JMB First AGM
The Developer’s Handover Obligations (Malaysia)

General guidance for 2026 — not legal advice. The Strata Management Act 2013 and its 2015 Regulations govern this; confirm specifics with your Commissioner of Buildings (COB) or a strata lawyer. Need strata repair/maintenance help? Ask us →

The first AGM of the Joint Management Body (JMB) is a pivotal event in the life of any strata building. It is the legal moment the JMB comes into existence and the point at which management responsibility formally transfers from the developer to the elected committee representing the purchasers. Getting it right — and knowing what to demand from the developer — protects every owner’s investment. For a full overview of the JMB lifecycle, see our JMB complete guide →.

The 12-month deadline and what triggers it

The Strata Management Act 2013 establishes a clear obligation: the developer must convene the first AGM of the JMB within twelve (12) months from the date of delivery of vacant possession (VP) of the parcels.

Key points about this deadline:

• The trigger is the date of delivery of vacant possession — when the developer hands over the keys and the parcel is available for occupation. This is documented in the sale and purchase agreement and the VP notice.
• The 12-month period runs from the first delivery of VP in the development, not from the last. If your block received VP earlier than others, the clock started then.
• The developer is responsible for organising and convening the meeting within this 12-month window — it is not the owners’ obligation to call the first AGM.
• The JMB legally comes into existence on the date the first AGM is convened. Until that date, the developer manages the common property and collects Charges under the developer’s management period framework.

Note the date of your VP delivery — it starts the clock. If the developer is approaching or past the 12-month mark without calling the AGM, owners should act. See the section on developer failure below.

The developer’s management period before the first AGM

Between VP and the first AGM, the developer is responsible for managing and maintaining the common property and collecting Charges from owners. During this period:

• The developer determines and imposes Charges (maintenance fees) on the parcel owners.
• The developer must maintain a maintenance account and a sinking fund account into which the Charges are paid.
• The developer must effect insurance (fire and public liability) on the building during this period.
• All accounts and funds collected during the developer’s management period must be audited and then handed over to the JMB at the first AGM.

Owners who believe the developer is over-charging, under-maintaining, or mismanaging funds during this period can raise complaints with the Commissioner of Buildings (COB). See strata management complaints →.

What must be on the first AGM agenda

The first AGM is more than a routine annual meeting — it is a formal handover and constitution-building event. The agenda must cover at minimum:

1. Opening and establishment of quorum
2. Developer’s report on the management period — covering maintenance work done, expenditure, and the condition of common property
3. Presentation and adoption of audited accounts for the developer’s management period
4. Handover of funds — confirmation of the balance of the maintenance account and sinking fund to be transferred to the JMB
5. Handover of documents and records — as-built drawings, contracts, warranties, by-laws, keys and access devices
6. Confirmation or adoption of by-laws
7. Election of the JMC — nominations and election of committee members
8. Election of office bearers by the newly elected JMC
9. Budget approval and setting of Charges for the coming period
10. Any other business

Owners should receive the agenda, audited accounts, and draft budget before the meeting so they can review them and come prepared with questions.

The developer’s handover obligations at the first AGM

The handover is one of the most important events in the JMB’s formation. The developer must transfer control of the building’s management, records, and funds to the JMB. Failing to hand over any of these items is a breach of the Act and should be immediately raised with the COB.

The handover covers financial items, building documents, and operational items. See the detailed table below.

Developer handover checklist

Electing the first JMC at the first AGM

The election of the first Joint Management Committee (JMC) is the most consequential item on the first AGM agenda. Without an elected committee, the JMB cannot function. Key points:

• Any parcel owner (or their authorised representative) who is not in arrears may nominate themselves or another eligible person for the committee.
• Election is typically by a show of hands or a poll by share units at the AGM.
• Once elected, the JMC members proceed (often immediately after the AGM) to elect the office bearers — Chairman, Secretary, and Treasurer — from among themselves. See JMB office bearers guide →.
• The newly elected committee is in office from the moment of election until the next AGM.

Owners who want a well-run committee should come to the first AGM prepared: identify candidates who have time to commit, basic financial or property management knowledge, and the willingness to act in all owners’ interests.

What happens immediately after the first AGM

The newly elected JMC has several immediate tasks:

1. Open JMB bank accounts — a separate maintenance account and a separate sinking fund account in the JMB’s name at an approved bank, with the required signatories.
2. Receive the handover funds — confirm receipt of the balances from the developer’s accounts.
3. Notify the COB — give notice to the Commissioner of Buildings of the JMB’s establishment and provide the required details. See JMB registration with the COB →.
4. Review all service contracts — audit what the developer handed over, identify contracts expiring soon, and assess whether to renew, re-tender, or terminate.
5. Review and confirm insurance — ensure the building’s fire and public liability insurance is current and adequate.
6. Confirm or adopt by-laws — ensure the building’s prescribed and any additional by-laws are properly in place and that owners are informed.

Common first-AGM problems

• Developer delays calling the AGM — the most common problem. If the 12-month deadline passes, owners should write to the developer and the COB. The COB has powers to compel the developer to act.
• Incomplete or unaudited accounts presented — owners should refuse to adopt accounts that have not been properly audited. Raise this at the meeting and record the refusal in the minutes.
• Missing documents — as-built drawings and compliance certificates are frequently missing or incomplete at handover. Record each missing item in the minutes and set a written deadline for the developer to provide it.
• Insufficient funds in the maintenance or sinking fund accounts — if the developer has not properly collected or has misused Charges during the management period, this is a serious breach. Raise with the COB and consider a Tribunal application. See Strata Management Tribunal →.
• Low owner attendance — a poorly attended first AGM can result in a committee that does not represent the broad interest of owners. Owners must be properly notified and encouraged to attend or send a proxy.
• Developer representative dominates the meeting — the first AGM is still often chaired by the developer. Owners should be assertive about the agenda, ask for all items to be addressed, and insist on proper records.

What if the developer fails to convene the first AGM?

If the developer fails to convene the first AGM within twelve (12) months of delivering vacant possession:

1. Write to the developer — put the demand in writing, citing the 12-month obligation under the Strata Management Act 2013, and set a reasonable deadline for the developer to confirm the AGM date.
2. Lodge a complaint with the COB — the Commissioner of Buildings has powers to investigate and direct the developer to comply. The COB is the primary regulatory body for strata management. Contact the COB at the local authority where the building is located. See JMB registration with the COB →.
3. File at the Strata Management Tribunal — the Tribunal handles disputes arising under the Strata Management Act 2013 and can make orders compelling the developer to act. See Strata Management Tribunal guide →.
4. Consult a strata lawyer — if the developer is unresponsive and the COB has not acted, legal advice on enforcement options (including injunctions) may be needed.

Owners’ pre-first AGM checklist

Summary: the JMB first AGM at a glance