Amendment Act · As enacted
Strata Titles (Amendment) Act 2016
Feedback & supportAmends the Strata Titles Act 1985Official textFrom Laws of Malaysia Online, unchanged
This Act may be cited as the Strata Titles (Amendment)
Act 2016.
This Act comes into operation in each State on a date to be appointed by the Minister, with the approval of the National Land
Council in relation to that State, by notification in the Gazette, and the Minister may, with the approval of the National Land
Council, appoint different dates for the coming into operation of different provisions of this Act.
This Act comes into operation in the Federal Territory of
Kuala Lumpur, the Federal Territory of Putrajaya and the Federal
Territory of Labuan on a date to be appointed by the Minister by notification in the Gazette, and the Minister may appoint different dates for the coming into operation of different provisions of this
Act.
STRATA TITLES (AMENDMENT) ACT 2016
s 2Amendment of long title
The Strata Titles Act 1985 [Act 318], which is referred to as the “principal Act” in this Act, is amended in the long title by substituting for the words “and the disposition of titles thereto”
the words “, the disposition of titles and the collection of rent”.
s 3Amendment of preamble
The principal Act is amended in the preamble by inserting after the words “transfer of parcels in a building or land,” the words “collection of rent,”.
s 4Amendment of section 4
Section 4 of the principal Act is amended—
in the definition of “land parcel”, by inserting after the words “four storeys” the words “(excluding shared basement)”;
in the definition of “original proprietor”, by inserting after the words “subdivision of building” the words “or land”; and
by inserting after the definition of “Registrar” the following definition:
‘ “rent” has the meaning assigned to it under section 5
of the National Land Code and includes any annual sum payable to the State Authority of any parcel or provisional block pursuant to section 4c by way of rent and any fees due to the State Authority in respect of any arrears of rent provided by rules under section 81;’.
s 5Amendment of section 4a
Subsection 4a(4) of the principal Act is amended by deleting the words “or substitute any of the Forms in”.
Strata Titles (Amendment)
s 6New section 4c
The principal Act is amended by inserting after section 4b the following section:
The Minister may, with the approval of the National
Land Council, by notification in the Gazette, appoint a date for the coming into operation of rent of parcel or provisional block in any State.
Upon the coming into operation of the implementation of rent of parcel or provisional block in any State—
the provisions of Part IVa shall apply;
the provisions of this Act shall—
in so far as the provisions relate to the procedure for the implementation of rent of parcel or provisional block and for the purposes connected therewith; and
in so far as the provisions relate to the endorsement to be made or other matters ancillary thereto for the carrying into effect of the rent of parcel or provisional block, to the document of strata title or strata register, be read with modifications, amendments, additions, deletions, substitutions or adaptations as provided in Part IVa.”.
s 7Amendment of section 8
Section 8 of the principal Act is amended—
in paragraph 8(2)(b), by substituting for the words “of issuance of the certificate of completion and compliance”
the words “the building is completed”;
in paragraph 8(2)(c), by substituting for the words “of the issuance of the certificate of completion and compliance”
the words “the building is completed”;
by substituting for subsection (8) the following subsection:
“(8) The original proprietor who is guilty of an offence under subsection (7) shall, on conviction—
be liable to a fine of not less than ten thousand ringgit but not more than one hundred thousand ringgit or to imprisonment for a term not exceeding three years or to both and, in the case of a continuing offence, to a further fine of not less than one hundred ringgit but not more than one thousand ringgit for every day during which the offence continues to be committed;
and
the court may order the original proprietor to apply for subdivision of building or land within a period specified in the order.”; and
by inserting after subsection (8) the following subsection:
“(9) For the purposes of paragraphs (2)(b), (c),
and (e), the date on which the building is or was completed shall be the date on which the certificate of completion and compliance is issued, certified by any local authority to be fit for occupation or use, or certified in accordance with the provisions of any written law for the time being in operation.”.
s 8Amendment of section 8a
Section 8a of the principal Act is amended by inserting after subsection (1) the following subsection:
“(1a) Notwithstanding subsection (1), the Director of Survey, in approving the application for the certificate of proposed strata plan—
of a special building; or
Strata Titles (Amendment)
in any other circumstances where he deems fit, may give exemption to the documents in paragraphs (1)(e) and (h)
or require any other documents together with the application.”.
