Hi,
Just want to seek advice here. I bought 1 studio unit from Developer. The key hang over was delayed over a period of 5 months. I called to ask about the compensation which is LAD. LAD is calculated based on :

(Purchase Price x 8% x No.Days Delayed) / 365 Days.

The S&P stated Purchase Price will be used as calculation. However this developer seems to play foul on buyer. They informed us now that the LAD will be calculated based on Discounted Price ( Which is lower ). It has breached the agreement specifying Purchase Price which is without Discount. I informed the person in charge from the Developer and they informed me it's the management decision. Please advice us what action can i take ? Can i directly sue them ? Thanks for the feedback

start with going to tribunal

8% or 10%?

Always based on SPA price

Yes, always based on SPA price.

Name the developer laaa.

What I heard is that developers are always very nasty in paying LAD.

Sometimes when they are required to pay 3 months, they only pay you 1 month. Take it or leave it.

One has to decide whether he wants to take the long and painful legal process.

both party will hurt, the developer will have issue on their 5% moiety

MCT Developer - 8% based on SPA. I will go to Tribunal to fight for this. How long will it usually takes ?
What's 5% moiety ?

the final disbursement from u or bank to developer but kept as stakeholder by a lawyer.

Which project of MCT? Their Cyberjaya The Place project will also be late. I must learn from u.

not worth it unless the amount is very big, last time my DSL delay 2 months they pay me 1 month only.

Sorry to hear this bad incident but Thanks for sharing! I agree that you need to take action I.e, go tribunal they can't simply bulldozed. We are not cowboys in wild Wild West! You signed S&P which is legally binding agreement thus you have the right to get the LAD based on the S&P terms!

Good also to note MCT's performance on their project delivery! Have to beware before purchasing any of their products!

This post has been edited by Gomz1205: Mar 25 2015, 11:45 PM

Group other buyers to act together

Go tribunal lah. Also beware not to sign any agreement. read this.

http://www.thestar.com.my/Business/Busines...away/?style=biz

Is this MCT Skypark project? What's your SPA price?

It's The Place Cyberjaya. Really screwed up developer.

I blasted back at them today. They informed last time when we bought that time , they already gave out discounts to us so it's fair to calculate based on Nett Price. I blasted back that then you should changed your S&P. I bought with discounts and never expect to have 5 months delay and that i have to fork out interest for the last 5 months because DIBS has expired. I hope everyone will share this information to everyone to be aware of this developer MCT. Look at their FB website..everything seems so nice from the outside. It's actually shitty inside. Hokkien ppl called it " Chao Ka" - Kaki Busuk. Wish everyone share this information out to all. Thanks

I will go to Tribunal

MCT can argue saying that they've already issued u a Credit Note for the discount previously, which had effectively reduced your Purchase Price. They are not wrong entirely as well.

Unless u got no discount previously, then u can fight. Good luck bro.

IMHO, if they changed your SPA, it'll affect your Loan Amount as well, especially if u took full loan previously since bank will refer to the SPA.

For the late VP & extra payment of interest, I believe one of the main reasons for LAD by developer is to compensate buyer for this as well. Give & take.

Bro, is the dev willing to pay full 5 mths late charges based on discount price ?

If it is, then I advise u to take it. Else, legal process delay longer and u have to pay legal charges and the processing period also unable to get the key while paying the full bank installments. Not advantage as a buyer.

Btw, I feel its fair if they give LPI based on discounted price since that was the actual purchase price. If it reflected into the S&P, then all purchasers kenot pay 2% and enjoy 8% disc while obtained 90% loan dy.

That's a total different thing. S&P written LAD calculated based on purchase price. So S&P is the black and white thing. Before key hang over we did call to ask. The staffs said based on purchase price but now suddenly changed to Nett Price. I have shown to lawyer and he told us we have a strong case on this requesting us not to sign anything on the LAD. Thanks.