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PAM NORTHERN CHAPTER CPD SEMINAR

Ar. Anthony Lee Tee

19 September 2026 | Grand Ballroom, E&O Hotel Penang

A Balancing Act:

Navigating the Defects & Certification Minefield

See You In Court Series 3 - Or the Food Court

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2025

2026 Fire Horse

lying star

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BALANCING ACT — SURVIVAL Vs EXPOSURE

Architect's Impossible Menu:

Chasing Design While Surviving Reality

► Business Grind

Price wars, cash flow, rising overheads, talent & staffing issues

► Design vs. Commercial Pressure

Crafting award-winning spaces vs developers compressed timelines vs cheap material swaps.

► Silo Chaos

Forced marriage / silo-driven Consultants and NSC

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Regulatory Fatigue:

New Rules, Barriers, Surveillance

► KPKT Overhaul - beyond Housing

Broader Property Development Act, extending statutory reach to commercial developments.

► wait, there’s more..

Building Managers Act, Strata Management Act major revision

► DOSH & CDM 2024

Shifting proactive safety responsibilities, safety-file directly to the designer.

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Carrying Ultimate Can [of worms]

as Principal Submitting Person (PSP)

► CCC Hot Potato

Navigating self-regulated 21 G-Forms

PSP holds ultimate personal accountability for statutory compliance.

► Agency One STOP Centre

Juggling conflicting simultaneous requirements from Local Authority and Technical Departments BOMBA, Energy Commission, IWK, DOSH, Syabas and [CIDB – IBS] !!

► Reality of Client Pressure

Resisting developer demands for ‘premature’ certifications when life-safety systems, technical agency clearances and patent defects remain incomplete.

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OUT-OF-THE-BLUE AMBUSH — CONTRACTS & LITIGATION

From Drawing Board to Witness Box

► PAM Contract & HDA

Navigating PAM Form of Building Contract: CNC, CPC, DLP, CMGD, EOTs

Schedule G & H certifications under Housing Development Act.

► Building Defects

Facing multi-party litigation over patent and latent defects, and common property strata defects often years after handover.

► Projek Sakit – Decade long Disputes

Managing never-ending ‘sick’ projects / hauled to arbitration / courts.

► Readiness and Preparedness

Avoiding witness box by facing and resolving issues early, maintaining strict contemporaneous records, and settling disputes before it boils over.

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Phase / Category

Role / Duty Expected of Architect

Governing Source / Basis

The "Out-of-the-Blue" Risk & Reality

1. Business & Practice

Practice management, fee negotiation, cash flow management, staff training, and overhead cost control.

Architects Act 1967 (Act 117), Professional Ethics

Surviving 3 to 4 months of negative cash flows and unpaid work during superstructure phases before valuations clear.

2. Design & Documentation

Preparing architectural drawings, spatial planning, design coordination, and technical specifications.

Common Law, Professional Engagement Terms

Drawings act as legal/contractual documents. Incomplete specs invite variations, disputes, and design failures.

3. Consultant Coordination

Integrating C&S (structural) and M&E services design to eliminate clash points and interface gaps.

Multidisciplinary Practice, PAM Contract

Silo-driven design creates uncoordinated layouts, leading to severe water seepage, structural cracks, and maintainability nightmares.

4. Macro Planning & Land

Town planning compliance, master land use alignment, structure plans, and land alienation.

Town & Country Planning Act 1976 (Act 172), National Land Code 1965 (Act 56)

Bureaucratic bottlenecks, shifting PBT planning policies, and ivory-tower rules disconnected from actual site logistics.

5. Municipal Administration

Submission of earthworks, building plans, drainage control, and municipal permit applications.

Local Government Act 1976 (Act 171), Street, Drainage and Building Act 1974 (Act 133)

PBT approval delays, arbitrary local interpretations, and structural permit holdups dragging out project timelines.

6. Statutory Building Codes

Ensuring space, light, ventilation, fire safety, escape routes, and structural load compliance.

Uniform Building By-Laws 1984 (UBBL) (under Act 133)

Non-compliant layouts or disputed ventilation standards (e.g., split units vs. mechanical fresh air) exposing the PSP.

7. Safety & Management (CDM)

Acting as Principal Construction Work Designer (PCWD), drafting pre-construction information, safety files, and risk-elimination plans.

