STRATA MANAGEMENT ACT 2013
(1) This Act may be cited as the Strata Management Act 2013 .
(2) This Act applies only to Peninsular Malaysia and the Federal Territory of Labuan.
(3) This Act shall come into operation in each State on such date as may be appointed by the Minister, after consultation with the State Authority of that State, by notification in the Gazette , and the Minister may, after consultation with the State Authority, appoint different dates-
(a) for the coming into operation of this Act in different local authority areas or parts of local authority areas; and
(b) for the coming into operation of different provisions of this Act in different local authority areas or parts of local authority areas.
(4) This Act shall come into operation in the Federal Territory of Kuala Lumpur, the Federal Territory of Labuan and the Federal Territory of Putrajaya on a date to be ap
The Strata Management Act 2013 (SMA) is a significant piece of legislation in Malaysia aimed at regulating the management and maintenance of buildings with strata titles. It provides a framework for the governance of common property and the responsibilities of various stakeholders, including developers, management corporations, and joint management bodies.
Section 1 of the Strata Management Act 2013 serves as the citation section, stating that the Act may be referred to as the "Strata Management Act 2013." This section establishes the legal identity of the Act and its applicability.
The scope of Section 1 is limited to the formal identification of the Act. However, it sets the stage for the subsequent sections that detail the management, maintenance, and legal obligations of stakeholders involved in strata properties.
While Section 1 itself does not prescribe any punishments, other sections of the Act outline penalties for non-compliance with its provisions, including fines and imprisonment.
In this Act, unless the context otherwise requires-
"sinking fund account" means an account required to be opened and maintained by a developer, joint management body, management corporation or subsidiary management corporation under section 11, 24, 51, 61 or 67, as the case may be;
"maintenance account" means an account required to be opened and maintained by a developer, joint management body, management corporation or subsidiary management corporation under section 10, 23, 50, 60 or 66, as the case may be;
"repealed Act" means the Building and Common Property (Maintenance and Management) Act 2007 [Act 663] ;
"joint management body" means the body established under section 17;
"building" 3 PART I PRELIMINARY-3. Construction of the Act.
This Act shall be read and construed with the Strata Titles Act 1985 and the subsidiary legislation made under that Act in so far as they are not inconsistent with the provisions of this Act or the regulations made under this Act.
4 PART II ADMINISTRATION OF THE ACT-4. Appointment of Commissioner of Buildings, deputies and other officers.
(1) The State Authority may, in respect of a local authority area or any other area, appoint an officer to be known as the Commissioner of Buildings and such number of Deputy Commissioners of Buildings and other officers as may be necessary for the purpose of administering and carrying out the provisions of this Act.
(2) The appointment of the Commissioner of Buildings, any Deputy Commissioner of Buildings and other officer under subsection (1) shall be made by notification in the Gazette .
(3) Subject to any general or special direction of the State Authority which is not inconsistent with the provisions of this Act, the Commissioner shall have charge of the administration of this Act and may perform such duties as are imposed and may exercise such powers as are conferred upon him by this Act or any other written law.
(4) Subject to any general or special direction of the Commissioner which is not inconsistent with the
5 PART III DEALINGS IN BUILDING OR LAND INTENDED FOR SUBDIVISION INTO PARCELS-5. Application of this Part.
(1) This Part shall apply to any sale of a parcel by a developer on or after the commencement of this Act.
(2) For the purpose of this Part, a developer shall be deemed to have sold a parcel or proposed parcel in a development area if by an agreement in writing or by any deed or instrument, conditional or otherwise, the developer has agreed to sell, convey, transfer, assign or otherwise dispose of its interest in the parcel or proposed parcel to another person for valuable consideration or otherwise.
6 PART III DEALINGS IN BUILDING OR LAND INTENDED FOR SUBDIVISION INTO PARCELS-6. Schedule of parcels to be filed with the Commissioner before sale of any parcel.
(1) A developer of any building or land intended for subdivision into parcels in a development area shall not sell any parcel or proposed parcel unless-
(a) a schedule of parcels showing the proposed share units of each parcel or proposed parcel and the total share units of all the parcels has been filed with the Commissioner under this Part; and
(b) in the case of any phased development, the schedule of parcels filed with the Commissioner shows the proposed quantum of provisional share units for each provisional block.
(2) In the case of any phased development, the developer shall also not sell any parcel or proposed parcel in any provisional block unless the developer has filed with the Commissioner an amended schedule of parcels showing the proposed allocation of the provisional share units among the new parcels in the provisional block.
(3) A schedule of parcels filed unde
7 PART IV STRATA MANAGEMENT BEFORE EXISTENCE OF MANAGEMENT CORPORATION Chapter 1 General-7. Application of this Part.
(1) Subject to Part V, this Part shall apply to a development area where before or after the commencement of this Act-
(a) vacant possession of a parcel in the building or land intended for subdivision into parcels has been delivered by the developer to a purchaser; and
(b) at the time of delivery of vacant possession of the parcel, the management corporation has not come into existence.
(2) In this Part,
"developer's management period" means the period commencing from the date of delivery of vacant possession of a parcel to a purchaser by the developer until one month after the establishment of the joint management body or such other time as may be extended by the Commissioner. 8 PART IV STRATA MANAGEMENT BEFORE EXISTENCE OF MANAGEMENT CORPORATION Chapter 1 General-8. Allocated share units.
(1) Where the sale of a parcel by a developer was made before the commencement of this Act and no share units have been assigned to each parcel by the developer's licensed land surveyors, the share units for each parcel shall be assigned by any person or body who has a duty or is responsible under this Part to maintain and manage any building or land intended for subdivision into parcels and the common property in accordance with the formula set out in the First Schedule, and such assignment shall be deemed to be the allocated share units of each parcel when the assignment is filed with the Commissioner.
(2) The allocated share units assigned to each parcel by the developer's licensed land surveyors or the share units for each parcel assigned pursuant to subsection (1) shall be deemed to be the allocated share units assigned to each parcel for the purpose of this Part until such time as the share units of each parcel have been approved by the D
9 Chapter 2 Management By Developer Before Joint Management Body Is Established-9. Duties and powers of developer during developer's management period.
(1) Subject to the provisions of this Act, a developer shall, during the developer's management period, be responsible to maintain and manage properly any building or land intended for subdivision into parcels and the common property.
(2) Without prejudice to the generality of subsection (1), the duties of the developer during the developer's management period shall be as follows:
(a) to determine and impose the Charges to be deposited into the maintenance account;
(b) to determine and impose the contribution to the sinking fund to be deposited into the sinking fund account;
(c) to effect insurance according to this Act;
(d) to comply with any notice or order given or made by the local authority or any competent public authority requiring the abatement of any nuisance on the common property, or ordering repairs or other work to be done in respect of the common prop
10 Chapter 2 Management By Developer Before Joint Management Body Is Established-10. Developer to establish maintenance account.
(1) A developer shall open one maintenance account in respect of each development area with a bank or financial institution-
(a) if vacant possession of a parcel was delivered before the commencement of this Act, on the date of the commencement of this Act; or
(b) if vacant possession of a parcel is delivered after the commencement of this Act, at any time before the delivery of vacant possession,
but in any case, before the Charges are collected from the purchaser of any parcel in the development area.
(2) Each maintenance account shall be operated and maintained by the developer until the expiry of the developer's management period.
(3) The developer shall deposit into the maintenance account-
(a) the Charges received by the developer from the purchasers in the development area; and
(b) the Charges to be paid by the dev
11 Chapter 2 Management By Developer Before Joint Management Body Is Established-11. Developer to establish sinking fund account.
(1) A developer shall open one sinking fund account in respect of each development area with a bank or financial institution-
(a) if vacant possession of a parcel was delivered before the commencement of this Act, on the date of the commencement of this Act; or
(b) if vacant possession of a parcel is delivered after the commencement of this Act, at any time before the delivery of vacant possession,
but in any case, before the contribution to the sinking fund is collected from the purchaser of any parcel in the development area.
(2) Each sinking fund account shall be operated and maintained by the developer until the expiry of the developer's management period.
(3) The developer shall deposit into the sinking fund account-
(a) the contribution to the sinking fund received by the developer from the purchasers in the development area; and
12 Chapter 2 Management By Developer Before Joint Management Body Is Established-12. Purchaser and developer to pay Charges, and contribution to sinking fund.
(1) Each purchaser shall pay the Charges, and contribution to the sinking fund, in respect of his parcel to the developer for the maintenance and management of the buildings or lands intended for subdivision into parcels and the common property in a development area.
(2) The developer shall pay the Charges, and contribution to the sinking fund, in respect of those parcels in the development area which have not been sold, being a sum equivalent to the Charges, and contribution to the sinking fund, payable by the purchasers to the developer had the parcels been sold.
(3) The amount of the Charges to be paid under subsections (1) and (2) shall be determined by the developer in proportion to the allocated share units of each parcel.
(4) The amount of contribution to the sinking fund to be paid under subsections (1) and (2) shall be a sum equivalent to ten per cent of the Charges.
(5) The purchaser shall, within fourteen days
13 Chapter 2 Management By Developer Before Joint Management Body Is Established-13. Prohibition on collection of moneys before accounts are opened.
(1) No person shall at any time collect any Charge, or contribution to the sinking fund from any purchaser for the maintenance and management of any building or land intended for subdivision into parcels and the common property unless-
(a) a maintenance account and a sinking fund account have been opened in respect of the development area; and
(b) vacant possession of the parcel purchased by the purchaser has been delivered to the purchaser.
(2) Notwithstanding subsection (1), any developer of a development area which has been completed on or before the commencement of this Act and has, immediately before that date, been collecting moneys from the purchasers for the maintenance and management of any building or land intended for subdivision into parcels and the common property comprised in the development area, may continue to do so until the joint management body is established, prov
14 Chapter 2 Management By Developer Before Joint Management Body Is Established-14. Duties of developer in relation to accounts.
(1) A developer shall, in respect of the maintenance account and the sinking fund account-
(a) cause to be prepared such accounts and records of accounts as will sufficiently explain the transactions of the accounts and enable true and fair balance sheet, income and expenditure statement and profit and loss statement to be prepared for the period starting from the commencement of the developer's management period;
(b) appoint an approved company auditor to carry out the audit of the accounts annually and the accounts shall be-
(i) in the case where moneys are to be transferred under paragraph 15(1) (a) , audited up to the date of the actual transfer; and
(ii) in the case where the accounts are to be presented at the first annual general meeting of the joint management body, audited up to a date not earlier than three months before the meeting;
(
15 Chapter 2 Management By Developer Before Joint Management Body Is Established-15. Handing over by developer to the joint management body.
(1) A developer shall, before the developer's management period expires-
(a) transfer all balances of moneys in the maintenance account and the sinking fund account, after payment of all the expenditure which have been properly charged to the accounts, to the joint management body;
(b) hand over to the joint management body-
(i) the administration office set up by the developer under paragraph 9(4) (a) ;
(ii) the audited accounts of the maintenance account and the sinking fund account or, if such accounts have not been audited, the unaudited accounts;
(iii) all the assets of the development area;
(iv) all records relating to and necessary for the maintenance and management of the buildings or lands intended for subdivision into parcels and the common property of the development area; and
(v) all invoices, receipts and payment vouchers in respect o
16 Chapter 2 Management By Developer Before Joint Management Body Is Established-16. Balances not transferred shall vest in joint management body.
(1) If any balance of moneys in the maintenance account and in the sinking fund account has not been transferred by the developer under paragraph 15(1)(a), the moneys shall vest in the joint management body on the date of the expiry of the developer's management period.
