A practical guide for property owners, purchasers, Joint Management Bodies, Management Corporations, developers and other stakeholders in Malaysian strata developments. 

Understanding strata matters

 Strata ownership can involve much more than the purchase of a condominium, apartment or commercial parcel. Questions may arise over the individual strata title, the management body, maintenance charges, sinking funds, common property, leakage, defects, meetings, by-laws or disputes between stakeholders. 

Chung Hasnal & Partners provides legal advice and assistance across a range of strata-title and strata-management matters. This guide sets out those services in straightforward language so that members of the public can better understand when legal assistance may be useful. 

What is a strata title? 

A strata title is a separate title for an individual parcel in a stratified development. In simple terms, it legally identifies ownership of a particular parcel while the development also contains common property that is shared and managed collectively. 

In Peninsular Malaysia, strata-title and strata-management matters are principally governed by the Strata Titles Act 1985 (Act 318) and the Strata Management Act 2013 (Act 757), together with the relevant subsidiary legislation and procedures. 

Our areas of practice 

The following overview explains the principal types of strata matters in which the firm may be engaged. The appropriate legal course will always depend on the facts, documents and status of the particular development. 

01. Strata Title Applications & Issuance
Advice and assistance on the process of obtaining and registering strata titles for individual parcels in a stratified development. 

02. Outstanding or Unissued Strata Titles
Assistance where strata titles remain unissued for a prolonged period, including reviewing the development status, identifying responsible parties, checking land and strata records, dealing with relevant authorities and considering legal proceedings where necessary. 

03. Perfection & Transfer of Strata Titles
Handling the legal documentation and registration required to transfer an issued strata title into the parcel owner's name.

04. Developer Winding-Up & Liquidator Matters
Advice where the original developer has been wound up, dissolved or is no longer active, including matters involving a liquidator and steps required to progress outstanding strata titles.

05. Developer Winding-Up & Liquidator Matters
Advice and representation in appropriate court proceedings involving delayed or outstanding strata titles, registration, ownership, developer obligations and related property issues.

06. Developer Winding-Up & Liquidator Matters
Advice to Joint Management Bodies and Management Corporations on governance, statutory duties, meetings, resolutions, management decisions and compliance matters.

07. AGM, EGM & Management Disputes
Advice on disputes concerning general meetings, voting, resolutions, committee appointments, procedures and management decisions.

08. Maintenance Charges & Sinking Fund Recovery
Assistance with recovery of unpaid maintenance charges, sinking fund contributions and other lawful sums, including letters of demand and legal proceedings where appropriate.

09. Strata Management Tribunal Matters
Guidance on claims falling within the jurisdiction of the Strata Management Tribunal, including document preparation and procedural advice. Legal representation before the Tribunal remains subject to applicable statutory requirements.

10. Common Property & Limited Common Property Disputes
Advice on the use, control, maintenance and responsibility for common property, facilities and limited common property.

11. Inter-Floor Leakage & Water Seepage
Advice on disputes involving leakage or seepage between parcels, including responsibility, inspection, repairs and available remedies.

12. Building Defects & Common Property Claims
Advice on defects affecting individual parcels, common areas, facilities and other parts of a strata development.

13. By-Laws & House Rules
Drafting, reviewing, interpreting and advising on enforcement of statutory by-laws and additional by-laws applicable to strata developments.

14. Renovation & Unauthorised Alteration Disputes
Advice on renovations, structural alterations, extensions, common-property encroachment and alleged breaches of applicable by-laws or approvals.

15. Parking Bays & Accessory Parcels
Advice on legal issues involving car parks and other accessory parcels, including ownership, allocation, use and disputes.

16. Developer-to-JMB-to-MC Transition
Advice on the transition of management responsibilities from the developer to the JMB and subsequently to the MC, including handover, documentation and governance issues.

17.  Commissioner of Buildings (COB) Matters
Advice and assistance in compliance matters and disputes involving the Commissioner of Buildings.

18. Strata Management Agreements & Contracts
Drafting and reviewing agreements involving property managers, contractors and service providers engaged for strata developments.

19. Debt Recovery & Enforcement
Recovery and enforcement of sums lawfully due to management bodies, including appropriate court processes and enforcement of judgments or awards.

20. Strata Title Searches & Due Diligence
Review of title status, ownership records, management structure and relevant documents to help clients understand the legal position of a strata property.

21. Collective Sale, Redevelopment & Termination Issues
Advice on legal issues arising from proposed redevelopment, collective arrangements or termination of a strata subdivision, subject to applicable law and approvals.

When legal advice may be particularly useful
Legal advice may be important where a strata title has remained outstanding for many years, the developer is no longer active, a JMB or MC dispute is escalating, substantial maintenance arrears remain unpaid, common property is being used improperly, leakage or defects remain unresolved, or formal Tribunal or court proceedings are being considered.

Long-outstanding strata titles
Older developments can present particular difficulties where individual strata titles were never issued or were issued but never transferred. Resolving the problem may require a careful review of the developer's status, the master title and land records, the strata application history, sale and purchase documents, any liquidator involvement and the requirements of the relevant authorities. An important distinction is whether the strata title has never been issued, or whether it has already been issued but remains registered in another party's name. Those situations involve different legal and procedural steps.

