Deputy minister rebukes Chong for saying housing law favours developers over purchasers

Michael Tiang (file photo)

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SIBU, March 28: Deputy Minister of Public Health, Housing, and Local Government Michael Tiang dismissed Sarawak Democratic Action Party (DAP) chairman Chong Chieng Jen’s alleged remark on the late delivery penalty of houses that favours developers over house purchasers.

Tiang asserted that Chong’s allegations are baseless and that the ministry should consider constructive suggestions when formulating policies.

“Unfortunately, there are those who oppose just for the sake of opposing,” he said, referring to Chong’s comments calling for a relevant amendment to the Sarawak Housing Development Ordinance.

Tiang went on to say the issue should not be politicised and that the Kuching High Court’s decision on Liquidated Ascertained Damages (LAD) for late delivery of properties in Sarawak is considered fair for both developers and house buyers.

Tiang, who is also Pelawan assemblyman, recently welcomed the Kuching High Court’s ruling that LAD for late delivery of properties in Sarawak begins with the date of the Sale and Purchase Agreement (SPA), not the date of booking.

He stated that the decision came at the right time and clarified the situation for developers and homebuyers in Sarawak and that the booking is not a commitment or contract.

Instead, it is only an option for developers to buyers interested in purchasing properties.

Furthermore, he believed the court’s decision protected the rights of developers and buyers.

“The rule is simple; if the buyer has paid the deposit to the developer and in any event, the loan application was not approved by the bank, the buyer could ask for a refund of the deposit.

“And if the loan application were approved, the developer would ask the buyer to sign the SPA, and it would not take months, as pointed out,” he said. — DayakDaily