s 9Amendment of section 9
Subsection 9(1) of the principal Act is amended—
by substituting for the words “building, building and land, under subsection 6(1) and subdivision of land under subsection 6(1a)” the words “building or land”; and
by substituting for paragraph (h) the following paragraph:
“(h) a certified copy of the certificate of completion and compliance or certificate of fitness for occupancy, as the case may be, except—
in the case under paragraph 8(2)(a);
when the building is classified as special building and the certified copy of the certificate of completion and compliance or certificate of fitness for occupancy is not available; or
in any other circumstances where the Land
Administrator is satisfied that the certified copy of the certificate of completion and compliance or certificate of fitness for occupancy may be exempted; and”.
s 10Amendment of section 9a
Section 9a of the principal Act is amended by deleting the words “, being a building or land capable according to subsection 6(1) or (1a) of being subdivided,”.
s 11Amendment of section 10
Subsection 10(2) of the principal Act is amended by inserting after the words “subdivision of any building” the words “or land”.
s 12Amendment of section 17
Section 17 of the principal Act is amended—
in subsection (3)—
by substituting for the word “Registrar” the word
“Director”; and
by substituting for the words “specified in the certificate” the words “the book of strata register is opened”; and
in subsection (5), by substituting for the word “Registrar”
the word “Director”.
s 13Amendment of section 17a
Section 17a of the principal Act is amended—
in paragraph 17a(2)(a), by inserting after the words “the special plan” the words “prepared by a land surveyor”;
in paragraph 17a(2)(c), by substituting for the word
“prescribed” the word “determined”; and
in paragraph 17a(3)(c), by substituting for the words
“and any approved amendments thereto” the words “as approved by comprehensive resolution”.
Strata Titles (Amendment)
s 14New section 17b
The principal Act is amended by inserting after section 17a the following section:
“Ownership of common property and custody of issue document of title 17b. (1) The management corporation shall become the proprietor of the common property and the custodian of the issue document of title of the lot.
Subject to subsection (3), the management corporation shall, in relation to the common property, have the powers conferred by the National Land Code on a proprietor in relation to its land.
The management corporation—
shall exercise all the powers referred to in subsection (2)
only on the authority of a unanimous resolution
(except where it is specifically provided otherwise in this Act); and
shall not have the power to transfer, charge or lien any portion of the common property which forms part of the building or of the land on which the building stands.
Where an instrument is executed by the management corporation in the exercise of its powers under subsection (2), the instrument shall be accompanied by a document under the seal of the management corporation stating that—
the resolution directing the transaction to which the instrument relates was passed; and
the transaction conforms to the terms of the resolution.
The instrument executed under subsection (4) shall, in favour of the Registrar or a party to the transaction other than the management corporation, be conclusive evidence of the facts certified.”.
s 15Deletion of section 19a
The principal Act is amended by deleting section 19a.
s 16Amendment of section 20a
Section 20a of the principal Act is amended by inserting after subsection (1) the following subsection:
“(1a) Notwithstanding subsection (1), the Director of Survey, in approving the application for the certificate of proposed strata plan—
of a special building; or
in any other circumstances where he deems fit, may give exemption to the documents in paragraphs (1)(e) and (i)
or require any other documents together with the application.”.
s 17Amendment of section 20b
Subsection 20b(1) of the principal Act is amended—
by substituting for paragraph (e) the following paragraph:
“(e) a certified copy of the certificate of completion and compliance or certificate of fitness for occupancy, as the case may be, except—
in the case under paragraph 20(2)(a);
when the building is classified as special building and the certified copy of the certificate of completion and compliance or certificate of fitness for occupancy is not available; or
in any other cases where the Land Administrator is satisfied that the certified copy of the certificate of completion and compliance or certificate of fitness for occupancy may be exempted; and”; and
Strata Titles (Amendment)
in paragraph (f), by substituting for the word “(d)” the word “(c)”.
s 18New Parts IVa and IVb
The principal Act is amended by inserting after Part IV the following parts:
“Part IVa
COLLECTION OF RENT
Interpretation 23a. In this Part, unless the context otherwise requires—
“existing documents of strata titles” means any documents of strata title registered and issued before the coming into operation of section 4c;
“existing issue document of title of the lot” means any existing issue document of title of the lot issued before the coming into operation of section 4c;
“existing issue document of strata title” means existing issue document of strata title issued before the coming into operation of section 4c.
Rent to be debt due to State Authority 23b. The rent payable in respect of each parcel or provisional block is a debt due to the State Authority and, without prejudice to the provisions of this Act relating to forfeiture of the parcel or provisional block for non-payment thereof, may be recoverable by action brought pursuant to section 16
of the National Land Code.
