Developer ordered to pay house buyers RM112,524.62 for late delivery of properties

Robert (left, rear row) delivers the decision during the proceedings. At right, rear row is Woon. – Photo by Chimon Upon

KUCHING (Jan 25): The Sarawak Housing Purchaser’s Claims Tribunal today ordered a developer to pay two house buyers a total of RM112,524.62 for late delivery of properties.

Tribunal president Robert Elone Sireng said the panel comprising Alhadi Ibrahim and Simon Woon decided that the two claimants were entitled to an extra 55 days to submit their claims.

“During the Movement Control Order (MCO) period, no government offices were operational, so we allow 55 days extra to submit the claims even though it passed 18 months after the Occupational Permit (OP) was issued,” he told a news conference after the proceedings at the old State Legislative Assembly (DUN) Complex in Petra Jaya here.

Robert said the developer had to pay Ang Yian Lee RM32,140.16 for a total of 832 days of delay in delivering the property. The OP was issued on Apr 5, 2019.

Ang, who owns a unit at the housing area located at Jalan Arang, also told the Tribunal that the developer had failed to fix a toilet door.

Robert then ordered the developer to replace the door according to the design plan submitted to the local authorities.

The developer was also ordered to pay Pui Siew Kian, who owns two units in the same housing area, a total of RM80,384.46 for late delivery of properties.

“For Pui, her sublot 13 (OP issued on Oct 26, 2020) saw 1,133 days of delay which brings to a total claim of RM47,108.22 while her sublot 1 (OP issued on Apr 5, 2019) was 818 days delayed and she is entitled to claim a total of RM33,276.24,” said Robert.

The developer is expected to settle the claims within 45 days after the claimants receive the letter of award from the Tribunal.

Robert said the developer failed to deliver the properties on time because it entertained buyers’ amendment requests to the original design plan, which resulted in a delay for the issuance of OP from the local authorities.

Woon took the opportunity to remind small-time developers of the need of coming up with a letter of undertakings with the buyer if any amendment to design plan was involved.

“In this case, there is a good relationship between the developer and the buyers and when the buyers requested for change, the developer agreed to do it.

“When changes are involved, the developer needs to get approval from the local authorities and this may result in a delay of the issuance of OP,” he said.

He added that this should serve as a lesson for small-time developers to be more mindful of the need to adhere to the original design plan.

“The developer did not expect the buyers to claim against him because of the good relationship. And this (amendment to the plan) is not something that would happen to major developers,” pointed out Woon.

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