OSHA 1994 (Act 514), Occupational Safety and Health (Construction Work) (Design and Management) Regulations 2024 (CDM / PCWD)

Shifting heavy proactive safety responsibilities and administrative workloads upstream directly onto the designer's table.

8. Specialized Services & Safety

Coordinating lift certifications, electrical distribution integrity, gas reticulation, and active/passive fire protection.

Electricity Supply Act 1990 (Act 447), Gas Supply Act 1993 (Act 501), Fire Services Act 1988 (Act 341)

Heavy reliance on external agency clearances (BOMBA, Suruhanjaya Tenaga, DOSH) that stall project completion.

9. Real Estate & Consumer Protection

Managing housing development statutory obligations, e-SPA portals, escrow accounts, and project delivery milestones.

Housing Development Act 1966 (Act 118), Property Development Act (PDA)

Broadened statutory exposure to commercial and mixed-use developments, increasing personal liability risks.

10. Strata Governance & Management

Preparing Schedule of Parcels (SOP), provisional blocks, strata plan filings, and common property handovers.

Strata Management Act 2013 (SMA 2013), Strata Titles Act 1985

Multi-party litigation over common property defects, parcel boundaries, and share unit disputes years after handover.

11. Contract Administration (PAM 2018)

Issuing Architect’s Instructions (AIs), reviewing contractor work programs, monitoring progress, and handling statutory notices.

PAM Form of Contract 2018 (Clauses 1.0–37.0)

Dealing with contractor defaults, abandonments, and strict technicalities of issuing timely default notices or losing back-charge rights.

12. Extension of Time (EOT)

Evaluating contractor delay applications, analyzing critical paths, and granting time adjustments for Relevant Events.

PAM Form of Contract 2018 (Clause 23.0)

Endless friction between developers pushing deadlines and contractors weaponizing delays to claim loss and expense.

13. Certifications (PAM Progress & Completion)

Issuing Certificate of Non-Completion (CNC), Interim Valuation Certificates, and Practical Completion (CPC).

PAM Form of Contract 2018 (Clauses 15.0, 18.0, 30.0)

Wrongful or rushed certifications exposing the architect to employer claims or contractor disputes.

14. Defects Liability Period (DLP) Admin

Monitoring defect rectifications, tracking uncompleted works, issuing Certificate of Making Good Defects (CMGD), and releasing retention.

PAM Form of Contract 2018 (Clause 15.4)

Latent defect disputes, waterproofing failures, and uncooperative contractors refusing to return for remedial works.

15. HDA Stage Payment Certification

Signing off on progressive construction milestones (foundations, RC framework, walls, roofing, M&E) to unlock buyer billings.

Schedule G & H (Housing Development Act 1966)

Criminal and civil penalties (fines up to RM100,000 or imprisonment up to 5 years) for certifying incomplete works.

16. OSC & CCC Self-Regulation

Managing the One Stop Centre (OSC) portal, compiling agency approvals, and coordinating the 21 Form G series certificates.

Street, Drainage and Building Act 1974 (UBBL / OSC Regulations)

Acting as the ultimate professional lightning rod while juggling chronic delays from unaligned external authorities.

17. Final CCC Issuance

Formally executing and issuing Form CCC (Perakuan Penyiapan dan Pematuhan) declaring the building safe and fit for occupation.

Street, Drainage and Building Act 1974 (Section 25)

Personal statutory liability if buildings fail, burn, or leak due to unverified trade or engineering components.

18. Forensic & Defect Investigation

Conducting independent diagnostic inspections, investigating structural cracks, and mapping roof/facade water seepage.

Expert Witness Protocols, Architect Centre Standards

Getting dragged into court or arbitration as a forensic expert or defendant to explain why buildings failed prematurely.

19. Dispute Resolution & Mediation

Early intervention, chairing de-escalation meetings, utilizing Expert Determination, and settling disputes over teh tarik.

PAM ADR Rules, AIAC Arbitration Framework

Avoiding formal, high-cost litigation by acting early before minor site disagreements explode into total legal warfare.

20. Witness Box & Legal Defense

Defending professional decisions, architectural designs, and certifications under brutal cross-examination by opposing counsel.

