#self-regulation...ankit r sanghvi dear readers, tan poh yee we have entered the blessed month of...

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| A MONTHLY NEWSLETTER BY HALIM HONG & QUEK | VOLUME 3 | ISSUE NO.4 | APRIL-MAY 2020 | INSIDE THIS ISSUE MCO: IS THERE A ‘WAY OUT’ FOR HOUSING DEVELOPERS & HOMEBUYERS STIMULUS PACKAGE FOR SMEs: FURTHER MEASURES & INITIATIVES CONDITIONAL MCO: NORMALISING THE NEW NORM COVID-19 AS AN OCCUPATIONAL DISEASE hhq.com.my FREE Publication Publication Permit PP19508/08/2019(035103) #NewNorm #NormaBaharu #KitaJagaKita #KitaMestiMenang #InThisTogether #SOCIAL DISTANCING #Self-Regulation

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Page 1: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

|

A MONTHLY NEWSLETTER BY HALIM HONG & QUEK

| VOLUME 3 | ISSUE NO.4 | APRIL-MAY 2020 |

\

INSIDE THIS ISSUE

MCO: IS THERE A ‘WAY OUT’ FOR HOUSING DEVELOPERS & HOMEBUYERS STIMULUS PACKAGE FOR SMEs: FURTHER MEASURES & INITIATIVES CONDITIONAL MCO: NORMALISING THE NEW NORM COVID-19 AS AN OCCUPATIONAL DISEASE

hhq.com.my

FREE Publication

Publication Permit PP19508/08/2019(035103)

#NewNorm

#NormaBaharu

#KitaJagaKita

#KitaMestiMenang

#InThisTogether

#SOCIAL DISTANCING

#Self-Regulation

Page 2: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

From the Editor …

Dear Readers,

We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month, Malaysia is gradually beginning to show some early signs of recovery from Covid-19. Yes, recovery is indeed a comforting word to hear in the current crisis. It is a blessing. After almost two months of resolute and nationwide quarantine, the Malaysian government has decided to recover and revive its economy by allowing almost all economic sectors to resume work on 4th May. Through a Conditional Movement Control Order, the government is seeking to normalise a ‘new norm’ where people and business entities are required to conduct their daily lives and activities by regularly taking care of their personal hygiene and observing social distancing. Through concerted understanding and conscious efforts from every individual, may this new normal of social distancing weave a strong unseen bond of togetherness amongst us and bless us with the ultimate goal of complete recovery. Till our next Issue,

Wish you a blessed

NEW NORM …

NEW MOMENTUM

Socially distanced,

Kashmir Harbans Singh Editor-in-Chief

| VOLUME 3 | ISSUE NO. 4 | APRIL - MAY 2020 |

is a monthly newsletter published by Halim Hong & Quek (HHQ)

It is distributed for free and can be read on HHQ’s website - https://hhq.com.my/ All articles in this publication are intended to provide a summary or review of the subject matter and are not intended to be nor should it be relied upon as a substitute for legal or any other professional advice.

EDITORIAL TEAM CHONG LEE HUI

ANKIT R SANGHVI

TAN POH YEE

LIM YOKE WAH

LOW KHYE YEN

GOH LI FEI

WILLIAM LIM WEI LIE

KELVIN KOAY ZHI SHERN

LEE PEI YING

DESIGN & LAYOUT KASHMIR HARBANS SINGH

CIRCULATION

MAIZATUL AKMAL

MAVIS TAN

SUBSCRIPTION

[email protected]

FOLLOW US, / Halim Hong & Quek/

KUALA LUMPUR OFFICE OFFICE SUITE 19-21-1, LEVEL 21, WISMA UOA CENTRE, 19, JALAN PINANG, 50450 KUALA LUMPUR. T +603 2710 3818 F +603 2710 3820 (Corporate & Real Estate) +603 2161 3821 (Dispute Resolution) E [email protected]

PENANG OFFICE C-11-2, LORONG BAYAN INDAH 3, BAY AVENUE, 11900 BAYAN LEPAS, PULAU PINANG. T +604 640 6818 T +604 640 6817 F +604 640 6819 E [email protected]

JOHOR OFFICE A-2-23 & A-3-23, BLOCK A, PUSAT KOMERSIAL BAYU TASIK, PERSIARAN SOUTHKEY 1, 80150 JOHOR BAHRU, JOHOR. T +607 300 8101 T +607 289 7366 F +607 300 8100 E [email protected]

Page 3: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL - MAY 2020

MCO: IS THERE A ‘WAY OUT’ FOR HOUSING

DEVELOPERS & HOMEBUYERS ?

