Professional Documents
Culture Documents
ISBN 123456789
___________________________________________________________________________________________
ABSTRACT
Patent defects are often reported to developer for the residential building category,
as this type of defect can be seen with naked eye, such as cracked house paint. If
latent defect is detected in the residence appears after 10 years, what is the
appropriate action taken by a home buyer. Commonly, the buyer will bear the
repairing cost of the defect itself because the defect was found after the expiry of
defect liability period, that is 24 months from the date of delivery of vacant
possession. Developers are only considered for repairing defects during that period.
The purpose of this study is to enlighten home buyers on options available for filing
a claim under the Limitation Act 1953. Two objectives were set namely to identify
the provisions of Section 6A of the Limitation Act and to study the awareness of
home buyers on the existence of Section 6A of the Limitation Act 1953 in helping
home buyers making claims. The government has taken an initiative to brought case
to the Tribunal Claims (TTPR) or a Civil Court due to the jurisdictional differences.
This is extremely important because it is not addressed in the Sale and Purchase
Agreement. Questionnaires was utilized to determine their knowledge level and
awareness of Limitation Act in Sungai Buloh. The findings indicate the awareness
level of home buyers on the existence of the Limitation Act is very low, where they
are completely unaware on the Limitation Act 1953, implying that this clause and
act are still new to the homebuyer. This is noteworthy since the home buyer has the
rights and interests over the residence which they live in.
ABSTRAK
Kecacatan tampak adalah kecacatan yang sering dilaporkan kepada pemaju bagi
kategori bangunan kediaman, kerana jenis kerosakan ini dapat dilihat dengan mata
kasar, seperti cat rumah yang retak. Sekiranya kecacatan pendam dijumpai di
selepeas tempoh 10 tahun, apakah tindakan yang wajar diambil oleh pembeli rumah
jika ianya berlaku? Lazimnya, pembeli akan menanggung kos pembaikan kerosakan
sendiri kerana kecacatan tersebut dijumpai setelah berakhirnya tempoh tanggungan
kecacatan, iaitu 24 bulan dari tarikh penyerahan milikan kosong dimana pemaju
hanya bertanggungjawab untuk memperbaiki kecacatan dalam tempoh tersebut.
Tujuan kajian ini dijalankan adalah untuk memberi pendedahan kepada pembeli
rumah akan kewujudan pilihan lain iaitu Akta Had Masa boleh digunakan untuk
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
membuat tuntutan. Dua objektif telah dibentuk untuk kajian ini iaitu mengenalpasti
peruntukan Seksyen 6A Akta Had Masa dan mengkaji kesedaran pembeli rumah
terhadap kewujudan Seksyen 6A Akta Had Masa 1953 dalam membantu pembeli
rumah membuat tuntutan. Kerajaan dengan prihatin telah memberi inisiatif kepada
pembeli rumah sama ada membawa perkara tersebut ke Tribunal Tuntutan Pembeli
Rumah atau mahkamah sivil. Hal ini penting kerana ia tidak dijelaskan dalam
Perjanjian Jual Beli. Borang soal selidik digunakan untuk menentukan tahap
pengetahuan dan kesedaran pembeli rumah berkenaan Akta Had Masa di Sungai
Buloh. Hasil kajian menunjukkan tahap kesedaran pembeli rumah tentang
kewujudan Akta Had Masa adalah sangat rendah, di mana majoriti reponden tidak
mengetahui tentang kewujudan Akta Had Masa, hal ini kerana klausa Seksyen 6A
adalah masih baru. Perkara ini perlu diberi perhatian kerana pembeli rumah
mempunyai hak dan kepentingan ke atas kediaman yang didiaminya.
Kata kunci: Tuntutan, Pendam, Sivil, Pemaju
1.0 INTRODUCTION
A house or residence is a place for human beings to take refuge apart from the basic
needs of food and drink. Everyone wants to buy a house, but it's not easy because the
prices on the market are soaring by the day. For individuals who are purchasing a
home and want a comfortable, conducive, and suitable quality home at the price
agreed upon in the contract of Sale and Purchase Agreement.
Every construction project will go through this life cycle and stage process,
which begins with the client providing a description of the desired development plan
to consultant and continues with project construction. Once a construction is
completed, a Certificate of Completion and Compliance (CCC) will be issued.
