housingstagecert pam-penang 20120407

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    GUIDELINES ON THE 3rd SCHEDULE OF THESTANDARD SALE & PURCHASE AGREEMENTPAM Continuing Professional Development CPD Seminar

    7th April 2011 PAM Northern Chapter Penang.

    Pertubuhan Akitek Malaysia

    Ar Chan Seong AunM Arch (Distinction), B Arch (Hons), B Bdg Sc (VUW, NZ), APAM, AIPDM, TAM

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    Architects Certification for Stage Completion

    1. Housing Development Act 1966

    2. Schedule-G Landed Properties

    3. Schedule-H Subdivided Buildings

    4. Issuance of CCC Certificate of Completion and Compliance

    Pertubuhan Akitek Malaysia

    5. FAQs Frequently Asked Questions

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    HOUSING DEVELOPMENT ACT1966

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    COMMITTEE MEMBERS OF THE OSCCHAIRMAN : MAYOR / YDPSECRETARY : OSC DIRECTOR / PLANNERMEMBERS AS BELOW

    1. Deputy Mayor

    2. Four Ordinary Members of the Council

    3. Director of State Urban and Town Planning

    Pertubuhan Akitek Malaysia

    . rec or o nera an an

    5. Land Administrator

    6. Director of Public Works

    7. Director of Department of Drainage and Irrigation

    8. Director of Department of Environment

    9. Director of Department of Fire Fighter and Life Saving

    Pertubuhan Akitek Malaysia

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    10. Director of Department of Sewage Services 11. Manager of Tenaga Nasional Berhad

    12. Manager of Telekom Malaysia Berhad

    13. Manager of Department of Planning

    14. Manager of Department of Building

    15. Manager of Department of Engineering

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    16. Manager of Department of Landscape

    17. Manager of Department of Health

    18. Technical Departments that are related are invited

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek Malaysia

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    Laws Controlling the HousingDevelopment Process

    National Land Code (Act 56) 1965

    Town & Country Planning Act

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    , ,

    Sewerage Services Act

    Street, Drainage & Building Act (Act 133), 1974

    Uniform Building By-Laws 1984

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    Housing Developers (Control and Licensing) Act 1966 (Act 118)

    Housing Developers (Control and Licensing) Regulations 1989

    Housing Developers (Housing Development Account)

    Regulations 1991

    Housing Developers (Control and Licensing) (Amendment)Act 2002

    Housing Developers (Control and Licensing) (Amendment)Regulations 2002

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Housing Developers (Housing Development Account)(Amendment) Regulations 2002

    Strata Titles Act 1985 (ACT 318)

    Strata Titles (Federal Territory of Kuala Lumpur) Rules 1988

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    Part I defines what is housing development more than 4 lots

    Part II requires Developers to be licensed and minimum paid up capitalPart III defines the basic duties of a housing developer including the opening and

    maintenance of the Housing Development Account

    Part IV Investigation and enforcement

    Principal HDA 1966

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Section 13A Controller to report the conduct of and Architect or Engineer

    Part VI Tribunal for Home Buyers Claims

    Part VII Miscellaneous covers fines for offences and liability of directors, managersand other officers

    Section 24 empowers the Minister to make regulations

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    Housing DevelopmentAct 1966

    Housing DevTribunal for

    House Buyers

    Housing Dev

    Regulation

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Reg 2002

    Strata Titles Act1985

    1989

    Strata Titles Act2007

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    Regulation 11 standard contract of sale required that the StandardSales and Purchase Agreement (Schedule G & H) must be used.

    Schedule-G Standard Sale and Purchase Agreement for land and

    buildingClause 4 Schedule of Payment

    Part 1 Installment payments in the time and manner set out in ThirdSchedule of the SPA

    Housing Development Regulations 1989

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Part 2 Notice to purchaser supported by certificate signed by vendorsArchitect or Engineer and this shall be sufficient proof of completion

    Clause 13 Position and area of the lot

    Part 2 states Vendor may claim up to maximum 2% deviations.