As the COVID-19 pandemic continues to rampage the world, the

Malaysian Government had implemented a series of Movement

Control Orders (MCO), in the attempt to flatten the infection curve.

Since the inception of the MCO, only certain essential services are

allowed to operate during the MCO period. At the initial phases of the

MCO, property development did not fall into the category of ‘essential

service’, and as such property developers were prohibited from

carrying out construction works, save for critical works as properly

defined by the Human Resources Ministry and subject to the approval

of Occupational Safety and Health Department (DOSH).

Unavoidably, the implementation of MCO has significantly affected

many developers and homebuyers. In this article, we set out the

potential issues which are faced by these parties due to the MCO:

The halt in construction work:

As mentioned above, the progress of

construction works is gravely impacted by

the MCO as most construction works must

come to a halt. It follows naturally then that

architects are not able to certify progress of

construction stages.

Pursuant to Housing Development (Control

and Licensing) Act 1966 (HDA 1966),

housing developers must complete their

respective developments and deliver vacant

possession within the timeframe stipulated

under Clause 25 of Schedule H and Clause

24 of Schedule G.

In the event that a developer fails to deliver

vacant possession within the time stipulated

in the statutory agreements, the developer

shall be liable to pay a purchaser, 10% per

annum of purchase price from the expiry date

of the delivery of vacant possession until the

date the purchaser takes vacant possession of

the said property.

Implementation of the MCO has also brought

about a peculiar situation whereby

developers are able to issue ‘notice of

delivery vacant possession’ for completed

projects and even able to serve the said notice

to purchasers by way of registered post

(postal service being an essential service).

However, the actual, physical delivery of

vacant possession is rendered temporarily

impossible by the MCO.

Progressive payments:

Further, in situations where progressive

billing have been issued by developers to

purchasers or their end financier, there may

be difficulty for the latter to make payment

within the stipulated time as most of legal

firms and related entities are not fully in

operation and not able to advise banks for the

required drawdown.

Inevitably, this gives rise to delay and if

developers choose to impose late payment

interest on purchasers during this period, it is

unfair and may be challenged.

Obstacles for Homebuyers:

Purchasers may, for some practical reasons,

potentially face difficulty in executing sale

and purchase agreements (SPA) or loan

agreements within the stipulated time due to

the MCO.

Some purchasers may have to pay additional

progressive interest to banks due to the

prolonged period of construction of the

housing development. Currently, the

Malaysian Government and its Housing

Ministry are yet to address these issues in

detail. Due to the potential challenges to be

faced by both ends, i.e. housing developers

and purchasers, we propose some

suggestions:

An exemption or extension of time

It is suggested that an extension of time is

sought from the Housing Ministry for the

temporary suspension of performance or

duties of developers and purchasers as in the

SPA. In the recent case of Ang Ming Lee &

Ors. v Menteri Kesejahteraan Bandar,

Perumahan dan Kerajaan Tempatan & Anor

(2019) , the Federal Court clarified that the

Minister of the Housing Minister is

empowered to waive or modify provisions in

prescribed statutory SPA and/or to grant any

extension to developers for completion of

their respective developments.

Force Majeure: Not an option

On the other hand, Schedule H and G of the

HDA 1966 does not provide for an

exemption clause or force majeure clause

which can be relied upon by both developers

and purchasers at present. In the seminal case

of S.E.A. Housing Corp Sdn Bhd v. Lee Poh

Choo (1982) , Federal Court has long decided

that a force majeure defence does not apply

to SPAs under the Housing Development

Act. In other words, developers cannot rely

on the defence of force majeure to obtain an

extension of time for their development

projects.

