When a tenant refuses to leave

Purchasing a sub-sale property occasionally comes with a tenant included as part of the deal, according to the agent anyway. But what happens when all the documents are done and dusted, and then the tenant changes his/ her mind and refuses to leave?

Evictions happen more often than one might think, and the ensuing processes are some of the most headache-inducing, therapy-requiring tasks in the history of mankind.

how do cases like this even occur? sometimes, loopholes are present in documents like tenancy agreements.

As the legal contract between a landlord and a tenant, the papers outline every duty and obligation of each party while the tenancy is valid. It is extremely important to draft a well-written tenancy agreement. It might sound like the most obvious thing in the world, yet issues like these still prevail even today.

Understanding tenant’s rights

Before taking any measures, property owners need to grasp the rights afforded to tenants. Legal frameworks in most jurisdictions provide protections against unlawful eviction, which means that landlords must adhere to established protocols before evicting someone.

Ignoring these regulations can lead to legal repercussions, including financial penalties and potential lawsuits. Familiarising youself with the local tenantlandlord laws can help property owners avoid headache-inducing pitfalls.

The next course of action

■ Legal fees in eviction cases can reach up to RM30,000

■ Six months typical for case settlement

■ Keep detailed records of all interactions, payments and formal notices

should involve a thorough review of the tenancy agreement linked to the property.

As described by law firm Kevin Wu and Associates in their article titled “Tenancy Law in Malaysia: Evicting Tenants”, a tenancy agreement is a binding contract between a tenant and a landlord which outlines the rights and responsibilities of each party during the tenancy period. The tenancy period is usually created for a term which does not exceed three years, otherwise, it will be considered as a lease.

If the tenancy period has expired, they can issue a Notice to Quit, which formally requests the tenant to leave by a specific date, typically allowing a reasonable timeframe based on local regulations.

however, if the tenancy agreement is still active, the landlord will have to wait until its expiration or may need to explore other options, such as negotiating an early termination.

A Notice to Quit must be drafted per the specifics of the tenancy agreement and any local regulations, so consulting a real estate attorney is advisable.

This step ensures the notice is legally sound and appropriately delivered, protecting the landlord from potential disputes.

In the event the tenant does not move out of the rented property after the notice period ends or after the tenancy is terminated, and without the landlord’s consent, the tenant is liable to pay to the landlord double the rental payable under the tenancy pursuant to section 28(4) (a) of the civil Law Act 1956.

Attempting peaceful resolution

Often, proactive communication can help pave the way for a more positive and friendly resolution. Initiating a conversation with the tenant to discuss their situation and the possibility of vacating might be all it takes.

Offering flexible timelines or even financial incentives, such as a relocation bonus, or help with moving costs, can make the transition smoother for everyone involved. Establishing a cooperative dialogue mitigates stress and fosters goodwill, allowing both parties to reach an agreeable outcome.

If attempts at negotiation do not get the desired results and the tenant remains stubbornly uncooperative, seeking legal advice becomes paramount.

An experienced attorney specialising in landlord-tenant law can guide the property owner through the intricacies of the eviction process, from drafting necessary legal documentation to representing them in court if the situation takes a turn for the worse.

should legal proceedings become inevitable, initiating a lawsuit may involve filing a claim in a local court and subsequently obtaining a court order for eviction.

It is important to keep in mind that these processes can be time-consuming, sometimes stretching over several months and may lead to increased frustration and anxiety for property owners feeling trapped in their predicament.

The financial and emotional toll

The financial ramifications of an eviction can be substantial, adding to the overall stress of the situation. Legal fees can accumulate quickly, especially if the case drags on or requires multiple court appearances.

several studies have found that the fees can reach up to rm30,000 and the eviction process could drag on for half a year.

Additionally, there’s always the potential risk of property damage. In some unfortunate scenarios, tenants may do intentional harm to the property during their exit, resulting in costly repairs and delays in re-renting or selling the unit.

The emotional toll can also be significant. The anxiety, frustration and uncertainty in dealing with a non-compliant tenant can weigh heavily on property owners, making it difficult for them to focus on other aspects of their lives.

understanding that it’s normal for property owners to feel overwhelmed in these situations can be helpful, so seek out support from friends, family or even groups of fellow landlords who can provide the necessary guidance and reassurance needed.