Malaysian Court & Arbitration Proceedings

Facing hostile lawyers trying to make you look incompetent, exposing the ultimate truth: Integrity is expensive.

21. CDM 2024 Design Responsibilities

Acting as Principal Construction Work Designer (PCWD), drafting pre-construction information, safety files, and proactively eliminating risks during the design stage.

OSHA 1994 (Act 514), Occupational Safety and Health (Construction Work) (Design and Management) Regulations 2024 (CDM / PCWD)

Shifting heavy proactive safety liabilities and administrative compliance workloads upstream directly onto the designer's table.

22. PSP Plan Submissions & Declarations

Signing formal statutory declarations of plan submissions, assuming total legal responsibility for ensuring all building plans comply with local by-laws.

Street, Drainage and Building Act 1974 (Act 133), UBBL

Being the sole named professional on record; if plans violate code, personal penalties and regulatory action fall squarely on the PSP.

23. KPKT S&PA Plan Verification

Verifying, endorsing, and signing off on all attached architectural plans, layout drawings, and technical specifications embedded within statutory Sale & Purchase Agreements.

Housing Development Act 1966 (Act 118), Schedule G & H

Misalignments or unauthorized deviations between approved plans and S&PA attachments land the architect straight into developer-buyer fraud or misrepresentation claims.

24. Site Safety & Structural Incidents

Immediate technical intervention, forensic fact-finding, and statutory reporting when structural failures, collapses, or fatal site accidents occur.

Street, Drainage and Building Act 1974, OSHA 1994, Common Law Duty of Care

Getting dragged into sudden criminal or civil inquiries, police reports, and DOSH investigations over site safety failures.

25. Multi-Party Litigation (MC / Owners vs. Consultants)

Defending original design integrity, construction oversight adequacy, and statutory compliance against joint-and-several lawsuits filed by Management Corporations (MC) or parcel owners.

Strata Management Act 2013, Civil Law Act 1956

Facing massive, multi-million ringgit class-action style suits years after project handover for latent defects and common property failures.

26. Employer vs. Contractor Disputes (Time Claims)

Acting as quasi-judicial certifier evaluating contractor delay applications, critical path disruptions, and granting Extension of Time (EOT).

PAM Form of Contract 2018 (Clause 23.0)

Getting caught in intense crossfire where developers accuse architects of being too lenient, while contractors sue for wrongful rejection of time claims.

27. Certification & Quantum Claims Minefield

Exercising independent professional judgment to issue, adjust, or withhold interim valuations, final accounts, progress payments, or completion certificates.

PAM Form of Contract 2018 (Clauses 15.0, 25.0, 30.0), HDA Schedules G & H

Exploding into legal disputes over under-certification, over-certification, non-certification, late certification, or incomplete certifications that trigger CIPAA adjudications or court battles.

28. Post-DLP Warranty & Latent Defect Claims

Assessing, verifying, and managing technical disputes concerning latent defects, structural failures, or waterproofing breakdowns surfacing long after the Defects Liability Period (DLP) has expired.

Common Law of Tort (Latent Damage Act equivalents), Principal / Performance Warranties, Strata Management Act 2013

Getting dragged into unexpected legal claims and expert witness depositions years after project handover because latent structural or material defects manifest outside the standard 24-month DLP window.

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Architects: Privileged Position

Architects Act 1967 (Act 117)

architect's duty transcends who pays the fee.

transparently, impartially, without fear or favour

safeguard public safety, health, and welfare

ensuring safety, quality, and contractual fairness are never compromised by commercial pressures

to safeguard public safety, health, and welfare.

→ Heritage of trust enshrined in the Constitution

● Trained, knowledgeable professional

▶ Unyielding Certifications - public, stakeholders, purchasers

✓ Weighted duty and responsibility

▶ design, selection materials, supervision, compliance to UBBL

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Court or Food Court:

Staying Out of Trouble

Now and Later

Resolve issues over teh tarik before trust erodes and toxic culture embedded – firm and fair.

Keeping and maintaining contemporaneous documents & records [not on WA] – 4W, 1H

Causation may be design, materials not necessarily workmanship.

Quick and decisive action – Give & Take. Early Action – de escalate.