A Covid-19 Bill : a desirable ‘way out’?

Notwithstanding the above, the Government

should consider enacting a carte blanche

legislation which will have the effect of

suspending or deferring parties’ duty to

perform their side of the bargain to a

contractual and/or statutory obligation due to

the MCO. A good example is the Singapore

Covid-19 (Temporary Measures) Act 2020.

Such legislation should provide for a

retrospective effect and cover contractual

obligations that are to be performed during or

after the MCO period. Accordingly, the non-

performing party’s obligations should be

suspended and deferred during the MCO

period. The rationale to this is to safeguard

against any unfair outcomes, especially when

parties fail to perform their obligations for

reasons not attributable to them.

In this regard, many complications can be

addressed if our Government chooses to

mirror the Bill of Temporary Relief to

Business tabled by the Singaporean

Government to address issues for those who

are unable to perform their contractual

obligations due to the ongoing pandemic.

.

[UPDATES] COVID-19 & MCO

3

WRITTEN BY:

TEOH JACKLINE, LLB (Hons) Liverpool, CLP

ASSOCIATE (REAL ESTATE)

[email protected]

This write up is intended to provide an update of the subject

matter & is not intended to be nor should it be relied upon

as a substitute for legal or any other professional advice.

Page 4: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL-MAY 2020

PRIHATIN PACKAGE FOR SMEs: ADDITIONAL MEASURES & INITIATIVES TO SUPPORT BUSINESSES

To cushion the impact of Covid-19, the Malaysian Prime Minister (PM) initially announced a RM250 billion PRIHATIN Rakyat

Economic Stimulus Package (Prihatin Package) on 27th March 2020.

Through the said Prihatin Package, the Central Bank (BNM) enhanced its financing facilities through 5 key additional measures to support

Malaysian Small and Medium Enterprises (SMEs) and individuals:

A RM6.8 billion All Economic Sectors (AES) Facility, with maximum financing rate reduced from 8% to 7% p.a.

Source: https://www.pmo.gov.my/

On 6th April 2020, our PM further announced an additional RM10 billion worth of Prihatin Package for SMEs (Additional Measures)

to help ease the financial burden of SMEs and ensure two-thirds of the workforce in the nation remain employed:

Source: https://www.perkeso.gov.my/

[UPDATES] COVID-19 & MCO

4

Provision of Micro Credit Scheme worth RM700 million in total for soft loans

At a 2% interest rate* (see updated rate below) with no collateral

Loan eligibility relaxed to a minimum of 6 months of operation

Maximum financing amount increased from RM50,000 to RM75,000 for each entrepreneur.

SMEs with business

records of less than 4 years

may leverage the BizMula-

i and BizWanita-i schemes

for financing up to

RM300,000 under the

Credit Guarantee Malaysia

Berhad (CGC).

A RM6.8 billion worth of

All Economic Sectors (AES)

Facility, with maximum

financing rate reduced

from 8% to 7% p.a.

Syarikat Jaminan

Pembiayaan Perniagaan

(SJPP) to provide

RM5 billion worth of

guarantees & with

increased guarantee

coverage from 70% to 80%

for SMEs facing difficulties

in obtaining loans

An enhanced RM5 billion

Special Relief Facility, with

a maximum financing rate

lowered from 3.75% to

3.50% p.a.

Micro-SMEs to receive a special grant of up to RM3,000, upon registration with the Inland Revenue Board

Registered money lenders encouraged to provide moratoriums to SMEs for 6 months

Micro Credit Scheme has a 0% interest rate*, and the soft loan scheme for micro enterprises is extended to

TEKUN Nasional with maximum RM10,000 at 0% interest

Owners of buildings & business spaces that provide rental reduction or waiver to SMEs, to be granted tax

deduction equivalent to amount of rental deduction for April until June 2020.