Be proactive

To reduce the risk of facing similar challenges in the future, property owners should consider using several proactive strategies. First and foremost, thorough tenant screening is crucial.

conducting comprehensive background checks that include evaluating rental histories, credit scores and personal references can be beneficial.

A well-informed decision at the outset can minimise the likelihood of disputes later on.

Additionally, it is vital to draft a clear and comprehensive tenancy agreement that explicitly outlines all terms and conditions related to the lease.

This should cover aspects such as payment schedules, maintenance responsibilities, acceptable behaviour standards and clear procedures for termination.

A well-defined agreement can help forestall misunderstandings and promote clarity among both parties.

Maintaining open lines of communication with tenants is also essential. regular check-ins can help address any concerns they may have before they escalate into larger issues.

Moreover, keeping detailed records of all interactions, payments and formal notices can further protect property owners in any future disputes.

By SAMANTHA Wong samantha.wong@thestar.com.my

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Leasing ­is serious business: An aerial view of a residential area in Ampang, Kuala Lumpur. — GLENN GUAN/The Star

Tenant's rights vs landlord's rights

PETALING JAYA: Making landlords fully liable for their tenants is an infringement of fundamental liberties under the Federal Constitution, say property owners’ groups.

While a tenancy agreement must be in place to state the tenancy purpose and rights to terminate it, they said the proposed Residential Tenancy Act (RTA) must address all issues affecting both landlords and tenants.

Strata Owners Association Malaysia chairman Datuk Theng Book said it was unfair to put full responsibility on the landlord alone.

“Firstly, how would the landlord know if the tenant is a criminal? It is against the freedom of contract and Constitution to deal with our own property,” he said in an interview recently.

Theng, who is a lawyer, said landlords must have a tenancy agreement to spell out the purposes of the tenancy and rights to terminate it upon breaches, such as when tenants conduct illegal activities on the property.

“Or landlords can lodge a police report. The police must act,” he said.

When asked if a tenancy agreement was enough to safeguard landlords and tenants, he said it was as much as landlords can do.

“What else can landlords do? The police cannot pass their responsibility to landlords. It’s their job to go after criminals,” he said.

When asked further about the RTA, Theng said it should address the concerns of liberties being infringed while it is being drafted.

Senior lawyer Datuk Joy Appukuttan agreed, saying that the fundamental liberties under Article 5(1) of the Constitution, as well as equality before the law and protection under Article 8(1), would be infringed if the landlords are made absolutely liable for their tenants.

“The proposed RTA should be fair and address all issues affecting both landlord and tenants,” he said.

Joy, who is also Strata Property Owners Association Selangor legal adviser, said landlords could only provide stricter contractual terms in the tenancy agreement, which still boils down to enforceability.

“If the landlord knowingly allows his premises to be used for illegal purposes, then perhaps there is a case. If not, we can’t blame the landlord alone,” he added.

However, he also said the RTA was a move in the right direction.

“Many countries have such laws. However, the RTA must also provide a tribunal for adjudication of disputes between landlord and tenant.

“It is similar to the set-up of the Housing Tribunal and Strata Management Tribunal,” he said.

Joy said the tribunal could provide a swift form of remedy for landlord and tenant disputes.

“Such tribunals will be able to act swiftly and efficiently. If the landlord and tenant can represent themselves at these tribunals, then the cost would be lower.

“The current process of going to court is tedious, time consuming and costly,” he added.

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Landlords and tenants must take care of their rental properties

Tenancy tales of horror, Cops may go after landlords who rent units to criminals; owners had the right to do monthly inspection, Law needed to lay out rights, responsibilities

Tenancy tales of horror, Cops may go after landlords who rent units to criminals; owners had the right to do monthly inspection, Law needed to lay out rights, responsibilities

Tenancy tales of horror - Sad state of affairs: A house owner checking the condition of his house after a tenant moved out in Puchong. — FAIHAN GHANI/The Star

PETALING JAYA: A businesswoman got the shock of her life when she received a call from the police asking her to go to her posh KLCC-facing condominium.

“When I arrived, I was stunned to see the unit in a wreck and that an illegal gambling centre had been operating from there.

“It was a nightmare. I had to go to the police station several times for my statement to be recorded.