Determination and computation of rent 23c. (1) Upon the coming into operation of section 4c—
the Land Administrator shall determine the amount of rent; and
the Registrar shall—
make a memorial on the register and issue documents of titles to the lot, the date that the rent of the lot ceased to be effective and rent of parcel or provisional block comes into operation, notwithstanding anything contained in the title of the lot; and
endorse on the documents of strata titles with the amount of rent.
The Registrar shall make a memorial or an endorsement to the existing issue document of title of the lot and the existing issue document of strata title pursuant to subparagraph (b)(i)
or (ii) when those titles are produced to him.
The rent reserved in respect of parcel or provisional block shall becomes payable from the beginning of the calendar year.
In relation to the existing documents of strata titles, the rent of parcel or provisional block becomes payable from the beginning of the calendar year.
In relation to the documents of strata titles registered after the coming into operation of section 4c, the rent becomes payable from the beginning of the calendar year next following.
The rent payable in relation to any calendar year shall fall due in full on the first day of that year and, if not sooner paid, shall be treated for the purpose of this Act as becoming in arrears on the first day of June in that year.
Strata Titles (Amendment)
For the purpose of subsection (6), subsection 94(2) of the National Land Code and the modification as stated in paragraph 1 of the Twelfth Schedule to the National Land
Code shall be applicable.
For the purpose of paragraph (1)(a), the rent of parcel or provisional block—
shall be computed on the basis of a rate per square metre for each parcel, or parcel and accessory parcel, or provisional block, as the case may be; and
the arrears of rent of the lot may be—
included in proportion to the share units and provisional share units; or
recoverable by any other manner prescribed.
Where the rent computed in relation to any parcel or provisional block is or includes a fraction of a ringgit, it shall be rounded up to one ringgit or to the nearest ringgit above the amount so computed, as the case may be.
The provisions of this section shall have effect subject to any remission or rebate of rent granted or allowed pursuant to rules made under paragraph 81(1)(aa) and to any authorization granted for the payment by installments or deferment of payment of any rent.
Where rent payable 23d. The rent payable in relation to parcel or provisional block shall be paid by or on behalf of the proprietor at—
the office of the Land Administrator or at any other place which the Land Administrator may deem fit;
or
such other places as prescribed or through any person or body as approved by the State Authority.
Notice of demand 23e. (1) Where any rent payable in relation to any parcel or provisional block is in arrear, the Land Administrator may cause to be served on the proprietor thereof a notice of demand in Form 11.
As soon as Form 11 is served on the proprietor, the
Land Administrator shall cause to be served on every chargee, lessee, sublessee, tenant, lien-holder, caveator and easement holder, a copy of Form 11.
A note of the service of Form 11 under subsection (1)
shall be endorsed by or at the instance of the Land Administrator, on the register document of title to the parcel or provisional block to which the notice relates.
Right of chargees, lessees, etc., to pay sum demanded 23f. (1) The sum demanded in Form 11 may be paid to the
Land Administrator within the time specified in Form 11
by any of the following persons or bodies in addition to the proprietor:
any chargee, person or body having a registered interest affecting the parcel or provisional block
(including a charge of any lease or sublease thereof);
any person or body having a lien over the parcel or provisional block, or over any lease or sublease thereof;
any person or body in occupation of any part thereof under any tenancy exempt from registration which has become protected by an endorsement on the register document of title to the parcel or provisional block under section 317 of the National Land Code;
and
any person or body having a claim protected by caveat affecting the parcel or provisional block or any interest therein.
Strata Titles (Amendment)
Any sum paid by a chargee pursuant to subsection (1)
shall be added to, and deemed for all the purposes of this
Act to form part of, the first payment thereafter falling due to him under the charge.
Any sum so paid by any other person or body referred to in subsection (1)—
shall be recoverable from the proprietor by civil action; and
may, if paid by a lessee, sublessee or tenant, be recovered alternatively by deduction from any rent then or thereafter payable to him under the lease, sublease or tenancy.
Any lessee, sublessee or tenant who incurs any additional liability, or suffers any deduction, under this section may recover the amount thereof either by civil action against the proprietor or by deduction from any rent then or thereafter payable by him under his lease, sublease or tenancy.
Effect of payment of sum demanded 23g. If the whole of the sum demanded in Form 11 is paid to the Land Administrator within the time specified therein, the notice shall cease to have effect, and the Land
Administrator shall cancel, or cause to be cancelled, the note endorsed pursuant to subsection 23e(3) on the register document of title to the parcel or provisional block to which the notice relates.
