iriseyoufall:


Hey there,

Yes, I remember you previous queries on your lawyer who was somehow related to the vendor or something like that - and about back-to-back MOTs.

Sorry to hear about the predicament that you are in.

Answers to your questions:

1) You need to look at your SPA to see what is provided for in the event that the vendor fails to proceed with the completion of the SPA. I hope that specific performance [SP] is not excluded in your SPA. If SP is an option then you'd need to appoint another lawyer to sue the vendor to compel them to specifically perform the contract - i.e. to surrender vacant posession to you. Of course, this will only come into play at the end of the transaction.

In fact, I'd say the transaction is almost complete as the second MOT has already been adjudicated. Am assuming you're taking a loan right? As such, the only thing that needs to be done now is to present the MOT for registration together with the charge in favour of the financier and the final release of the loan will be done. You're looking at another 2 weeks before you can get your keys.

2) If they want you to agree to abort the SPA of course they have to reimburse you for whatever you have spent on - not only fees but stamp duty as well. What about your loan? Has your bank released the first sum to redeem the vendor's loan? Or is it just one release at the end? In any event, how are you going to back out of your contract with the bank? There would be a penalty involved. Are they willing to bear for it?

3) Then you pursue the option in my answer no.(1) above.

4) CAN you bring this case to Court? I think this is covered in answer (1) above.

SHALL you bring this case to Court can only be answered by you - weigh your options properly before making a decision.

How much do you want the property? How much losses are you going to sustain? Will they reimburse you for everything - including any penalty from your financier? Consider how close you are to completing the transaction. Can you afford another lawyer to sue the vendor for SP? Can you handle the stress of going through the litigation process which can stretch for months and perhaps years if there's an appeal. Can you find another property at the same price you're getting for now?

Make an informed decision once you've considered all the above questions properly.

Good luck.

Thanks for replied dariofoo.

My lawyer just follow what the vendor lawyer asked for. Then I call her and asking why she is standing at the vendor side and not my side!

Then she seems unhappy about this and want to discharge herself in this case

Now I have to look for a new lawyer again. How can a lawyer be so unethical??? Is there anyway I can complain her? The bar council?

Dear Mr. Foo,

The Non-Completion By The Vendor(s) clause in my SPA as follows:

"In the event that the Vendor(s) shall fail neglect and/or refuse to sell and/or transfer the said Property to the Purchaser(s) in accordance with the provisions of this Agreement and/or be in breach of any of the provisions of this Agreement then the Purchaser(s) shall be entitled:-

a) to the remedy of specify performance against the Vendor(s) and to all reliefs flowing therefrom and the Vendor(s) shall be liable for all costs and expenses arising therefrom; or

b) the Purchaser(s) may terminate this Agreement by a written notice to such effect to the Vendor(s) whereupon the Vendor(s) shall refund to the Purchaser all moneys (including the Deposit) free from interest as shall have been paid to the Vendor(s) under this Agreement and pay a further agreed liquidated damages for the amount of XXX only within fourteen (14) days from the date of such notice of termination failing which interest at the rate of eight per centum (8%) per annum calculated on a daily basis shall accrue thereon from the day immediately following the expiry of the aforesaid fourteen (14) day period until full payment thereof thereafter this Agreement shall be null and void and neither party hereto shall have any claim against the other save for antecedent breach."


Do you think i have solid ground to ask for compensation for SPA lawyer's fee, bank penalty as well as LOAN Agreement Lawyer's fee?

It is not fair to buyer if the Vendor pulls out simply bcoz the Vendor can get better offer after dragging for so long... sad

Thanks Mr. Foo for your prompt response.

Hi daria,

Facing another issue again after i sgn everything, my lawyer told me that i have to sign supplementary document as my vendor do not wish to withdraw from developer (at first we agreed to do direct transfer bt later on he said didnt wan) thus they cant proceed dirext transfer to me, i dont understand why he wanna extend the process by the time direct transfer is more easier an faster he can get the money release from bank, had any experience on tis kinda similarissue before? What can i do? Btw my bank nvr release any money yet, i wonder will i e charged penalty o nt if the process is keep on dragging as this >.<

irise.ufall

I believe you can put a caveat on that unit to stop the vendor selling the house in the future (not sure whether there is a max years or not).

Don't waste your time. At the end of the day you've discharged her so let that be the end of it. Get recommendations from friends and family for a reliable lawyer and move on with it.

Boss,

Why you call me Mr Foo? I'm just dariofoo la.

Anyway, it looks like you've got a SP clause there so you can compel them to complete the SPA and get vacant posession.

This is where you must understand the difference:

1) If you go for SP, then the costs which you can recover from the vendor would be the legal costs of litigating the matter in Court. That is all. You can't ask the vendor to pay you for legal fees for SPA and other costs related to the SPA as you are seeking that the vendor honours the SPA and completes it.

Don't be confused with legal fees - if you pay your lawyer xxx amount to file the suit in Court, don't expect the Court to award you the same xxx amount as costs. It will surely be less.

2) If you don't go for SP, then you terminate the agreement and the vendor reimburses you 10% plus another 10% as compensation. That compensation is meant to cover your expenses incurred throughout the SPA. You're not supposed to profit from it - the extra 10% is meant as compensation.

Hope that clears it up for you a bit?

There must be a reason. What is stated in the supplementary document? Make sure your lawyer explain the details of it to you before you sign it.

What penalty are you referring to? Time doesn't start to run until the first transfer is completed so there's nothing to worry at this stage.