A delay of many years does not necessarily mean that nothing can be done. The first step is usually to establish precisely where the process has stalled and what legal or administrative route remains available.

How Chung Hasnal & Partners can assist
The firm's role is to identify the legal position, examine the relevant documents, advise on the available options and communicate with the appropriate parties or authorities. Depending on the matter, this may include correspondence, negotiations, statutory procedures, Tribunal proceedings or court action. 

For management bodies, legal assistance can also extend to governance, recovery of arrears, contractual documentation, by-law issues, meetings and disputes affecting the administration of the development.

Important notice This publication is intended for general information only. It does not constitute legal advice and should not be relied upon as a substitute for advice on the facts of a particular matter. The availability and suitability of any remedy will depend on the circumstances, applicable law, procedural requirements and supporting documents.

Speak to us CHUNG HASNAL & PARTNERS Advocates & Solicitors

CHUNG, HASNAL & PARTNERS 

Still Waiting for Your Strata Title? Understanding the Legal Position in Malaysia 

A condominium may have been occupied for twenty years, yet its purchasers may still be waiting for individual strata titles. The passage of time does not, by itself, resolve the problem. What matters is identifying where the application has stalled, who bears the legal obligation, and what steps remain available.

 A home without an individual title 

For many purchasers, the issue only becomes apparent when they wish to sell, refinance or deal with a deceased family member’s property. They have paid the purchase price, taken possession and contributed to the maintenance of the building, but the individual strata title has not been issued. The sale and purchase agreement remains an important record of their contractual rights; it is not the same as a registered individual strata title. 

The distinction is significant. A strata title identifies the parcel within the statutory land registration system. Once titles are issued, the subsequent transfer into the purchaser’s name is a separate step commonly known as perfection of transfer. It is therefore important not to confuse an unissued title with an issued title that has simply not been transferred. 

Who is responsible for applying? 

The Strata Titles Act 1985 [Act 318] places the relevant application obligations on the original proprietor of the land in the circumstances prescribed by section 8. In many developments this is the developer, but the registered proprietor must first be verified. The statutory process includes the proposed strata plan and an application for subdivision to the relevant authorities. An explanation that the matter is “still with the land office” is not, without more, a satisfactory account of the application’s actual status. 

The State Director of Lands and Mines (PTG) is the relevant authority for strata-title registration and enforcement in the state concerned. Purchasers and management bodies should establish whether an application was ever submitted, whether it is incomplete, or whether an identified condition remains outstanding. 

Why older developments encounter difficulties 

Older schemes frequently involve a combination of legal, land and technical issues. These may include missing approved plans, discrepancies between approved plans and the building as constructed, unresolved charges over the master title, outstanding land dues, or an application that was never properly completed. A developer may also have ceased active operations without necessarily having been wound up. 

Some older buildings may qualify for treatment as a “special building” under the statutory framework. This is not an automatic exemption from the strata-title process. Eligibility and any document exemptions must be assessed against the applicable legislation and the requirements of the authorities. 

What if the developer is still in existence? 

The first step is evidence, not litigation. An SSM search can clarify the company’s status; a land search can identify the registered proprietor and encumbrances; and correspondence with the relevant PTG can help establish the application history. The management body should also collect earlier letters, plans, sale and purchase agreements and any response previously received from the developer. 

Where the proprietor has failed to apply, the matter may be raised with the State PTG for consideration of enforcement under section 8. Depending on the evidence and the parties’ legal standing, formal demands and civil proceedings may also warrant consideration. No single remedy is suitable for every development, and an order against a developer cannot itself dispense with statutory approval or outstanding technical requirements. 

What role can the JMB play? 

A Joint Management Body is often well placed to coordinate a development-wide response: obtaining instructions, consolidating documents and engaging with the developer and authorities. However, the JMB should obtain advice on its powers, standing and the relief sought before commencing proceedings. The fact that purchasers share the same problem does not mean that every claim or procedural step is identical. 

A practical starting point 

Residents and management committees should begin with five questions: Who is the registered proprietor of the master title? Is the developer active, dormant or wound up? Has an application for strata titles been made? What precisely is outstanding with JUPEM or PTG? What records can the purchasers and management body produce? The answers determine whether the next step is an administrative follow-up, a formal demand, technical rectification or legal proceedings. 

The absence of a strata title should not be treated as an indefinite inconvenience. It is a matter that deserves a properly documented investigation and a realistic plan of action. 

How Chung, Hasnal & Partners can assist 

Our firm advises on property and real estate matters, including the legal issues arising from longstanding strata-title delays. We can review the development’s records, identify the responsible parties, assess the available legal and administrative avenues and advise the JMB or affected purchasers on appropriate next steps. 

Legal references: Strata Titles Act 1985 [Act 318], particularly sections 8 and 8A; Department of Director General of Lands and Mines (JKPTG), Strata Title FAQs. Sources: www.jkptg.gov.my and ptg.melaka.gov.my (published Act 318). 

This article provides general information on Malaysian law and is not legal advice on any particular development. The appropriate course depends on the title, company status, application history and current legal requirements