Statistics released by the Federation of Malaysian Consumer Associations (FOMCA),
total case reports total reports received of home defects increase from year to year.
This can be proved as much 340 complaints were received on home defect cases
during the liability period and it was increased to 1729 complaints this year.
(MyMetro, 2014). The number of complaints indicates the number of defects and
provides insight into the low level of home quality.
One of which is a recorded disability complaint for a housing project issue is
a developer who fails to complete a residential project from the promised period i.e.,
"LAD", residential defects and contractor problems when doing work modification.
The disability liability period is not an unfamiliar term for neither the contractor nor
the developer. Contractors, developers, consultants play an important role as well as
a pillar of a construction real estate to provide the housing needed by the local
community.
Building defects are defined and described by Josephson and Hammarlund
(1999) as not meeting the desired use requirements. Md. Ali (2003) also stated about
6 common types of defects identified in his study i.e., cracks, moisture, flaking, paint
damage, rust and 2 rot. In fact, Mokhtar (2006) generally classifies 14 types of
disabilities buildings such as leaking, bent, rust, rot, damp, cracked and others.
Besides, he also noted that there were some such defects as a result from design
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
errors, construction errors, and building misuse. This research will discuss the
provisions of Section 6A of the Limitation Act 1953, the process of making claims to
developers and some suggestions in improving the homeowner’s awareness of this
existence. This is because this Section 6A is just came into force in September 2019,
and clearly fewer clearly fewer home buyers who are aware of its use and existence.
Usually, the owner houses use the Housing Development Act to make any claims for
defects found are still within the defect liability period and section 6A will not be
used because the application of this act is still in its early stages.
Typically, most projects that face defects are common occurs on structures
whose condition is unknown (Cho, Hyun, Lee and Diekmann, 2006). This can be due
to design errors by the architect (Mokhtar, 2006), the use of low-quality building
materials, poor work quality (Ahzahar, Karim, Hassan and Eman, 2011), the
contractor did not adhere to the plan 3 construction details or any other faults
(Summerlin and Ogborn, 2006).
When the quality of materials used is not in accordance with specifications
and quality workmanship is unsatisfactory, so building works are considered
handicapped. The developer is solely responsible for any damages as well defects
that occur during the defect liability period and are described in Schedule G and
Schedule H, Sale and Purchase Agreements of the Housing Development Act
(Control and Licensing) 1966, section 30 (1) for which the developer is responsible
fully on all defects and shortcomings that are on the property and it must be repaired
by the developer within thirty (30) days.
However, if the homeowner finds damage of the type of latent defect after the
expiration of the defect liability, the homeowner can use section 6A, Limitation Act
1953 where homeowners may claim losses as well as costs from the developer within
a period of fifteen (15) years. The maximum period for a home buyer to make a claim
from the developer for latent defect is fifteen (15) years, and it only applicable to
residential housing only. For mix-development type housing, section this does not
apply to it.
In Malaysia, newly completed buildings are covered under the provision
disability liability period. Any defects or damage found on such significant property,
the owner must make a complaint and state inside Defects Notification Form after
submission key (vacant possession) from the property developer. Any defects that
submitted by the buyer within the period of liability for defects is to be the
contractor’s responsibility to repair it (Redzuan et al., 2011). However, most new
building owners are unaware of their rights that type defects on the property can be
claimed by the supplier. This may be due the owner has no technical knowledge
because and it is new as well as not stated in the Home Sale and Purchase
Agreement.
On above, the repair work building defects during the defect liability period
should be dealt with effective in protecting the right of home buyers to enjoy
convenience comfortable and conducive housing development. However, most
buyers the home does not make any claims after the expiration of the defect liability
period because it assumes the home buyer is fully responsible for any incurred costs.
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
The provisions of Section 6A have just been enforced on September 1, 2019, its use
is still not comprehensive in among home buyers. It is also not specified in Schedules
G and H of the Agreement Sale and Purchase (S&P), Housing Development (Control
and Licensing) Act 1966.
The aim of the research is to inform home buyers about the existence of
another option, namely the Limitation Act 1953, which can be used to make
residential building defect claims to building contractors and developers.