Hold bi-monthly engagement lunch with non-project management

→ Resolve disagreement early

● Document everything, keep contemporaneous records

▶ Determine causation linking defects to root causes

✓ Act Early, Expert Determination

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Knowing Our Duty and Limits

Redefining Contractors

→ Adversarial Contracts by nature

● Impossible to capture every detail, specification, situation

▶ Owning up to Oversights, Mistakes

✓ True enemy is Time, Cashflow & Ego – not the Contractor

→ S&PA - Paper promises to Reality

▶ transposed to Building Contract

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Programming & Cash Flow

Master Work Program

→ Navigating complex Primavera or Microsoft Project schedules tracking critical paths—skills architects and engineers were never trained to handle.

Cash Flow Reality

→ Contractor face 3 to 4 months of unpaid work and negative cash flows until superstructures finish.

Challenges in Contract Administration

→ variations, delays, and statutory compliances.

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CHINAA-mari : Imports, Workmanship Gaps

▶ Cheena-mari

→ Wholesale import of direct materials and prefabricated systems

→ Non-compliant components bypassing local tests

→ Compellingly cheap, substitution

▶ Workmanshit

→ Differing site execution cultures on site

→ Expedient is not Compliant

→ Core & Shell vs CCC

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▶ Liability

→ Use of non-compliant imported materials

⚠ Interface between prefab and wet works

⚠ Liability over CCC

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KayL - mari

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▶ Overwhelmed

→ Locals localizing lousy layout

⚠ fast fast

⚠ cheap cheap – price wars

⚠ good good

⚠ in service & quality

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Nothing remains static

Change is constant

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Ai

Get on… or get off

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Baking the

Proverbial Cake

Construction Reality

→ Trying to mix the cake inside the hot oven while designing, detailing, and adjusting with the timer already ticking.

→ Construction methodology cannot wait for complete design; everything happens at once under extreme heat.

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Who Watches the Watchmen?

→ Supervision

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● oversight & quality on modern sites.

  • Certification

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⚠ Inexperienced Personnel

● Clerks of works and inspectors often lack proper technical training.

▶ Train trainer

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Who Trains the Trainer?

  • Cannot rush through practical experience, knowledge and exposure

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SYSTEMIC DEFECTS: Roof Drainage, Waterproofing & Large Format Tiles

⚠ Structural-Architectural Silo Driven designs

→ Noticeable design disconnects between architects and engineers

→ Roof Water Downpipes (RWDP), roof drainage, and waterproofing

■ Large Format Tiles

→ large format floor tiles, concrete creep, thermal cracks prevalent

→ Significant risk of tile failure under thermal movement

▶ Blame Game

→ Interface failures trigger finger-pointing

→ Liability disputes consultants and contractors

Sifu mana

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“okay, here’s the diagnosis..

your sinking fund

just sunk…”

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Penny Wise = Lifetime of Defects, Safety & Maintainability Issues

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① Statutory Pressures

→ UBBL compliance requirements

→ Housing Development Act obligations

→ Strata Titles Act complexities

→ Construction regulations oversight

② Scale & Complexity

→ Mixed strata developments

→ Transit-Oriented Developments

→ Massive legal layers added

→ Complex planning requirements

Show Menara 118 contract terms & Binapuri

PARANG Contract

Understanding pitfalls

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Understanding minefields

③ Premature Tenders

⚠ Premature Tenders

⚠ Drawings still incomplete

⚠ Details not yet finalized

⚠ Scope gaps left unresolved

④ Separated Awards

■ Fragmented contractor packages

■ Mixed Strata / Phased

■ Blame shifting between parties

■ Interface gaps left unmanaged

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Show Menara 118 contract terms & Binapuri

Shotgun Contract

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Enter Experts - Hired Guns

1

Adversarial Contracts

→ Contracts built as zero-sum games

■ Someone loses money or gets short-changed

2

Hired Guns

→ Markets saturated ‘’experts’’

■ Specialists in delays, quantum, and defects

3

Asymmetric Warfare

⚠ Architects engineers traditionally ill-equipped

■ Not resourced to face voluminous, heavy expert reports

4

Multi-Million Battles

→ Architect inevitably drawn in

■ Claims running into millions

Like Ai – autonomous and irreversible

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As-Built Drawings

& Documents

(S&PA and SMA)

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‘mining’ for data

(Project Documents)

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Integrity

is ‘Expensive’