On 1 July 2021, Part 8C of the COVID-19 (Temporary Measures) Act 2020 (“Part 8C“) and the subsidiary legislation in the COVID-19 (Temporary Measures) (Part 8C Relief) Regulations 2021 (“Part 8C Relief Regulations“) came into operation. Part 8C serves to provide support to developers who face delays in the construction of properties due to the pandemic and are unable to meet the date of delivery of vacant possession to purchasers under the Sale and Purchase Agreement (“SPA“). Part 8C also allows purchasers to seek, from developers, reimbursement of certain qualifying costs (capped at 70% of the liquidated damages which the developer would originally have been liable under SPA) for expenses incurred by the purchasers as a result of the delay in delivery of possession of their units (after the delivery date/vacant possession date stated in the SPA).
This Update provides an overview of the key features of Part 8C and the Part 8C Relief Regulations.
For more information, click here to read the full Legal Update.
