19TH OCTOBER,

CONVEYANCING Prepared by:-

2021
8.00 p.m.
PRACTICE WAN SHAHRANITA
SAHARAN

COURSE CODE: LLB 40403

MEETING RULES
While waiting for others to come in, here are
some rules and reminders to keep in mind.

Turn ON your camera and microphone to

01 speak.

Feel free to type your questions

02 in the chat box.

Be presence and FOCUS at all times

03 during the lecture.
TODAY'S AGENDA
What we'll learn:

01 02 03 04 05 06
Introduction The legal The legal Solicitors The legal The obligations
to practice of a compliance of Remuneration compliance of under the Real
Conveyancing Conveyancing the Legal Order 2005, the Stamp Act Property Gains
Law and Lawyer and Profession Act Solicitors 1949, Tax Act,
Practice Conveyancing 1976 Remuneration amendments amendments
deals with non (Amendment) and and
contentious Order 2016 exemptions exemptions
matters and Solicitors
Remuneration
(Amendment)
Order 2017
PART I
Introduction to
Conveyancing Law and
Practice
WHAT IS
CONVEYANCING?

" The process of transferring ownership of a

legal title of land (property) from one
person or entity to another"
WHAT ARE THE RULES OF LAW
RELATES TO CONVEYANCING
PRACTICE?
A fair understanding of the primary source of law:-
National Land Code (Act 56 of 1965) & Regulations**;
Strata Titles Act 1985 (Act 318)**;
Housing Development (Control and Licensing) Act 1966 (Act 118) &
Regulations**;
Stamp Act 1949**
Real Property Gains Tax Act 1976**
Solicitors Remuneration Order 2005, Solicitors Remuneration
(Amendment) Order 2016 and Solicitors Remuneration
(Amendment) Order 2017

and **its subsequent amendments.

WHAT ARE THE
COMMON TYPES OF
CONVEYANCING
PRACTICE?
Generally deals with various transactions
relating to:-

Sale and Purchase Agreement

Transfer of Property
Assignment
Facility/Loan Agreements/Charge
Settlement of Housing Loan
Tenancy Agreement
 PART II
Legal Practice of a Conveyancing Lawyer
Conveyancing deals with Non Contentious Matter
LEGAL PRACTICE OF A CONVEYANCING LAWYER

TO GET INSTRUCTIONS FROM CLIENTS;

APPOINTMENT OF SOLICITORS;
ADVISE CLIENTS OF SUCH CONVEYANCING PROCEDURES INVOLVED;
PREPARATION OF QUOTATIONS FOR SUCH CONVEYANCING
PROCEDURES;
PREPARATION OF A SALE AND PURCHASE AGREEMENT** AND SUCH OTHER
DOCUMENTS RELATED THERETO;
INVOLVEMENT IN THE PROCEDURES OF TRANSFERRING OWNERSHIP OF
PROPERTY IN A SALE AND PURCHASE TRANSACTION** UNTIL THE
COMPLETION THEREOF.

**herein refers to a sale and purchase transaction, one of the most

significant transactions that Solicitors will ever be involved in.
Various essential legal procedures, statutory and other
requirements need to be made before the ownership of the
Property gets transferred from one person to another.
Conveyancing lawyer will oversee the legal requirements and assist
clients through the whole transaction process, ensuring that
everything proceeds to completion without needless difficulties.
CONVEYANCING
DEALS WITH NON
CONTENTIOUS
MATTER
 NON-
CONTENTIOUS
legal work relates to transactions
occuring between one or more parties,
such as the sale or purchase of a house.
CONTENTIOUS

Examples of non-contentious legal

legal work relates to legal matters that
work:
take place between two or more parties,
Conveyancing, Commercial Property,
such as a court hearing or a tribunal
Corporate Finance, Corporate
hearing to resolve a dispute.
Commercial, Commercial Contracts,

Wills & Probate.

Examples of contentious legal work:

Crime, Family, Employment, Civil

Litigation, Commercial Litigation,
Construction, Immigration, Personal
Injury and Contentious Probate.

PART III
Legal Profession Act 1976
PURSUANT TO PART III OF
THE LEGAL PROFESSION
ACT 1976 (“LPA”),
PRACTISING CERTIFICATE
AND SIJIL ANNUAL SHALL
BE RENEWED ANNUALLY BY
EVERY ADVOCATE AND
SOLICITOR.
 PART IV
Solicitors Remuneration Order 2005, Solicitors Remuneration
(Amendment) Order 2016 and Solicitors Remuneration
(Amendment) Order 2017
LEGAL COMPLIANCE Solicitors to comply with Solicitors
Remuneration Order, 2005, Solicitors
OF THE SOLICITORS Remuneration (Amendment) Order 2016
and Solicitors Remuneration
REMUNERATION (Amendment) Order 2017
Professional Legal fees and Disbursement for
ORDER Conveyancing practice
SOLICITORS REMUNERATION ORDER, 2005
Order 2. REMUNERATION

The remuneration of a solicitor in respect of non-contentious business shall be-

(a) in respect of sales, purchases or other forms of conveyances for completing any transaction involving
immovable properties-

(i)the remuneration of the solicitor having the conduct of the transaction whether acting for the vendor,
purchaser, transferor or transferee shall be in accordance with the First Schedule;