“Not only that, I had to fork out a lot of money to clean up and repair my unit,” said the woman, who wanted to be known only as Shima.

She had not suspected anything amiss because her tenant – who claimed to be an engineer – was always prompt with his rent.

“This incident has given me a lot of anguish and stress. My unit has been empty for two years now. I just don’t dare rent it out again,” said the mother of two.

Shima admitted that she had not checked on her unit after renting it out as she respected her tenant’s privacy

A senior journalist was happy when he rented out his house to a young couple with two kids in May last year.

Everything had looked fine in the beginning, but things started to go wrong a few months into the tenancy.

The rent payment was erratic, with no money coming for several months, and when he decided to end the tenancy agreement, he was shocked to find that they had defaulted on the utility bills.

“They seemed like a decent couple with two young children when they first moved in, in May 2022. But after three months, the problems began.

“Every time, I called them for the payment, they had excuses. Business was slow, someone had died, someone was sick.

“In February this year, there was one payment and none after that. I waited until August before finally telling them to leave. They left in early November,” said the 65-year-old Penangite, who is based in the Klang Valley.

When he repossessed the house, it was in a total mess.

“The toilets were broken and dirty, with caked soap on everything. There were nails everywhere. The wiring was badly damaged.

“There were rats living in the house compound. It cost me close to RM5,000 to repaint and repair to make it look like a decent home again,” he fumed.

What was worse, he added, was the unpaid electricity bill since November 2022.

“Why was there no action taken by the utility company? I had to pay up as I could not trace the couple and they would not answer my calls.

“The water bill was also unpaid for at least six to seven months. After they vacated the house on Nov 21, Air Selangor sent a notice of disconnection if I did not pay up.

“So, I lost easily seven to eight months of rent money, and had to fork out another RM6,000 for bills and repairs. Now, I am very cautious about who I rent my house to or even if I should even rent it out at all,” he said.

Another apartment owner, who wanted to be known only as Zulkifli, no longer wishes to rent out his unit in Tanjung Bungah, Penang, after a bad experience a few years ago.

“I rented out my unit to a childless couple in 2015. They seemed nice and both were professionals.

“Their rent payment was good initially, but arrears started to pile up in the second year of their tenancy.

“After failing to pay the rental for two successive months, they suddenly moved out at the end of 2016,” he said.

Zulkifli, 40, said although he could offset the outstanding rental from their deposit, his unit was in a shambles.

“Most of the furniture was broken and the place was so dirty,” he said. 

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Cops may go after landlords who rent units to criminals

KUALA LUMPUR: Police want landlords who rent out their houses or apartments to criminals, including scam syndicates, to be held accountable.

Bukit Aman Commercial Crime Investigation Department (CCID) director Comm Datuk Seri Ramli Mohamed Yoosuf said they are pushing for the possibility of putting the liability on the owners.

“We have encountered many cases where such houses and apartments are being used as scam call centres.

“Recently, we detained more than 20 scammers, who rented several houses to operate as call centres.

“This has to stop,” he said in an interview yesterday.

Comm Ramli said while some syndicates are willing to pay a high rate of rent, owners and property agents must look past making a profit.

“Some syndicates are willing to pay up to six months in advance in rent but rationally, the owner or agent must think there is something wrong somewhere.

“In some instances, the syndicates would place 65 people in several housing units, in other instances, 20 people,” he said.

Kuala Lumpur police chief Comm Datuk Allaudeen Abdul Majid said most of the scam call centres raided in the city were located in luxury condominiums and apartments.

“It is bewildering that such criminals were allowed to operate in such prestigious locations, when in fact, it would be hard for regular people to even enter the premises.

“I have also instructed KL CCID to step up operations against the call centres in the city,” he said.

So far, KL CCID had conducted 1,311 raids on online crime syndicates in the city, he added.

“We have detained 855 people for their involvement in scam call centres between January and September this year.

“In the past two months, some 20 raids were conducted and 342 people were arrested,” he said.

Universiti Sains Malaysia criminologist Datuk Dr P. Sundramoorthy said landlords must be proactive and take full responsible for the action of their tenants.

“As the owner, your responsibility is not solely about rental. You are liable for the behaviour and action of your tenant,” he said, adding that owners had the right to do monthly inspection but without violating too much of their tenants’ privacy.