Expansion of Wage Subsidy Programme

To be eligible, employers must be registered with the Companies Commission of Malaysia (SSM) and the

Malaysian Social Security Organisation (PERKESO) before 1st January 2020. Employers who receive the

following wage subsidies must retain their employees for at least 6 months (i.e. 3 months of subsidy and 3 months

later):

Companies with 75 employees or fewer : RM1,200 wage subsidy per employee

Companies with 76 - 200 employees: RM800 subsidy per employee

Companies with > 200 employees: RM600 subsidy per worker

Page 5: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL-MAY 2020

To further bolster the government’s efforts in easing the burden faced by businesses and the corporate sector, the Companies Commission

of Malaysia (SSM) also introduced SEVEN INITIATIVES on 10th April 2020:

A MORATORIUM OF 30 DAYS FROM THE END OF

MOVEMENT CONTROL ORDER (MCO), TO LODGE ALL

AFFECTED STATUTORY DOCUMENTS WITH SSM. All

companies and limited liability partnerships having obligations to lodge

eligible statutory documents and do not need to apply for the moratorium.

No late lodgment fees will be imposed during the moratorium period

AN EXTENSION OF TIME (EOT) OF THREE MONTHS FOR

COMPANIES TO LODGE THEIR FINANCIAL STATEMENTS

TO SSM. Only companies with a Financial Year End (FYE) beginning

1 September 2019 until 31 December 2019 are entitled to apply for the

EOT. The EOT application may only be made by the Company

Secretary and may contain up to a maximum of 10 applications.

THRESHOLD OF INDEBTEDNESS

UNDER SECTION 466 OF COMPANIES

ACT 2016 INCREASED

FROM RM10,000 TO RM50,000

A company may face a winding up action only

if it reaches a threshold of the indebtedness of

RM50,000. Also, creditors can initiate a

winding up action only if indebtedness exceeds

RM50,000 and 6 months period has expired

from the day the creditors’ notice of demand is

sent to the company.

EXTENSION OF TIME (EOT)

TO RENEW PRACTISING

CERTIFICATE UNDER

SECTION 241 COMPANIES ACT 2016

For EOT, Company Secretaries are required to

comply with the CPE requirements set out in

paragraphs 34 & 35 of the Guidelines Relating

to Practising Certificate (PC) For Secretaries.

The extension of time is applicable to

Practicing Certificate (PC) which expires from

14 March till 31 December 2020. One is

eligible to act as a company secretary based on

the automatic extension of time granted by

SSM.

AN EXTENSION OF TIME OF THREE

MONTHS FOR THE HOLDING OF

ANNUAL GENERAL MEETING (AGM)

Pursuant to Companies Act 2016, it is mandatory

for Public Companies to hold AGM.

Due to the MCO, public companies with FYE

beginning 1 September 2019 until 31 December

2019 can apply for an EOT of a period of 90 days

from the original expiry date for holding their

respective AGMs.

EXEMPTION FROM OBTAINING APPROVAL FOR

SOLICITATION OF DONATION FROM THE PUBLIC

BY COMPANIES LIMITED BY GUARANTEE (CLBG)

CLBGs which have obtained approval from the Inland Revenue

Board Malaysia pursuant to Section 44(6) of the Income Tax Act

1967 are granted exemption until 31st December 2020 for

solicitation of donation from the public for purposes related to

Covid-19.

CLBGs which do not have an approval from the IRB can also

proceed to conduct solicitation of donation activities from the

public for the purpose of Covid-19 pandemic. Such CLBGs must

however make an application to the Minister/Registrar in

accordance with Checklist 6 of CLBG Guidelines within 30 days

after the end of MCO.

EXTENSION OF THE “2020 COMPLIANCE

CAMPAIGN OF THE COMPANIES ACT 2016”

TO 30 JUNE 2020

SSM to provide a maximum 90% reduction rate from the

original value of the compound for common offences under

Companies Act 1965 and Companies Act 2016

Recently, on 29th April 2020, the SSM has further announced additional initiatives to facilitate companies during the MCO, whereby

[1] Companies are now allowed to register a charge, via the online MyCoID system.