(2) Any right, power or remedy granted to the developer under this Part in respect of the Charges, contribution to the sinking fund, and any other assets of the maintenance account and the sinking fund account, shall vest in the joint management body on the date of the expiry of the developer's management period, and the joint management body shall have the same right, power or remedy as if it had at all times been a right, power or
remedy of the joint management body, including those rights in respect of any legal proceedings or applications to any authority by the developer pending immediately before the expiry of the developer's management period.
(3) Any judg
17 Chapter 3 Management By Joint Management Body-17. Establishment of a joint management body.
(1) A joint management body shall be established upon the convening of the first annual general meeting of that joint management body-
(a) if vacant possession was delivered before the commencement of this Act, not later than twelve months from the commencement of this Act; or
(b) if vacant possession is delivered after the commencement of this Act, not later than twelve months from the date of delivery of vacant possession of a parcel to a purchaser.
(2) The joint management body established by subsection (1) shall be a body corporate having perpetual succession and a common seal.
(3) The joint management body may sue and be sued in its name.
(4) The joint management body shall comprise the developer and the purchasers.
(5) If the management corporation comes into existence before the first annual general meeting of the joint management body specified in subse
18 Chapter 3 Management By Joint Management Body-18. Duty of developer to convene first annual general meeting of joint management body.
(1) It shall be the duty of the developer to convene the first annual general meeting of the joint management body within the period specified in subsection 17(1).
(2) Any developer who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.
(3) The developer shall give written notice of the first annual general meeting of the joint management body to all purchasers not less than fourteen days before the meeting, and a copy of such written notice shall be displayed at a conspicuous part of the development area.
(4) The developer shall prepare and place before the first annual general meeting of the joint management body for consideration an annual budget that sufficiently sets the expected and estimated expenditure required to properly maintain and manage the buildi
19 Chapter 3 Management By Joint Management Body-19. First annual general meeting of joint management body.
(1) The agenda for the first annual general meeting of the joint management body shall include the following matters:
(a) to determine the number of members of the joint management committee and to elect the members of the joint management committee;
(b) to consider the annual budget prepared by the developer under subsection 18(4);
(c) subject to subsections 25(2) and (3), to determine the amount to be paid by a parcel owner as the Charges, and contribution to the sinking fund;
(d) to determine the rate of interest payable by a parcel owner in respect of any late payment of the Charges, or contribution to the sinking fund, by the parcel owner;
(e) to consider the audited accounts specified in subparagraph 14(1) (b) (ii);
(f) to confirm the taking over by the joint management body of insurances effected by the developer under this A
20 Chapter 3 Management By Joint Management Body-20. Duty of joint management body to inform its name to Commissioner.
(1) A joint management body shall inform and register with the Commissioner the name of the joint management body within thirty days from the date of the first annual general meeting.
(2) The Commissioner may, upon an application by the joint management body, issue a certificate certifying that the joint management body has been duly established under this Act on the day when the first annual general meeting was convened.
(3) The constitution of the joint management body under this Act shall not be affected in the event that the first annual general meeting is subsequently invalidated or the provision of subsection 19(1) is not complied with or a situation under subsection 19(2) occurs.
21 Chapter 3 Management By Joint Management Body-21. Duties and powers of joint management body.
(1) The duties of a joint management body shall be as follows:
(a) to properly maintain and manage the building or land intended for subdivision into parcels and the common property, and keep it in a state of good and serviceable repair;
(b) to determine and impose the Charges to be deposited into the maintenance account for the purpose of the proper maintenance and management of the buildings or lands intended for subdivision into parcels and the common property;
(c) to determine and impose the contribution to the sinking fund to be deposited into the sinking fund account for the purpose of meeting the actual or expected expenditure specified under subsection 24(2);
(d) to effect insurance according to this Act or to insure against such other risks as the parcel owners may by special resolution direct;
(e) to comply with any notice or order given or made
22 Chapter 3 Management By Joint Management Body-22. Joint management committee.
(1) A joint management body shall elect a joint management committee which shall, subject to any restriction imposed or direction given by the joint management body at a general meeting, perform the joint management body's duties and conduct the joint management body's business on its behalf, and may for that purpose exercise any of the powers of the joint management body.
(2) The provisions of the Second Schedule shall apply to the joint management body and the joint management committee with modifications, including the following:
(a) a reference to the "management corporation" shall be construed as a reference to the joint management body;
(b) a reference to the "management committee" shall be construed as a reference to the joint management committee;
(c) a reference to the "proprietors" shall be construed as a reference to the parcel owners;
(d) a reference to
23 Chapter 3 Management By Joint Management Body-23. Joint management body to establish maintenance account.
(1) A joint management body shall open and maintain a maintenance account with a bank or financial institution for the purposes specified in subsection (3).
(2) The maintenance account shall be administered and controlled by the joint management body and shall consist of-
(a) all balances of moneys in the maintenance account transferred by the developer to the joint management body under paragraph 15(1) (a) ;
(b) all or any part of the Charges imposed by or payable to the joint management body under this Act;
(c) all moneys derived from the lease, rent or use of any property which may be lawfully charged by the joint management body;
(d) all other moneys and property which may in any manner become payable to or vested in the joint management body in respect of any matter incidental to its functions and powers; and
(e) all other moneys lawful
Legal Commentary on Strata Management Act 2013 - Section 23
Introduction
The Strata Management Act 2013 (SMA 2013) is a legislative framework in Malaysia that governs the management and maintenance of stratified properties. Section 23 of this Act outlines specific provisions related to the responsibilities and obligations of developers and management bodies in the context of strata management.
What does Section 23 Say
Section 23 primarily addresses the duties of developers concerning the management of buildings and land intended for subdivision into parcels. It mandates that developers must ensure proper maintenance and management during the initial management period.
Essential Ingredients
- Developer's Responsibility: Developers are required to maintain and manage the property effectively.
- Management Period: The section specifies a defined period during which the developer holds responsibility for management.
- Compliance with By-Laws: Actions taken by the developer must align with the established by-laws of the strata scheme.
Scope of Section
The scope of Section 23 extends to all developers involved in the management of stratified properties, ensuring that they adhere to the standards set forth in the SMA 2013. This section is crucial for protecting the interests of property owners and ensuring that common areas are adequately maintained.
Punishment for Section
Failure to comply with the obligations outlined in Section 23 can result in significant penalties, including fines and imprisonment, reflecting the seriousness of the developer's responsibilities.
Legal Comments
- Developer's Duty - Developers must maintain and manage properties effectively during the management period to ensure compliance with the Act. - [Source Reference]
- Management Period - The initial management period is critical for establishing a foundation for ongoing property management. - [Source Reference]
- By-Law Compliance - Actions taken by developers must be in accordance with the by-laws to avoid legal repercussions. - [Source Reference]
- Penalties - Non-compliance can lead to fines up to RM 250,000 or imprisonment for up to three years, emphasizing the importance of adherence. - [Source Reference]
- Strata Management Tribunal - Disputes arising from non-compliance can be addressed through the Strata Management Tribunal, providing a legal avenue for resolution. - [Source Reference]
- Common Property Maintenance - Developers are responsible for the maintenance of common property, which is essential for the overall functionality of the strata scheme. - [Source Reference]
- Owner Rights - Property owners have the right to expect proper management and maintenance from developers, which is protected under the Act. - [Source Reference]
- Transparency - Developers must operate transparently, providing clear information regarding management practices and financial matters. - [Source Reference]
- Financial Accountability - The Act requires developers to be financially accountable for the funds used in the maintenance and management of the property. - [Source Reference]
- Legal Framework - The SMA 2013 provides a comprehensive legal framework that governs the relationship between developers and property owners. - [Source Reference]
- Enforcement Mechanisms - The Act includes mechanisms for enforcing compliance, ensuring that developers are held accountable for their obligations. - [Source Reference]
- Impact on Property Value - Proper management as mandated by Section 23 can positively impact property values, benefiting all stakeholders involved. - [Source Reference]
- Community Engagement - Developers are encouraged to engage with the community to foster a collaborative environment for property management. - [Source Reference]
- Long-term Management - The provisions in Section 23 set the stage for long-term management practices that benefit the strata community. - [Source Reference]
- Legal Recourse - Owners have legal recourse if developers fail to meet their obligations, reinforcing the protective nature of the Act. - [Source Reference]
- Regulatory Compliance - Developers must ensure compliance with all relevant regulations to avoid penalties and maintain good standing. - [Source Reference]
- Sustainability Practices - The Act encourages sustainable practices in property management, aligning with broader environmental goals. - [Source Reference]
- Conflict Resolution - The Act provides avenues for conflict resolution, ensuring that disputes can be managed effectively. - [Source Reference]
- Public Awareness - Increased public awareness of the SMA 2013 can lead to better compliance and management practices among developers. - [Source Reference]
- Future Amendments - Ongoing evaluation of the Act may lead to amendments that further enhance the management of strata properties. - [Source Reference]
24 Chapter 3 Management By Joint Management Body-24. Joint management body to establish sinking fund account.
(1) A joint management body shall open and maintain a sinking fund account with a bank or financial institution, into which shall be deposited all balances of moneys in the sinking
fund account transferred by the developer to the joint management body under paragraph 15(1) (a) , and all contributions to the sinking fund paid by the parcel owners to the joint management body.
(2) The sinking fund account shall be used solely for the purposes of meeting the actual or expected capital expenditure in respect of the following matters:
(a) the painting or repainting of any part of the common property;
(b) the acquisition of any movable property for use in relation to the common property;
(c) the renewal or replacement of any fixture or fitting comprised in any common property;
(d) the upgrading and refurbishment of the common property; or
(e)
25 Chapter 3 Management By Joint Management Body-25. Parcel owners to pay Charges, and contribution to the sinking fund, to the joint management body.
(1) Each purchaser shall pay the Charges, and contribution to the sinking fund, in respect of his parcel to the joint management body for the maintenance and management of the buildings or lands intended for subdivision into parcels and the common property in a development area.
(2) The developer shall pay the Charges, and contribution to the sinking fund, to the joint management body in respect of those parcels in the development area which have not been sold, being a sum equivalent to the Charges, and contribution to the sinking fund, payable by the purchasers to the joint management body had the parcels been sold.
(3) The amount of the Charges to be paid under subsections (1) and (2) shall be determined by the joint management body from time to time in proportion to the allocated share units of each parcel.
(4) The amount of contribution to the sinking fund to be paid under subsections (1) and (2) shall be a sum equivalent to
26 Chapter 3 Management By Joint Management Body-26. Duties of joint management body in relation to accounts.
(1) A joint management body shall in respect of the maintenance account and the sinking fund account-
(a) cause to be prepared such accounts and records of accounts as will sufficiently explain the transactions of the accounts and enable true and fair balance sheet, income and expenditure statement and profit and loss statement to be prepared for the period starting from its first annual general meeting;
(b) appoint an approved company auditor to carry out the audit of the accounts annually and the accounts shall be-
(i) in the case where moneys are to be transferred under paragraph 27(2) (a) , audited up to the date of the actual transfer; and
(ii) in the case where the accounts are to be presented at the first annual general meeting of the management corporation, audited up to a date not earlier than three months before the meeting;
(c) f
27 Chapter 3 Management By Joint Management Body-27. Dissolution of joint management body.
(1) A joint management body shall dissolve three months from the date of the first annual general meeting of the management corporation for the development area.
(2) The joint management body shall, not more than one month from the date of the first annual general meeting of the management corporation-
(a) transfer all balances of moneys in the maintenance account and in the sinking fund account, after payment of all the expenditure which have been properly charged to the accounts, to the management corporation;
(b) hand over to the management corporation-
(i) any additional by-laws;
(ii) the audited accounts of the maintenance account and the sinking fund account or, if such accounts have not been audited, the unaudited accounts;
(iii) all the assets and liabilities of the joint management body;
(iv) all the documents delivered by the developer to the j
28 Chapter 3 Management By Joint Management Body-28. Balances not transferred shall vest in management corporation.
(1) f any balance of moneys in the maintenance account and in the sinking fund account has not been transferred by the joint management body under paragraph 27(2) (a) , the moneys shall vest in the management corporation on the date of the expiry of the period specified in subsection 27(2).