    Part 4 No alterations are allowedClause 14 Materials and workmanship to conform to description

    Building to be constructed in a good workmanlike manner

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    Clause 15 Restriction against variation by purchaser.

    Until after CCC/CFO

    Clause 16 Restriction against change of colour schemeClause 21 Compliance with written laws.

    Architect has to ensure compliance with UBBL and Street DrainageBuilding Act

    Housing Development Regulations 1989

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Clause 19 New laws affecting housing developmentDeveloper to absorb any additional costs

    Clause 19 Time for handing over of vacant possession

    24 months for landed property

    Clause 21 Manner of delivery of vacant possession

    Clause 20 Defects liability period

    24 months from date of handing over vacant possession.

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    Note

    Building description as set out in Fourth Schedule - the

    specifications of finishes, fixtures and fittingsApproved building plans as in Second Schedule Keydocument is the approved building plans

    Housing Development Regulations 1989

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    o c anges or ev a ons w ou e wr en consen othe purchaser except as required by appropriate authority

    If changes or deviations involve the substitution or use ofcheaper materials or omission of works, purchaser is

    entitled to corresponding reduction in price or damages

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    Further References

    Copies of the Housing Development (Control & Licensing ) Actscan be found at the following websites

    www.rehda.org.my

    www.hba.org.my

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Relevant Lembaga Arkitek Malaysia circulars:

    General Circular 1/2008 (CCC)

    General Circular 1/2010 (Borang-F1)

    General Circular 3/2008 (Stage Cert Guide AFTER 1-12-07)

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    Major amendments to the Act on1st December 2002

    Section 2(1)(a) Includes cooperative societies such as PKNS, etc

    Section 8A Statutory Termination of S&P Agreement Works notstarted after 6 months & >75% Purchasers agree to terminate

    Section 13A Controller can report unsatisfactory conduct of

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    rc tect or ng neer rect y to t e r respect ve oar s

    Section 16(a) 16(I) Tribunal for House buyers Claims Claims upto RM 25,000. Decision of Tribunal to be final. Criminal penalty forfailure to comply

    Third Schedule Stage 2(f) changed to 2(f), (g),(h) for sewerage,drains and roads.

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    Major amendments to the Act on17th April 2007

    Section 24 Delivey of VP changed from after COF application

    is accepted by Local Authority to issuance of CCC by PrincipalSubmitting Person

    Section 25 DLP has been extended from 18 to 24

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    applies to walls only, the internal & external finishes have tobe completed. This would include, the painting of walls andthe floor finishes and the building would be almost completedbefore Architects can certify for completion of this

    Fourth schedule - Fencing and turfing is now optional under the

    new amendment. Internal telephone trunking and cabling is notoptional

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    Core Reasons These LawsWere Passed.

    The key reason for the Housing

    Developers Licensing Act is to protectthe rights of the purchaser.

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    The key objective of the Uniform Buildingby-Laws is the protection of publicsafety and health.

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    Preparing for Certification

    Check to whether the project is within the COF or

    CCC version of the Housing Developers Act. If BPapproval condition is COF, then apply for COF anduse Circular 4/2003

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    ec e e a s o e greemen s o ensurecompliance with approved building plans andcontract documents, especially dimensions, floorareas and description of finishes.

    Check against Lembaga Arkitek Malaysia Circulars1/2008, 2/2010 & 4/2003 or 3/2008

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    H U IN ERTIFI ATI NSCHEDULE-G LANDED PROPERTIES

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    Stages of Certification Schedule-GLanded Properties

    STAGE WORKS TO BECOMPLETED WORKS NEED NOT BECOMPLETED

    2(a) The

    foundation and

    Foundation works below

    lowest floor level

    Retaining wall if it is not

    art of the foundation

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    footing works ofthe said Building

    10%

    Piling & PilecapsRaft SlabFootingStumps

    BackfillingLowest floor slab NOTpart of the foundationGround BeamsServices

    C&S Engineer is to certify completion and compliance of structural

    components before Architects Certification

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    STAGE 2(a) QUESTION

    C&S Engineer has confirmed completion of the foundation works. Based onthe Engineers letter the Architect has certified completion of Stage 2(a)even though the stumps have not been completed. This is a mistake by theEngineer. Will the Architect still be held responsible?

