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The new updates will expand the power of rental relief assessors, as well as extending arrangements for remote meetings during the COVID-19 pandemic.
Updates to the COVID-19 (Temporary Measures) Act were passed on 4 September, which will expand the power of rental relief assessors, as well as extending arrangements for remote meetings during the COVID-19 pandemic, reported Channel News Asia (CNA).
The update comes four months after the Act was enacted in April in order to provide relief as well as mechanisms to support individuals and businesses amid the pandemic.
Suggested read: COVID-19 (Temporary Measures) Act: How Property Buyers Can Apply for ABSD, OTP and S&P Relief
The Act was amended in June to provide small- and medium-sized enterprises a rental relief framework and enhance the relief for those that have been affected by the pandemic.
The Ministry of Law (MinLaw) revealed that over 6,800 parties have sought temporary relief for their inability to comply with their contractual obligations.
“The Bill today builds on the reliefs that we have already put in place, by ensuring that they can be implemented more smoothly and more efficiently, and to make sure that the reliefs get to the ground in the best possible way,” said Second Minister for Law Edwin Tong in Parliament as quoted by CNA.
Aside from mandating equitable co-sharing of rental obligations between the landlords, tenants and the government, the rental relief framework also provides additional rental relief to tenants substantially affected by the COVID-19 pandemic.
A landlord can apply for an independent rental relief assessor if he is unable to reach an agreement with his tenant. The independent rental relief assessor will help ascertain the eligibility of the tenant for rental waivers as well as the eligibility of the landlord to provide a lower amount of rental waivers, based on financial hardship.
The MinLaw has served over 7,000 Notifications for Relief via its electronic system as of 1 September, said Tong. It also received 1,272 applications for determinations by assessors, of which almost 60% have already been dealt with in around four months.
“The relief measures have been a lifeline for many Singaporeans and local businesses,” said Tong, adding that the amendments are made following feedback from the ground.
The amendments will expand the rental relief assessors’ powers, enabling them to make determinations on unresolved disputes relative to the amount of rent to be waived. For example, rental relief assessors will address charges which are not covered by the reliefs, such as service and maintenance fees, are not broken down in the lease agreement.
The new update also extends the time frame for alternative virtual arrangements for meetings that require personal attendance, which was originally due to expire by end of September. Examples of such meetings are annual general meetings, trade union meetings and town council meetings.
Amendments were also made to ensure the smooth interaction at different dispute resolution mechanisms.
Under Part 8 of the Act, which is yet to come into force, parties to some types of contracts are given a mechanism with which to obtain relief should they be affected by breaches or delays in supply, construction or related contracts.
“This was introduced in light of the severe impact that COVID-19 had on the construction industry,” explained Tong as quoted by CNA.
He cited the example of a contractor who was unable to use the equipment he rented from a supplier as the worksite had been closed during the circuit breaker period.
“This would be where Part 8 can come in to play a part to resolve the matter in a just and equitable manner between the parties,” he said.
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Victor Kang, Digital Content Specialist at PropertyGuru, edited this story. To contact him about this or other stories, email victorkang@propertyguru.com.sg