Two objectives have been formed where to identify the provisions of Section
6A of Limitation Act 1953 that can helping home buyers make residential building
defect claims and to study the awareness of home buyers on the existence of other
options, namely use Section 6A of the Limitation Act 1953 in assisting buyers to file
a claim.
This research focuses solely on latent defects. These defects are classified in
technical defects that can be found in the period a long time as an example of a wall
crack that took fifteen (15) years to exist. The application of section 6A is clearly still
new. In addition, this research also focuses on buyers wishing to make a claim to
civil court by using the Limitation Act 1953. This research more focused on the
residents of Bandar Saujana Utama 1 because of Bandar Saujana Utama is not more
than 15 years. To find out the effectiveness of this section 6A, then Bandar Saujana
Utama was chosen because if the defects found exceed the period 15 years, no legal
action can be taken against it. Many home buyers do not know that they have the
right to sue the developer for that period as it is not specified in the Sale Agreement
contract in purchasing a house.
The National Association of Home Buyers Malaysia (2006) outlines defects into 2
types i.e., defects that can be seen with the naked eye (physical defects) as well as
invisible defects i.e., technical defects, HBA (2006). According to him, physical
defects are more like aesthetic defects or damage that can be seen and identified with
the naked eye. As the parable of a cracked wall, a leaking roof, a cracked tile floor,
cracked windowpanes, cracked ceilings and so on.
James Sommerville and Julie McCosh (2006) define this disability as a
visible defect i.e., many type defects are found in the early stages after the house built
is fully completed and still within the liability period disability. Whereas technical
defects could not be detected at an early stage and sometimes undetectable during
building inspections carried out because of it began to arise after a few years the
house was inhabited and the defect was latent defect, latent defect. According to
(Chong Wai-Kiong & Sui-Pheng, 2005) which defects of this type are not known or
detected when the buyer starts entering their new home because most of the latent
flaws just show up during the occupancy stage (C. Wai-Kiong & Sui-Pheng, 2006).
For example, cracked tile floor after 7 years of inhabiting it.
According to the Housing Development (Control and Licensing) Act 1966
such as specified in section 3, a ‘housing developer’ is any person, group of persons,
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
fifteen-year period only applies to latent defects only. A latent defect is a defect that
cannot be seen in a rough picture. For instance, defects in materials or workmanship
cannot be found during the general inspection and it will lead to structural defects or
damage if not repaired. This type of defect is invisible defects. Illustration 6A (1)
illustrates the claim which can be made by the home buyer to the developer within a
period certain which is 3 years from the date the defect is found.
Section 6A only applies when defects are found on the building is a latent
defect that is reported not on the list of defects. Usually, patent type defects easily
can be found during the defect liability period. However, after fifteen years, latent
defects begin to appear like cracks on floor, an imperfect wall structure that will do
great damage to future. Typically, after the process of handing over the keys to the
home buyer, the buyer will list the patent defect only because the latent defect takes
time to be found.
Due to the enforcement of Section 6A it has just been on 1 September 2019,
then this research refers to past legal cases i.e., refer to the actual case in Malaysian
law and apply it accordingly the current situation. According to the case of Ying Mui
Company Sdn Bhd V Hoh Kiang Po [2015] MLJU 621, the plaintiff is said to have
made a civil claim to the court using Section 6A, however, it does not apply to the
case as Section 6A begins effective September 1, 2019. Hence the defect incurred on
the plaintiff cannot use that section to the cases.
3.0 METHODOLOGY
In this research, the researcher will focus on the quantitative approach. This research
will focus on examining homebuyers ’awareness of existence the other option is
Section 6A, using the quantitative method i.e., through forms questionnaire to find
out the level of awareness of the public as well as home buyers on the application of
the Limitation Act 1953 in making claims of building residential.
The process of data collection and research is divided into two, namely data
primary and secondary data. The primary data will be elaborated first i.e., using the
structured questionnaire form method to obtain data on homebuyers ’understanding
of the Limitation Act 1953 in making a claim to the developer. This primary data is
important to see if the objectives of the second study were achieved or vice versa.
