The Ministry of Domestic Trade and Cost of Living (KPDN) has announced that it’s aiming to introduce a lemon law or amend existing acts related to defective vehicles in March 2025. Its Minister, Datuk Armizan Mohd Ali said that the new law or amendments to existing law is meant to provide a more comprehensive consumer protection framework in line with current demands.
As reported by Bernama, Armizan said that a group of law experts has been appointed to prepare a report on best practices implemented in several countries and hold engagement sessions with relevant parties. He added that they will start work from June until the end of September and submit a comprehensive report to KPDN.
Lemon Law provides a remedy for buyers of motor vehicles and other consumer goods to obtain compensation for products that repeatedly fail to meet quality and performance standards. Armizan said there are 4 laws with Lemon Law features such as the Consumer Protection Act (Act 599), the Contract Act 1950, the Sale of Goods Act 1950 and the Hire-Purchase Act 1967.
In the meantime, KPDN will implement 2 interim consumer protection strategies, namely the establishment of a negotiation task force for motor vehicle complaints involving a tripartite negotiation among the ministry, buyers and distributors or manufacturers and strengthening the process of the Tribunal for Consumer Claims Malaysia (TTPM) through the cooperation with Bank Negara Malaysia (BNM). This special negotiation involves new private vehicles (cars or motorcycles) not more than 6 months old from the date of registration that are still under the valid warranty period and have yet to be modified, among other things.
The KPDN Minister said consumers facing issues with their new motor vehicles whose initial claims with the manufacturers have been unsuccessful can submit their complaints through the ministry’s official channels. KPDN is also getting BNM’s cooperation to facilitate the issuance of consent letters by banking or financial institutions to allow consumers to make compensation claims at TTPM or the court.
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