Construction developers agree on revolutionary code of ethics

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A code of ethics issued by the Malta Developers Association binds its members to comply with all applicable laws, including tax laws, civil law obligations, and environmental regulations.

The code, the first of its kind for the notorious construction lobby, is a revolutionary culture change from practices involving the illegal development of entire buildings which are only sanctioned by MEPA

The new code of ethics also defends the consumer from misleading property descriptions, and misleading advertising.

Members are forbidden from asking potential buyers to sign binding preliminary purchase agreements without giving them reasonable opportunity to reflect on the contract and to obtain legal advice.

And significantly developers are not allowed to enter into a promise of sale of property which is not covered by a full MEPA permit, unless potential purchasers are clearly informed of this.

Developers are also expected to respect third party rights by showing “due respect to the rights of owners and or occupiers of properties neighbouring sites that they develop or intend to develop”.

And rather than maximise the number of apartments in every nook and cranny members are expected to build apartments which provide “adequate living space.”

And developers are also made responsible for the actions of their contractors and employees when it comes to health and safety regulations.

The MDA has also set up an institutional framework to enforce the regulations. The Association is to nominate a Disciplinary Board consisting of a Chairman and two independent members, who are not MDA members. Complaints that a member has not acted in accordance with the Code of Ethics will be referred to this Disciplinary Board. A member will be liable to immediate expulsion from the MDA if the member fails to rectify his or her position if found in default of the Code of Ethics.

James Debono is MaltaToday's chief reporter on environment, planning and land use issues, ...

More from James Debono

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"1 cowboy developer (or a huge one like Mizzi for example) can ruin it for the rest"? Look at Sliema and the pastazata that it is today. You need legislation that is enforced. No code of ethics. I agree with Hamrija. Buildings without a permit must be demolished. That is the only way builders will learn. And why do they keep building new apartments when the building industry is at its knees. I imagine they intend to house the refugees in them as people from North Europe will not buy property in Malta when nicer property is available elsewhere for half the price.

Alfred Galea •

Cons., do you really think that these guys can police themselves?? What do you think they'll do if one of the big sharks decide he doesn't like this "code of ethics"?? The only one who can police them is the government, only problem is it can't even police itself, the Fenech-Arsenal incident is a good example, and they have the govt. in their back pockets.

Jon Sciberras •

Tal-Hamrija, I suggest you stay there, your extreme views are unwarranted. I think its a step in the right direction and its very important to rope in all the developers, because 1 cowboy developer (or a huge one like Mizzi for example) can ruin it for the rest.

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I think this code is a step in the right direction. I.ve been bitten once by a cowboy(-still at court after 14 years) because he tried to sell me a house, used as a collateral for his bankrupt business, and, when my lawyer and notary found out his mis-deed, this cowboy took me to Court to retrieve my" kapparra" Obviously I did not buy the house but am still fighting at Court for my deposit!

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Are the rumours going around that apartments in St Julians etc were officially sold at Lm80,000 to the Russian and Bulgarian Mafias who paid for them 500,000 Lm instead of the official Lm80,000 shown on the contract? This is simply money laundering if this is true, but the grapevine is usually proved right.

Alfred Galea •

Manipulators setting up a code of ethics for manipulators....which none of them will follow.

Michael Gauci •

Any property built without a permit should be demolished and the builder fined heavily. All overseas bank accounts held by building magnates should be liable to tax, 80%. All building must cease on Malta, there are 100,000 empty properties,we need no more for 100 years. Any building magnate not abiding by the rules should be imprisoned indefinately.

Construction developers agree on revolutionary code of ethics

The Malta Developers Association has issued a code of ethics to be enforced by a regulatory board which will usher a revolutionary change in the behaviour of building contractors.