DEVELOPING SUSTAINABLE RESIDENTIAL TENANCIES SCHEME FOR MALAYSIA

Abstract

 The current laws governing the relationship between the parties to a tenancy contract are based on scattered provisions from the National Land Code 1956, Contracts Act 1950, Distress Act 1950, and Specific Relief Act 1950. The current situation created issues in terms of bargaining powers between the parties, the security of tenure, costly and lengthy legal procedure in settling disputes, and the unjustified practices of forfeiting security deposits.  The question is premised on the need to have a specific legislation to regulate the relationship between the landlord and tenant as the development, sustainable and viability of residential tenancies market is largely depending on its enabling factors such as laws, statutes, and regulations. This article is written based on the qualitative research methodology where the current laws, practices, and regulations on residential tenancies in Malaysia is accessed and is compared with the practice in Scotland. The objective is to promote the sustainability of the residential tenancies market in Malaysia by strengthening the law to regulate the market. It focuses on private residential tenancies within the residential tenancies sector in Peninsular Malaysia, specifically on the issues of creation of specific legislation, dispute resolution, and the manner of dealing with security deposit.  Research findings highlight that it is significant to introduce a specific legislation to regulate residential tenancies sector residential tenancies market in Malaysia to ensure it achieves the desired target in promoting affordable housing as envisaged in the National Housing Policy.