Malaysia legislation

Section 5

of CONTROL OF RENT ACT 1966

Section 5

(c)

premises which are vested in or acquired by or on behalf of any Municipality for the purposes of the Municipal Ordinance of the Straits Settlements in force in the States of Malacca and Penang and as extended to apply to the other States by virtue of the Municipal Ordinance (Extended Application) Ordinance 1948;

(a)

by an agreement in writing between the landlord and the tenant of such premises; or

(d)

furnished premises let at a rental which includes board; and

(e)

premises which cease to be controlled premises by virtue of section 24.

(b)

in the absence of such agreement, by a decision of a Rent Officer for the area in which such premises is situated provided that such decision is accepted by both parties; or

(c)

if such decision is not accepted by either party, by an order of the Tribunal.

(2)

The amount of the fair rent of any controlled premises shall be, in the case where it is determined by an agreement between the landlord and the tenant, such sum as may be agreed upon between them; and in the case where it is determined by the decision of a Rent Officer such amount as may be fixed by him provided that the same is accepted by both parties; and in the case where it is determined by the order of the Tribunal, such sum as the Tribunal may consider reasonable.

Provided that the amount of the fair rent per mensem of any controlled premises shall not in any case exceed—

(a)

one-twelfth of the annual value of the controlled premises; or

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Act 363

(b)

the amount of the rent per mensem of the controlled premises immediately before the commencement of this Act together with an increase of 100 per centum thereof, whichever is the lesser.

In this subsection "annual value" has the meaning assigned to it in the written laws in force with respect to local authorities.

(3)

In the case of any controlled premises or part thereof which has been sublet by the tenant, subject to section 20 (4) and (5), the fair rent of any part to sublet or (in the case of such subtenancy having become jointtenancy by virtue of notification under section 20 (2)) the part held by a joint-tenant shall be such amount as bears the same proportion to the fair rent of the whole premises as the area of such part bears to the area of the whole premises; and in determining the fair rent of such part, the parties, the Rent Officer or the Tribunal, as the case may be, shall have regard to the accessibility and amenities of such part to the extent to which the use of any accommodation is shared by the tenant with any other person, including the landlord, and to any other circumstances which may be considered material towards determining the fair rent of such part.

In this subsection the expression "parties" shall in the case of subtenancy mean the tenant and his subtenants and in the case of joint-tenancy the landlord and his joint tenants.

(4)

Where any controlled premises are let furnished, unless otherwise determined by the Tribunal, the fair rent of such controlled premises and furniture shall be a sum not exceeding the combined amount of the fair rent of such controlled premises unfurnished and—

(a)

fifty per centum of such fair rent; or

(b)

a monthly rental to be assessed at one-sixtieth of the true value of the furniture at the date of the commencement of the tenancy, whichever shall be the less.