[2] For companies that need to update their information in compliance with Section 141 CA 2016, online meetings are accepted

under s.327 CA 2016 provided (i.) all members of company have the opportunity to participate in the meeting including the right

to speak and vote; and (ii.) clear procedures are set to ensure a good governance system is practiced including recording who is

authorised to participate and pass a resolution in the meeting. Source: https://www.ssm.com.my/

WRITTEN BY:

KELVIN KOAY LL. B(Hons) Uni. of London, CLP ASSOCIATE (COMMERCIAL & COMPLIANCE)

[email protected]

[UPDATES] COVID-19 & MCO

5

Infographics on pg. 4-5 are intended to provide summary of the

subject matter & are not intended to be nor should be relied

upon as a substitute for legal or any other professional advice.

Page 6: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL – MAY 2020

CONDITIONAL MCO: NORMALISING THE NEW NORM

:

In its battle against the Covid-19 outbreak, Malaysia has been under Movement Control Order (MCO) since 18 March 2020. To break the chain of

infection of Covid-19 in the nation, the initial phases of the MCO saw the government taking drastic measures of directing the closure of all government

and private premises, save for economic sectors involved in “essential services”1.

Almost two months into the MCO, the Malaysian Prime Minister (PM) in consultation with the Ministry of Health (MOH), has confirmed that the

number of new cases in the nation have dropped significantly and that Malaysia has meet six criteria set by World Health Organization (WHO) in curbing

transmission of the disease by:

Tightening its national borders to prevent positive import of Covid-19 cases

Controlling movement of people to reduce the rate of infection locally

Improving its health facilities capabilities

Caring for at-risk people like the elderly, patients and disabled people

Normalising new practices in the life of people, such as social distancing, the wearing of face masks, etc.

Empowering people living in ‘green zones’ to care for their communities and normalise the practice of new normal.2

In light of this promising developments, the government of Malaysia has decided to allow almost all economic sectors and business activities in the

nation to resume operations starting 4th May 20203 - the Conditional MCO.

In introducing the Conditional MCO, the government emphasised that it intends to restart and recover the nation’s economy, but not at the expense of

curbing the spread of Covid-19. As such, all sectors which are allowed to go back to business must adapt to a ‘new norm’ of managing their operations

by adopting the Standard Operating Procedures (SOP) as stipulated by the government.

This write up is an attempt to summarise General SOPs issued by the Malaysian government, as at 1st May 2020:

PROHIBITED ACTIVITIES LIST: List of activities which are NOT allowed to take place (as justified by MOH):

ENTERTAINMENT &

RECREATION

Cinemas

Karaoke Centres

Theme parks Museum

Busking

Reflexology Centres Entertainment Centres

Night Clubs

CONFERENCES &

EXHIBITIONS

Career Exhibitions Wedding Exhibitions

Travel Promotions & Packages

Sales Carnivals All kinds of Conferences involving

large groups

EDUCATION

All schools & public and private

Higher Education

Sports & any face-to-face Curriculum activities

School assemblies

Any event/program that brings together >10 people

CELEBRATIONS, PARADES & ASSEMBLIES

Religious parades

Religious activities in mosques/other worship places

Birthday Celebrations (except with close family members) Monthly assemblies (government & private sectors)

Opening ceremonies

FASHION & ACCESSORIES

STORES: Fittings

TRANSPORTATION Cruise

HAIRDRESSERS

& BEAUTY SALONS

SOCIAL ACTIVITIES

Feasts

Iftar get-togethers

Wedding ceremonies Anniversaries

Open Houses

Social, community & cultural events

BUSINESS PREMISES / HAWKERS / BUILDING

MARKETS / MARKETS WITHOUT PREMISES / RETAIL

/ FOOD & DRINK

Large no. of customers at a time (1m distance) Ramadan bazaar; Hari Raya Bazaar

Sales Carnival

SPORTS

Sports competitions involving large crowds of supporters /

spectators (stadium)