    YES. LAM can only hold the Architect responsible. LAM can not hold the

    Engineer responsible no more than LAM can hold the Architects staffresponsible for any mistakes made by them.

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    The Engineer may be disciplined later by LJM but the Architect is notabsolved of the responsibility of checking for the completion of the works.

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    STAGE WORKS TO BECOMPLETED

    WORKS NEED NOT BECOMPLETED

    2(b) The

    Reinforced

    concreteframework of thesaid building

    15%

    All Primary RC

    structural elements above

    lowest floor levelBeams, Columns &suspended slabsRoof Beams

    Non-structural ground

    floor slabs w or w/o BRC

    StiffenersLintolsNon-structural RCHoods, aprons, gutters,

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Retaining walls formingpart of the structure

    RC staircasesRC walls not part of theframe

    Formworks do NOT need to be removed

    Roof beams must be completed

    C&S Engineer is to certify completion and compliance of structural

    components before Architects Certification

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    If the roof structure doe not have sloping RC beams as in this structure,then the RC structure has been completed and stage 2(b) certificate can beissued. If however there is a sloping RC roof beam, then this beam must be

    cast before RC structure can be considered to be completed.

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    STAGE 2(b) QUESTION

    The RC frame of a bungalow project has been completed. A week later thefirst floor beams observed to have some structural cracks. Engineer issuesadditional structural drawings.

    Can the stage 2(b) certificate be issued prior to the completion of the

    additional works / rectification works?

    If the Architect has been kept informed about the status of the structural

    works it is obvious that the structural works had NOT been satisfactoril

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    completed. NO certificate under stage 2(b) can therefore be issued.

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(c) Walls of thesaid Building withwith Door &

    Window Framesplaced in position

    10%

    Non-structural wallsAll Party Walls includingStiffeners

    TIMBER Door &Window FramesFRAMEWORK forPartitioning excluding

    Metal FramesDoor leavesWindow Panels

    Window LouvresParapet wallsTimber door & windowframes where sub-

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Boundary wallsFence WallsClosing up of

    construction openings

    The above is for Circular 3/2008

    Although metal window frames need not be installed at this stage,Architects often face complaints and queries from Purchasers

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(d) Roofing,Electrical wiring,plumbing,gas

    piping, internaltelephone

    trunking andcabling to the

    Roof structure, roofing& flashing including carporches

    Electrical wiringWater pipingSanitary piping incl

    Ceiling boardsSwitch BoardsSwitches

    Electrical fixtures &FittingsSanitary & Tap fixtures& Fittings

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    10%

    Gas pipingTelephone trunking

    Water tanksRain water down pipesGuttersWindow Hoods

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(e) Internal &ExternalPlastering of the

    said Building

    10%

    All plastering to walls,soffits, slabs, beams,columns where specified

    Wall tilesLinings, boards and

    panels to framedpartitions

    Floor screeding andfloor finishesPainting and other

    finishes except wall tilesClosing up of temporary

    construction openingsTiling or plastering to

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Ceiling to water tankarea

    The above is for Circular 4/2003

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    STAGE 2(e) QUESTION

    Wall tiling is not included in the S&P wording why does the LAMguideline specifically only tiling. What about other forms of tiling like marble,stone, etc. and other new wall finishing materials?

    The LAM guidelines were formulated to reduce uncertainty for Architects intheir certification. Since the wall tiles are normally installed to replace the

    plastering, it would be logical that these must also be completed along withthe plastering. The same would apply for any marble, stone and new

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    finishes that replace the plastering.

    Note that wall paper, spray tiles, etc which replace painting are not includein this phase as they do not replace the plastering but are applied on top ofit.

