Tribunal orders developer to refund RM700
01/02/2006 Daily Express

Kota Kinabalu: The Consumer Claims Tribunal has directed TPPT Sdn Bhd to refund RM700 within 14 days to their 41-year-old client who claimed a refund of RM1,000 being the booking fees of a double-storey terrace house in Taman Ketiau.

Tribunal Chairman Rungit Singh also allowed the respondent represented by its manager, Abd Azis Hj Salleh to deduct and keep RM300 from the booking fees as management fees.

He made the award based on a compromise that was established between the respondent and the claimant, Md Shaffie Bin Said who paid the booking fees of RM1,000 to the respondent on Oct 8, 2004.

The respondent told the Tribunal that by right the booking fees should be forfeited since Shaffie failed to sign the S&P agreement within 14 days in accordance with Clause 5 stipulated in the terms and conditions.

Since the respondent and claimant know each other quite well, Azis said Shaffie was given more than a year to get housing loan from any financial institutions but failed to get his applications approved.

However, Shaffie said that the respondent had assured him that there would be no problem to get a refund of the booking fee if he decided not to buy the house and also, he has been trying very hard to secure the loans.

Despite the Clause 5, Rungit said the respondent could always get other buyer for the house at a better price and profit, and he told the claimant that the respondent had incurred some losses when reserving the home for him more than a year to get housing loans.

Rungit said both parties have gained some losses in their part and if they were not satisfied with the Tribunal's decision, they can bring their claims to the civil courts trial, in which they may have to go through certain period and procedures for their cases to be heard and both parties may to pay even more than RM1,000 if they engage lawyers to defend them. Hence, Rungit advised them to settle the case in the Tribunal and reached a compromise that is agreeable to both parties. The respondent and Shaffie agreed to RM700 refund.