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Home / Malaysia Real Estate Law / Buy/Sell a House, Landlord/Tenant, Mortgage & Commercial Matters
Section 22(D)(4) of the "The Housing Development (Control and Licensing) (Amendment) Act 2007"

I have bought a unit of shop-office located in 3rd floor from a housing developer at Bandar Baru Klang at total consideration of RM187,000 in the year of 2003, which the Strata-title of the property hasn't been issued. Recently, due to some financial difficulties, I need to sub-sell this shop-office unit to another purchaser. Subsequently, the developer sent me a letter request me to pay an administation fee of RM3,740.00 (which equivalent to 2% of RM187,000) before they can proceed on to issue out the consent letter.

According to “The Housing Development (Control and Licensing) (Amendment) Act 2007”, Section 22(D)(4) states that the purchaser or his financier or their respective solicitors may request for the necessary confirmation from the developer, subject to payment of a fee not exceeding RM50 for every request for confirmation. Previously, it has been a normal practice to require the vendor to apply for the developer’s consent, at the vendor’s own cost and expense, and the developer’s administrative fee usually includes the replies or confirmations made to the relevant solicitors. Section 22(D)(4) provides that the purchaser should pay the RM50.00 for every request made. Shouldn’t the vendor be paying for this?

Please advice me whether the Section 22(D)(4) apply to shop-office which is commercial in nature. I await your reply urgently. Thank you in advance for your helpful advice.
09 Jul, 2009 09:02:00

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