Yew Huoi, How & Associates | Leading Malaysia Law Firm

REAL ESTATE, DEFECT LIABILITY AND RECTIFICATION

I have just taken vacant possession of my new strata property. I have discovered that the ceiling is leaking. I have requested the developer to fix it. They did not. They kept delaying. What can I do?

Clause 30 Schedule H of the Housing Development (Control & Licensing) Regulations 1989 (“HDR 1989”) (which is also a clause in your sale and purchase agreement) requires developer to repair defects within 30 days after having received written notice from the Purchaser. If the developer refuses to do that, the purchaser can fix the defects themselves. Purchaser may deduct the costs from the sum held by the Vendor’s solicitors as stakeholder.

What is the procedure?

  • Step 1:

Issue a written notice stating the defective workmanship or materials.

  • Step 2:

Wait for 30 days.

  • Step 3:

Notify the developer the costs of repairing and making good the defects.

  • Step 4:

Give the developer an opportunity to carry out the repair works themselves within 30 days from the date of notification in Step 3.

  • Step 5:

Repair the defects after 30 days expires.

  • Step 6:

Tabulate the costs of rectification and issue a letter of demand to the developer’s solicitors claiming for the costs.

  • Step 7:

The Developer’s solicitors shall within 30 days release the costs to the Purchaser.

  • Step 8:

If the Developer’s solicitors neglected, fail and/or refuse to release the payment to the Purchaser, lodge a formal complaint to the Bar Council. You may also consult your lawyer to commence legal action or you may file a claim at the Tribunal for Homebuyer’s Claim (for claim up to RM50,000.00 only).

Do you require further assistance ? do contact us directly at http://yhalaw.com.my/contact-us

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