What is Strata Titles?

When buying a condominium, apartment or any gated & guarded housing scheme, is equivalent to buying a parcel of property in a building or land, which will be subdivided, with each being issued an individual strata title. The strata title is similar to a land grant, where you are basically given the right to own and occupy a piece of land, or in the case of strata titles, a stratified space within a building or a land. It is a proof of ownership, and also the final proof of the built-up area of the unit and the apportionment of the shareholding in the total aggregate units or area.

What is Management Corporation (MC) or Joint Management Body (JMB)?

With the introduction of the strata title registration, high-rise condominiums and gated & guarded developments have become popular. In order to enable the many owners to collectively manage their developments, the Strata Title Act provides for the formation of a management corporation (MC) or an association of owners to manage the completed development. Prior to the issuance of strata title, it is sometimes called Joint Management Body (JMB). The main function of the management corporation is to control, manage and administer the common property.

Who is part of the MC or JMB?

It is often misunderstood that MC/JMB comprises of the committee members elected by the unit owners and they have the absolute power to make decisions. In actual fact, all unit owners are the member of MC/JMB and everyone has their right to make decision through voting at an annual general meeting. Once a decision has been made, the committee is generally responsible for making sure the decision is put into effect or implemented by managing agent.

The MC/JMB committee can deal with most of the day-to-day issues such as authorizing minor maintenance or giving approvals in relation to by-laws. However, there are restrictions on the types of matters that the committee can decide. For example, the committee cannot make decisions that involve spending more than the amount previously set by an ordinary resolution of the body corporate (MC/JMB). If the committee cannot or make a decision on the owner’s request, the owner can present their proposal as a motion for the body corporate (JMB/MC) to decide by voting on at a general meeting (AGM).

Can we change the house rules?

All strata schemes have by-laws (House Rules) that regulate the operation of the scheme and the conduct of occupiers/residents. Common by-laws deal with such matters as pets, car parking, floor coverings, overcrowding and the use of facility.

The Strata Management Act 2013 sets out model by-laws, but each strata scheme can make additional by-laws or make amendments to such additional by-laws for regulating the control, management, administration, use and enjoyment of the property on almost anything. However, the changes has to be done through a Special Resolution of the legal owners and it must not contradict with the regulations made under Strata Management Act 2013, Section 150.

*Special Resolution – A resolution which is passed at a duly convened general meeting of which at least 21 days’ notice specifying the proposed resolution has been given, and carried by a majority consisting not less than 75% of the valid votes cast at the general meeting by a show of hands.

Can I change the exterior facade of my house once the individual strata title is issued?

Renovation or modification doesn’t come directly under Strata Title Act but it falls under others laws and regulations. So, even if you have obtained individual strata title, renovation or modification are still governed under House Rules (by-laws) and subject to local council and MC/JMB approval.

What will happen if I don’t pay my service charges?

The MC/JMB has the rights to serve on the owner a written notice demanding payment of the sum due within the period not less than 14 days from the date of the notice. If the sum remain unpaid at the end of period specified in the notice, then MC/JMB may file a claim in a court for the recovery of the sum due.

The owner, without reasonable excuse, who failed to comply with the notice is also liable to a fine not exceeding RM5,000 or to imprisonment for a term not exceeding 3 years. In case of a continuing offence, the owner is also liable a further fine not exceeding RM50 a day until the full sums due is paid.

Reference: Strata Management Act 2013