What JMB/MC Asks about Strata Management in Malaysia? FAQ-02

What is Strata Management Tribunal?

The Strata Management Tribunal is established under the Strata Management Act 2013 top settle dispute in relation to strata management issue in a more expedient manner and minimal costs.

Strata Management Tribunal is consisting of members appointed by the Minister of Housing Ministry with a Chairman, a deputy chairman and a number of not less than 20 members of Judicial and Legal Services or lawyers who has more than 7 years practice experience.

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What is the Jurisdiction of Strata Management Tribunal?

Strata Management Tribunal has the power to resolve disputes as the following.

  • Dispute or complaint regarding the performance, duty of power for the Joint Management Body.
  • Dispute on cost or repairs in respect of a defect in a parcel, building or land and its common property.
  • Claim for an order to convene a general meeting.
  • Claim for an order to invalidate proceeding of meeting.
  • Claim for an order to nullify a resolution.
  • Claim for an order to revoke amendment of by-laws.
  • Claim for an order to vary the rate of interest fixed by the Management Body for late payment.
  • Claim for an order to vary the amount of insurance to be provided.
  • Claim for an order to pursue insurance claim.
  • Claim for compelling the Management Body to supply information or documents.
  • Claim for an order to give consent to effect alterations to any Common Property.
  • The award sought must be less than RM250,000.00.

What are the typical disputes referred to the Strata Management Tribunal?

The following are the typical disputes.

  • Outstanding service charges.
  • Unsatisfactory management service level.
  • Defect rectification.
  • Invalidate General Meeting.
  • Dispute between strata owners on leakage.
  • Dispute of renovation plan.

What is Commissioner of Buildings (COB)?

The Commissioner of Buildings (COB) is attached to the local authority such as town council or city council. Its man role is to enforce the provision of Strata Management Act 2013.

  • To manage Common Property Defect Account.
  • To appoint managing agent when required.
  • To ensure establishment of Joint Management Body and exercising its duties.
  • To assist in attachment of moveable property in regard to collection of overdue service charges.
  • To keep record of strata schemes.
  • To investigate any offences under the Strata Management Act 2013.

What is Share Unit in Strata Management?

It is a figure represents the proportionate share entitlement assigned to each parcel within the development. It is shown in the strata title. Payment of Charges and contribution to Sinking Funds are based on the share units owned by each individual strata owner.

What should I do if there is inter-floor leakage?

If under the defect liability period, you may issue a notice to the developer requesting for rectification. Otherwise, a notice shall be served to the Joint Management Body and the JMB shall carry out the inspection to find out the cause and party responsible. The Management shall issue a certificate of inspection and the responsible party shall rectify the leakage.

How a Sub MC is formed?

There are certain requirements that need to be fulfilled as the following.

  • The Strata Titles need to be issued.
  • MC will need to engage a Special Plan prepared by a Licensed Land Surveyor.
  • A comprehensive resolution will need to be passed by general meeting.

What is a Property Manager role?

Property Manager role is mainly divided into four areas. They are as follows.

  • Account & finance management (collection, payment, reporting and budgeting).
  • Administration (record keeping, visitor control and contractor management).
  • Strata Management (house rules, by-laws and meetings).
  • Building Management (facilities management, repair & maintenance and improvement).

Why Contract Management is essential in Strata Management?

Property Manager will need to deal with many vendor and service providers like security firm, cleaning company, pool maintenance specialist, lift service firm, insurance company and many others. It is essential for property manager to manage those via contracts signed between MC or JMB with them.

Decision for owner in assessing Cost

In Facility and Building Management, there is this concept of Life Cycle Cost as compared to just the cost of purchasing an item like a water pump. For example, when presented with two options of water pumps, the purchase price may differ, one cheaper and the other more expensive.

The decision should also take into account of other life cycle cost, such as cost of installation, efficiency in terms of power consumption, output capability, maintenance, repair, disposal cost and also the lifespan of the pump. If decision are made only based on initial purchase, there will be cost to pay after the purchase and not mentioning the trouble to manage and maintain them.

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