Close-ended questionnaire was used for the researcher to obtain data and perspective
home buyers on the existence of other options using the Limitation Act of 1953 and it
will be formulated in the results of the study.
Then the secondary data will be implemented by a study regarding the
provisions of this Section 6A whether it can help home buyers protect their rights in
making a claim use that section. Based on this research, the data collection method
for the questionnaire data is then calculated by using frequency method. Information
demographics where gender, status and settling period are the background for the
respondent. Part A is on General Knowledge of the Act Housing Development 1966,
General Knowledge of Limitation Act 1953, and Part C where Filing Process Claims
in Court.
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
In addition, this data will also be calculated using the method of the overall
average index data to produce the average value data for each part i.e., part A, part B,
part C which is a total of 22 questions.
After getting the score, the values and ranges are divided and classified
according to the value of the average index, as stated by Abdul Majid and McCaffer
(1997) namely: 1. Very less importantly, 1.00 ≤ average index <1.50 2. Less
importantly, 1.50 ≤ average index <2.50 3. Moderately important, 2.50 ≤ average
index <3.50 4. Importantly, 3.50 ≤ average index <4.50 5. Very importantly, 4.50 ≤
average index ≤ 5.00.
I know
existence of
other 85 53 62 7 3 210
7 alternatives to
sue rights if 40.48 25.24 29.52 3.33% 1.43% 100%
applicable any % % %
defects happen
I know the
existence of the
132 28 44 3 3 210
Limitation Act
8
1953 can be
62.86 13.33 20.95 1.43% 1.43% 100%
used in making
% % %
claim
Based on the results of the questionnaire obtained for the number statement 7
and 8 shows most home buyers answered scale 1 which is strongly disagree with the
statement of existence Limitation Act and other alternatives can be used in making
building defect claims. By looking at the percentage scores, it can be said that most
of the homebuyer agrees and do not know on other option to file a defect claim.
Frequency and
Percentage
Bill Statement 1 2 3 4 5 Total
I understand that
Section 6A is
113 35 53 7 2 210
intended to assist
12
home buyers in
53.81 16.67 25.24 3.33% 0.95% 100%
filing a claim to
% % %
developer
I am convinced
that the time
frame for suing
138 26 43 2 1 210
the developer in
14
this section is 15
65.71 12.38 20.48 0.95% 0.48% 100%
years from the
% % %
date of discovery
of the defect
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
I am
knowledgeable
with the
143 26 41 0 0 210
enforcement.
16
This section was
68.10 12.38 19.52 0.00% 0.00% 100%
added on
% % %
September 1st
2019
Frequency and
Percentage
Bill Statement 1 2 3 4 5 Total
I am familiar with
the procedure for
filing a residential 107 50 48 4 1 210
19
claim with a
subordinate court 50.95% 23.81% 22.86% 1.90% 0.48% 100%
(session/magistrate)
The respondent’s answer for section C clearly indicates that the respondent
does not know or have little knowledge of the filing process for make a building
defect claim in court as presented in the table. This was proven by the highest
percentage of answers is strongly disagrees with the statement. They were clearly
unaware on filing procedure to subordinate court and Form 2A of the writ summon
must be filled by homebuyer to proceed with the defect claim to the developer.
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
Index Code
Scale Statement
Range Question
Disagree
5.0 CONCLUSION
To be conclude, the provision of Section 6A Limitation Act 1953 I s till new which is
enacted on 1st September 2019. This study was very important because of the case of
home defects is very close to home buyers where it could be patent or latent defect.
Home buyer will inevitably experience defects or damage to parts of the home for
example cracked floors, broken fences, broken ceilings and so on. Therefore, this
study is very important to help home buyers who having damage on their residence
can make a residential building claim to the developer. Developers should be
responsible for everything damage arising as specified in clause of Section 6A of the
Limitation Act 1953.
Next is, this study will give some idea of how Section 6A may help home
buyers if they want to make a claim. Among the important points outlined in the
Limitation Act 1953 is that only latent defects can make a claim. In addition, that is,
the defect arising must not exceed a period of 15 years from it found. Illustration 6A
(1) also illustrates the defect claims that can be made to the developer within a certain
period of 3 years from the date the defect was found. Clearly, the government takes
the issue of residential disability seriously because it provides an alternative to home
buyers whether to bring the developer to court or through tribunal methods. Analysis
also shows home buyers are also unaware of the existence of the Limitation Act of
1953 can help them to sue developer because every individual has rights and interest
in the residence they own.
