By Dorcas Ting
KUCHING, March 19: The Federal Court has upheld the Court of Appeal’s ruling, confirming that the “PJD Regency” decision applies in Sarawak, meaning that Liquidated Ascertained Damages (LAD) for late delivery of housing units must be calculated from the booking fee payment date rather than the sale and purchase agreement (SPA) date.
The decision strengthens home buyers’ rights and has significant implications for housing developers in Sarawak.
The case began when house buyers Anna, Liew, and Tiong, represented by counsels Daniel Ling and Jackson Ngu, challenged a High Court ruling after purchasing apartments from a developer.
Due to delays in receiving their homes, they filed claims before the Sarawak Housing Tribunal, which ruled in their favour and awarded LAD from the booking fee payment date.
However, the developer, represented by counsels Arthur Lee and Sylvester Lai, sought a judicial review at the Kuching High Court, arguing that the tribunal had erred.
On March 24, 2022, High Court Judicial Commissioner (JC) Alexander Siew How Wai ruled that the PJD Regency decision was based on Peninsular Malaysia’s Housing Development (Control and Licensing) Act 1966, which does not apply in Sarawak.
He further held that Sarawak’s Housing Development (Control & Licensing) Ordinance 2013, while similar in wording, is not in pari materia with the Peninsular Malaysian Act.
Siew opined that in Sarawak, signing a booking form does not constitute an agreement but merely grants an option to purchase. He ruled that LAD should be calculated from the SPA date instead.
The High Court also found that the Housing Tribunal had exceeded its jurisdiction by granting awards exceeding RM150,000.
The Court of Appeal later overturned this decision, emphasising that Sarawak’s housing laws should be interpreted to maximise protection for buyers. The appellate court reaffirmed that LAD should be calculated from the booking fee payment date, consistent with the PJD Regency ruling.
The developer then sought to challenge the decision in the Federal Court. However, the Federal Court upheld the Court of Appeal’s ruling, solidifying that the PJD Regency precedent applies in Sarawak and that LAD must be calculated from the booking fee payment date.
The Housing Tribunal of Sarawak was represented by Sarawak legal counsels McWillyn Jiok and Syed Rezif. – DayakDaily
