Property Friday: What is the Tribunal for Homebuyer Claims & its Jurisdiction?

What is the Tribunal for Homebuyer Claims? 🏛️

It is a special court set up under the Housing Development (Control and Licensing) Act 1966 (HDA 1966) to help homebuyers resolve disputes against developers — quickly and at low cost.

Think of it as a simplified, accessible legal avenue built specifically to protect ordinary homebuyers from powerful developers.

 

What can you claim? 💭

• Defective works: Cracks, leaks, poor finishing on your unit
• Late delivery: Developer handed over keys past the agreed date
• Misrepresentation: What was promised differs from what was built
• Recovery of payments: Getting back money paid under the SPA

 

Key Things to Know:

✅Claims must not exceed RM50,000 — unless both parties agree in writing to extend jurisdiction.

✅ Claim must arise from the Sale and Purchase Agreement (SPA) — it is the foundation of the tribunal’s jurisdiction.

✅ You have 12 months from the CCC date, end of defect liability period, or SPA termination — whichever applies.

✅The tribunal is not the only option — you may also bring a claim in civil court.

 

What can the Tribunal Order 🧑‍⚖️

• Payment
• Refund
• Compliance
• Contract variation
• Interest
• Costs

 

Can the Tribunal hear your case? 💼

The golden rule: it must come from the SPA

The tribunal can only hear claims that arise from your SPA with the developer.

The Federal Court confirmed in Country Garden Danga Bay Sdn Bhd v Tribunal Tuntutan Pembeli Rumah [2022] that the SPA is a condition precedent for the tribunal’s jurisdiction. No SPA, no claim — the tribunal acts within the four walls of the statute only.

 

The RM50,000 cap 💵

• Default jurisdiction

Claims up to RM50,000 — the tribunal has full jurisdiction to hear and make an award.

• By written agreement

If both parties agree in writing, claims exceeding RM50,000 can also be heard by the tribunal.

• Multiple claims — Federal Court ruling

In Remeggious Krishnan v SKS Southern Sdn Bhd [2023] 4 CLJ 36, the FC held the cap applies per claim, not across all claims. Two separate claims on the same property are allowed if they concern different matters.

 

Don’t miss your 12-month window 🪟

Your claim must be filed within 12 months from whichever of these comes first:

• Date of issuance of the Certificate of Completion and Compliance (CCC)
• Expiry of the Defects Liability Period under the SPA
• Date of SPA termination (if terminated before the CCC)

This 12-month period overrides the general Limitation Act 1953 — confirmed by the Court of Appeal in House Buyer Tribunal & Anor v Unique Creations Sdn Bhd (and Other Appeals) [2013] 1 LNS 1309.

 

Matters cannot be heard by the Tribunal:

❌ Claims for recovery of land or any interest in land

❌ Disputes over wills, intestacy or settlements

❌ Goodwill or intellectual property disputes

❌Matters outside the four corners of the SPA — e.g. verbal promises or display model features not in the SPA

❌Non-pecuniary losses — the tribunal cannot award damages for emotional distress

 

For further information, please contact us at Miranda & Samuel:

• Dato’ George Miranda (george@mirandasamuel.com)
• Joy Sam Jia Qian (joy@mirandasamuel.com)
• Alisyah Maisarah (alisyah@mirandasamuel.com)

 

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