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(e) Internal &External Finishesof the said

    Building includingthe wall finishes

    10%

    All plastering to walls,soffits, slabs, beams,columns where specified

    Wall tiles & Other wallfinishesLinings, boards andpanels to framed

    Closing up of temporaryconstruction openingsDoor & Window panels

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Floor screeding & otherfloor finishesPainting to internal &

    external Walls Floors &Ceiling

    The above is for Circular 1/2008

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    Pertubuhan Akitek Malaysia

    Under the CCC system, ALL Building works have to be completedunder stage 2(e) except external works

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(f) Sewerageworks serving thesaid building

    5%

    Sewerage reticulationconnected toCompleted Sewage

    Treatment Plant temp orPermanent approved by

    the relevant authority

    Testing &commissioningWater & electricity

    connection

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Sewer Treatment Plant may be Permanent or Temporary

    Sewer line must be connected to last manhole

    Last Manhole must be completed. Inspection Chambers need NOT becompleted

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(g) Drainsserving the saidbuilding

    5%

    Drains & Main Drainsconnected to outfall

    Metal gratings & draincovers

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Alignment of drains and outfall may be Permanent or Temporary asapproved by JPS or relevant Local Authority

    Perimeter drains serving the said building

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(h) Roadsserving the saidbuilding

    Paved Road leading tobuilding from existingroad

    Permanent roadsaround the buildingEntrance culvert servingthe said building

    FootpathsRoadside tablesFinal wearing course to

    pre-mixed roadsRoad markingsRoad signages

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    Alignment of Roads may be Permanent or Temporary access asapproved by Local Authorities

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    H U IN ERTIFI ATI NSCHEDULE-H STRATA PROPERTIES

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    STAGE 2(a) QUESTION

    The development consists of 4 wings of apartments interlinked to commonservice cores. Do the works below ground level of all 4 wings have to becompleted before we certify for stage 2(a) or can they be certified on a wingby wing basis.

    If the 4 wings are structurally independent and they have been defined as

    4 independent buildings / blocks they can be certified on a building bybuilding basis. If however they all sit on a common structural podium and

    Pertubuhan Akitek Malaysia

    is one integral structure, then the whole podium foundation must be

    completed for certification for stage 2(a)

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    Pertubuhan Akitek Malaysia

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    Pertubuhan Akitek Malaysia

    Shear walls form part of the primary

    RC structure and must be completedunder stage 2(b)

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    Pertubuhan Akitek Malaysia

    Ground, 1st, 2nd and 3rd floor can be certified under stage 2(b)

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    Walls required for

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    Walls required forconstruction access need

    NOT be completed for stage2(c)

    Pertubuhan Akitek Malaysia

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(d)Roofing/Ceiling,Electrical wiring,

    plumbing,gaspiping, internal

    telephonetrunking and

    Roof structure, roofing& flashing, orFloor slab soffits &

    ceiling framing of the saidparcel

    Electrical wiring within

    Ceiling boardsSwitch BoardsSwitchesElectrical fixtures &FittingsSanitary & Tap fixtures& Fittings

    Pertubuhan Akitek Malaysia

    said parcel10%

    Water piping withinparcel

    Sanitary piping within

    parcelGas piping within parcel

    Telephone trunking &cabling within parcel

    Water tanksRain water down pipesGuttersWindow hoods

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    Pertubuhan Akitek Malaysia

    1st floor has been completed to stage 2(d) if services are complete

    STAGE WORKS TO BE WORKS NEED NOT BE

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(e) Internal &External Finishesof the said parcel

    including the wallfinishes

    10%

    All pastering to walls,soffits, slabs, beams,columns where specified

    Wall tiles & other wallfinishesLinings, boards andpanels to framed

    Closing up of temporaryconstruction openingsDoor & window panels

    Pertubuhan Akitek Malaysia

    Floor screeding and/orother floor finishes

    Painting to internal &

    external walls, floors andceilings (if any)

    STAGE WORKS TO BE WORKS NEED NOT BE

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(f) Sewerageworks serving thesaid building