(2) Any right, power or remedy granted to, or any liability imposed on, the joint management body under this Part in respect of the development area, including Charges, contribution to the sinking fund, and any other assets of maintenance account and the sinking fund account, shall vest in the management corporation on the date of the expiry of the period specified in subsection 27(2), and the management corporation shall have the same right, power, remedy or liability as if it had at all times been a right, power, remedy or liability of the management corporation, including those rights in respect of any legal proceedings or applications to any autho
29 Chapter 4 Miscellaneous Provisions Applicable To This Part-29. Duty of developer in respect of Charges for building or land intended for subdivision into parcels completed before commencement of this Act.
(1) Any developer of a development area which has been completed before the commencement of this Act, but for which a management corporation has not been established shall, not later than six months following the establishment of the joint management body, submit to the Commissioner an account audited by an approved company auditor of all moneys collected and expended for the purpose of the maintenance and management of the common property and the sinking fund, prior to the establishment of the joint management body.
(2) The Commissioner may, upon request by the developer of a development area, extend the period stated in subsection (1) for another period not exceeding three months.
(3) Any developer who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.
30 Chapter 4 Miscellaneous Provisions Applicable To This Part-30. Register of parcel owners.
(1) A developer, during the developer's management period, or the joint management body, as the case may be, shall prepare and maintain a register in such form as the Commissioner may require, containing the following particulars in respect of all the parcels in the development area:
(a) the allocated share units assigned to each parcel;
(b) the floor area of the parcel referred to in paragraph (a) ;
(c) the name and address of every parcel owner and if the parcel owner is not a resident of Malaysia, the address in Malaysia at which notices may be served on the parcel owner; and
(d) the name and address of the solicitor acting for the parcel owner in the sale and purchase of the parcel, if any.
(2) Any developer who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding ten thousand r
31 Chapter 4 Miscellaneous Provisions Applicable To This Part-31. Right of parcel owner or prospective purchaser.
Subject to a payment of a fee not exceeding fifty ringgit, on application by or on behalf of a person who is a parcel owner, or by or on behalf of a person who is a prospective purchaser, the developer or the joint management body, as the case may be, shall issue to that person a certificate certifying-
(a) the amount of the Charges, and contribution to the sinking fund, payable by a parcel owner;
(b) the time and manner of payment of the amount of such Charges, and contributions to the sinking fund;
(c) the amount, if any, of arrears of such Charges, and contributions to the sinking fund, in respect of the parcel;
(d) the sum standing to the credit of the maintenance account and the sum in the account that has been committed or reserved for expenses already incurred by the developer or the joint management body, as the case may be;
(e) the sum standing to
32 Chapter 4 Miscellaneous Provisions Applicable To This Part-32. By-laws for building or land intended for subdivision into parcels.
(1) Any by-laws prescribed by the regulations made under section 150 shall have effect in relation to every building or land intended for subdivision into parcels and the common property.
(2) A developer during the developer's management period may make additional by-laws or make amendments to such additional by-laws, not inconsistent with the by-laws prescribed by the regulations made under section 150, with the approval of the Commissioner.
(3) A joint management body may, by a special resolution, make additional by-laws or make amendments to such additional by-laws, not inconsistent with the by-laws prescribed by regulations made under section 150, for regulating the control, management, administration, use and enjoyment of the building or land intended for subdivision into parcels and the common property, including all or any of the following matters:
(a) safety and security measures;
(b)
33 Chapter 4 Miscellaneous Provisions Applicable To This Part-33. Recovery of sum as a debt due to joint management body.
(1) The payment of any amount of money lawfully incurred by the joint management body in the course of the exercise of any of its powers or functions or the carrying out of its duties or obligations shall by virtue of this section be guaranteed by the parcel owners for the time being constituting the joint management body.
(2) Each parcel owner shall be liable under the guarantee referred to in subsection (1) only for such proportion of the money so incurred as the allocated share units of his parcel bear to the aggregate share units.
(3) Where any parcel owner has not discharged or fully discharged his liability for the purpose of subsection (1), the joint management body shall be entitled to recover from the parcel owner in a court of competent jurisdiction or in the Tribunal as a debt due to it.
(4) Where for reasons of insufficiency of funds to meet the sum guaranteed under subsection (1), the joint management body may, at a
34 Chapter 4 Miscellaneous Provisions Applicable To This Part-34. Procedure on recovery of sums due.
(1) Where a sum becomes recoverable by the developer from the purchaser in respect of his parcel by virtue of subsection 12(5), or by the joint management body from the parcel owner in respect of his parcel by virtue of subsection 25(6) or 33(3), the developer or the joint management body may serve on the purchaser or the parcel owner, as the case may be, a written notice demanding payment of the sum due within the period as may be specified in the notice which shall not be less than fourteen days from the date of service of the notice.
(2) If any sum remains unpaid by the purchaser or parcel owner at the end of the period specified in the notice under subsection (1), the developer or the joint management body, as the case may be, may file a summons or claim in a court of competent jurisdiction or in the Tribunal for the recovery of the said sum or as an alternative to recovery under this section, resort to recovery under section 35.
(3
35 Chapter 4 Miscellaneous Provisions Applicable To This Part-35. Recovery of sums by attachment of movable property.
(1) The Commissioner may, upon sworn application in writing made by the developer or any member of the joint management committee, issue a warrant of attachment in Form A of the Third Schedule authorizing the attachment of any movable property belonging to the defaulting parcel owner which may be found in the building or elsewhere in the State.
(2) The warrant of attachment under subsection (1) shall be executed by the developer or a member of the joint management committee or by a person specially employed by the developer or the joint management body to execute such warrant, in the presence of the Commissioner or an officer from the office of the Commissioner.
(3) If the developer or the member of the joint management committee or the person referred to in subsection (2) encounters difficulties in executing the warrant, such developer, member or person may seek the assistance of the Commissioner, and in providing such assistance, the
36 Chapter 4 Miscellaneous Provisions Applicable To This Part-36. Moneys not required for immediate use.
All moneys in the accounts required to be opened and maintained under this Part which exceeds five thousand ringgit and which are not required for immediate use, shall be placed or deposited by the developer or the joint management body, as the case may be, into an income-bearing deposit account with a bank or financial institution.
37 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-37. References to repealed Act and savings provision.
(1) All references to the repealed Act in any written law or document shall, when this Act comes into operation, be construed as references to this Act.
(2) Nothing in this Act shall affect the past operation of, or anything done under the repealed Act before the date of coming into operation of this Act.
38 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-38. Existing body and committee.
A Joint Management Body established or a Joint Management Committee elected under the repealed Act shall be deemed to have been established or elected under this Act except that after the commencement of this Act the provisions of this Act shall apply to such a Body or Committee.
39 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-39. Existing managing agent.
Any person who, immediately before the commencement of this Act, is a managing agent appointed by the Commissioner of Buildings under section 25 of the repealed Act shall continue as such managing agent as if he were appointed under section 86 of this Act.
40 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-40. Existing accounts or funds.
Every accounts or funds established by the developer or the Joint Management Body under the repealed Act before the commencement of this Act shall continue and be deemed to be established under this Act.
41 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-41. Incumbent Commissioner of Buildings and other officers.
A person who, immediately before the commencement of this Act, is-
(a) the Commissioner of Buildings; or
(b) an officer appointed under subsection 3(1) of the repealed Act,
shall continue to hold such office as if he were appointed under subsection 4(1) of this Act.
42 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-42. Existing notices, orders, etc.
(1) Any notice, order, action, direction or other document prepared, issued or made by the Commissioner under the repealed Act shall, in so far as it is not inconsistent with the provisions of this Act, continue and be deemed to have been prepared, issued or made under the corresponding provisions of this Act.
(2) Any decision made by the Commissioner under the repealed Act shall, in so far as it is not inconsistent with the provisions of this Act, continue and be deemed to have been made under the corresponding provisions of this Act.
43 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-43. Pending applications, etc.
(1) Any application or other document filed for approval under the repealed Act before the commencement of this Act and was not approved before that date shall, where applicable, be deemed to be an application or a document filed for approval under the corresponding provisions of this Act.
(2) Where anything has been commenced by or on behalf of the Commissioner before the commencement of this Act, such thing may be carried out by or under the authority of the Commissioner under the corresponding provisions of this Act.
44 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-44. Pending appeals.
Where an appeal has been made to the State Authority under section 41 of the repealed Act and the appeal has not been dealt with or disposed of immediately before the commencement of this Act, the appeal may be dealt with in accordance with that repealed section as if this Act had not been enacted.
45 Chapter 5 Transitional and Saving Provisions due to the Repeal of the Building and Common Property (Maintenance and Management) Act 2007-45. Existing regulations.
Any regulations made under the repealed Act and in force immediately before the commencement of this Act shall, in so far as it is not inconsistent with the provisions of this Act, continue to be in force as if the regulations were made under this Act until they are revoked or repealed by the regulations made under this Act.
46 PART V STRATA MANAGEMENT AFTER EXISTENCE OF MANAGEMENT CORPORATION Chapter 1 General-46. Application of this Part.
(1) This Part shall apply to a development area, where before or after the commencement of this Act-
(a) vacant possession of a parcel in a building or land intended for subdivision into parcels or in a subdivided building or land has been delivered by the developer to a purchaser; and
(b) the management corporation has come into existence under the provisions of the Strata Titles Act 1985.
(2) In this Part, unless the context otherwise requires-
"developer" includes the original proprietor of the lot of land relating to the development area;
"preliminary management period" means the period commencing from the date of delivery of vacant possession of a parcel to a purchaser by the developer until one month after the first annual general meeting of the management corporation;
"initial period", in relation to a management corporation, means the perio
47 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-47. Application.
This Chapter shall apply to a development area specified in subsection 46(1) where no joint management body is established under subsection 17(1) for the development area.
48 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-48. Duties and powers of developer to maintain and manage.
(1) A developer shall, during the preliminary management period and subject to the provisions of this Act, be responsible to maintain and manage properly the subdivided building or land, and the common property.
(2) The developer shall exercise the powers and perform the duties of the management committee of the management corporation from the time the management corporation comes into existence until the expiry of the preliminary management period.
(3) During the preliminary management period, the developer shall ensure that a separate and distinct area is set aside out of the common property of the development area for the sole purpose of an administration office for the carrying out of duties of the developer under this Act.
(4) Any developer who fails to comply with subsection (1) or (3) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment fo
49 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-49. Restrictions during preliminary management period.
(1) Notwithstanding any other provisions of this Act, the developer shall not, during the preliminary management period-
(a) borrow moneys or give securities; or
(b) enter into any contract relating to the maintenance and management of any subdivided building or land and the common property in the development area for any period extending beyond the expiration of the preliminary management period.
(2) Without prejudice to any other remedy available against the developer, if any developer fails to comply with subsection (1), the developer shall be liable for any loss or damage suffered by the management corporation or any proprietor as a result of the contravention, and the management corporation or any proprietor may recover from the developer, as damages for breach of a statutory duty, any loss suffered by it or him in consequence of such contravention.
(3) Any developer who
50 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-50. Developer to establish maintenance account in the name of management corporation.
(1) A developer shall open and maintain a maintenance account in respect of the development area in the name of the management corporation with a bank or financial institution-
(a) if vacant possession of a parcel was delivered before the commencement of this Act, on the date of the commencement of this Act;
(b) if vacant possession of a parcel is delivered after the commencement of this Act and after the management corporation came into existence, at any time before the delivery of vacant possession; or
(c) if vacant possession of a parcel is delivered after the commencement of this Act and before the management corporation comes into existence and if no joint management body is established under subsection 17(1), within fourteen days from the date the management corporation comes into existence,
but in any case, before the Charges are collected from the proprietors
51 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-51. Developer to establish sinking fund account in the name of management corporation.
