26/12/2018

SHARING :
RESEARCH ON SITUATION
OF A DECEASED
ARCHITECT , HOW
PROJECT IS TAKEN OVER
BY NEW ARCHITECT AND
WHO OWNS THE
COPYRIGHT
Prepared by:

Ar Ridha Razak

Research by Ar Ridha Razak 1

 26/12/2018

EVER WONDER WHAT

HAPPEN WHEN AN
ARCHITECT PASS AWAY?

DEATH OF AN ARCHITECT. WHAT TO DO AND WHAT HAPPENS?

The SOP

1. Person Declared Dead

2. Inform hospital/ police to attend and pronounce
time of death
3. Bring to mosque or obituary
4. Burial
5. Bring letter from Doctor to Pejabat pendaftaran
to get Death Certificate within 7 days
6. After 7 days – late registration and compound
7. Distribute copy Death Certificate to the relevant
parties.

Research by Ar Ridha Razak 2

 26/12/2018

WHAT IS THE
IMPLICATION TO HIS
ARCHITECTURAL LIFE?

CONSIDERATION IMPLICATION DEATH OF AN ARCHITECT

DEATH/INCAPABLE OF AN ARCHITECT

THING TO CONSIDER

LAM SSM Office Family Client

Registration as Registration Admin On going Inheritance/

an Architect for ACP Inform Others works Transfer
Such as client. shares
Staffing On going
Tax work

Entitle for
fee due

Letter of
Sole Partnership BC/MDP Remaining Fees Due Release
prop scope

Appoint new
Architect

Ar Ridha Razak

Research by Ar Ridha Razak 3

 26/12/2018

LAW RELATED TO DEATH/INCAPABLE OF AN ARCHITECT

Law Sections and Regulations

Architect Act S15 – Power board to investigate (n) unsound mind (p) Incapable
Architect Act S16a – Removal from Register of Architect due to death
Architect Act Schedule under Subsection 3(5) 1- Incapable to be LAM Board
member
Architect Rules COE 25- in the Event Architect death or incapacity , engagement
terminated.
Architect SOMF Fee increase by 30% by new Architect when taking over a job by
deceased Architect
Circular 2/2007 – Waiver of LOR for Deceased Architect
UBBL 7 BL 7(3): if the original qualified person is incapacitated, the
owner must produce evidence prior to appointment of a
substitute to LA.
Companies Act 2016 S 209 Resignation, Vacation or Death of sole director or last
remaining director

Ar Ridha Razak

IMPLICATION TO THE LAM

REGISTRATION OF ARCHITECT /
ACP

Research by Ar Ridha Razak 4

 26/12/2018

REGISTRATION OF COMPANY AND ARCHITECTURAL CONSULTANCY PRACTICE

REGISTERED
ARCHITECT UNDER
TO REGISTER AS
ARCHITECT ACT ENTERPRISE
ACP ANY PERSON
WITH LAM

SOLE PROP SOLEPROP/

PARTNERSHIP

ARCHITECTURAL PARTNERSHIP LIMITED COMPANY

CONSULTANCY LIABILITY REGISTERED
PRACTICE (ACP) PARTNERSHIP UNDER ROC
BODY
CORPORATE

COMPANY
MULTI
DISCIPLINARY

WHAT HAPPENS TO THE ARCHITECTS REGISTRATION OR SOLE PROP

(ACP) WHEN AN ARCHITECT PASS AWAY?

Removal from Register of Architects, etc.

16. There shall be removed from the Register the name and other particulars
of - any Architect, Graduate Architect or foreign architect who has died, or
architectural consultancy practice which has ceased to practise;

Note
1. The spouse, heir ,relative , client must submit proof to Lembaga Arkitek Malaysia
to cancel the registration.

2. As long as the proof or death certificate has not been submitted to LAM,
cancelation of registration cannot be confirm. Onus on Family or client.

3. The ACP registration cancelation subject to business arrangement of the

deceased heir as follows:-
- Heir of deceased has no one to take over
- Heir of the deceased has a family member may be able to take over the
rights of the deceased.
- Heir wishes to transfer rights to another related heir ACP
- ACP has other partners.