    5%

    Sewerage worksincluding manholes fromthe building containing

    the said parcel connectedto a completed sewerage

    treatment system ( Thetreatment system may be

    Testing &commissioningWater & electricity

    connectionRefer page 18/18 of

    circular

    Pertubuhan Akitek Malaysia

    as approved by therelevant authority)

    Sewer Treatment Plant may be Permanent or Temporary

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    STAGE WORKS TO BE WORKS NEED NOT BE

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(g) Drainsserving the saidbuilding

    5%

    Drains & Main Drainsconnected to outfall(The alignment of drains

    and outfall may bePermanent or Temporary

    as approved by the localauthority)

    Metal gratings & draincovers

    Pertubuhan Akitek Malaysia

    Perimeter drains serving the said building must be completed

    STAGE WORKS TO BE WORKS NEED NOT BE

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    STAGE WORKS TO BE

    COMPLETED

    WORKS NEED NOT BE

    COMPLETED

    2(h) Roadsserving the saidbuilding

    Paved Road leading tobuilding containing thesaid parcel from an

    existing road.(Thealignment of Roads may

    be Permanent orTemporary access as

    FootpathsRoadside tabletsFinal wearing course to

    pre-mixed roadsRoad markingsRoad signages

    Pertubuhan Akitek Malaysia

    Authorities)Permanent roadsaround the building

    containing the said parcelEntrance culvert serving

    the buildingKerbs

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    Pertubuhan Akitek Malaysia

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    Pertubuhan Akitek Malaysia

    Vacant possession can not

    be issued yet as the bulkmeter has not been installedyet

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    CCCCERTIFICATE OF COMPLETION & COMPLIANCE

    4 1 ISSUANCE OF CCC

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    CCC can only be issued by the Principal Submitting Person (PSP) after thefollowing have been secured:

    1. All the certifications by the respective parties (professionals, contractorsand licensed tradesmen) based on the prescribed Form Gs under theMatrix of Responsibility (Forms G1 G21); and

    4.1 ISSUANCE OF CCC

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    2. Clearances from the following authorities :Tenaga Nasional Berhad (TNB)

    Water Authority

    Sewerage Services Department (JPP)

    Fire and Rescue Department (except for residential buildings of not morethan 18 meters high)

    Department of Safety and Health (where applicable),

    Relevant authorities/Public Works on Roads and Drainage.

    ISSUANCE OF CCC

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    The local authorities still maintain their rights and power to enter the siteduring construction and issue an order to stop the issuance of CCC by thePSP if the construction on site is found to have breached the approved

    building plans and/or against the provision of UBBL or conditions of buildingplans approval on health and safety issues until such time the fault is

    corrected.

    The issuance of CCC is restricted to onl technical issues concernin

    ISSUANCE OF CCC

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    health, safety and essential services. The non-technical issues such as

    bumiputra quota, low cost provision and contribution for public facilities etcare outside the purview of PSP and will have to be resolved between theOwner and the Local Authorities at the planning and building plans approvalstage or via other mechanism.

    There will be only CCC (Form F) and Partial CCC (Form F1). There will be NO

    Temporary CCC similar to Temporary CF.

    The issuance of CCC will only apply to projects in which building plans aresubmitted after CCC came into force.

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    4.2 BUILDING QUALITY AND CCC

    Can Architects issue the CCC whenthere are still outstanding defects?

    Pertubuhan Akitek Malaysia

    Can an Architect decide that a minordefect is acceptable under the Standard

    S&P?

    Contractual relationship of parties inHousing Sell then Build

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    ARCHITECT

    HOUSE BUYER

    TRIBUNAL

    Housing Sell then Build

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    CONTRACTORHOUSING

    DEVELOPER

    HOUSE

    BUYER

    STDSPA

    PAM

    CONTRACT

    STANDARD SALES & PURCHASE AGREEMENT FOR HOUSING

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    S S S & U C S G O OUS G

    Clause (14) Materials and Workmanship to Conform to Description states

    .shall be constructed in a good and workmanlike manner in accordance

    with the description set out in the Fourth Schedule and in accordancewith theplans approved by the Appropriate Authority

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    The approved Building Plan is a very important point of reference

    as far as quality is concernedThe Architect does not have the powers under the standard S&P to

    make the final decision regarding quality - Tribunal for House has that

    power

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    CERTIFICATE OF COMPLETION & COMPLIANCE

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    Why BCA issue Temporary Occupation Permit (TOP) whereworkmanship is poor?