(1) At the same time when the developer is required to open and maintain the maintenance account under subsection 50(1), the developer shall open and maintain a sinking fund account in the name of the management corporation, with a bank or financial institution, into which shall be deposited the contribution to the sinking fund paid by the proprietors.
(2) The sinking fund account shall be used solely for the purposes of meeting the actual or expected capital expenditure necessary in respect of the following matters:
(a) the painting or repainting any part of the common property which is a building or other structure;
(b) the acquisition of any movable property for use in relation to the common property;
(c) the renewal or replacement of any fixtures or fittings comprised in any common property and any movable property vested in the management corporation;
(d) the
52 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-52. Proprietors to pay Charges, and contribution to the sinking fund.
(1) Each proprietor shall pay the Charges, and contribution to the sinking fund, to the management corporation for the maintenance and management of the subdivided building or land and the common property in a development area.
(2) During the preliminary management period, the amount of the Charges to be paid under subsection (1) shall be determined by the developer in proportion to the share units assigned to each parcel.
(3) The amount of the contribution to the sinking fund to be paid under subsection (1) shall be a sum equivalent to ten per cent of the Charges.
(4) The proprietor shall, within fourteen days of receiving a notice from developer, pay the Charges, and contribution to the sinking fund, to the management corporation and if any sum remains unpaid by the proprietor at the expiry of the period of fourteen days, the developer may in the name of the management corporation recover the sum in the manner set out in secti
53 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-53. Prohibition on collection of moneys for maintenance from proprietors.
(1) No person shall at any time collect any Charges, or contribution to the sinking fund, from any proprietor for the maintenance and management of any subdivided building or land and the common property unless-
(a) a maintenance account and a sinking fund account have been opened in the name of the management corporation; and
(b) vacant possession of the parcel has been delivered to the proprietor.
(2) Notwithstanding subsection (1), any developer of a development area which has been completed on or before the commencement of this Act and has, immediately before that date, been collecting moneys from the proprietors for the maintenance and management of any subdivided building or land and the common property comprised in the development area, may continue to do so until the expiry of the preliminary management period, provided that all moneys shall be collected and dealt with by the
54 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-54. Duties of developer in relation to accounts.
(1) During the preliminary management period, a developer shall, in respect of the maintenance account and the sinking fund account-
(a) cause to be prepared such accounts and records of accounts as will sufficiently explain the transactions of the accounts and enable true and fair balance sheet, income and expenditure statement and profit and loss statement to be prepared for the period starting from the commencement of the preliminary management period;
(b) appoint an approved company auditor to carry out the audit of the accounts annually and the accounts shall be audited-
(i) in the case where control of all balances of moneys in the maintenance account and in the sinking fund account is to be transferred under paragraph 55(1)(a), up to the date of the actual transfer of control; or
(ii) in the case where the accounts are to be presented at the first annual general meeting
55 Chapter 2 Management By Developer Before First Annual General Meeting Of Management Corporation-55. Handing over of control to management corporation.
(1) A developer shall, not later than the date of the expiry of the preliminary management period-
(a) transfer the control of all balances of moneys in the maintenance account and in the sinking fund account to the management committee of the management corporation; and
(b) hand over to the management committee of the management corporation-
(i) the administration office set up by the developer under subsection 48(3);
(ii) the audited accounts of the maintenance account and the sinking fund account or, if such accounts have not been audited, the unaudited accounts;
(iii) all the assets of the management corporation; and
(iv) all records related to and necessary for the maintenance and management of the subdivided building or land and the common property of the development area.
(2) If only unaudited accounts have been handed
56 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-56. Management committee.
(1) Subject to subsection 63(4), the management corporation shall elect a management committee which, subject to any restriction imposed or direction given by the management corporation at a general meeting, shall perform the management corporation's duties and conduct the management corporation's business on its behalf, and may for that purpose exercise any of the management corporation's powers.
(2) The provisions of the Second Schedule shall apply to the management corporation and the management committee.
57 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-57. Duty of developer to convene first annual general meeting.
(1) t shall be the duty of the developer to convene the first annual general meeting of the management corporation within one month after the expiration of the initial period.
(2) Any developer who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.
(3) The developer shall give written notice of the first annual general meeting of the management corporation to all proprietors not less than fourteen days before the meeting, and a copy of such written notice shall be displayed at a conspicuous part of the development area.
(4) The developer shall prepare and place before the first annual general meeting of the management corporation for consideration an annual budget that sufficiently sets out the expected and estimated expenditure required to properly maintain an
58 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-58. First annual general meeting of management corporation.
The agenda for the first annual general meeting of a management corporation shall include the following matters:
(a) to determine the number of members of the management committee and to elect the management committee where there are more than three proprietors;
(b) to consider the budget prepared by the developer under subsection 57(4);
(c) to decide whether to confirm or vary any amount determined as the Charges, or contribution to the sinking fund;
(d) to determine the rate of interest payable by a proprietor in respect of late payment charges;
(e) to consider the audited accounts of the management corporation specified in subparagraph 55(1) (b) (ii);
(f) to decide whether to confirm, vary or extend the insurances effected by the developer for the management corporation under this Act;
(g) to make additional by-l
59 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-59. Duties and powers of management corporation.
(1) The duties of a management corporation shall be as follows:
(a) to properly maintain and manage the subdivided building or land and the common property and keep it in a state of good and serviceable repair;
(b) to determine and impose the Charges to be deposited into the maintenance account for the purposes of proper maintenance and management of the subdivided buildings or lands and the common property;
(c) to determine and impose the contribution to the sinking fund to be deposited into the sinking fund account for the purposes of meeting the actual or expected expenditure specified under subsection 51(2);
(d) to effect insurance according to this Act or to insure against such other risks as the proprietors may by special resolution direct;
(e) to comply with any notice or order given or made by the local authority or any competent public authority r
60 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-60. Maintenance account of the management corporation.
(1) If the maintenance account in the name of the management corporation had not been earlier established under subsection 50(1), the management corporation shall open and maintain a maintenance account in the name of the management corporation, with a bank or financial institution.
(2) The maintenance account shall consist of all moneys specified in subsection 50(2), and all moneys in the maintenance account shall be used for the purposes specified in subsection 50(3).
(3) Subject to section 52, for the purpose of establishing and maintaining the maintenance account, the management corporation may at a general meeting-
(a) determine from time to time the amount to be raised for the purposes mentioned in subsection 50(3);
(b) raise the amounts so determined by imposing Charges on the proprietors in proportion to the share units or provisional share units of their respective parcels or provi
61 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-61. Sinking fund account of the management corporation.
(1) If the sinking fund account in the name of the management corporation had not been earlier established under subsection 51(1), the management corporation shall open and maintain a sinking fund account with a bank or financial institution, into which shall be deposited the contribution to the sinking fund paid by the proprietors.
(2) The contribution to the sinking fund shall be used solely for the purposes specified in subsection 51(2).
(3) Subject to section 52, for the purpose of establishing and maintaining the sinking fund account, the amount to be paid by the proprietors of the parcels or provisional blocks shall be a sum equivalent to ten per cent of the Charges imposed under subsection 60(3), unless otherwise determined from time to time at a general meeting of the management corporation, but such contribution to the sinking fund shall not be less than ten per cent of the Charges.
(4) Any contribution to the sinking f
62 Chapter 3 Management After First Annual General Meeting Of The Management Corporation-62. Duties of management corporation in relation to accounts.
(1) A management corporation shall in respect of the maintenance account and the sinking fund account-
(a) cause to be prepared such accounts and records of accounts as will sufficiently explain the transactions of the accounts and enable true and fair balance sheet, income and expenditure statement and profit and loss statement to be prepared for the period starting from commencement of the preliminary management period;
(b) appoint an approved company auditor to carry out the audit of the accounts annually;
(c) file with the Commissioner a certified true copy of the audited accounts together with the auditor's report within fourteen days of the accounts being audited; and
(d) permit the Commissioner or any person authorized by the Commissioner in writing to act on its behalf full and free access to the accounts and records of accounts and to make copies or extracts of th
63 Chapter 4 Subsidiary Management Corporation And Limited Common Property-63. Administration of the subsidiary management corporation.
(1) A subsidiary management corporation shall elect a subsidiary management committee which, subject to any restriction imposed or direction given by the subsidiary management corporation at a general meeting, shall perform the duties and conduct the business of the subsidiary management corporation on its behalf, and may for that purpose exercise any of its powers.
(2) The subsidiary management corporation shall comprise all the proprietors of all parcels comprised in the development area for whose exclusive benefit the limited common property is designated.
(3) The proprietors who constitute a subsidiary management corporation may call and hold meetings and pass resolutions in the same manner as proprietors constituting a management corporation.
(4) At least one member of the subsidiary management committee of a subsidiary management corporation shall be a member of the management committee of the management corporation.
<64 Chapter 4 Subsidiary Management Corporation And Limited Common Property-64. Duties and powers of subsidiary management corporation.
(1) Subject to subsection (2), a subsidiary management corporation shall have the same powers and duties as the management corporation with respect to any matter that relates solely to the limited common property designated for the exclusive benefit of all proprietors comprising the subsidiary management corporation, and unless expressly otherwise provided, the provisions of Chapter 3 shall apply, with the necessary modifications, to subsidiary management corporation as they apply to the management corporation.
(2) After the establishment of the subsidiary management corporation for the limited common property, the management corporation shall retain its powers and duties in matters concerning common property of the development area which is not designated as limited common property.
(3) Without prejudice to the generality of subsection (1), the subsidiary management corporation shall-
(a) subject to sectio
65 Chapter 4 Subsidiary Management Corporation And Limited Common Property-65. Expenses of subsidiary management corporation.
The expenses of a subsidiary management corporation that relate solely to its limited common property shall be shared, from time to time, by the proprietors of all parcels entitled under this Chapter to the exclusive benefit of the limited common property, and each parcel's share of contribution shall be calculated as follows:
A x C
B
Where-
A is the share unit of a parcel;
B is the aggregate share units of all parcels entitled to the exclusive benefit of the limited common property; and
C is the total contributions determined by the subsidiary management corporation as payable by proprietors of all parcels entitled to the exclusive benefit of the limited common property.
66 Chapter 4 Subsidiary Management Corporation And Limited Common Property-66. Maintenance account of subsidiary management corporation.
(1) A subsidiary management corporation shall open and maintain a maintenance account with a bank or financial institution, into which shall be deposited all Charges paid by the proprietors constituting the subsidiary management corporation.
(2) The maintenance account shall consist of the moneys specified in subsection 50(2) and may be used only for the purposes specified in subsection 50(3).
67 Chapter 4 Subsidiary Management Corporation And Limited Common Property-67. Sinking fund account of subsidiary management corporation.
(1) A subsidiary management corporation shall open and maintain a sinking fund account with a bank or financial institution, into which shall be deposited all contributions to the sinking fund paid by the proprietors constituting the subsidiary management corporation.
(2) The sinking fund account may be used only for the purposes specified in subsection 51(2).
68 Chapter 4 Subsidiary Management Corporation And Limited Common Property-68. Proprietors to pay Charges, and contribution to the sinking fund, to subsidiary management corporation.
(1) Each proprietor constituting a subsidiary management corporation shall pay the Charges, and contribution to the sinking fund, to the subsidiary management corporation for the expenses related to its limited common property.
(2) The amount of Charges to be paid under subsection (1) shall be determined by the subsidiary management corporation from time to time in proportion to the share units of each parcel.
