Contractor ordered to refund client RM25,000 for delay in Mersing dream home construction


Mohd Najib’s dream bungalow in Mersing was only 37% completed.

FOR a Johor Baru lorry driver, the joy of seeing his family’s single-storey bungalow completed might not come for a while.

Last year, Mohd Najib Mohd Yunos, 45, from Taman Pulai Indah, hired a building contractor to construct his dream home.

He entrusted plans for the 25ft by 32ft house with 800sq ft built-up floor area to the contractor whose registered business address is in Endau.

The bungalow, costing RM108,000 and situated in Kampung Air Puteri, Mersing, about 126km from Johor Baru, was to have been built using pre-fabricated construction.

According to the claimant, the construction agreement was signed between him and the contractor on Sept 23, 2024.

“The contractor had to finish building the house by Sept 23 this year,” he said when met outside the Johor Consumer Claims Tribunal in Menara Ansar, Johor Baru.

Mohd Najib made two progressive payments of RM40,000 and RM24,800 respectively on Sept 20 and 21, 2024, on the respondent’s claim that 60% of the house had been completed.

He made another payment of RM21,600 on Oct 23 after the contractor said 80% of the house had been completed.

Mohd Najib said a few weeks after that, the contractor called to borrow money, but he did not entertain this request.

“The contractor sent a reminder via message on Dec 22, asking me to settle the final payment of RM21,600 in order for him to finish the project.”

He added that the contractor claimed that construction was progressing well.

Upon a site inspection, however, the claimant found that the house was less than 50% completed and building progress was behind schedule.

Having lost confidence in the contractor, the claimant refused to make the final payment.

In February, Mohd Najib filed a case with Tribunal, demanding the contractor refund RM50,000 for failing to finish the project.

The case was heard on March 20, 2025, before tribunal president Hafez Zalkapli who ordered both parties to hire registered quantity surveyors to assess the project’s progress.

“It is necessary to hire a quantity surveyor as the RM50,000 claimed by the claimant is the maximum and we need an independent third party to evaluate the project,” Hafez had ordered.

When the hearing resumed on May 14, the quantity surveyor report submitted by the claimant showed that the project was only 37% completed.

The respondent asked the tribunal for more time to engage a quantity surveyor.

Hafez rejected the respondent’s request and ordered him to refund RM25,000 to the claimant within two weeks.

The president also rejected the RM21,600 final payment in the respondent’s counterclaim.

Those who need assistance regarding Tribunal matters can call 07-227 1755/1766.

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