+1 well said

This post has been edited by valentinonkk: Dec 2 2011, 03:46 PM

Lawyer said if vendor do the directo transfer to me the developer wan him to do certain withdraw and pay bout 20+k, he doesnt wanna pay tat so he stick to double transfer, my lawyer just tell me jus nw thru phone, i guess tats the reason >.<. and lawyer said if i wanna buy the hse i have to sign tat supplmentary document, hmm~ i try to ask n get more details whn i see her b4 sign, thanks daria

hi Mr Dariofoo

I am on process of purchasing a condo but encounter a situation, i am not sure how to proceed.


Story:
I saw a condo, i like it then i paid 1% earnest deposit to seller through agent. Then we sign agreement about seller received my deposit and give me 14 days to apply loan (nothing unusual here).

Problem occurs now.

Then suddenly seller cant give me the strata title as he says the title is currently being transfer to his name (weird huh?). Then i go to check and found that he actually bought the condo through auction May this year. And since he is using bank loan to purchase the house, the title should be with bank now. To avoid confusion, let me draw a picture here:


Original owner (Mr A) bought the house through loan from bank HL. Then for unknown reason, the condo went to auction. The owner B (which is my seller) successfully bid the house. He then apply loan from bank CT to buy the house. Then i am now buying the house from owner B. For safety reason, i went to land office for title search. Here is what stated in title:

""
Owner :Mr A
Gadaian menjamin wang pokok oleh Mr A
kepada bank HL


Kaveat persendirian atas petak oleh bank CT
""

Question 1: Why there is totally no mention of owner B in the title??? Is it safe for me to proceed with the SPA?
The document i have is owner B is successfully bid the house (May 2011).


Question 2: How long will it takes to transfer the title from auction high court/land office to him?


Question 3: Will my SPA valid even by the time we sign, the title is still not under his name?


Really appreciated if you can share some suggestion on my case...

This post has been edited by funnyface: Dec 2 2011, 11:55 PM

Hi Dariofoo,

I have few questions here and hope you don't mind answering. My girlfriend's father passed away in 2001, her mother inherited all the assets. The grant of probate and court order obtained in 2002 and 2006 respectively.

Now her mother sold one of the property. SPA is signed. The property title is under her mother and late father's name. Her mother is using the purchaser lawyer. The lawyer said in order to complete the SPA, she has to do these 2 things first:

1. Turun milik akibat kematian - grant of probate
2. pindahmilik tanah

Because the land title is with her ow and she doesn't feel safe to pass it to the lawyer so she is thinking to do it herself.

I advise her to get the form 14a stamped before submitting to land office because the land office will request the below documents:

1. Original land title
2. Quit rent & assessment
3. Notice of assessment
4. Grant of probate
5. Stamped form 14a

I believe there are more documents needed to register the transfer. Do you know what they are? Does she need to submit the court order as well? Or the court order is only needed when transfer from her name to the purchasers name? And usually how long is the process? Same as any other like 3 working days?

funnyface:


I'm sorry but I don't follow your story in full. Has parties executed the SPA? Before executing the SPA a title search ought to have been done. All documents ought to have been collected from him. At what stage is the process now? Where is your lawyer in this whole picture?

felixchui80:


First things first - I don't know the nature of the court order which was obtained in 2006. Please elaborate. If a grant of probate which was obtained in 2002, then that ought to be the end of legal proceedings.

Another question - she authorises the purchaser's lawyer to act on her behalf for the SPA, but she doesn't trust him to hand over the original title to him? It's part and parccel of the process when you authorise the purchaser's lawyer. Why is she doing all this on her own? Sorry mate but I can't follow the facts.

This post has been edited by dariofoo: Dec 3 2011, 02:26 AM

Hi Dariofoo

we still havent sign the SPA, title search have been done but the current owner name does not appear on the title. Current stage is he accepted my 1% deposit, and i was given 14 days to apply my loan. I already got my loan approved at his point of time.

My lawyer (which i am a bit disappoint of their performance) say we must proceed with SPA, give the seller the remaining 9%. With the term of extra 3 months for the seller to fully transfer the title to his name. then only we proceed with 3+1 months S&P process. So total is 3+3+1 months.....

I was asking my lawyer whether we can hold the 9% until the seller provide us the title with his name but my lawyer say we cant do that....

Ok clear.

Question 1: Why there is totally no mention of owner B in the title??? Is it safe for me to proceed with the SPA?

Of course, as long as there is sufficient proof that B is the beneficial owner of the property.

Question 2: How long will it takes to transfer the title from auction high court/land office to him?
How long is very subjective. The three month period stipulated by your lawyer is sufficient enough and is the customary time period given to the vendor.

Question 3: Will my SPA valid even by the time we sign, the title is still not under his name?
Of course. The SPA is executed by the vendor in his capacity as the beneficial owner. The completion of the SPA is subject to title to be transferred to him and subsequently to you. There is a condition precedent. So, your rights will still be protected.

You can't hold 9% until title is passed. Once the SPA is executed 10% must have been paid to the vendor, leaving 90% balance purchase price. That is the customary practice.

Thanks dariofoo!
Now my doubt is cleared.
Was in dilemma before...

Can anyone tell me how is the registration of memorandum of transfer fee calculated ?

Is the govt tax 5% or 6% ?

When was the increase ?

1. Depends on the land office and in which State.
2. 6%
3. 1st Jan 2011

Dear Dario,

Recently company bought a auction unit (commercial shop) and lawyer appointed. May I know who is responsible to find out latest assessment bill outstanding. Vendor's lawyer? Purchaser's lawyer? or Developer?.