Forfeiture for non-payment of sum demanded 23h. (1) The Land Administrator shall not during the period specified in Form 11 accept any payment by or on behalf of any person or body of a lesser amount than the sum thereby demanded.
The Land Administrator shall, at the expiration of the period stated in Form 11 the whole of that sum has not been paid to him, by order—
declare the parcel or provisional block to be forfeited to the State Authority; and
vested and registered in the name of any statutory authority as prescribed to hold the parcel or provisional block on behalf, and for the benefit, of the State
Authority.
Power of State Authority to revise rent periodically 23i. (1) Subject to subsection (5), the State Authority may from time to time revise in accordance with provisions of this section the rent payable in respect of parcel or provisional block within the State.
Any revision of rent under this section shall extend to all parcel or provisional block within the State except parcel or provisional block of any classes or description which the
State Authority may think fit to exempt.
On any revision of rent under this section, the State
Authority may—
increase or reduce by the same proportion the rent payable in relation to all parcel or provisional block to which the revision extends; or
make different provisions for different classes or descriptions of such parcel or provisional block, either—
provision for increasing or reducing rent by the same proportion, or
provision imposing a new rate of rent thereon.
In the exercise of the powers conferred by this section, the State Authority shall take no account of increases in parcel or provisional block values attributable due to improvements.
Strata Titles (Amendment)
Any revision of rent under this section shall be made at such time as the State Authority may, with the approval of the National Land Council, determine, but—
on the first revision, it shall—
have effect not less than ten years after the coming into operation of this Part; and
be made together with the revision of rent under section 101 of the National Land Code; and
any subsequent revision shall—
have effect of not less than ten years after the last revision of the rent; and
be made together with revision of rent under section 101 of the National Land Code.
Where a revision of rent has been made under this section, the Registrar or Land Administrator shall, as soon as possible—
amend the amount of rent endorsed on the document of title to, and payable in respect of, parcel or provisional block affected by the revision by substituting the revised rent for that amount; and
note the date of making the amendment and the authority therefor and authenticate the same under his hand and seal.
Effect of termination of subdivision 23j.
In relation to the memorial made pursuant to subsection 57(2), the Registrar shall make a memorial on the register and issue documents of title to the lot, the date on which the rent of the lot comes into operation the next following calendar year at the recent revision pursuant to section 101 of the National Land Code.
Part IVb
FORFEITURE AND VESTING
Interpretation 23k. In this Part, unless the context otherwise requires—
“transferee” means statutory authority prescribed to be registered as new proprietor by way of vesting to hold the parcel or provisional block on behalf, and for the benefit, of the State Authority;
“former proprietor” means a person who, or a body which, immediately before the reversion of a parcel or provisional block to the State Authority is the proprietor of a parcel or provisional block.
Reversion to State Authority and vesting to take effect upon notification in the Gazette 23l. (1) The Land Administrator shall, after making of an order under section 23h of this Act or section 129 of the
National Land Code in relation to any parcel or provisional block, publish in the Gazette a notification in Form 12.
The Land Administrator shall, as soon as possible, after the publication of Form 12 in the Gazette—
cause a copy of the notification under subsection (1)
to be sent to the management corporation; and
publish the notification in accordance with section 433 of the National Land Code.
The Registrar shall, after the publication in paragraph (2)(b), make a memorial to the effect that the parcel or provisional block has been forfeited and vested in the transferee on the register document of title and issue document of title.
Strata Titles (Amendment)
19
Effect of forfeiture 23m. Upon taking into effect of any forfeiture in relation to any parcel or provisional block under this Part—
the parcel or provisional block shall revert and vest in the transferee, freed and discharged from any interest subsisting or capable of arising immediately before the forfeiture took effect;
the Land Administrator, by notice in the Gazette in
Form 12, declares that the parcel or provisional block which reverts to the State Authority shall vest and be registered in the name of the transferee to hold the same on behalf, and for the benefit, of the
State Authority;
there shall also vest in the transferee without any arrears relating to management fund, debt and any other outstanding payment payable under the Strata
Management Act 2013 [Act 757] that is liable to the former proprietor;
there shall vest in the transferee, without payment of compensation, any parcel or provisional block then existing on the land; and
any item of land revenue then due to the State
Authority in relation to the parcel or provisional block shall be extinguished.