Research by Ar Ridha Razak 5

 26/12/2018

IS THE REGISTRATION OF SOLE PROP AUTOMATICALLY TERMINATED

WHEN DECEASED?
1. No, LAM may only act upon receive of Sole Prop
deceased
the proof or JPN death certificate.

2. Should there be no family whom is an

Ar who intends to take over with the No heir Other Family is
an Ar or
name, the Sole prop shall be Graduate
terminated. LAM remove
the sole prop
from list Apply to LAM to
3. If the family ie spouse, kids, son/ take over using
daughterinlaws or grand children same name
whom is an Ar wishes to take over, he
may do so provided he does not have
Ar Graduate
a sole prop in place. He may retain the
name of the sole prop.
No ACP Have Sole Have already To pass
4. Should the successor is a graduate prop maximum P3 within
ACP quota by 6 month
Architect in progress of obtaining his LAM
Architect registration, LaM may allow
LAM ALLOW TO
for 6 month or more grace period. CONTINUE
SOLEPROP UNDER
SAME NAME

WHAT HAPPEN WHEN A DECEASE IS A DIRECTOR IN BODY

CORPORATE?

LAM process director

deceased
1. ACP must inform LAM within 30
days for any changes in accordance
to Arch Act 7A (4)
Left with 1 Ar Director Left More than
2. The surviving partner must inform 2 Ar director
LAM of its intention to find a new
partner . Within 30 days inform
LAM
3. Failure may result to disciplinary There after, To find Don’t need
action by LAM. replacement replacement.

SSM Process
1. Accordance to new S209 Company Propose by Propose by heir (subject
company to share transfer)
Act 2016, company can have single
director or last remaining director.
2. No requirement to find Elect New Director at
replacement. SSM
Others submit Did not
1. Subject to MOA condition between
partners or directors to be Submit to LAM Fail to submit,
within 30 days Disciplinary may
adhered. take action

Research by Ar Ridha Razak 6

 26/12/2018

IMPLICATION TO THE OFFICE AND

THE ARCHITECT WORK/ CLIENT

WHAT HAPPEN TO THE ASSET/ STAFF & TAX

S/P Architect Deceased

Heir

Office

Assets Staffing Tax

Movable Immovable
Employment Staff maybe The Heir Settle by
maybe retain if the may heir
terminated if heir transfer
value the company qualified staff to
above RM
cease to and takes other ACP
less RM 2 2 million exist. over the
million or with Staff free to company.
Or no will will leave.

PTG High Court

Ar Ridha Razak

Research by Ar Ridha Razak 7

 26/12/2018

DEALING WITH DECEASED ASSETS

Asset
• The heir shall list down the asset and monies available.

Ar Ridha Razak

WHAT HAPPEN TO THE DECEASED INCOME TAX? IS IT

WAIVED?
No. In accordance to Income Tax act 1967 S74 –

Deceased Executor :
Trustee, Heir must pay on behalf
of the deceased

Payment of tax shall be debt

payable out of deceased estate

Executors must make provisions of

tax before distributing deceased
asset.
Executor fail = penalty to amount
of tax or other penalty

Ar Ridha Razak

Research by Ar Ridha Razak 8

 26/12/2018

WHAT HAPPEN TO ALL HIS WORKS?

Code of engagement

25. Death and Incapacity

(1) In the event of the death or incapacity of the Professional Architect

• who is a sole proprietor,
• the Architect's engagement shall be regarded as terminated.

(2) The client may,

• on payment of all outstanding fees and other dues in respect of the
engagement of the Architect,
• make use of all drawings and documents prepared by the Architect,
• provided that they are only for the purpose of implementing the project on
the site
• on which the design was originally prepared.

DO YOU NEED A LOR FOR A PROJECT LEFT BY THE DECEASED

ARCHITECT?

Circular 2/2007

• 5.11 When the Architect

dies or is incapacitated and
his architectural consultancy
practice has no legal capacity
to carry out his services and
responsibility.

• To ensure all outstanding fee

to the deceased family is
settled.