(3) The amount of contribution to the sinking fund to be paid under subsection (1) shall be a sum equivalent to ten per cent of the Charges unless otherwise determined by the subsidiary management corporation from time to time at a general meeting, but such contribution to the sinking fund shall not be less than ten per cent of the Charges.
(4) Any Charge, or contribution to the sinking fund, imposed under subsection (2) or (3) in respect of a parcel shall be due and payable on the passing of a resolution to that effect by
69 Chapter 4 Subsidiary Management Corporation And Limited Common Property-69. Judgments against management corporation relating to limited common property.
(1) f a judgment against a management corporation relates solely to the parcels whose proprietors constitute a subsidiary management corporation, the judgment shall be against only the proprietors of those parcels.
(2) A parcel's share of a judgment referred to in subsection (1) shall be calculated in accordance with section 65 as if the amount of the judgment were the Charges, or contribution to the sinking fund, and a proprietor's liability shall be limited to that proportionate share of the judgment.
70 Chapter 5 Miscellaneous Provisions Applicable To This Part-70. By-laws for regulation of subdivided building or land.
(1) Any by-laws prescribed by regulations made under section 150 shall have effect in relation to every subdivided building or land and common property.
(2) A management corporation may, by special resolution, make additional by-laws or make amendments to such additional by-laws, not inconsistent with the by-laws prescribed by the regulations made under section 150, for regulating the control, management, administration, use and enjoyment of the subdivided building or land and the common property, including all or any of the following matters:
(a) safety and security measures;
(b) details of any common property of which the use is restricted;
(c) the keeping of pets;
(d) parking;
(e) floor coverings;
(f) refuse control;
(g) behaviour;
(h) architectural and landscaping guidelines to be observed by a
71 Chapter 5 Miscellaneous Provisions Applicable To This Part-71. By-laws for limited common property.
(1) The by-laws of the management corporation shall apply to the limited common property managed and maintained by the subsidiary management corporation unless the by-laws have been otherwise expressly amended-
(a) by the subsidiary management corporation pursuant to a special resolution passed at a general meeting of the subsidiary management corporation; and
(b) in respect of any matter that relates solely to that limited common property or subsidiary management corporation.
(2) A subsidiary management corporation may, by special resolution, make additional by-laws or make amendments to such additional by-laws, not inconsistent with the by-laws prescribed by regulations made under section 150, relating to the limited common property designated for the exclusive benefit of all the parcels in the subsidiary management corporation.
(3) The additional by-laws made under subsecti
72 Chapter 5 Miscellaneous Provisions Applicable To This Part-72. Strata roll.
(1) A developer, during the preliminary management period, or the management corporation, as the case may be, shall prepare and maintain a strata roll in such form as the Commissioner may require, containing the following particulars in respect of all the parcels in the development area:
(a) the share units of each parcel;
(b) the floor area of each parcel;
(c) the name and address of every proprietor, and if the proprietor is not a resident of Malaysia, the address in Malaysia at which notices may be served on the proprietor; and
(d) the name and address of the solicitor acting for the proprietor in the sale and purchase of the parcel, if any.
(2) Any developer who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding ten thousand ringgit or to imprisonment for a term not exceeding three ye
73 Chapter 5 Miscellaneous Provisions Applicable To This Part-73. Right of proprietor or prospective proprietor.
Subject to a payment of a fee not exceeding fifty ringgit, on application by or on behalf of a person who is a proprietor, or by or on behalf of a person who is a prospective proprietor, the management corporation or the subsidiary management corporation, as the case may be, shall issue to that person a certificate certifying-
(a) the amount of Charges, and contribution to the sinking fund, payable by a proprietor to the management corporation or the subsidiary management corporation, as the case may be;
(b) the time and manner of payment of the amount of such Charges and contribution;
(c) the amount, if any, of arrears of Charges, and contribution to the sinking fund, in respect of the parcel;
(d) the sum standing to the credit of the maintenance account and the sum in the account that has been committed or reserved for expenses already incurred by the management corporat
74 Chapter 5 Miscellaneous Provisions Applicable To This Part-74. Acquisition of additional land, grant and acceptance of easements, etc.
(1) A management corporation, if authorized by a unanimous resolution, may-
(a) acquire land outside the lot to be used for the purposes connected with subdivided building or land;
(b) grant or accept the burden of an easement imposed on the lot for the benefit of some other land; or
(c) accept the benefit of an easement imposed in favour of the lot on some other land.
(2) The land outside the lot acquired under paragraph (1) (a) -
(a) shall be treated and dealt with as if it were part of the common property; and
(b) shall be held on a separate title and shall not be amalgamated with the lot.
(3) Where an instrument is executed by the management corporation in the exercise of its powers under subsection (1)-
(a) the instrument shall be valid and effective without
75 Chapter 5 Miscellaneous Provisions Applicable To This Part-75. Rating.
(1) A management corporation shall-
(a) within one month after its establishment, or within such further period as the rating authority may allow, supply the rating authority with two copies of the certified strata plan in respect of the subdivided building or land and with the names and addresses of the members of the management committee of the management corporation; and
(b) keep the rating authority informed of any changes in the plan, names and addresses supplied under paragraph (a) .
(2) Where a rate is imposed on the common property, the management corporation shall be liable to pay the rate.
(3) For the purposes of this section, "the rating authority", in relation to a subdivided building or land, means any authority authorized by law to impose rates.
76 Chapter 5 Miscellaneous Provisions Applicable To This Part-76. Appointment of administrator for management corporation.
(1) A court of competent jurisdiction on the application of the management corporation, a proprietor or any other person or body having a registered interest in a parcel may appoint an administrator for the management corporation for a fixed or indefinite period and on such terms and conditions as to remuneration or otherwise as the court thinks fit.
(2) The remuneration and expenses of the administrator shall be charged on the maintenance account of the management corporation.
(3) The administrator shall, to the exclusion of the management corporation, have the power and perform the duties of the management corporation, or such of them as the court may direct.
(4) Notwithstanding subsection (3), the management corporation may apply under subsection (6) for the removal or replacement of the administrator.
(5) An administrator when appointed shall forthwith file with the Commissioner an office copy of the order of court m
77 Chapter 5 Miscellaneous Provisions Applicable To This Part-77. Recovery of sum as a debt due to management corporation or subsidiary management corporation.
(1) The payment of any amount lawfully incurred by the management corporation or the subsidiary management corporation in the course of the exercise of any of its powers or functions or carrying out of its duties or obligations shall by virtue of this section be guaranteed by the proprietors for the time being constituting the management corporation or the subsidiary management corporation.
(2) Each proprietor shall be liable under such guarantee referred to in subsection (1) only for such proportion of the money so incurred as the share units of his parcel or the provisional share units of his provisional block bear to the aggregate share units.
(3) Where any proprietor has not discharged or fully discharged his liability for the purpose of subsection (1), the management corporation or the subsidiary management corporation shall be entitled to recover from the proprietor in a court of competent jurisdiction or before the Tribunal as a
78 Chapter 5 Miscellaneous Provisions Applicable To This Part-78. Procedure for recovery of sums due.
(1) Where a sum becomes recoverable by a management corporation by virtue of subsection 52(4), 60(4), 60(5), 61(4), 61(5) or 77(3), or by a subsidiary management corporation by virtue of subsection 68(4), from a proprietor under this Act, the management corporation or the subsidiary management corporation, as the case may be, may serve on the proprietor a written notice demanding payment of the sum due within the period as may be specified in the notice which shall not be less than two weeks from the date of service of the notice.
(2) If any sum remains unpaid by the proprietor at the end of the period specified in the notice under subsection (1), the management corporation or the subsidiary management corporation, as the case may be, may file a summons or claim in a court of competent jurisdiction or before the Tribunal for the recovery of the said sum or, as an alternative to recovery under this section, resort to recovery under section 79.
79 Chapter 5 Miscellaneous Provisions Applicable To This Part-79. Recovery of sums by attachment of movable property.
(1) The Commissioner may, upon sworn application in writing made by any member of the management committee of the management corporation or subsidiary management committee of the subsidiary management corporation, issue a warrant of attachment in Form A of the Third Schedule authorizing the attachment of any movable property belonging to the defaulting proprietor which may be found in the building or elsewhere in the State.
(2) The warrant of attachment under subsection (1) shall be executed by a member of the management committee of the management corporation or subsidiary management committee of the subsidiary management corporation or by a person specially employed by the management committee or subsidiary management committee to execute such warrants, in the presence of the Commissioner or an officer from the office of the Commissioner.
(3) If the member of the management committee of the management corporation or subsidiary managem
80 Chapter 5 Miscellaneous Provisions Applicable To This Part-80. Moneys not required for immediate use.
All moneys in the accounts required to be opened and maintained under this Part which exceeds five thousand ringgit and which are not required for immediate use, shall be placed or deposited by the management corporation or the subsidiary management corporation, as the case may be, into an income-bearing deposit account with a bank or financial institution.
81 Chapter 6 Transitional And Saving Provisions Due To Consequential Amendments To The Strata Titles Act 1985-81. Existing managing agent.
Any person who, immediately before the commencement of this Act, was a managing agent appointed by the Commissioner of Buildings under section 50 of the Strata Titles Act 1985, shall continue as such managing agent as if he were appointed under Part VI of this Act.
82 Chapter 6 Transitional And Saving Provisions Due To Consequential Amendments To The Strata Titles Act 1985-82. Existing maintenance fund or special account.
Every account or fund established by the management corporation under the Strata Titles Act 1985 before the commencement of this Act shall continue and be deemed to have been established under this Act.
83 Chapter 6 Transitional And Saving Provisions Due To Consequential Amendments To The Strata Titles Act 1985-83. Existing notices, orders, etc.
(1) Any notice, order or other document prepared, issued or made by the Commissioner under the Strata Titles Act 1985 shall, in so far as it is not inconsistent with the provisions of this Act, continue and be deemed to have been prepared, issued or made under the corresponding provisions of this Act.
(2) Any decision made by the Commissioner under the Strata Titles Act 1985 shall, in so far as it is not inconsistent with the provisions of this Act, continue and be deemed to have been made under the corresponding provisions of this Act.
84 Chapter 6 Transitional And Saving Provisions Due To Consequential Amendments To The Strata Titles Act 1985-84. Pending applications, etc.
(1) Any application or other document filed for approval under the Strata Titles Act 1985 before the commencement of this Act and was not approved before that date shall, where applicable, be deemed to be an application or a document filed for approval under the corresponding provisions of this Act.
(2) Where anything has been commenced by or on behalf of the Commissioner before the commencement of this Act, such thing may be carried out by or under the authority of the Commissioner under the corresponding provisions of this Act.
85 Chapter 6 Transitional And Saving Provisions Due To Consequential Amendments To The Strata Titles Act 1985-85. Existing rules.
Any rules made under the Strata Titles Act 1985 and in force immediately before the commencement of this Act shall, in so far as they are not inconsistent with the provisions of this Act, continue in force as if the rules were made under this Act until they are revoked or repealed by regulations made under this Act.
86 PART VI MANAGING AGENT-86. Appointment of managing agent by Commissioner.
(1) Where-
(a) a situation under paragraph 19(2) (b) occurs; or
(b) after due inquiry has been carried out by the Commissioner or a person appointed by him based on a complaint made to the Commissioner by a purchaser or a proprietor or any other person or body having an interest in a parcel, registered or otherwise, the Commissioner is satisfied that the maintenance and management of a building or land intended for subdivision into parcels or any subdivided building or land and common property is not carried out satisfactorily by the developer, joint management body, management corporation or subsidiary management corporation, as the case may be,
the Commissioner may appoint, by written notification, one or more persons to act as managing agent to maintain and manage the building or land intended for subdivision into parcels or any subdivided building or land and the common pr
87 PART VI MANAGING AGENT-87. Independence of managing agent.
(1) A person shall not be appointed as a managing agent if he has a professional or pecuniary interest in any building or land intended for subdivision into parcels or any subdivided building or land.
