Glossary

Defect Liability Period (DLP)

The Defect Liability Period (DLP) is a mandatory 24-month window after vacant possession during which the developer is legally obligated to repair any defects in your property at no cost to the buyer.

In Detail

Under Malaysia’s Housing Development Act, the DLP begins from the date of vacant possession (VP) and lasts exactly 24 months. During this period, the developer must rectify any defects in workmanship, materials, or design — including structural defects, water leakage, electrical faults, and finishing defects (cracked tiles, paint issues, poorly fitted fixtures). To exercise your DLP rights, document all defects in writing with photos and submit them to the developer. Most developers conduct a joint inspection within the first month of VP where both parties identify and record defects. Keep records of all defect reports and the developer’s responses. After the 24-month DLP expires, the developer’s obligations under the SPA end, and any repairs become the owner’s responsibility. For structural defects, additional protection may exist under the Strata Management Act.

Investment Impact

Use the DLP period actively — inspect your property thoroughly and report all defects within the first few months. For investors buying pre-completion, the DLP provides a safety net for construction quality. Properties from reputable developers typically have fewer DLP claims and faster resolution.

Frequently Asked Questions

What defects are covered during the DLP?
All defects in workmanship, materials, and design are covered — including water leaks, cracked tiles, electrical faults, plumbing issues, and structural defects. The developer must repair these at no cost.
What happens after the DLP expires?
After 24 months, the developer’s repair obligations under the SPA end. Any subsequent defects are the owner’s responsibility, unless they are structural defects covered under separate provisions of the Strata Management Act.

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