Outdoor events of > 10 people All indoor sports activities

Swimming pools

TOURISM AND HOTEL

Use of Hotel Facilities e.g. Gym, Spa, Sauna, Lounge,

Pool Swimming Pool, Meeting Room, Seminar Hall,

Training Room, Restaurant & Café (Buffet)

INSTALLATION &

MAINTENANCE OF MACHINERY

(elevators, escalators, boilers, etc.)

for service sectors/construction site: Work involving groups of > 10 people

FARMING AND AGRICULTURE

Customer's Day; Farm Supplies Sale Day (BBL) Fruits tasting parties

Courses / Seminars

Convocation ceremonies for Agricultural Institutes

Auction sales of livestock products

BANKING & FINANCIAL SERVICES

Off-site sales & marketing activities

financial institutions/public areas

FOREST MANAGEMENT

Forest Ecotourism

Forestry Training

MINING AND QUARRYING

New Application for Theory & Practical (Explosion) Exams

CULTURE AND ARTS

Exhibits involving interaction between

employees and visitors

FISHING

Recreational activities (including commercial fishing / shrimp ponds)

Marine Park Centres, exhibitions &

aquariums

CREATIVE ART

Filming of films / dramas / documentaries / commercials

Cultural Events / Concerts / Performances Programs involving the public in studios / public places

CERTIFICATION ACTIVITIES

FOR AGRICULTURE

1 As per Prevention and Control of Infectious Diseases (Measures within the Infected Local Areas) Regulations 2020; Prevention and Control of Infectious Diseases (Measures within the Infected Local Areas) (No. 2) Regulations 2020; and

Prevention and Control of Infectious Diseases (Measures within the Infected Local Areas) (No. 3) Regulations 2020 2 https://www.pmo.gov.my/wp-content/uploads/2020/05/Teks_Perutusan_PM_01052020.pdf (Accessed on 01/05/2020) 3 Ibid Note 2

[UPDATES] COVID-19 & MCO

6

CENTRALISED LABOUR QUARTERS

(CLQ) /HOSTELS/ HOSTELS IN THE

MANUFACTURING & OTHER SECTORS

Accept visitors

Social & group sports Congregational prayers / worship activities

SELF-SERVICE

LAUNDRIES:

Folding clothes

HAIRDRESSERS

& BEAUTY SALONS

FACE-TO-FACE LECTURES /

SEMINARS / COURSES / TRAININGS

Page 7: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL – MAY 2020

BUSINESS IN A NEW NORM: INCORPORATING SOPS INTO DAILY OPERATIONS

Save for the said List of Prohibited Activities, all other business sectors are allowed to resume operations starting 4th May 2020.

Before resuming operations, however, it is the obligation of business owners or management bodies to ensure that the following General

SOPs are incorporated and implemented as part of their daily business activities:

PRACTICE SOCIAL DISTANCING To ensure social/safe distancing of at least 1 meter, preferably 2 meters

in all cases or areas such as:

- Production floors

- Cafeteria / canteen

- Meeting rooms

- Surau, multipurpose hall

- Construction site.

Encourage the wearing of facemask at all times and made compulsory

in certain circumstances

PROMOTE PERSONAL HYGIENE Encourage the washing of hands with soap or hand-sanitizers

Provide hand sanitizers/ disinfecting kits to employees and

customers (to place the same at the entrance and all other

common areas)

Ensure sanitization of premises are performed on a regular

and consistent basis, at least 2 times a day

PREVENTION PRACTICES Ensure Protocol to monitor & prevent infections are put into

place

Body temperature of employees are taken on daily basis

Where social distancing is not practicable, workers must be

provided with & use appropriate personal protection

equipment (PPE)

In case of any infection, report is made to the nearest

Department of Health

All employees to be trained to monitor and act in cases where

suspicion of infection arises

AVOID ANY FORM OF ASSEMBLY Social activities involving large gatherings not permitted

Team sports or contact sports activities are not permitted

Get togethers or open houses or celebrations or festivals or religious activities are not allowed or strictly prohibited

ENFORCEMENT OF CMCO

It ought to be noted that the above General SOPs are supplemented by further industry-specific SOPs and further updates issued by relevant

ministries from time to time. Businesses, therefore, should constantly keep in touch with the websites of ministries relevant to their

respective sectors. In this regard, the Malaysian government also encourages the general public to download the “MySejahtera App” in

order to gain access to updated and trusted information or guidelines from reliable sources: see https://mysejahtera.malaysia.gov.my/.