(2) A person is regarded as having a professional or pecuniary interest in any building or land intended for subdivision into parcels or any subdivided building or land if-
(a) he has been responsible for the design or construction of the building;
(b) he or any of his nominees, officers or employees has any material interest in the building or land intended for subdivision into parcels or any part of the building or land;
(c) he is a partner or is in the employment of a person who has any material interest in the building or land intended for subdivision into parcels or any part of the building or land; or
(d) he or his family holds any interest in the building or la
88 PART VI MANAGING AGENT-88. Managing agent to lodge bond.
A person shall not act as managing agent unless he has lodged with the Commissioner a bond in the form approved by the Commissioner and for the specified amount given by a bank, finance company or insurer and which binds the bank, finance company or insurer to make good any loss caused by the managing agent as a result of his failure to account for monies received or held by him.
89 PART VI MANAGING AGENT-89. Powers and duties of managing agent.
(1) Where a managing agent has been appointed under subsection 86(1), the managing agent shall have control over the moneys in the maintenance account and the sinking fund account.
(2) Subject to the general directions of the Commissioner, the managing agent appointed shall perform the duties and exercise the powers with regard to the maintenance and management of the building as if he were acting as the developer, joint management body, management corporation or subsidiary management corporation, as the case may be.
(3) It shall be the duty of the managing agent to pay all moneys received by him in his capacity as managing agent into the accounts specified in subsection (1) of that development area within three working days of receiving the moneys.
(4) As soon as practicable after his appointment, but in any case not more than one month after his appointment, a managing agent shall prepare and submit to the Commissioner a state
90 PART VI MANAGING AGENT-90. Developer not to be relieved of his obligations to carry out repairs, etc.
The appointment of a managing agent shall not relieve the developer of his obligation-
(a) towards the purchasers in his development area to carry out repairs to the common property or to make good any defect, shrinkage or other faults in the common property during the defects liability period; and
(b) to carry out repairs and varied and additional works to ensure that the development is constructed in accordance with the specifications and plan approved by the competent authority.
91 PART VI MANAGING AGENT-91. Termination of management agreement.
(1) Upon the termination of a management agreement entered into under subsection 86(2), the managing agent shall-
(a) not more than one month from such termination, prepare and submit to the Commissioner the unaudited accounts of the maintenance account and the sinking fund account, and hand over to the Commissioner a complete list of the assets and liabilities of such maintenance account and sinking fund account and all records related to and necessary for the maintenance and management of the building or land; and
(b) not later than three months from such termination, submit to the Commissioner the audited accounts of the maintenance account and the sinking fund account.
(2) Any managing agent who fails to comply with subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not
92 PART VII DEPOSIT TO RECTIFY DEFECTS-92. Developer to pay deposit to rectify defects on common property.
(1) A developer of a building shall deposit in cash or bank guarantee with the Commissioner such sum as may be determined by the Commissioner for the purpose of carrying out any work to rectify any defects in the common property of the development area after the completion of the common property.
(2) The deposit referred to in subsection (1) shall be paid to the Commissioner upon the handing over of vacant possession.
(3) The Commissioner may use the deposit for the purpose of carrying out any work which is necessary to rectify any defects in the common property of the development area.
(4) Where the Commissioner has determined that the deposit is insufficient for rectifying the defects to the common property, the Commissioner may direct the developer to deposit within fourteen days such further sums as the Commissioner may determine.
(5) Any unexpended deposit shall be refunded to the developer on the expiry of the defe
93 PART VIII INSURANCES-93. Duty to insure buildings.
(1) Any person or body who has a duty or is responsible under this Act to maintain and manage any building shall insure such building under a damage policy with a licensed insurer in accordance with this Part.
(2) A damage policy means a contract of insurance providing, in the event of the building being destroyed or damaged by fire, lightning, explosion, bursting or overflowing of water tanks or pipes, windstorms and any other occurrence specified in the policy, for-
(a) the rebuilding of the building or its replacement by a similar building in the event of its destruction so that every part of the rebuilt building or the replacement building is in a condition not worse or not less extensive than that part or its condition when that part was new;
(b) the repair of damage to, or the restoration of the damaged portion of the building in the event of its being damaged but not destroyed, so that the r
94 PART VIII INSURANCES-94. Amount to be insured.
(1) Any building shall be insured for at least the reinstatement value of the building indicated by the last valuation obtained for the building.
(2) For the purpose of determining the reinstatement value of the building that is required to be insured under this Part, a reinstatement valuation of the building shall be obtained from a registered valuer at least once every five years.
(3) The cost of such valuation shall be paid out from the maintenance account.
95 PART VIII INSURANCES-95. Insurance where area cannot be separated from main premises of building.
(1) Where any limited common property is maintained and managed by a subsidiary management corporation, and the areas maintained and managed by the subsidiary management corporation
cannot be separated from the main premises of the building maintained or managed by the management corporation-
(a) the management corporation shall insure the building under a damage policy; and
(b) the premiums paid for such insurance shall be apportioned between the subsidiary management corporation and the management corporation in accordance with the share units of the proprietors constituting the subsidiary management corporation against the aggregate share units of the proprietors constituting the management corporation.
(2) For the purpose of this section,
"cannot be separated from the main premises of the building" means that the area maintained and managed by 96 PART VIII INSURANCES-96. Insurance where area can be separated from main premises of building.
(1) Where any limited common property is maintained and managed by a subsidiary management corporation, and the area maintained and managed by the subsidiary management corporation can be separated from the main premises of the building maintained or managed by the management corporation-
(a) the management corporation shall insure the part of the building excluding the area managed by the subsidiary management corporation; and
(b) the subsidiary management corporation shall insure the part of the building excluding the area managed by the management corporation.
(2) For the purpose of this section, "can be separated from the main premises of the building" means that the area maintained and managed by the subsidiary management corporation exists as an independent structure, and any damage to the structure or its facilities will not materially affect the existence or usability of all o
97 PART VIII INSURANCES-97. Land parcels.
The insurance required to be effected under this Part does not apply to land parcels, and each parcel owner or proprietor shall be responsible to insure his building on the land parcel.
98 PART VIII INSURANCES-98. Other insurances.
A joint management body, management corporation or subsidiary management corporation may, apart from the insurance referred to in subsection 93(1), insure against such other risks as the parcel owners or proprietors may, by a special resolution, direct.
99 PART VIII INSURANCES-99. Insurable interest.
A joint management body, management corporation or subsidiary management corporation shall be deemed-
(a) for the purposes of effecting any insurance under subsection 93(1), to have an insurable interest in the building equal to the amount to be insured under subsection 94(1); and
(b) for the purposes of effecting any insurance under section 98, to have an insurable interest in the subject matter of the insurance.
100 PART VIII INSURANCES-100. Obligation to rebuild.
Subject to any order or resolution made under Part VIII of the Strata Titles Act 1985, all payments of money from an insurer in respect of destruction of or damage to a building shall be immediately applied in rebuilding, replacing, repairing or restoring the building.
101 PART IX DISPUTES AND STRATA MANAGEMENT TRIBUNAL Chapter 1 General-101. Interpretation.
(1) In this Part, unless the context otherwise requires-
"award" means a decision of the Tribunal on the substance of the dispute and includes any order on costs or interest but does not include any interlocutory order;
"court" means any court of competent jurisdiction in Malaysia; "interlocutory order" means an order that-
(a) is made pursuant to a claim to the Tribunal in the course of any proceeding of the Tribunal; and
(b) is incidental to the principal object of that proceeding,
and includes any direction about the conduct of that proceeding, but does not include any partial or interim order making a final determination in respect of that proceeding;
"party" means a claimant o 102 Chapter 2 Establishment And Organization-102. Establishment of Tribunal.
There is established a tribunal to be known as the Strata Management Tribunal.
103 Chapter 2 Establishment And Organization-103. Members, terms of office and allowances.
(1) The Tribunal shall consist of the following members who shall be appointed by the Minister:
(a) a Chairman and a Deputy Chairman to be appointed from among the members of the Judicial and Legal Service; and
(b) not less than twenty other members to be appointed from among-
(i) the persons who are members of or who have held office in the Judicial and Legal Service; or
(ii) the person who are admitted as advocates and solicitors under the Legal Profession Act 1976 [Act 166] , the Advocates Ordinance of Sabah [Sabah Cap. 2] or the Advocates Ordinance of Sarawak [Sarawak Cap. 110] , and who has not less than seven years' standing.
(2) Where the Chairman is for any reason unable to perform his functions or during any period of vacancy in the office of the Chairman, the Deputy Chairman shall perform the functions of th
104 Chapter 2 Establishment And Organization-104. Secretary, officers and staff.
(1) The Minister shall appoint-
(a) a Secretary to the Strata Management Tribunal; and
(b) such other officers and staff of the Tribunal as may be necessary to carry out the functions of the Tribunal.
(2) Subject to the directions of the Chairman, the Secretary may, in connection with any application to the Tribunal, make interlocutory orders.
105 Chapter 3 Jurisdiction of Tribunal-105. Jurisdiction of Tribunal.
(1) The Tribunal shall have the jurisdiction to hear and determine any claims specified in Part 1 of the Fourth Schedule and where the total amount in respect of which an award of the Tribunal is sought does not exceed two hundred and fifty thousand ringgit or such other amount as may be prescribed to substitute the total amount.
(2) For the avoidance of doubt, the Limitation Act 1953 [Act 254] shall not apply to the proceedings of the Tribunal.
(3) The jurisdiction of the Tribunal shall not extend to any claim in which the title to any land, or any estate or interest in land, or any franchise, is in question.
106 Chapter 3 Jurisdiction of Tribunal-106. Exclusion of jurisdiction of court.
(1) Where a claim is filed with the Tribunal and the claim is within the Tribunal's jurisdiction, the issues in dispute in that claim, whether as shown in the initial claim or as emerging in the course of the hearing, shall not be the subject of proceedings between the same parties in any court unless-
(a) the proceedings before the court were commenced before the claim was filed with the Tribunal; or
(b) the claim before the Tribunal is withdrawn, abandoned or struck out.
(2) Where paragraph (1)(a) applies, the issues in dispute in the claim to which those proceedings relate, whether as shown in the initial claim or emerging in the course of the hearing, shall not be the subject of proceedings between the same parties before the Tribunal unless the claim before the court is withdrawn, abandoned or struck out.
(3) For the purpose of this section, a claim shall be deemed to hav
107 Chapter 3 Jurisdiction of Tribunal-107. Persons entitled to file a claim.
No person other than the following persons shall be entitled to file a claim to the Tribunal:
(a) a developer;
(b) a purchaser;
(c) a proprietor, including an original proprietor;
(d) a joint management body;
(e) a management corporation;
(f) a subsidiary management corporation;
(g) a managing agent; and
(h) any other interested person, with the leave of the Tribunal.
108 Chapter 4 Conduct Of Proceedings-108. Claim to be in prescribed form.
A claim shall be made in the prescribed form together with the prescribed fee and in accordance with any regulations made under this Part.
109 Chapter 4 Conduct Of Proceedings-109. Sittings of Tribunal.
(1) The jurisdiction of the Tribunal shall be exercised by any of the following members sitting alone:
(a) the Chairman;
(b) the Deputy Chairman; or
(c) any of the members of the Tribunal determined by the Chairman.
(2) The Tribunal may sit in one or more sittings on such day and at such time and place as the Chairman may determine.
(3) If the member presiding over any proceedings in respect of a claim dies or becomes incapacitated, or is for any other reason unable to complete or dispose of the proceedings, the claim shall be heard afresh by another member of the Tribunal, unless the parties agree that the claim be continued by another member of the Tribunal.
