What JMB/MC Asks about Property / 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.

What is the Jurisdiction of Strata Management Tribunal?

Strata Management Tribunal has the power to resolve disputes as follows:
• Dispute or complaint regarding the performance, duty of power for the 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?

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

What is Commissioner of Buildings (COB)?

The 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 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 and to investigate any offences under the SMA.

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 Fund 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 Management Body and the Management Body 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?

Certain requirements need to be fulfilled. Need to have the Strata Titles issued. Need to engage a Special Plan prepared by a Licensed Land Surveyor. Then need to get a comprehensive resolution passed by general meeting.

What is a Property Manager role?

Mainly divided into four areas, account & finance management (Collection and payment, reporting, budgeting), administration (record keeping, visitor control, contractor management), Strata Management (House rules/by law, meetings), Building Management (facilities management, repair & maintenance, improvement)

Why Contract Management is essential in Strata Management?

We as 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 so on. It is essential for us to manage those via contracts signed between MC/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 all decision made are only based on initial purchase, the cost to pay will be after the purchase and not mentioning the trouble to manage and maintain them.

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