Individuals and businesses ought to remember that despite certain degree of leeway has been granted through the CMCO, compliance with

the SOPs is pertinent. The MCO is still in place, and any non-compliance with the order/SOPs will be regarded as an offence and may

subject one to legal consequences4. In other words, the government through its enforcement bodies, will closely monitor implementation

of the new norm and any breach of the stipulated SOPs by businesses, may lead to the immediate closure of their premises5.

Although almost all businesses will resume operations soon, it surely will be ‘business quite not as usual’ – rather, we will need to embrace

‘business in a new norm’. Let us soldier on!

4 Datuk Seri Ismail Sabri Yaakob; Media Statement (02/05/2020) 5 Ibid

This infographic & write up are intended to provide a summary of the subject matter & are not

intended to be nor should be relied upon as a substitute for legal or any other professional advice.

SUMMARISED BY:

KASHMIR HARBANS SINGH LL. B (Hons) Lond. , CLP, PG Dip in Laws (Lond) SENIOR ASSOCIATE, CORPORATE TEAM LEAD, BUSINESS DEVELOPMENT

[email protected]

[UPDATES] COVID-19 & MCO

7

Page 8: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL 2020

#HHQ FACTS

The Employees’ Social Security Act 1969 (“the Act”) was enacted to enable an employee who sustained an “employment injury” to receive compensation for the injury suffered. Section 2 of the Act allows an employee to be insured in order to be entitled to the compensatory benefits provided under the scheme of the Act. An “employment injury” refers to a personal injury suffered by an employee caused either by an accident or by a disease contracted due to the nature of his occupation, commonly referred to as “occupational disease”. Whether an employment injury is caused as a result of occupation of the employee is to be determined by a medical board known as the Special Medical Board under the Act. An occupational disease is a disease contracted by an insured employee arising out of his occupation as listed in the Fifth Schedule to the Act. In the past, among the diseases that were included as occupational diseases under the Act, are respiratory diseases such as the Severe Acute Respiratory Syndrome (SARS) and the Nipah virus. PERKESO (Pertubuhan Keselamatan Sosial , on 8th April 2020, confirmed that Covid-19 as an occupational disease that would entitle an affected employee to claim for medical benefit under the Act. However, further clarification by PERKESO is needed as the Act has not been amended to officially include Covid-19 as an occupational disease. For one to be entitled to the benefits under the Act, an employment injury (which includes occupational disease) must be directly attributable to a specific injury arising out of employment as required under Section 28(4) of the Act. For instance, an affected employee must prove that he or she contracted Covid-19 as a result of their occupation as healthcare worker and in the course of treating or taking care of Covid-19 patients. An insured person who suffered employment injury through occupational disease is entitled to receive medical benefit pursuant to the Act which may be in the form of outpatient treatment or attendance at hospital, clinic or visits to the home of the insured or treatment as inpatient in hospital or other institution.

[UPDATES] COVID-19 & MCO 8

This write up is intended to provide an update of the subject matter & is not

intended to be nor should be relied upon as a substitute for legal or any

other professional advice. WRITTEN BY: TAN POH YEE LL.B(Hons) University of East London, CLP

TEAM LEAD (LEARNING & DEVELOPMENT)

[email protected]

Page 9: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

| VOLUME 3 | ISSUE NO. 4 | APRIL - MAY 2020

HHQ’s ONLINE CONTRACTS

9

INTRODUCING our very own e-solutions – online contract templates – which can be customatised by ANYONE for FREE, by following these simple steps …

STEP 1 - Visit our e-solutions platform at https://hhq.com.my/e-services/

STEP 2 - Click on a template you wish to generate and use

STEP 3 - Answer a few simple questions

STEP 4 - Click complete. The document will be reviewed by one of our lawyers & emailed to you within 1-2 working days

THIS PLATFORM IS PART OF OUR PRO-BONO (FREE) SERVICES TO ALL OUR USERS.

