When negotiating contracts in Malaysia, it is essential to ensure that all the essential elements are present. These include offer, acceptance, consideration, intention to create legal relations, and certainty. Without these elements, a contract may not be legally binding and may not be enforceable by the courts.
The most commonly used standard forms of contract in Singapore are the Singapore Institute of Architects (“SIA”), Real Estate Developers' Association of Singapore (“REDAS”) and Public Sector Standard Conditions of Contract (“PSSCOC”) standard form contracts.
Construction law in Malaysia governs the legal aspects and regulations related to the construction industry within the country. It encompasses a wide range of laws, rules, and regulations that apply to the planning, design, development, and execution of construction projects.
The most common standard forms of construction contract used in Malaysia are the PWD, PAM and IEM standard forms. International Federation of Consulting Engineers (“FIDIC”) standard forms are also available, but infrequently used.
Malaysia's building regulation is mainly based on the Uniform Building By-Laws (UBBL) 1984 which provides guidelines on the procedures for building plans approval and other means of development control.
The document compares differences between the JKR 203A and PAM forms of construction contracts. The key differences are: - JKR 203A is used for public sector projects while PAM is used for private sector projects. PAM only covers building works while JKR covers all engineering works.
While Malaysia's construction industry is experiencing remarkable growth, it has challenges. Rising material costs, labour shortages, and sustainable practices require careful navigation and innovative solutions.
The legislation and regulations in Malaysia governing building and fire safety are the Street, Drainage and Building Act, 1974; the Uniform Building By-Laws, 1984; and the Fire Services Act, 1988.
The major OSH laws include the Occupational Safety and Health Act 1994, the Factories and Machinery Act 1967, the Petroleum Act (safety measures) 1984. There are also other laws with a strand on OSH, such as the Employment Act 1955, and Labor Ordinance Acts 2005.