(ii)in the case of any transaction where no individual document of title or strata title had been issued when the
transaction was first completed, the remuneration of the solicitor having the conduct of drawing up and
completing the subsequent instrument of transfer shall be in accordance with rule 2 or 3 of the Sixth Schedule, as
the case may be; and

(iii)in the case of any transaction where there is no written sale and purchase agreement, or where the sale and
purchase agreement is not prepared by the solicitor and the solicitor is not required to explain or advise the
client on the terms and conditions of the agreement, or where a transfer is effected in consideration of love and
affection or for no consideration or pursuant to a declaration of trust or other similar instrument, the
remuneration of the solicitor having the conduct of drawing up and completing the instrument of transfer shall
be in accordance with rule 4 of the Sixth Schedule;
(b) in respect of tenancies or leases, agreements for tenancies or leases and agreements
reserving rent, the remuneration of the solicitor having the conduct of and completing the
transaction shall be in accordance with the Second Schedule;

(c) in respect of charges or mortgages, agreements for charges or mortgages, agreements for
financing under the Islamic banking business as defined in the Islamic Banking Act 1983 [Act 276],
debentures by way of a fixed or floating charge, and other instruments executed by way of
security-

(i) the remuneration of the solicitor having the conduct of and completing the transaction
whether for the financier, chargee, borrower or chargor shall be in accordance with the Third
Schedule; and

(ii) in the case of any transaction where no individual document of title or strata title had been
issued when the transaction referred in subparagraph (i) was first completed, the remuneration
of the solicitor having the conduct of drawing up and completing the subsequent instrument of
charge shall be in accordance with rule 2 or 3 of the Sixth Schedule, as the case may be;
(a) in respect of discharges of charges or deeds of reassignment
pertaining to charged or assigned properties, the remuneration of
the solicitor having the conduct of and completing the transaction
shall be in accordance with the Fourth Schedule;

(b) in respect of preparing, filing or witnessing of miscellaneous

documents, the remuneration of the solicitor having the conduct of
such matters shall be in accordance with the Fifth Schedule; and

(c) in respect of non-contentious work for which there are no

provision made to regulate the remuneration of a solicitor by means
of a scale or fixed fee, the remuneration of the solicitor shall be in
accordance with rule 1 of the Sixth Schedule and in respect of non-
contentious work which is not completed, the remuneration of the
solicitor shall be in accordance with rule 5 of the Sixth Schedule.
SOLICITORS REMUNERATION ORDER, 2005
ORDER 7. NO ACTING FOR MORE THAN ONE PARTY

(1) IN ANY TRANSACTION REFERRED TO IN THE FIRST, SECOND,

THIRD AND FOURTH SCHEDULE, A SOLICITOR SHALL NOT ACT FOR MORE
THAN ONE PARTY IN A PARTICULAR TRANSACTION.

(2) NOTWITHSTANDING SUBPARAGRAPH (1), A SOLICITOR MAY,

WHERE THERE IS NO CONFLICT OF INTEREST, PREPARE, FILE OR
WITNESS THE MISCELLANEOUS DOCUMENTS SPECIFIED IN THE FIFTH
SCHEDULE FOR ANOTHER PARTY TO THE TRANSACTION.

In pursuance to Order 7 of the SRO, Solicitors are prohibited from acting

for both parties, Vendor and Purchaser in respect of a Sale and Purchase
Agreement in a sale and purchase transaction.

In practice, when one party is not represented by a Solicitor, the Solicitor

for the other party shall obtain a statutory declaration or a confirmation
letter from the unrepresented party confirming that the party does not
require the services of a Solicitor.

PART V
The legal compliance of the
Stamp Act 1949,
amendments and exemption
Conveyancing practice
under the Stamp Act,
1949
Stamp duty refers to the
duty on instruments not
transactions i.e there
must be a document.
Section 4 of the Stamp Act, 1949

Instruments chargeable with duty

4. (1) Subject to this Act and subject to the exemptions contained in this Act and in any written law
for the time being in force, the several instruments specified in the First Schedule shall, from and
after the commencement of this Act, be chargeable with the several duties specified in such
Schedule.

(2) Nothing in this Act shall render liable to additional duty any instrument whereon duty is
expressly imposed under any other written law in force in Malaysia.

(3) Where in the case of any sale, lease, charge, settlement, exchange or partition several instruments
are employed for completing the transaction, the principal instrument only shall be chargeable with
the duty prescribed in the First Schedule for the conveyance, lease, charge, settlement or partition
and each of the other instruments shall be chargeable with a duty of ten ringgit only; and the
parties may determine for themselves which of the instruments so employed shall, for the purpose
of this subsection, be deemed to be the principal instrument.
AMENDMENT TO
ITEM 32 OF THE
FIRST SCHEDULE
STAMP ACT UNDER
THE FINANCE ACT,
2018
 PART VI
The obligations under the Real Property Gains Tax Act,
amendments and exemptions
 sale and purchase
agreement/
instrument of
PENJANA
transfer for the Exemption under the Government
disposal of the
Incentive for Real Property Gains Tax
residential property
is executed on or

after 1 June 2020 but Under the Real Property Gains Tax
not later than 31
(Exemption) Order 2020, an individual
December 2021
is exempted from paying real property
gains tax on the chargeable gain
property disposed accruing on the disposal of residential
must be a ‘residential
property who is the property if the following conditions are
sole or joint owner of fulfilled:-
the property being

disposed’

disposal of up to
three units of
residential property
THANK YOU!
.