• LOR may be waived by LAM

Research by Ar Ridha Razak 9


TAKING OVER PROJECT FROM A
DECEASED ARCHITECT
RIGHTS OF THE DECEASED ARCHITECT VS NEW ARCHITECT
As you will be the new Architect, you have to respected the
legitimate rights of the previous Deceased Architect.
Rights of Deceased
Fees His remaining fees should be paid
to either his inheritors, to his
company or beneficiary or in
accordance to his will.
Copy right He or his inheritor or his previous
ACP retains the copyright unless
transferred to client
Research by Ar Ridha Razak
26/12/2018
Rights of the new
Architect
His rights only commence after LOR
has been receive either from LAM or
ACP Partner or Director.
His fees should be increase by 30%
during Construction Management
Phase.
He should be remunerated
accordingly if taking the works at Final
Completion stage
The rights to use the drawings to
complete the project.
10
 26/12/2018

CONSIDERATION IN TAKING PROJECT OF A DECEASED ARCHITECT

1. Taking over a deceased project, What are the considerations?

• What the heir wants
• What the client wants
• Single project or multiple projects
• Consider Goverment project or Private projects.
• Consider the project stages.
• Lay out each project progress percentage.
• Define remaining scope
• Define fees

CRUCIAL STAGE CONSIDERATION FOR TAKING OVER JOB

FROM DECEASED ARCHITECT

The stage of taking over project:

SCHEMATIC DESIGN CONTRACT CONTRACT FINAL

/ DESIGN DOCUMENTATION IMPLEMENTATION COMPLETION
DEVELOPMENT MANAGEMENT
A. Taking over before B. Taking over C. Taking over D. Taking over
BP is approved? after BP approved after Borang B is before Borang F
before submitted or is issued?
construction? during
construction?

Research by Ar Ridha Razak 11

 26/12/2018

DETERMINING THE NEW ARCHITECT RESPONSIBILITY

SCHEMATIC DESIGN / CONTRACT CONTRACT IMPLEMENTATION FINAL COMPLETION
DESIGN DEVELOPMENT DOCUMENTATION MANAGEMENT
Responsibility A. Taking over before BP B. Taking over after BP C. Taking over after Borang B is submitted D. Taking over before Borang F is issued?
is approved? approved before or during construction?
construction?
Professional • Advise client to • Advise client to obtain • Advise client to obtain waiver of LOR • Advise client to obtain waiver of LOR
obtain waiver of LOR waiver of LOR from from LAM from LAM
from LAM LAM • Confirm LOR and agree on • Confirm LOR and agree on
• Confirm LOR and • Confirm LOR and agree appointment. appointment.
agree on on appointment. • Determine scope and fees remaining ie • Determine scope and fees remaining ie
appointment. • Determine scope and 30% increased as per SOMF 27(3) 30% increased as per SOMF 27(3)
• Determine scope fees remaining.
and fees remaining.
Statutory • Inform PBT that taking • Inform PBT that taking over the job • Inform PBT that taking over the job
over the job from from deceased Architect as per UBBL 7. from deceased Architect as per UBBL 7.
deceased Architect as • Discuss with PBT on the need to • Discuss with PBT on the need to
per UBBL 7. resubmit plans formality for change of resubmit plans formality for change of
• Discuss with PBT on the PSP. PSP.
need to resubmit plans • Do due diligence of the project to satisfy
formality for change of it has complied to approve plan
PSP. • Ensure building fit for purpose, safe and
health for occupation
• Issue CCC.
Contractual • Request client and contractor for all • Request client and contractor for all
documentation for the project documentation for the project
• Check stages of certification for borang • Check stages of certification for borang
G G and facilitate for CCC
• Request for the necessary survey and • Perform Contract Admin task for DLP,
test. Final ACC, CMGD and Final Cert
• Administer contract till CPC
• Coordinate and facilitate all G forms
Moral • Advise client to inform purchaser on • Advise client to inform purchaser on
change of Architect. change of Architect.
• Certify remaining progress billing • certify relevant HDA cert surplus or all
certificates. monies for developer.
• Certify SOP

