Recovery of Rents – Writ of Distress

What is a Writ of Distress in Malaysia?

A Writ of Distress is a legal remedy available to landlords in Malaysia to recover unpaid rent from a tenant by seizing and selling the tenant’s goods and assets located on the tenanted property. This procedure allows landlords to enforce the payment of overdue rent without terminating the tenancy.

Under what circumstances can a landlord apply for a Writ of Distress?

A landlord can apply for a Writ of Distress when a tenant has defaulted on rent payments. The landlord must provide evidence that the rent is overdue and that the tenant has failed to make the required payments. The application is usually made for rent that is not older than 12 months.

What is the procedure for obtaining a Writ of Distress in Malaysia?

The procedure for obtaining a Writ of Distress involves several steps:

1. Filing an Application: The landlord files an application for a Writ of Distress with the Magistrate’s Court or the Sessions Court, depending on the amount of rent due.
2. Supporting Affidavit: The landlord submits an affidavit detailing the tenancy agreement, the amount of overdue rent, and any previous attempts to collect the rent.
3. Court Order: If the court is satisfied with the evidence, it issues a Writ of Distress authorizing the bailiff to seize the tenant’s goods.
4. Execution of the Writ: The court-appointed bailiff executes the Writ by entering the tenanted property and seizing the tenant’s goods to cover the unpaid rent.
5. Sale of Goods: The seized goods are auctioned off to recover the overdue rent. Any surplus funds after satisfying the rent arrears and costs of the distress are returned to the tenant.

What types of goods can be seized under a Writ of Distress?

Generally, movable goods located on the leased property can be seized under a Writ of Distress. This includes furniture, appliances, equipment, and other personal property of the tenant. However, certain goods are exempt from seizure, such as:

• Tools of Trade: Essential tools and equipment necessary for the tenant’s trade or profession.
• Perishable Goods: Items that are likely to spoil or perish quickly.
• Tenant’s Personal Effects: Essential clothing and bedding.

Can a tenant challenge a Writ of Distress?

Yes, a tenant can challenge a Writ of Distress on several grounds:

• Improper Service: If the Writ was not properly served.
• Excessive Distress: If the value of the goods seized far exceeds the amount of overdue rent.
• Incorrect Arrears Calculation: If the tenant disputes the amount of rent claimed as overdue.
• Illegal Items Seizure: If exempt items were seized improperly. The tenant can file an application in court to set aside or stay the Writ of Distress, and the court will hear the arguments from both parties before making a decision.

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Disclaimer

_{Articles published in this website are for general informational purpose only and shall not constitute any form of legal advice to any specific case. Kindly contact us if you are currently experiencing a legal dilemma related to this topic and need further legal consultation.}