Parcel or provisional block not to be transferred during period for appeal against forfeiture 23n. (1) Where any parcel or provisional block has reverted and vested to the transferee by reason of the taking into effect of any forfeiture under this Part, the transferee shall not effect dealings permitted under Division IV of the National
Land Code at any time before—
the expiry of the period of three months under section 418 of the National Land Code which an appeal lies to the court against the order of the
Land Administrator under section 23h of this Act or section 129 of the National Land Code; or
the determination of the appeal and of any proceedings consequent thereon (if such an appeal is lodged during that period).
The provision of subsection (1) shall be without prejudice to the power of the State Authority under section 23o to annul the forfeiture at any time on a petition by the former proprietor immediately before the forfeiture took effect.
Any former proprietor immediately before the forfeiture under this Part may at any time apply by a petition to the State Authority to annul the forfeiture.
The State Authority may in its absolute discretion refuse or allow any petition under this section, and if the
State Authority allows the petition, may do so conditionally upon payment by the petitioner—
if the forfeiture involving a non-payment of rent—
all the sums now due which was required to be paid by the notice of demand served under section 23e of this Act;
such penalty, not exceeding six times the sum which was required to be paid under subparagraph (i), as the State Authority may think fit to impose; and
such other sums paid by the transferee upon taking effect of forfeiture pursuant to subsection 23l(3);
if the forfeiture involving a breach of condition, the
State Authority may determine the amount in respect of the expenses occasioned by the forfeiture; and
all sums as mentioned in paragraphs (a) or (b) shall be paid within one month beginning from the date on which it was communicated.
Strata Titles (Amendment)
Where the petitioner fails to settle the amount which was required to be paid under paragraph (2)(c), the allowance of the petition for the annulment of the forfeiture shall be null and void.
Upon payment of all sums specified under paragraph (2)(c), the Registrar shall make a memorial to effect the vesting of the parcel or provisional block to the petitioner on the register and issue documents of title.
Appeal against forfeiture 23p. (1) The validity of any forfeiture under this Part shall not be challenged in any court except by means of, or in proceedings consequent upon, an appeal under section 418
of the National Land Code against the order of the Land
Administrator under section 23h of this Act or section 129
of the National Land Code, and notwithstanding anything in any other written law, no appeal shall be commenced after the expiry of the period of three months allowed under section 418
of the National Land Code.
No order of the Land Administrator under section 23h of this Act or section 129 of the National Land Code shall be set aside by any court except upon the grounds of its having been made contrary to the provisions of this Part, or of there having been a failure on the part of the Land
Administrator to comply with the requirements of any such provision, and no such order shall be set aside by reason only of any irregularity in the form or service of any notice under Part IVa and this Part unless, in the opinion of the court, the irregularity was of a significant nature.
In any appeal or other proceedings as mentioned in subsection (1), it shall be presumed until the contrary is proven that all notices required to be served under Part IVa and this Part were duly and regularly served.
The provisions of subsection (1) shall not affect the right of any person or body to bring an action for damages against the State Authority, or (subject to section 22 of the
National Land Code), against any officer appointed by the
State Authority, in respect of any act or thing wrongfully done, or ordered to be done or omitted to be done, in connection with any forfeiture under this Part.”.
s 19Amendment of heading Part V
The heading of Part V of the principal Act is amended by substituting for the words “SUBDIVIDED BUILDINGS:” the words “SUBDIVIDED BUILDING OR LAND:”.
s 20Amendment of section 25
Section 25 of the principal Act is amended by inserting after subsection (1) the following subsection:
“(1a) No application under subsection (1) shall be made unless—
in relation to the division of a parcel, the express conditions for the new parcels are not contrary to the express conditions of the affected parcel; or
in relation to amalgamation of parcels—
the express conditions for the affected parcels are not contrary with one another; and
the express conditions for the new parcel are not contrary to the express condition of the affected parcels.”.
s 21Amendment of section 33a
Section 33a of the principal Act is amended by inserting after the word “building” the words “or land”.
s 22Amendment of section 34
Section 34 of the principal Act is amended by inserting after subsection (3) the following subsection:
“(4) A proprietor is not allowed to apply for any amendment of the express conditions on his documents of strata title.”.
Strata Titles (Amendment)
s 23Amendment of section 35
Subsection 35(2) of the principal Act is amended by inserting after the word “building” the words “or land”.
s 24Amendment of heading of Part VIII
The heading of Part VIII of the principal Act is amended by inserting after the word “BUILDING” the words “OR LAND”.
s 25Amendment of section 56
Section 56 of the principal Act is amended—
in the shoulder note, by inserting after the word “building”
the words “or land”; and
in subsection (1), by inserting after the word “building”
the words “or land”.