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Law needed to lay out rights, responsibilities

 

 

PETALING JAYA: It is time to push for the tabling of the Residential Tenancy Act (RTA) to better clarify the responsibilities of landlords and tenants, say property agents.

Malaysian Institute of Estate Agents president Tan Kian Aun said the country needs more specific legislation on tenancy agreements, adding that the current situation often left landlords and tenants without a clear legal framework on their rights and responsibilities.

“The proposed RTA aims to regulate and standardise the relationship between landlords and tenants,” he said in an interview.

The Act, said Tan, would serve as a comprehensive guide, eliminating the need for individual tenancy agreements that often resulted in varied terms and conditions.

“Unlike the existing practice, the Act would set standardised rules, specifying legal and illegal activities for tenants and landlords.“This would address illegal activities, immoral behaviour and law violations within the rented premises,” he said.

On March 29, 2023, Deputy Local Government Development Minister Akmal Nasrullah Mohd Nasir told Parliament that the RTA, which is aimed at addressing rental property issues, would be tabled in Parliament next year.

The ministry, he said, is currently conducting a study on drafting the Act.

Tan said currently, there is also no specific legal provision for authorities like the police to intervene in cases of tenancy disputes, which would typically fall under civil jurisdiction, requiring the affected parties to pursue legal action for breach of contract.

The Act, he said, should also empower the relevant authorities to take appropriate action in cases of criminal activities.

Before the RTA comes into effect, Tan suggested landlords engage with tenants to first establish evidence that they are unaware of any illegal activity or “alternate uses” of their property.

“When tenants inquire about permission for activities such as gambling, landlords must refuse and retain evidence of their conversation. We often advise landlords to do this to protect their rights,” he said.

Property agents also play a crucial part by conducting thorough background checks on tenants, such as criminal records and solvency to ensure that they are not bankrupt, he added.

“We also verify employment status, request documentation such as visas and employment letters for foreigners, and scrutinise income details,” he said.

Lawyer Eric Choo advised landlords to protect themselves by ensuring that their tenancy agreements explicitly state the purpose of property use as well as the prohibition of illegal activities.

“These crucial clauses, typically included in tenancy agreements prepared by qualified lawyers, help safeguard landlords from being implicated in any criminal activities carried out on their premises,” he said.

Landlords, stressed legal counsel Marcus Tan, must lodge a police report upon discovering that tenants had been using their property for criminal activities.

“Failure to do so may result in the landlord being perceived as part of or even abetting the criminal activities.

“Without a formal tenancy or lease agreement, landlords may struggle to explain the situation to the police, potentially leading to suspicion and legal complications.

In Penang, state local government committee chairman Jason H’ng Mooi Lye said action could be taken against bad tenants under Section 70 (12) of the Road, Building and Drainage Act 1974.

“They need to be given 30 days to move out. If they fail to comply, they can be hauled up to court.”

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Landlords and tenants must take care of their rental properties

• 

  Landlords and tenants must take care of their rental properties

  The Responsibilities Of A Tenant And A Landlord I REFER to the report “Zero mercy for landlords” (The Star, Dec 1). Kudos to Local Governmen...

 

Landlords and tenants must take care of their rental properties

The Responsibilities Of A Tenant And A Landlord

I REFER to the report “Zero mercy for landlords” (The Star, Dec 1). Kudos to Local Government Development Minister Nga Kor Ming for his determination to put a stop to “birdcage” and “gravelike” rooms for rent, which he described as “the size of graves, with room just enough for a coffin. This is inhumane and unreasonable.”

The situation clearly demonstrates the extent greedy people would go for money.

I am sure there are many other things unscrupulous people would do for monetary gains.

In this connection, I would like to highlight the quandary that residents of SS4C in Petaling Jaya are facing over a negligent landlord and his irresponsible tenant.

The house is in an area inhabited by respectable senior residents, and I, unfortunately, am living near it. A few years ago, the owner moved to Seremban and rented out the house to a man who used it as accommodation for his foreign workers.

It looks like the owner is only interested in collecting rent while the tenant just wants to use the house for his own purposes because there has been no attempt to maintain it since it was rented out.

Over the years, the compound has been turned into a big rubbish dump infested by flies, rats, snakes and monitor lizards.

Trucks are repaired on a regular basis there, and old tyres and vehicle parts are just discarded in the compound.