PERFORMING YOUR DUE DELLIGENCE AS A NEW ARCHITECT

SCHEMATIC DESIGN /
DESIGN DEVELOPMENT
A. Taking over before BP
is approved?
Schematic Design
DOCUMENTS TO CHECK
CONTRACT CONTRACT IMPLEMENTATION FINAL COMPLETION
DOCUMENTATION MANAGEMENT
B. Taking over after BP C. Taking over after Borang B is D. Taking over for DLP and final
approved before submitted or during Accounts after CPC , CCC, VP
construction? construction?
Statutory Documents Statutory Documents Statutory Documents

1. Land Title
2. Initial Sketch
3. Design report
4. Perspective
5. Softcopy design
drawings
6. Estimates
7. KM approval if any
8. Laporan Cadangan
pemajuan if any
Design Development
1. Design report
2. Perspective
3. Softcopy Drawing to
the current stage
4. Estimates
1.BP Drawings
2.Fire Drawings
3.Structure Drawings
4.SPA & SPA drawings
5. Strata SOP Drawings
Tender or Contract
Drawings
1. Approve design by
client.
2. Hard copy current
drawings
3. Material lists
4. Softcopy current
drawings
1.BP approval Drawings 1.BP approval Drawings
2.Bomba Drawings 2.Bomba Drawings
3.Structure Drawings 3.Structure Drawings
4.SPA drawings 4.SPA drawings
5.Strata SOP Drawings 5.Copy of Borang F and G forms
6.Current signed G Forms
7.Current Stage of Infrastructure Construction Documents
works – water, sewage, TNB 1.Contract documents
8.All Progress billing Certificate 2.Construction drawings and soft
copy.
Construction Documents 3.All instructions
1.Contract documents 4.All progress reports
2.Construction drawings and soft 5.All minutes of site meeting and
copy. technical meeting
3.Site Diary 6.All evidence of approve shop
4.All instructions drawings & material
5.All progress reports 7.Tests reports
6.All minutes of site meeting and
technical meeting
7.All unattended Request for
information
8.Non Compliance report.
9.All evidence of approve shop
drawings & material
10.Tests

Research by Ar Ridha Razak 12

 26/12/2018

COMMON ISSUES

COMMON ISSUES

ISSUE 1: FAMILY FAIL TO INFORM ON THE DEATH OF ARCHITECT

ISSUE 2: CLIENT REFUSE TO PAY THE HEIR.
ISSUE 3: DISPUTE IN QUANTUM OF FEES TO BE PAID TO THE HEIR
ISSUE 4: WHO DOES THE CLIENT PAY TO?
ISSUE 5: ACP -PARTNERSHIP or BC CANNOT FIND A REPLACEMENT
PARTNER OR DIRECTOR.
ISSUE 6: WHO OWNS THE COPY RIGHT OF THE DESIGN?
ISSUE 7: CAN CLIENT REPRODUCE THE DOCUMENTS FOR NEW
ARCHITECT USE FOR COMPLETING THE PROJECT
ISSUE 8: IS THE NEW ARCHITECT LIABLE FOR G2,G8 & G12, if
PREVIOUS DECEASED ARCHITECT HAVE SIGN FOR IT?
ISSUE 9: FEE TOO LITTLE FOR TAKING OVER OF WORK DURING
FINAL COMPLETION (BEFORE F FORM IS ISSUED)

Research by Ar Ridha Razak 13

 26/12/2018

CONCLUSION

CONCLUSION

1.THERE HAVE BEEN MANY OCCURRENCE OF DECEASED ARCHITECT

IN THE LAST FEW YEARS.

2.DEATH OF ARCHITECT IMPACTS VARIOUS PARTIES IN THEIR

PROJECT.

3.IT IS RECOMMENDED FOR ARCHITECT TO PREPARE FOR THIS

THROUGH
- THE WRITING OF HIS WILL
- TO NAME A SUCCESSOR
- TO HAVE PROPER AGREEMENT FOR THE DISTRIBUTION OF
WEALTH TO HIS HEIR.

4. FOR ARCHITECT THAT INTENDS TO TAKE OVER, PLEASE BE WELL

PREPARED AND CONSIDER ALL IMPLICATIONS.

Research by Ar Ridha Razak 14

 26/12/2018

THE END

Research by Ar Ridha Razak 15