Are You getting your Strata Title?

Under the Sale & Purchase Agreement (S&P) signed between purchaser of Complex Suria Kinrara and Sentosa Restu (M) Sdn. Bhd. , the developer is obligated to deliver the parcel of land, on which Complex Suria Kinrara is sited, free from encumberances.

Preamble condition No. 2 of the S&P stated “ The said Land is not charged to any licenced bank or financial institution or such other body or authority”.

Page 2 of the S&P under the agreed terms and condition No 1. Agreement to Sell – “The Vendor hereby agrees to sell and the Purchaser agrees to purchase the said Parcel with vacant possession and free from all encumbrances but subject to such condition and restriction expressed or implied in the separate document of strata title to the Parcel when issued upon the terms and condition herein contained.”

Page 2 of Sale & Purchase Agreement.

This S&P was prepared by legal firm Mssr. Wong-Cheng Kiat-Loh, Advocates & Solicitors

The master title from the developer clearly shown the Land is not free from encumbrances. There is still a  Charge by Abrar Discounts Bhd, 24^th Floor, Menara Multi Purpose, No 8 Jalan Munshi Abdullah, 50100 Kuala Lumpur.

Didn’t the developer committed a breach of the S&P terms with the purchaser?

The developer has also committed an offence under the Strata Title Act 1985 –Act 318 , (Amendment enforced from 12 April 2007). 

The developer  has failed to submit application for Strata Title six (6) months from the date  of the enforcement, as stipulated under this amended Act. The S&P was signed in 2004 before the amended Act came in force.

According to reliable source, the developer will only submit application for Strata Title after the JMB is formed. And when will the JMB be formed?  That is a BIG Question mark ???

STRATA TITLES ACT 1985
ACT 318
(Amendment enforced from 12 April 2007) is appended for your easy reference

PART II - APPLICATION FOR SUBDIVISION OF A BUILDING OR LAND

8. Circumstances in which it is compulsory for a proprietor to apply for subdivision of a building or land

(1) The proprietor of any alienated land on which there is a completed building capable of being subdivided under section 6 shall, within the period specified in subsection (2), apply in accordance with section 10 for the subdivision of the building if at any time he has sold or agreed to sell any parcel in such building to any person.

(2) The period within which the requirement of subsection (1) shall be complied with is as follows:

(a) in the case of a building completed on a date after the commencement of this subsection-

(i) if the sale of, or agreement to sell, any parcel of the building, or the first such sales or agreements, took place before that date, the period is six months from that date;

(ii) if the sale of, or agreement to sell, any parcel of the building, or the first of such sales or agreements, took place after that date, the period is six months from that date of the sale or agreement or the first of such sales or agreements;

Is the Ministry of Housing and  Local Government (the Ministry) going to initial action against the developer to protect the interest of the purchasers?  Is the Selangor Land office (Land Administrator) taking action against such developer?

If the Ministry and Land Office is not enforcing the law, what is the RA going to do  on behalf of the purchasers?