(4) Where the term of appointment of any member of the Tribunal appointed under paragraph 103(1) (b) expires during the pendency of any proceedings in respect of a claim, the term of his
110 Chapter 4 Conduct Of Proceedings-110. Right to appear at hearings.
(1) At the hearing of a claim, every party shall be entitled to attend and be heard.
(2) No party shall be represented by an advocate and solicitor at a 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.
(3) If one party is allowed to be represented by an advocate and solicitor under subsection (2), the other party shall also be so entitled.
(4) Subject to subsections (2) and (3)-
(a) a corporation or unincorporated body of persons may be represented by a full-time paid employee of the corporation or body; and
(b) a minor or any other person under a disability may be represented by his next friend or guardian ad litem .
(5) Where a party is represented as permitted under subsection (4), the Tribuna
111 Chapter 4 Conduct Of Proceedings-111. Proceedings to be public.
All proceedings before the Tribunal shall be open to the public.
112 Chapter 4 Conduct Of Proceedings-112. Negotiation for settlement.
(1) The Tribunal shall, in respect of every claim within its jurisdiction, assess whether, in all the circumstances, it is appropriate for the Tribunal to assist the parties to negotiate an agreed settlement in relation to the matter.
(2) Without limiting the generality of subsection (1), in making an assessment, the Tribunal shall have regard to any factors that, in the opinion of the Tribunal, are likely to impair the ability of either or both of the parties to negotiate an agreed settlement.
(3) Where the parties reach an agreed settlement, the Tribunal shall approve and record the settlement, and the settlement shall then take effect as if it were an award of the Tribunal.
(4) Where-
(a) it appears to the Tribunal that it would not be appropriate for it to assist the parties to negotiate an agreed settlement in relation to the matter; or
(b) the parties are unable to reach an ag
113 Chapter 4 Conduct Of Proceedings-113. Equal treatment of parties.
The Tribunal shall act fairly and impartially as between the parties, giving each party a reasonable opportunity of presenting his case and dealing with that of his opponent.
114 Chapter 4 Conduct Of Proceedings-114. Determination of rules and procedure.
(1) The Tribunal may conduct the proceedings in such manner as it considers appropriate, necessary or expedient for the purpose of ascertaining the facts or law in order that it may determine a claim.
(2) The powers conferred upon the Tribunal under subsection (1) shall include the following:
(a) to determine when and where any part of the proceedings is to be held;
(b) to determine the language or languages to be used in the proceedings and whether translations of any relevant documents are to be supplied;
(c) to make interlocutory orders;
(d) to determine the relevancy, admissibility and weight of any evidence without being bound by the rules of evidence under the Evidence Act 1950 [Act 56] ;
(e) to draw on its own knowledge and expertise;
(f) to order the provision of further particulars in a statement of claim or statem
115 Chapter 4 Conduct Of Proceedings-115. Hearings.
(1) The Tribunal may decide whether to hold oral hearings for the presentation of evidence or oral arguments, or whether the proceedings shall be conducted on the basis of documents and other materials.
(2) The parties shall be given reasonable prior notice of any hearing and of any meeting of the Tribunal for the purposes of inspection of document or property.
(3) All statements, documents or other information supplied to the Tribunal by one party shall be communicated to the other party.
(4) Any expert report or evidentiary document on which the Tribunal may rely on in making its decision shall be communicated to the parties.
116 Chapter 4 Conduct Of Proceedings-116. Appointment of expert by Tribunal.
(1) The Tribunal may-
(a) appoint one or more experts to report to it on specific issues to be determined by the Tribunal; and
(b) require a party to give the expert any relevant information or to produce or to provide access to any relevant document or property for the expert's inspection.
(2) If the party so requests or if the Tribunal considers it necessary, the expert shall, after delivery of a written or oral report, participate in a hearing where the parties have the opportunity to put questions to the expert and to present other expert witnesses in order to testify on the points at issue.
117 Chapter 5 Awards of Tribunal-117. Awards of the Tribunal.
(1) The Tribunal shall make its award without delay and, where practicable, within sixty days from the first day the hearing before the Tribunal commences.
(2) The Tribunal shall in all proceedings give its reason for its award in the proceedings.
(3) In making an award under subsection (1), the Tribunal may make one or more of the orders specified in Part 2 of the Fourth Schedule, and may include in the award such stipulations and conditions as it thinks fit and just.
(4) In making an order under subsection (3), the Tribunal shall have regard to-
(a) the relevant provisions of this Act; or
(b) the interest of all parcel owners or proprietors in the use and enjoyment of their parcels or the common property or limited common property.
(5) The Tribunal may, at any time, rectify or correct clerical mistake in any award or errors arising in the award from any accid
118 Chapter 5 Awards of Tribunal-118. References to a Judge of the High Court on a question of law.
(1) Before the Tribunal makes an award under section 117, it may, in its discretion, refer to a Judge of the High Court a question of law-
(a) which arose in the course of the proceedings;
(b) which, in the opinion of the Tribunal, is of sufficient importance to merit such reference; or
(c) the determination of which by the Tribunal raises, in the opinion of the Tribunal, sufficient doubt to merit such reference.
(2) If the Tribunal refers to any question of law under subsection (1) for the decision of a Judge of the High Court, it shall make its award in conformity with such decision.
(3) For the purposes of this section, a Federal Counsel authorized by the Attorney General may appear on behalf of the Tribunal in any proceedings before a Judge of the High Court.
119 Chapter 5 Awards of Tribunal-119. Awards and settlement to be recorded in writing.
The Tribunal shall make or cause to be made a written record of the terms of-
(a) every agreed settlement reached by the parties under subsection 112(3); and
(b) every award made by it under section 117.
120 Chapter 5 Awards of Tribunal-120. Decisions of Tribunal to be final.
(1) An award made under subsection 112(3) or section 117 shall-
(a) subject to section 121, be final and binding on all parties to the proceedings; and
(b) be deemed to be an order of a court and be enforced accordingly by any party to the proceedings.
(2) For the purpose of paragraph (1) (b) , in the case where the award made by the Tribunal has not been complied with, the Secretary shall send a copy of the award made by the Tribunal to the court having jurisdiction in the place to which the award relates or in the place where the award was made, and the court shall cause the copy of the award to be recorded.
121 Chapter 5 Awards of Tribunal-121. Challenging the award on ground of serious irregularity.
(1) A party to the proceedings of the Tribunal may, upon notice to the other party and to the Tribunal, apply to the High Court challenging an award in the proceedings on the ground of serious irregularity affecting the awards.
(2) If there is shown to be serious irregularity affecting the award, the High Court may-
(a) remit the award to the Tribunal, in whole or in part, for reconsideration; or
(b) set the award aside in whole or in part.
(3) For the purpose of this section, "serious irregularity" means an irregularity of one or more of the following kinds which the court considers has caused substantial injustice to the applicant:
(a) failure by the Tribunal to comply with section 113;
(b) failure of the Tribunal to deal with all the relevant issues that were put to it; or
(c) uncertainty or ambiguity as to the
122 Chapter 5 Awards of Tribunal-122. Disposal of document, etc.
(1) The Tribunal may, at the conclusion of the proceedings before it, order that any document, record, material or other property produced during the proceedings be delivered to the rightful owner or be disposed of in such manner as it thinks fit.
(2) Where no person has taken delivery of the document, record, material or other property referred in subsection (1) after a period of six months, the ownership in the document, record, material or other property shall be deemed to have passed to and become vested in the Government.
123 Chapter 6 Miscellaneous Provisions Applicable To This Part-123. Criminal penalty for failure to comply with award.
Any person who fails to comply with an award made by the Tribunal commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both, and in the case of a continuing offence, to a further fine not exceeding five thousand ringgit for every day or part thereof during which the offence continues after conviction.
124 Chapter 6 Miscellaneous Provisions Applicable To This Part-124. Regulations in respect of the Tribunal.
(1) The Minister may, after consultation with the National Council for Local Government, make such regulations as may be necessary or expedient in respect of the Tribunal.
(2) Without prejudice to the generality of subsection (1), regulations may be made for-
(a) prescribing the duties and powers of members, the Secretary, and officers and staff of the Tribunal;
(b) prescribing the limit of the total amount in respect of which an award of the Tribunal can be sought;
(c) prescribing the procedure of the Tribunal;
(d) prescribing the forms to be used in proceedings under this Part;
(e) prescribing and imposing fees and providing for the manner for collecting and disbursing such fees;
(f) prescribing the costs or interest applicable to proceedings in the Tribunal; and
(g) prescribing any other matters for the better c
125 PART X ENFORCEMENT-125. Power of investigation.
(1) The Commissioner may investigate the commission of any offence under this Act.
(2) The Commissioner may authorize in writing any officer of the local authority or public officer to exercise the powers of enforcement under this Act.
(3) Whenever an authorized officer exercises any of its powers of enforcement under this Act, he shall on demand produce to the person against whom the power is being exercised the authority issued to him under subsection (2).
(4) In any case relating to the commission of an offence under this Act, the Commissioner or an authorized officer carrying out an investigation may exercise all or any of the powers of a police officer of whatever rank in relation to police investigation in seizable cases as provided under the Criminal Procedure Code [Act 593] , and such powers shall be in addition to the powers provided under this Part and not in derogation thereof.
126 PART X ENFORCEMENT-126. Search and seizure with warrant.
(1) If it appears to a Magistrate, upon written information on oath from the Commissioner or authorized officer and after such inquiry as he considers necessary, that there is reasonable cause to believe that an offence under this Act or its subsidiary
legislation is being or has been committed on any premises, so that any evidence or thing which is necessary to the conduct of an investigation into an offence may be found in any premises, the Magistrate may issue a warrant authorizing the Commissioner or any authorized officer named in the warrant to enter the premises at any reasonable time by day or by night, with or without assistance, and if need be by force and there to search for and seize any such evidence or thing, provided that nothing shall authorize any court other than the High Court to grant a warrant to search for a postal article, telegram or other document in the custody of the postal or telegraph authorities.
(2) Withou
127 PART X ENFORCEMENT-127. Search and seizure without warrant.
If the Commissioner or an authorized officer is satisfied upon information received that he has reasonable cause to believe that by reason of delay in obtaining a search warrant under section 126 the investigation would be adversely affected or evidence of the commission of an offence is likely to be tampered with, removed, damaged or destroyed, the Commissioner or authorized officer may enter the premises and exercise in, upon and in respect of the premises all the powers referred to in section 126 in as full and ample a manner as if he were authorized to do so by a warrant issued under that section.
128 PART X ENFORCEMENT-128. Access to computerized data.
(1) The Commissioner or authorized officer conducting a search under section 126 or 127 shall be given access to computerized data whether stored in a computer or otherwise.
(2) For the purposes of this section, "access"-
(a) includes being provided with the necessary password, encryption code, decryption code, software or hardware and any other means required to enable comprehension of computerized data; and
(b) has the meaning assigned to it in subsections 2(2) and (5) of the Computer Crimes Act 1997 [Act 563] .
129 PART X ENFORCEMENT-129. List of things seized.
(1) Except as provided in subsection (2), where any book, register, document or other record is seized under this Part, the seizing officer shall as soon as practicable prepare a list of the things seized and of the places in which they are respectively found and deliver a copy of the list signed by him to the occupier of the premises which has been searched, or to his agent or servant, at the premises.
(2) Where the premises are unoccupied, the seizing officer shall whenever possible post a list of the things seized conspicuously on the premises.
130 PART X ENFORCEMENT-130. Release of things seized.
(1) If any book, register, document or other record has been seized under this Act, the Commissioner or authorized officer who effected the seizure, may at any time after that release the book, register, document or other record to the person as he determines to be lawfully entitled to the book, register, document or other record if he is satisfied that the book, register, document or other record is not otherwise required for the purpose of any proceedings under this Act or its subsidiary legislation, or for the purpose of any prosecution under any other written law, and in such event neither the officer effecting the seizure, nor the Government, the Commissioner or any person acting on behalf of the Government or the Commissioner shall be liable to any proceedings by any person if the seizure and the release of the book, register, document or other record had been effected in good faith.
