SCOPE, FUNCTIONS AND JURISDICTION OF THE TRIBUNAL

FOR HOMEBUYER CLAIMS

BYJAMHIRAH ALI

DEPUTY CHAIRMAN TTPR

TRIBUNAL FOR HOMEBUYER CLAIMS

What is it?

Tribunal For Homebuyer Claims (TTPR) is established under the Housing Development (Control & Licensing) Act 1966 on 1.12.2002

- It is a special tribunal established to hear disputes between homebuyer and housing developer

- It is easy, cheap and fast process

Members of the Tribunal are:-

ChairmanDeputy ChairmanPresidents appointed by the Minister (5 or more)Secretary

Who is homebuyer?

Homebuyer means a purchaser and includes a person who has subsequently purchased a housing accommodation from the first purchaser of the housing accommodation

Jurisdiction of the Tribunal

The Tribunal have jurisdiction to determine a claim where the total amount in respect of the claim does not exceed RM50,000

The claim is based on a cause of action arising from the sale and purchase agreement entered into between the homebuyer and the licensed housing developer

Claim must be brought by the homebuyer not later than 12 months from:-

a. the date of the issuance of the certificate of completion and compliance for the housing accommodation or the common facilities

b. the expiry date of the defects liability period as set out in the sale and purchase agreement

c. the date of the termination of the sale and purchase agreement by either party and such termination occurred before the date of issuance of the certificate of completion and compliance

The Tribunal have NO jurisdiction to determine any claim:-

- for recovery of land, or any estate or interest in land

- dispute concerning entitlement under a will or settlement or on intestacy

- dispute concerning goodwill- dispute concerning chose in action- dispute concerning any trade secret or other

intellectual property right

TYPES OF CLAIM

TECHNICAL CLAIM

- Damages for non compliance to specification

- Damages for defective workmanship

- Compensation for adjustment in land area

- Omission of work

- Defects, shrinkage or other faults to the building

- Incomplete or non availabillity of common facilities

Broken and bent ceiling

GALLERY

Crumbled plaster cement(appropriate mixture ratio is 1 cement : 3 sand)

GALLERY

Unsafe wiring due to no conduits

GALLERY

Low quality of bricks and building structure (lintol) built from sand-mixed concrete

GALLERY

Algae on wall caused by non appliance of moisture resistant base paint

GALLERY

Shoddy workmanship and finishing in the bathroom

GALLERY

Cracks on the wall

GALLERY

Leakage at the ceiling

GALLERY

Shoddy workmanship on kitchen and living area

Tilted floor

GALLERY

NON-TECHNICAL CLAIM

- Liquidated Ascertained Damages (LAD) / Compensation for late delivery

- Late delivery of common facilities

- Deposit refund

- Refund of Late Interest Charges

LATE DELIVERY OF VACANT POSSESSION(Schedule G)

a. Date of S&P signing - 14/03/1999b. Completion date - 13/03/2002c. Actual delivery of vacant possession - 18/03/2003d. Days of delay - 371 days

LAD =

RM42,000(price) X 10% X 371 days - RM4,269.04365 days

Late delivery of common facilities

a) Date of S&P signing - 14/03/1999

b) Completion date - 13/03/2002

c) Actual delivery of vacant possession - 18/03/2003

d) Days of delay - 371 days

Common facilities =

RM42,000 (price) X 10% X 20% X 371 days - RM853.80

365 days

COMMON FACILITIES

If the Sales and Purchase Agreement has been revoked the buyer may request the refund of 10% deposit previously paid to the Developer.

REFUND OF DEPOSIT

Brochure -vs- SPA

In the promotional brochures and sales campaign for

Sierramas Resort Homes (‘the housing estate’), the first

defendant had stated that a unique and special security

features would be provided by the second defendant within

the housing estate to ensure the safety and tranquillity of its

residents. The plaintiff purchased a housing lot and moved

into the housing estate. Subsequently, he was robbed when

the house was broken into (‘the said incident’). The plaintiff

commenced an action against the defendants for damages

arising from the defendants’ failure, neglect and/or

carelessness which resulted in the said incident.

DATO’ SOO LAI SING v KUMPULAN SIERRAMAS (M) SDN BHD & ANOR [2004] 3 MLJ 546

Held, allowing the plaintiff’s claim:

(1) On the facts, the first defendant did represent to the

plaintiff that it would provide special security features at the

housing estate and for this reason, the plaintiff was

completely persuaded to purchase a housing lot to later

reside there. Such security features must exist and must be

in operation at the time when any purchaser had come to

stay in the house he purchased in the housing project. Since

the first defendant had failed to provide the special security

features as represented, such omission tantamount to an act

of misrepresentation. Azmel J

“The brochure and folder of promotional materials used on

21/11/1996, and produced before the Court, are luxuriously

produced material, and not in the nature of the usual sales

flyers. The promotional materials were not trivial promotional

materials, but are a solemn effort to convey a distinct mental

image to the prospective buyer to persuade him to make not

any mere booking but a commitment to purchase by

payment of a non-refundable deposit.”

Ammer Ali Mohamad Yussof & Anor v. Sunrise Berhad [2008] 1 LNS

Sample Of Brochure

COMMENCEMENT OF PROCEEDINGS AT THE TRIBUNAL

A homebuyer may lodge with the Tribunal a claim in the prescribed form together with the prescribed fee claiming for any loss suffered or any matter concerning his interest as a homebuyer

The prescribed fee is RM10.00 payable at the time claim is filed in form 1

Upon lodging a claim with the Tribunal a sealed copy of form 1 will be returned to the claimant and the claimant shall serve one copy on the Respondent

The secretary to the Tribunal shall fix a hearing date

RIGHT TO APPEAR AT HEARINGS

Every party shall have the right to attend and be heard at the hearing

No party shall be represented by an advocate and solicitor at the hearing unless in the opinion of the Tribunal the matter in question involves complex issues of law and one party will suffer severe financial hardship if he is not represented by an advocate and solicitor

Decision of Tribunal to be final

Every agreed settlement recorded by the Tribunal and every award made by the Tribunal shall be final and binding on all parties to the proceedings Any person who fails to comply with the award made by the Tribunal within the period specified by the Tribunal commits an offence

Section 16AD of the Housing Development (Control & Licensing) Act 1966

Criminal penalty for failure to comply -

shall on conviction be liable to a fine which shall not be less than RM5,000 and shall not exceed RM10,000 or to imprisonment for a term not exceeding 2 years or both

Where to file a claim

A homebuyer can file their claim at the Tribunal office or through online

Information on Tribunal and forms can be downloaded at:

http://www.kpkt.gov.myhttp://ehome.kpkt.gov.my

THANK YOU