In addition, the researcher also found that the recommended to overcome the
problems that occur to create awareness on the existence of other alternatives in
making residential building defect claim such by making clause of Section 6A part of
the contract of Sale & Purchase agreement. Contract of Sale and Purchase agreement
is the primary reference, but it is undeniable that also acts as a guidance to home
buyers. By advertising defect issues in the mass media, it can raise awareness to
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________
home buyers about the options that exist for making a building defect claim. Non-
Governmental Organizations (NGOs) and government could be working together
delivers the message of awareness of building defects problems such as opening
mobile counters special for home buyers who wants to make claims to developers
and contractors but are unaware of the right process. Awareness on existence of the
Limitation Act can be improved by providing access to the Tribunal or court to home
buyers in showroom or show gallery. Finally, by creating an application system for
home buyers. The Ministry of Housing and Local Government (KPKT) can take
initiative by creating a new platform to home buyers such as a system application
related to residential building defect claims. This application aims to provide
information on the procedure for making a disability claim residential buildings
either in the Tribunal or in the civil courts.
Developers and contractors should not abandon all housing developments that
have been completed recklessly. This will affect the developer's image, and if the
home buyer takes the matter to court, the developer may be fined for his actions. This
should be avoided to maintain the developer's good name and the quality of
construction carried out by the developer.
REFERENCE
Chong, Wai Kiong, & Low, Sui Pheng. (2005). Assessment of Defects at
Construction and Occupancy Stages. Journal of Performance of Constructed
facilities, 19(4), 283-289.
Douglas, J. (1996). Building performance and its relevance to facilities management.
Facilities. Vol. 14 (3). 23-32
Fraenkel, J. R., & Wallen, N.E. 1996. How to Design and Evaluate Research. USA:
Mc.Graw-Hill Inc.
Glomac (2021, April). Project Development Saujana Utama. Dimuat turun daripada
https://www.glomac.com.my/project/the-icon/
HBA, National House Buyers Association (Producer)
Jamil Ahmad. (2002). Pemupukan Budaya Penyelidikan di Kalangan Guru di
Sekolah: Satu Penilaian. Tesis Dr. Fal, Fakulti Pendidikan. Universiti
Kebangsaan Malaysia.
Kementerian Perumahan Dan Kerajaan Tempatan, www.kpkt.gov.my
Laporan Rancangan Malaysia Kesembilan 2006-2010, Bab 21, Jabatan Penerangan
Malaysia, Kementerian Penerangan, Komunikasi dan Kebudayaan.
Md. Ali. Z. (2003). Pengkelasan Kecacatan Bangunan Pada Bangunan Pangsapuri
Kuarters Kerajaan Presint 9,Putrajaya. Prosiding Seminar Penyelidikan
Jangka Pendek 2003, Universiti Malaya 11 dan 12 Mac 2003. Paper No: 9.
Master Builder Association Malaysia (2007) What Are The Obligations Of The
Contractor During Defects Liability Period, Master Builder Journal, 1st
Quarter 2007.
Mokhtar, M.Z. (2006). Kerosakan dan Kemerosotan Struktur Konkrit di Malaysia.
Tesis Ijazah Sarjana. Universiti Teknologi Malaysia, Skudai.
N. Ahzahar, N.A. Karim, S.H. Hassan &J. Eman. 2011. A Study of Contribution
Factors to Building Failures and Defects in Construction Industry Procedia
Engineering. 20:249–255.
Oluwole, A.A. (2013). Defects Liability Period in Nigeria Building Industry:
Practice, Problems and Prospect. British Journal of Arts and Social Science.
Vol. 11(11): 250-258
P.-E. Josephson , Y. Hammarlund, Volume 8, Issue 6, August 1999, The Causes And
Costs Of Defects In Construction: A Study Of Seven Building Projects
Department Of Management Of Construction And Facilities, Chalmers
University Of Technology, Pages 681-68.
Judul Buku Bab 2021 No. ISBN 123456789
___________________________________________________________________________________________