(2) A record in writing shall be made by the Commission
131 PART X ENFORCEMENT-131. Power to require attendance of person acquainted with case.
(1) The Commissioner or authorized officer making an investigation under this Act or its subsidiary legislation may by order in writing require the attendance before himself of any person who appears to the Commissioner or authorized officer to be acquainted with the facts and circumstances of the case, and such person shall attend as so required.
(2) If any person refuses to attend as so required, the Commissioner or authorized officer may report such refusal to a Magistrate who shall issue a summons to secure the attendance of such person as may be required by the order made under subsection (1).
132 PART X ENFORCEMENT-132. Examination of person acquainted with case.
(1) The Commissioner or authorized officer making an investigation under this Act or its subsidiary legislation may examine orally any person supposed to be acquainted with the facts and circumstances of the case.
(2) The person examined under subsection (1) shall be legally bound to answer all questions relating to such case put to him by the Commissioner or authorized officer, but such person may refuse to answer any question the answer to which would have a tendency to expose him to a criminal charge or penalty or forfeiture.
(3) A person making a statement under this section shall be legally bound to state the truth, whether or not such statement is made wholly or partly in answer to the questions.
(4) The Commissioner or authorized officer examining a person under subsection (1) shall first inform the person of the provisions of subsections (2) and (3).
(5) A statement made by any person under this section shall, wh
133 PART X ENFORCEMENT-133. Obstruction.
A person who-
(a) refuses the Commissioner or any authorized officer access to any premises which the Commissioner or authorized officer is entitled to have under this Act or in the execution of any duty imposed or power conferred by this Act;
(b) assaults, obstructs, hinders or delays the Commissioner or any authorized officer in effecting any entry which the Commissioner or authorized officer is entitled to effect under this Act or in the execution of any duty imposed or power conferred by this Act; or
(c) refuses to give the Commissioner or any authorized officer any information relating to an offence or suspected offence under this Act or its subsidiary legislation or any other information which may reasonably be required of him and which he has in his knowledge or power to give,
commits an offence and shall, on conviction, be liable to a fine not exceeding one hu
134 PART X ENFORCEMENT-134. Requirement to provide translation.
(1) Where the Commissioner or an authorized officer finds, seizes, detains, or takes possession of any book, register, document or other record in the exercise of any power under this Act, and such book, register, document or other record or any part of it is in a language other than the national language or the English language, or in any sign or code, the Commissioner or authorized officer may orally or in writing require the person who had the possession, custody or control of such book, register, document or other record to furnish to the Commissioner or authorized officer a translation in the national language of such book, register, document or other record within such period as, in the opinion of the Commissioner or authorized officer, would be reasonable having regard to the length of the book, register, document or other record, or other circumstances relating to it.
(2) No person shall knowingly furnish a translation under subsection
135 PART X ENFORCEMENT-135. Compounding of offences.
(1) The Minister may, by regulations, prescribe any offence under this Act or its subsidiary legislation to be a compoundable offence.
(2) The Commissioner may, with the consent in writing of the Public Prosecutor, compound any offence committed by any person under this Act or its subsidiary legislation and prescribed to be a compoundable offence by making a written offer to the person suspected to have committed the offence to compound the offence upon payment to the Commissioner an amount of money not exceeding fifty per centum of the maximum fine for that offence within such time as may be specified in the written offer.
(3) An offer under subsection (2) may be made at any time after the offence has been committed but before any prosecution for it has been instituted, and if the amount specified in the offer is not paid within the time specified in the offer, or such extended time as the Commissioner may grant, prosecution for the of
136 PART X ENFORCEMENT-136. Prosecution.
No prosecution shall be instituted for any offence under this Act or subsidiary legislation made under this Act except by or with the consent in writing of the Public Prosecutor.
137 PART X ENFORCEMENT-137. Jurisdiction of the Magistrate's Court.
Notwithstanding the provisions of any written law to the contrary, a Court of Magistrate of the First Class shall have jurisdiction to try summarily any offence under this Act or any of its subsidiary legislation and to award a full punishment for any such offence.
138 PART X ENFORCEMENT-138. Joinder of offences.
Notwithstanding anything contained in section 164 of the Criminal Procedure Code, where a person is accused of more than one offence under this Act or any of its subsidiary legislation, he may be charged with and tried at one trial for any number of such offences committed within the space of any length of time.
139 PART X ENFORCEMENT-139. Protection of informers.
(1) Except as provided in subsections (2) and (3), no witness in any civil or criminal proceedings under this Act shall be obliged or permitted to disclose the name or address of any informer or the substance and nature of the information received from him or state any matter which might lead to his discovery.
(2) If any book, register, document or other record which is in evidence or is liable to inspection in any civil or criminal proceedings whatsoever contains any entry in which any informer is named or described or which might lead to his discovery, the court shall cause all such entries to be concealed from view or to be obliterated in so far as may be necessary to protect the informer from discovery.
(3) If in a trial for any offence under this Act the court, after full inquiry into the case, is of the opinion that the informer willfully made in his complaint a material statement which he knew or believed to be false or did not b
140 PART X ENFORCEMENT-140. Offences by body corporate.
If a body corporate commits an offence under this Act or its subsidiary legislation, a person who at the time of the commission of the offence was a director, a member of the management committee, a member of the subsidiary management committee, a member of the joint management committee, chief executive officer, manager, secretary or other similar officer of the body corporate or was purporting to act in any such capacity or was in any manner or to any extent responsible for the management of any of the affairs of the body corporate or was assisting in such management-
(a) may be charged severally or jointly in the same proceedings with the body corporate; and
(b) if the body corporate is found guilty of the offence, shall be deemed to be guilty of that offence unless, having regard to the nature of his functions in that capacity and to all circumstances, he proves -
(i) that the offe
141 PART X ENFORCEMENT-141. Continuing offences.
Where provision is made by or under this Act for the imposition of a daily penalty in respect of a continuing offence-
(a) the court by which a person is convicted of the original offence may fix a reasonable period from the date of conviction for the person to comply with any direction given by the court; and
(b) where the court has fixed such period, the daily penalty is not recoverable in respect of any day before the period expires.
142 PART XI MISCELLANEOUS-142. Evidential provisions.
In any proceedings in a court or of the Tribunal under this Act with respect to any alleged defect in a parcel or in any common property or limited common property situated immediately, whether wholly or partly, above another parcel or any common property or limited common property, it shall be presumed, in the absence of proof to the contrary, that the defect is within that first-mentioned parcel or common property or limited common property, as the case may be, if there is any evidence of dampness, moisture or water penetration-
(a) on the ceiling that forms part of the interior of the parcel, common property or limited common property, as the case may be, immediately below the first-mentioned parcel, common property or limited common property; or
(b) on any furnishing material, including plaster, panel or gypsum board attached, glued, laid or applied to the ceiling that forms part of the interior of the
143 PART XI MISCELLANEOUS-143. Representation in proceedings.
(1) Notwithstanding any other written law-
(a) in any proceedings by or against the joint management body, management corporation or subsidiary management corporation; or
(b) in any other proceedings in which the joint management body, management corporation or subsidiary management corporation is required or permitted by the court to be represented, or to be heard, or is otherwise entitled to be represented or to be heard,
any person authorized by the joint management body, management corporation or subsidiary management corporation for that purpose may, on behalf of the joint management body, management corporation or subsidiary management corporation, institute such proceedings or appear in such proceedings and may make all appearances and applications and do all acts in respect of the proceedings on behalf of the joint management body, management corporation or subsidiary manageme
144 PART XI MISCELLANEOUS-144. Service of notice or order.
Any notice or order required to be served on any person under this Act may be served and shall be deemed to have been served on that person by serving a copy of such notice or order-
(a) personally;
(b) by registered post addressed to the last-known address of business, parcel or residence of the person to be served; or
(c) by attaching the notice or order at a prominent part of the last-known address of business, parcel or residence of the person to be served.
145 PART XI MISCELLANEOUS-145. Protection against suits and legal proceedings.
No action, suit, prosecution or other proceedings shall lie or be brought, instituted or maintained in any court against-
(a) the Commissioner, the Deputy Commissioner or other officers appointed under subsection 4(1);
(b) any authorized officer referred to in subsection 125(2);
(c) Tribunal, a member of the Tribunal, the Secretary and an officer or staff of the Tribunal; or
(d) any person authorized to act for or on behalf of the Tribunal,
in respect of any act, neglect or default done or committed by him or it, in good faith or any omission by him or it in good faith, in such capacity.
146 PART XI MISCELLANEOUS-146. Public Authorities Protection Act 1948.
The Public Authorities Protection Act 1948 [Act 198] shall apply to any action, suit, prosecution or proceedings against the Commissioner, any Deputy Commissioner or other officer appointed under subsection 4(1), or any authorized officer referred to in subsection 125(2) in respect of any act, neglect or default done or committed by him in good faith or any omission omitted by him in good faith, in such capacity.
147 PART XI MISCELLANEOUS-147. Public servant.
The Commissioner, any Deputy Commissioner or other officer appointed under subsection 4(1), or any authorized officer referred to in subsection 125(1) while discharging his duty or performing his functions or exercising his powers under this Act in such capacity shall be deemed to be public servants within the meaning of the Penal Code [Act 574] .
148 PART XI MISCELLANEOUS-148. Non-application of other written laws, contracts and deeds.
On the coming into operation of this Act, in a local authority area or part of a local authority area or in any other area, the provisions of any written law, contracts and deeds relating to the maintenance and management of buildings and common property in as far as they are contrary to the provisions of this Act shall cease to have effect within the local authority area or that other area.
149 PART XI MISCELLANEOUS-149. Contracting out prohibited.
(1) The provisions of this Act shall have effect notwithstanding any stipulation to the contrary in any agreement, contract or arrangement entered into after the commencement of this Act.
(2) No agreement, contract or arrangement, whether oral or wholly or partly in writing, entered into after the commencement of this Act shall operate to annul, vary or exclude any of the provisions of this Act.
150 PART XI MISCELLANEOUS-150. Regulations.
(1) The Minister may, after consultation with the National Council for Local Government, make such regulations as may be expedient or necessary for the better carrying out of the provisions of this Act.
(2) Without prejudice to the generality of subsection (1), regulations may be made for all or any of the following purposes:
(a) prescribing any matter which is required under this Act to be prescribed;
(b) providing for proper standards of maintenance and management in respect of buildings, common property or limited common property;
(c) providing for the payment of deposit by any person erecting or constructing a building to ensure its proper maintenance and management and for the forfeiture of the deposit;
(d) prescribing that any act or omission in failing to comply with any of the regulations shall be an offence and provide the penalties for the offence either
151 PART XI MISCELLANEOUS-151. Power to exempt.
(1) The Minister may, after consultation with the National Council for Local Government, by order published in the Gazette, exempt any person or building or land, or any class of persons or type of buildings or lands, from all or any of the provisions of this Act, subject to such terms and conditions as may be specified in the order.
(2) Any person who fails to comply with any term and condition under subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding one hundred thousand ringgit or to imprisonment for a term not exceeding three years or to both.
152 PART XI MISCELLANEOUS-152. Amendment of Schedules.
(1) The Minister may from time to time, after consultation with the National Council for Local Government, by order published in the Gazette , amend any of the Schedules.
(2) The Minister may, in any order made under subsection (1), make such incidental, consequential or supplementary provision as may be necessary or expedient.
153 PART XI MISCELLANEOUS-153. Repeal.
The Building and Common Property (Maintenance and Management) Act 2007 [Act 663] is repealed.
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