FOR FURTHER QUERIES, KINDLY CONTACT: [email protected]

9 April 2020: We hosted our second Webinar session which was

attended by more than 140 invitees. The stimulating 2-hour session was

co-organised by Halim Hong & Quek and Deloitte Malaysia.

We had the great pleasure of having Mr Khoo Siew Kiat (Restructuring

Services Leader, Deloitte Malaysia) and Mr Yee Wing Peng (Country

Managing Partner, Deloitte Malaysia) joining us for the session and

addressing the growing pains currently being experienced by many

enterprises – Cashflow management

Partner from our Dispute resolution - Mr Ankit R. Sanghvi also provided

important legal perspectives on the construction industry and addressed

the tricky issue of enforcement of contracts in the present times.

The Panel discussion moderated by Mr Yee Wing Peng was refreshing

as our speakers and senior partner, Mr Thoo Yee Huan addressed some

very interesting questions raised by the participants on the new regime of

Corporate Rescue in Companies Act 2016.

In conjunction with this Webinar, our firm also launched HHQ’s very

own AI-powered live chat service. Via this latest addition to our

e-Solutions, one may learn more about the legal impact of Covid-19 and

implementation of Movement Control Order in Malaysia. To have your

questions answered through this Live Chat, kindly visit our website

at https://hhq.com.my/ or chat with us through Facebook Messenger

For more information on our upcoming Webinar sessions: https://hhq.com.my/hhq-webinars/

#HHQConnect

Page 10: #Self-Regulation...ANKIT R SANGHVI Dear Readers, TAN POH YEE We have entered the blessed month of Ramadhan. As our Muslim brothers and sisters patiently observe the fasting month,

HHQ COVID-19 LEGAL SUPPORT SERVICE 法律支援服务

INTRODUCTION 介绍

The Covid-19 outbreak and implementation of the Movement Control Order have impacted many individuals and businesses in Malaysia.

新冠肺炎爆发和行动控制指令的执行影响了许

多在马来西亚的个体和企业.

To help address the various legal implications, Halim Hong & Quek has established an ad hoc ONLINE LEGAL SUPPORT SERVICE - “HHQ LSS”

为此,Halim Hong & Quek 律师事务所专门设

立了在线法律支援服务 (“HHQ LSS”)来帮助

解决各种因新冠肺炎所造成的法律问题。

SCOPE OF CONSULTATION

法律支援服务服务范围

Consultation on legal issues caused by the Covid-19 outbreak and the Malaysian Movement Control Order, including but not limited to: 对于 COVID-19 爆发和马来西亚行动管制令引

起的法律问题咨询, 包括但不限于:

CONTRACT REVIEW. 合同审查

LIABILITY ASSESSMENT. 合同责任评估

EMPLOYMENT RELATED ISSUES. 雇佣相关问题

IMMIGRATION RELATED ISSUES. 入境相关问题

HOW IT WORKS? 如何运作?

Fill in our standard online form at: 填写我们的在线表格,链接为

https://forms.gle/x4gBDmXDWQk

WU3tdA

We will respond to your query within 2

working days, via email/ telephone /etc.

我们将在 2 个工作日内通过电子邮件/电话

等回复您的咨询。

OR CONTACT US DIRECTLY … 或直接联系我们 Mr Kelvin Chee

: 00(6) 012-262 0606

: [email protected] WeChat: thebuilder_bob Mr Kelvin Koay

: 00(6) 014-921 8409

: [email protected] WeChat: blablablackshoes Ms Alycia Chuah

: 00(6) 018-3997288

: [email protected]

HHQ LSS Is our initiative to …

是为了达成我们以下的使命。 …