PUSAT MEDIASI COVID-19

Jabatan Perdana Menteri

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Pusat Mediasi COVID-19

The Pusat Mediasi COVID-19 (PMC-19) is established by the Government to assist public in resolving their dispute in respect of any inability to perform contractual obligation arising from any of the categories of contracts specified in the Schedule [Section 7] of the Temporary Measures For Reducing The Impact of Coronavirus Disease 2019 (COVID-19) 2020 [Act 829] due to the measures prescribed, made or taken under the Prevention and Control of Infectious Diseases Act 1988 to control or prevent the spread of COVID-19. The dispute sum for the mediation process under PMC-19 should not exceed RM500,000.00.

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PMC-19 Services

Mediation Application

Mediation application for dispute between two parties.

Mediation Appeal

Mediation subsidy appeal.

Mediation Status Check

Review of application status and mediation results.

PMC-19
Objective of PMC-19
PMC-19
Function of PMC-19
PMC-19
Advantages of PMC-19
PMC-19
Eligibility Criteria for PMC-19 Subsidy
PMC-19
Eligibility Criteria for PMC-19 Service Application
PMC-19
PMC-19 Mediation Service Application Procedure

Dispute Contract Category

Disputes that are eligible for consideration should be listed in the following nine (9) categories:

Construction

Construction work contract or construction legal contract and any other contract relating to the supplier of materials, equipment or construction workers related to a construction contract.

Performance Bond

Performance bonds or the like granted refers to a construction contract or supply contract.

Event

Event contract for the provision of any place, accommodation, facilities, transportation, entertainment, catering or other goods or services.

Tourism

Contracts by tourism operators under the Tourism Industry Act 1992 [Act 482] and contracts for the promotion of tourism in Malaysia.

Professional

Professional service contract.

Lease or renting

Lease or rental of immovable and not residential property.

Religious Pilgrimage

Contracts relating to religious pilgrimage.

Hire-purchase agreement

Hire-purchase agreement as defined under Hire-Purchase Act 1967 [Act 212] or leasing contract, that has been entered into by micro enterprises, B40 or M40 class of persons as specified in the Inland Revenue Board of Malaysia database, as the case may be, for the following vehicles:

(a) motor vehicles as classified under section 5 of the Road Transport Act 1987 [Act 333];

(b) goods of public service vehicle-

  • in relation to Peninsular Malaysia, has the meaning assigned to it in the Land Public Transport Act 2010 [Act 715]; or,
  • in relation to Sabah, Sarawak and Federal Territory of Labuan, has the meaning assigned to it in the Commercial Vehicles Licensing Board Act 1987 [Act 334]; or

(c) tourism vehicle-
  • in relation to Peninsular Malaysia, has the meaning assigned to it in the Land Public Transport Act 2010 [Act 715]; or
  • in relation to Sabah, Sarawak and Federal Territory of Labuan, has the meaning assigned to it in the Tourism Vehicles Licensing Board 1999 [Act 594].

Credit Sales Contract

Credit sales contract under the Consumer Protection Act 1999 [Act 599].

PMC-19 Application

Download the mediation service agreement form


Agreement to Mediate Form

User Manual



User Manual

PMC-19 registration and mediation services


PMC-19 Registration

Frequently Asked Question

  1. What is PMC-19?

    2. The Pusat Mediasi COVID-19 (PMC-19) is established by the Government to assist public in resolving their dispute in respect of any inability to perform contractual obligation arising from any of the categories of contracts specified in the Schedule [Section 7] of the Temporary Measures For Reducing The Impact of Coronavirus Disease 2019 (COVID-19) 2020 [Act 829] due to the measures prescribed, made or taken under the Prevention and Control of Infectious Diseases Act 1988 to control or prevent the spread of COVID-19. The dispute sum for the mediation process under PMC-19 should not exceed RM500,000.00.

  2. How can PMC-19 be contacted?

    3. PMC-19 can be contacted for any further information and enquiries via:

    • pertanyaan@pmc19.gov.my for enquiries about to PMC-19
    • aduan@pmc19.gov.my for complaints about PMC-19.
    • PMC-19 Office Number: 03 – 8872 7070

  3. When will PMC-19 commence operations?

    4. PMC-19 will commence operations on the 16 November 2020 onwards.

  4. How long does it take to process mediation applications at PMC-19?

    5. The processing period for mediation services application through PMC-19 is fourteen (14) working days from the date upon receiving complete application documents.