The house is now in shambles and sticks out like a sore thumb in the neighbourhood.

After complaints were lodged by the residents, officers from the Petaling Jaya City Council’s health department came and issued a warning to the tenant. Following the visit, the place was cleaned up, but two months later, things regrettably returned to their previous state. There were no further checks by the authorities.

Landlords have both legal and ethical responsibilities to their property. These obligations include maintaining the structure and exterior of the property, appliances and furniture, and dealing with issues related to water and electricity supply.

Landlords should also do their part to help improve the community where their properties are located.

Meanwhile, tenants are responsible for keeping the premises clean. Most people expect a reasonable level of maintenance and cleanliness for homes in their neighbourhoods.

I am sure there is a tenancy agreement between the landlord and the tenant, and one of the clauses would allow the landlord to inspect his property on a regular basis. In this case, I have not seen the landlord visit his property in the past two years.

The authorities should compel the house owner and his tenant to adhere strictly to the conditions stipulated in the tenancy agreement. And I hope the Local Government Development Ministry will also address this problem and find a permanent solution for it.

WONG SOO KAN Petaling Jaya

5 Dec 2023 

Landlords must take care of their rental properties

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https://www.thestar.com.my/opinion/letters/2023/12/05/landlords-must-take-care-of-their-rental-properties

Regulating short-term stays in Penang, such as Airbnb Hosts, homestays

 Stating it clearly: A banner is hung at the entrance stating the ban on short-term homestays at one of the apartments in Gelugor, Penang.ZHAFARAN NASIB/The Star

 GEORGE TOWN: Residential property investors hoping to make a killing from the short-term stay business are likely to find it an uphill task with the new regulations in place.

State local government, housing, town and country planning committee chairman Jagdeep Singh Deo said other residents would now need to give their consent to units being used for short-term stays.

“I do not think it will be easy for one to gain approval from all other residents in a high-rise building. Even then, there are limitations.

“They will need to have a general meeting and seek approval.”

Jagdeep said the Penang government has two guidelines for short-term stays – one for high-rises and the other for landed properties.

“Both guidelines were approved by the state executive council on March 8 and will now be enforced.

“We have received many complaints regarding short-term stays. Such practices disrupt the lives of other residents,” he said.

“We formulated these guidelines not to deny property owners the right to rent them out, but to regulate short-term stays.”

Jagdeep said that for stratified projects classified as residential, one must first obtain approval from the joint management body (JMB) or management corporation (MC) through an AGM, on top of complying with other terms in the guidelines.

“Serviced apartments classified as being in a commercial zone must comply as well.

“If approval is given (for the residential or commercial properties), the short-term stay must not be for more than three days per reservation.

“On top of that, each unit must not be booked for more than 180 days in a year,” he added.

Jagdeep said many residential high-rise buildings had put up banners clearly stating that short-term stays are not allowed.

“It is clear that it will be difficult for people to convince many JMBs or MCs to allow them to use their units in that way,” he said.

Jagdeep said hotels in Penang are well equipped to cater to the needs of tourists.

“We must be fair to the people and the tourism sector,” he said.

Malaysian Association of Hotels (MAH) national vice-president Datuk Khoo Boo Lim said the guidelines would help hotels.

“We are not able to stop them from operating but with rules in place, there will be no abuse.

“They will need to follow guidelines and only those who comply will be allowed to operate.

“This will definitely help hotels as the number of short-term stay units will drop,” he said.

However, the Asia Travel Technology Industry Association (Attia) urged the state government to reconsider its decision to enforce the new guidelines.

It said the new guidelines are “untested, disproportionate, and complicated”.

“The Penang Government should have considered co-regulation and self-regulation approaches, such as voluntary code-of-conduct style frameworks, which have successfully reduced noise and nuisance issues in short-term stay homes without imposing onerous requirements,” the association said in a recent statement.

Attia said most short-term stay hosts are individuals and not companies, and such individuals could be “pushed out from participating in the lucrative sharing economy”.

The association said short-term stays complement hotels by catering to “price-sensitive digital nomads and youth travellers”, and also families wanting to rent a whole house for their holidays.

Attia is an NGO representing global businesses dealing in travel and tourism in Asia Pacific, including online room and flight booking portals. 

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