 months and you shall have another extra 4 months and 30 days under the Covid-19 act.

f. Saving

2) On the other hand, the new Covid-19 Amendment Bills 2021 have also added two new sections which are;

  1. Section 40A states that under the Industry Relations Act of 1967, the period from 1 June 2021 to 31 December 2021 will be omitted from the calculation of the period for according recognition, making a report and filing of representation and;
  2. Section 40B held that under the Industrial Relations Act 1967, any employer, trade union of employers, trade union of workers, or worker who is in a place subject to an enhanced movement control order is excluded from the calculation of the period.

3) Part XIIIA and XIIIB

a. XIIIA (Modifications to the Sabah Labour Ordinance)

b. XIIIB (Modifications to the Sarawak Labour Ordinance)