  1. What is mediation?

    2. Mediation is an alternative method of dispute resolution recognized by Malaysian Law under the Mediation Act 2012 [Act 749]. Mediation makes it easier and more affordable for the parties involved in the dispute to resolve their disputes quickly and effectively without going through litigation process.

  2. How does the mediation process take place?

    3. Mediation is a voluntary negotiation process facilitated by a third party known as a Mediator. When the disputing parties reach an agreement after mediation, the parties shall enter into a Settlement Agreement. The Settlement Agreement must be in writing, signed and shall be binding on the parties.

  3. What is the role of a mediator in a mediation process?

    4. A mediator in the mediation process is a facilitator that assist parties in negotiating and achieving an amicable solution for their dispute. The Mediator will remain independent and unbiased throughout the mediation process and is a neutral party and does not favour any parties involved in this mediation process.

  4. What are the advantages of a mediation process?

    • A mediation process is a platform where parties resolve their dispute within a short period of time without involving any litigation process.
    • It can be done at minimal cost with the assistance of a mediators who is a neutral party.
    • Mediation provides ‘win-win situation’ mechanism for both parties.
    • Mediation is cooperation through consultation between the parties to reach a fair settlement as no prosecutor and no advocate are involved in the mediation process.
    • Recommendations and decisions made up from the disputing parties with the assistance of a mediators who is a neutral party.
    • The mediator will work with the disputing parties to find an amicable solution and agreed by both parties.

  5. Which act governs Mediation in Malaysia?

    6. Mediation in Malaysia is governed under the Mediation Act 2012 [Act 749].

  6. Is mediation under PMC-19 subject to the Mediation Act 2012?

    7. No, it is subject to the provisions under the Temporary Measures to Reduce The Effects of Coronavirus Disease 2019 (COVID-19) 2020 [Act 829].

  1. What are the requirements to apply for the mediation services under PMC-19?

    2. Requirements to apply for mediation services under PMC-19 are as follows:

    • dispute is caused by the failure of any party to perform contractual obligations due to the measures taken by the Government to curb the spread of the COVID-19 pandemic;
    • dispute arose from any of the categories of contracts specified in the Schedule [Section 7], Temporary Measures to Mitigate the Effects of Coronavirus Disease 2019 (COVID-19) 2020 [Act 829];
    • disputed contract must be a written contract;
    • both disputing parties must agree to the mediation process under PMC-19; and
    • the dispute sum must not exceed RM500,000.00.

  2. Is the application for mediation services involving more than two parties allowed at PMC-19?

    3. The mediation process through PMC-19 only allows for disputes between two parties only.

  3. What are the eligibility criteria for Government subsidised mediation?

    4. The PMC-19 mediation cost will be borne by the Government for individuals under the B40 (household income of RM4,849.00 and below) and M40 (household income of RM4,850.00 to RM10,659.00) category. The Government will also bear the mediation costs for Micro and Small SMEs (Small Medium Enterprises) as per the following table:

    CATEGORY MICRO SMALL
    Manufacturing Sales turnover of less than RM300,000.00 OR Full-time employees should be less than 5. Sales turnover from RM300,000.00 to less than RM15 million OR full-time employees from 5 to less than 75 people.
    Services and Other Sectors Sales turnover from RM300,000.00 to less than RM3 million OR full-time employees from 5 to less than 30 people.

  4. Can parties who are not eligible for the subsidy, still go through the mediation process under PMC-19?

    5. For individuals or SMEs who are not eligible for Government's subsidy, they can still go through the mediation process under PMC-19 at a prescribed payment rate of RM 2,000.00 (RM 1,000.00 per party).

  5. Can bankrupts or wound up companies apply for mediation process under PMC-19?

    6. Bankrupts or wound up companies may apply for mediation services under PMC-19. However, they need to obtain an approval from the Director of the Department of Insolvency.

  6. How do I apply for mediation services under the PMC-19?

    7. Application for mediation services under PMC-19 can be done online via www.pmc19.gov.my.

  7. If the applicant is not eligible for mediation services offered under PMC-19, can the applicant apply for mediation services in Court?

    8. Yes, but mediation services offered in Court require the case to be filed in court in accordance to the court procedure.

  8. Where will be the location/venue for the mediation session under PMC-19?

    9. The location of the mediation session will be determined by the mediator but if the mediator is unable to provide a venue for the mediation session, the location will be determined by PMC-19.

  9. Can the mediation sessions under PMC-19 be conducted virtually?

    10. Mediation under PMC-19 is conducted physically but mediation sessions can also be conducted virtually if the need arises.