    The TOP signifies that the completed building works have complied

    with the provisions of the building regulation, which focus primarilyon human safety, and with the requirements of the various technicalauthorities, so that the completed building can be occupied.

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    However, TOP does not ensure that materials have beenaccordance to the Sale & Purchase (S&P) agreement or quality ofworks as promised in sales document. These disputes should bebrought directly to and resolved with the developer.

    PAM 98 CONTRACT

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    Quality standards in Architectural components cannot yet be definedabsolutely and requires the discretion of the Architect. The PAM98contract also empowers the Architect to make the final decisionon quality with reasonable discretion.

    The powers of the Architect however are not absolute, as theContractor can refer any matter in the contract including quality

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    . ..matter or thing left by this contract to the discretion of the Architect.

    Under the PAM form of Contract therefore the Architect decideswhether the quality of works are acceptable and NOT theEmployer

    PAM 2006 CONTRACT

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    Quality standards in Architectural components cannot yet be definedabsolutely and requires the discretion of the Architect. The PAM2006contract also empowers the Architect to make the final decisionon quality but refers more to the Contract in clause 6.1 shall

    be to the respective quality and standard described in thecontract document and required by the Architect.

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    ,Contractor can refer any matter in the contract including quality

    matters to arbitration as outlined in clause 34.5(b) .. any matter leftby the contract to the discretion of the Architect.

    Under the PAM 2006 form of Contract also the Architect

    decides whether the quality of works are acceptable and NOTthe Employer but quality shall be as described in the contract

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    %

    %

    %

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    %

    %

    %

    %

    %

    Inspection Checklist for Clerk of Works

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    A comprehensive QCchecklist ensures worksa properly completed forevery stage of works.

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    CONDITIONS TO BE COMPLIED BEFORE VACANT

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    POSSESSION CAN BE GIVEN1. Architect has issued CCC - Certificate of Completion and

    Compliance

    2. Water and electricity supply is ready for connection

    3. Purchaser has paid all monies due under clause 4(1) inaccordance with the 3rd schedule

    4. Purchaser has performed and observed all terms and convenants

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    on his part under the S&P

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    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    FAFREQUENTLY ASKED QUESTIONS

    5.1WHAT ARE THE MOST COMMON HOUSE

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    WHAT ARE THE MOST COMMON HOUSEBUYER COMPLAINS ?

    Late Delivery

    Non- payment of compensation for late

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    delivery

    Defective workmanship & constructionquality

    Non-conformance to approved plans

    Number Of Complaints Received by States by Types For Year 2000

    No. Types Of Complaints/States

    SGR PLS P.P PRK KED N.S MEL JOH W.P KEL TRG PHG TOTAL

    1. Defective Workmanship 82 0 26 12 1414

    7 18 28 0 011 212

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    2. Compensation 124 0 28 14 6 4 0 0 60 0 1 10 247

    3. Payment 20 0 15 6 4 8 9 7 23 0 0 0 92

    4. CFO 47 0 4 3 1 1 0 1 26 2 1 9 95

    5. Late Delivery Of Houses 97 0 38 24 1524

    14 24 83 12 116 348

    6. Interest 40 0 4 1 3 14 5 17 9 0 1 4 98

    7. Not Conforming To Plan 14 0 10 6 1 0 1 3 98 0 0 2 135

    8. Service 20 0 17 5 2 4 2 3 51 4 2 3 113

    Pertubuhan Akitek MalaysiaPertubuhan Akitek Malaysia

    9. Cheating 2 0 1 3 1 2 0 0 8 0 0 0 17

    10. Deposit/Ownership 21 1 5 2 11

    4 4 13 0 02 54

    11. Infrastructure 0 0 3 0 01

    0 0 1 0 01 6

    12. Contravene Act/Regulations 12 0 15 7 9 2 0 1 9 1 0 2 58

    13. Others 177 1 50 27 159

    0 5 32 4 325 348

    Total656 2 216 110 72

    8442 83 441 23 9

    85 1823

    5.2EOT UNDER HDA CLAUSE 32

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    EOT UNDER HDA CLAUSE 32

    Are Developers entitled to request forwaiver of interest on late delivery if their

    Pertubuhan Akitek Malaysia

    shortage of materials for construction?

