Procedure for the execution of documents

1. (a) Once the preparation of the documents above has been completed, the purchaser’s solicitor will arrange for the documents to be executed by the purchaser. The purchaser will then pay the legal fees, the disbursements, and the deposit sum in favour of the vendor or the vendor’s solicitor, pursuant to the terms and conditions of the sale and purchase agreement.
2. (b) Upon receipt of the deposit, the legal fees and disbursements, the purchaser’s solicitor will then forward the sale and purchase agreement duly executed and attested, the PDS 15 form, the relevant part of the state authority form (if any) and the deposit sum to the vendor or the vendor’s solicitor for execution and return.
3. (c) The purchaser’s solicitor should also request a certified copy of the current quit rent, assessment receipt of the property concerned and the vendor’s identity card as these are required by the land office for the registration of the memorandum of transfer (Form 14A).
4. (d) Once the duly attested sale and purchase agreement have been received back from the vendor or vendor’s solicitor, the purchaser’s solicitor should then proceed to stamp the agreement at RM10 each.
5. (e) When the stamping of the agreement has been done, the purchaser’s solicitor can then forward a duplicate stamped copy to the vendor’s solicitor for the filing of real property gains tax returns, and the original stamped copy to the purchaser’s financier’s solicitor, and a duplicate copy to the purchaser for safekeeping. If there is no financier then the original would be sent to the purchaser.
6. (f) The purchaser’s solicitor would then submit the CKHT 2A Form to the relevant tax department on behalf of the purchaser. This should be sent within two months from the date of the sale and purchase agreement, failing which a penalty of 10% of the tax chargeable will be imposed on the purchaser for late submission of the same.
7. (g) The purchaser’s solicitor would then proceed with the next step only upon receipt of the original state authority consent from the vendor’s solicitor (if required) whereby upon receipt of the same, the calculation for the completion date of the sale and purchase transaction should start. If there is no state authority consent required, the completion date shall run from the date of the agreement.
8. (h) Once the stamped sale and purchase agreement and state authority consent (if required) have been received, the purchaser’s solicitor would then proceed to date and submit the memorandum of transfer (Form14A) together with the PDS 15 Form at the stamp office for them to adjudicate the stamp value of the memorandum of transfer.
9. (i) It should be noted that the memorandum of transfer has to be registered at the land office in favour of purchaser within three months from the date of the memorandum of transfer, failing which a penalty at a rate of double registration fees will be imposed for each three months of delay.
10. (j) It should also be borne in mind that the adjudicated stamp duty (Notis Taksiran) from the stamp office is usually obtained after one to one and a half months from the day the purchaser’s solicitor submits it for adjudication.
11. (k) In the meantime, the purchaser’s solicitor will have to wait for the purchaser’s financier’s solicitor’s letter for various confirmations and undertakings in order for him to proceed with the transaction. This letter would usually be received by the purchaser’s solicitor within one month, failing which it may be difficult for the parties to comply with all the requirements to complete the sale and purchase transaction within the usual three months completion period.
12. (l) Upon receipt of the purchaser’s financier’s solicitor’s letter, the vendor and purchaser must quickly comply with the request for the confirmation and undertakings from the same in order for the purchaser’s financier’s solicitor to proceed to advise the financier for the release of the redemption sum and/or the balance loan sum thereafter.
13. (m) If the purchaser’s financier’s solicitor has only directed his letter to the purchaser’s solicitor, it is the obligation of the purchaser’s solicitor to immediately write to the vendor’s solicitor to obtain the redemption statement, and undertaking in favour of the purchaser’s financier, or inform the purchaser’s financier’s solicitors to obtain the same directly from the vendor’s solicitor.

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