  10. What are the criteria for the applications to be considered?

    11. The application must fulfil the following criteria to be deemed successful:

    • Successfully pass the COVID-19 Relatedness Assessment;
    • Submit complete information; and
    • Submit the Agreement to Mediate Form signed by both parties within the stipulated timeframe.

  11. Can mediation be carried out if there is a disagreement from one party?

    12. No, mediation requires the consent from both parties.

  12. How much does it cost for a mediation session if one is not eligible for government subsidy?

    13. The fee charged for Mediation services under PMC-19 is RM 2,000.00 per session of 4 hours (RM 1,000.00 per party)

  13. If one of the applicants is not eligible for subsidy, will the mediation process still be carried out?

    14. Yes, it can still be carried out. Individuals who are not eligible for subsidy can still go through the mediation process provided they make the payment of RM1,000.00 for one mediation session directly to the Mediation Service Provider (MSP) and provide proof of payment to PMC-19. (This will be guided through the website)

  14. What is the duration of a mediation process?

    15. The duration of one mediation session is four (4) hours. However, this may be extended.

  15. Can the number of sessions be extended?

    16. Yes, number of sessions can be extended subject to the dispute sum being RM 150,000.00 – RM 500,000.00 and the mediator thinks that the mediation requires additional sessions.

  1. Are applicants allowed to appeal for unsuccessful mediation applications?

    2. Appeal applications for mediation services via PMC-19 can be submitted only once via www.pmc19.gov.my.

  2. How is the appeal process implemented by PMC-19?

    3. Applicants need to submit an appeal through the PMC-19 system. Decision on appeal will be notified via e-mail within 21 days from the date of receiving complete document.

  3. Does the applicant need to be physically present at the PMC-19 office for any mediation application?

    4. Applicants do not need to be physically present at the PMC-19 Office. All mediation applications are submitted online.

  4. What is the maximum number of sessions allowed for mediation?

    5. Dispute Value Session/Time Amount subsidized by the Government
    RM1.00 - RM150,000.00 1 Session (4 Hours) Maximum RM2,000.00
    RM150,001.00 – RM500,000.00 4 Sessions (16 Hours) Maximum RM8,000.00


    Illustration 1:
    Lim and Yusof are parties to a dispute relating to a supply of construction materials contract. The dispute sum is RM70,000.00. Lim and Yusof have agreed to apply for mediation services under the PMC-19 and both qualify for subsidy. For the above amount of dispute, the Government fully bears the mediation process amounting to a maximum of 4 hours only. As the dispute sum is less than RM150,000.00.

    Lim and Yusof were unable to resolve their dispute within 4 hours and agreed for additional mediation sessions. Lim and Yusof will have to bear the additional mediation costs in full at RM2,000.00 for the additional session (4 hours). The process of applying for additional mediation session must be done directly to the relevant Mediation Service Provider. Ideally, they will both split the cost of mediation.

    Illustration 2:
    Syarikat XYZ and Syarikat ABC are disputing party to a construction contract. The dispute amount is RM290,000.00. Both companies qualify for subsidy from the government. The maximum number of mediation sessions are up to 4 sessions (16 hours). The decision to extend the mediation may be made by the mediators up to 2 sessions and additional sessions up to 4 sessions may be made with the approval of PMC-19. Any additional sessions beyond 4 sessions (16 hours) will be borne by the respective parties.

  1. Are there any rules or guidelines regulating the mediation process at PMC-19?

    2. The rules governing the mediation process under the PMC-19 are the PMC-19 Mediation Rules.

  2. If the disputed parties have a dispute value of more than RM500,000.00, what is the avenue available to them?

    3. Parties may refer the dispute to the relevant Mediation Service Providers such as Malaysian Mediation Centre (MMC), Asian International Arbitration Centre (AIAC) or any other private mediators.

  3. What happens if a person breaches the terms of a Settlement Agreement?

    4. In the event of a breach of a settlement agreement, the affected party may bring the matter to court for non-compliance of the Settlement Agreement.

  4. Can mediation under PMC-19 still take place after an action has been taken?

    5. Mediation under PMC-19 is not required if action has been taken or a dispute has been resolved.

Contact Us

Any questions or further information, please contact us at:

Pusat Mediasi Covid-19
Aras 4, Bangunan Setia Perdana 3
Kompleks Setia Perdana
Pusat Pentadbiran Kerajaan Persekutuan
62502 PUTRAJAYA
+603 8872 7070
pertanyaan@pmc19.gov.my