    SEA Housing Sdn Bhd vs Lee Poh Choo[1982](2 MLJ 31) i hi h h h

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    [1982](2 MLJ 31) in which the purchasersued the developer for breach of contract

    and for delivery of the title to a house hehad purchased. The property in questionwas com leted after 23 months instead

    Pertubuhan Akitek Malaysia

    of 18 months as stated in the SPA

    The developer relied on Clause 32 of the

    agreement which purported to exempt it if

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    agreement, which purported to exempt it ifnon-fulfillment of any term was caused bycircumstances beyond its control. The High

    Court trial judge held that the 1966 Act andthe 1970 Rules were passed by the

    Pertubuhan Akitek Malaysia

    public and the developer could not contractout of the Rules. The developer's appeal tothe Federal Court was dismissed. To datethere have been no cases whereDevelopers have been exempted for latedelivery penalties.

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    5.3CAN A DEVELOPER JUST PASS THE

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    The Contractor and House Buyer have NO

    CAN A DEVELOPER JUST PASS THEHOUSE BUYER DEFECTS LIST TO THE

    CONTRACTOR ?

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    direct contractual relationship.

    Contractors are therefore NOT obliged totake instructions from house buyersabout their defects complains

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    MANAGING CHANGES & UNCERTAINTY

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    MORALETHICAL

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    STUTATORY

    REQUIREMENTS CONTRACTURALISSUES

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    5.5 NON-COMFORMANCE TO APPROVED PLANS

    What if the parcel height is constructed less than that shown in thed B ildi Pl ? C h P h NOT h ?

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    p gapproved Building Plan? Can the Purchaser NOT accept the apartment?

    Clause 11(1) of the S&P allows for errors in position and area of the parceland states The position. Measurement, boundaries and area of the saidparcel as given are believed but not guaranteed to be correct and if its

    measurement, boundaries and area as shown in the Building Plan shall bedifferent from that shown in the strata title when issued, the purchase price

    Pertubuhan Akitek Malaysia

    of the said parcel calculated at the rate stipulated in section 6 of the fifthschedule shall be adjusted accordingly.

    Based on this clause, the Purchaser is entitled to pro rata compensationand according to clause 11(2) Any payment resulting from the adjustment

    and required to be paid by the party concerned shall be so paid within 14

    days of the issue of the strata title.

    Housing Complains Against ArchitectsSource : Lembaga Arkitek Malaysia

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    TYPE 1999 2000 2001 2002 2003 2004 2005 TOTAL %Certification 32 14 9 17 8 16 12 108 53%

    Defects 5 9 4 2 2 4 0 26 13%

    Supplanting 1 3 0 1 0 2 0 7 3%

    Delay in Obtaining CFO 5 0 0 0 0 0 1 6 3%

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    Collabration with

    NonRegistered Person 1 0 0 0 0 0 0 1 0%

    Non-approved Practice 0 0 0 0 0 0 0 0 0%Unprofessional Conduct 4 4 4 8 9 12 14 55 27%

    TOTAL 48 30 17 28 19 34 27 203 100%

    Housing Complains Against Architects1999-2005Source : Lembaga Arkitek Malaysia

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    Unprofess ional Conduct

    27%

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    Certification

    54%

    Defects

    13%

    Supplanting

    3%

    Delay in Obtaining CFO

    3%

    Collabration with NonRegistered

    Person

    0%

    Non-approved Practice

    0%

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    THANK YOU

    Pertubuhan Akitek Malaysia

    Q&[email protected]