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As part of its efforts to enforce the Solicitors Remuneration Order, 1991 and the no discount rule, the Bar Council convened a joint meeting of professional bodies on 24 November 2005. The meeting took place at the Bar Council Secretariat and was chaired by the President of the Malaysian Bar. The response from the other professional bodies was overwhelming and the end result of the meeting, most encouraging.

The objective of the meeting was to discuss and agree on a joint memorandum by professional bodies on the necessity and desirability for scale fees to be maintained and to inform the public that it is not in the interest of the public or the various professions for professional fees to be decided entirely by market forces.

Representation

The Malaysian Bar was represented by Yeo Yang Poh (President), Ragunath Kesavan (Hon. Secretary), Tuan Hj Asmadi Awang (Council Member & Deputy Chair of CPC), Roger Tan (Council Member & Member of CPC), Andrew Wong (Member of SRO Enforcement Committee) and Ms. Emily Lee (Executive Officer).

The Association of Consulting Engineers Malaysia (ACEM) was represented by Ir. Mohd Rousdin Hassan (President) and Ir. Wan Razali Muda (Hon. Secretary).

The Board of Engineers Malaysia was represented (BEM) by Ir. Ashari Mohd Yakub (Executive Director).

The Board of Quantity Surveyors Malaysia (BQSM) was represented by Tuan Haji Basar Juraimi (Board Member and Chairman of Scale Fees and Practice).

The Malaysian Institute of Accountants (MIA) was represented by Johnny Yong (Manager, Practice Matters Department).

The Malaysian Institute of Planners (MIP) was represented by Ishan Zainal Mokhtar (Chairman of Professional Practice Committee).

The Malaysian Medical Association (MMA) was represented by Dr. M Ponnusamy (Hon. General Secretary).

The Institution of Engineers Malaysia (IEM) was represented by Ir. Rocky HT Wong (Committee Member of IEM and Past Chairman of ACEM).

The Institution of Surveyors Malaysia (ISM) was represented by Noushad Ali Naseem Ameer Ali (Vice-President), Datuk Hj. Md. Isahak Md. Yusud (Past President), Abdul Hadi Abdul Samad (Secretary, Land Surveying Division), Low Han Hoe (Secretary, Property Consultancy & Valuation Surveying Division), Dr. Rosli Abdul Rashid (Johor Bahru Chairman), Eddie Wong Weng Heng (Chairman, Quantity Surveying Division) and Sarkunan Subramaniam (Councillor).

Professional bodies governed by scale fees

Johnny Yong from MIA informed the meeting that he is attending as an observer as accountants' fees are not governed by a statutory scale, although there is in force, recommended scale fees for audit services. MIA will therefore not be a party to the joint memorandum which touches on fixed scale fees.

Dr. Ponnusamy from MMA informed the meeting that although currently MMA members are not governed by statutory scale fees, MMA is in full support of a joint memorandum setting out the benefits of scale fees and would like to be a signatory to the joint memorandum, notwithstanding.

Tuan Hj Basar Juraimi from BQSM informed the meeting that currently quantity surveyors are governed by scale fees which are not mandatory, but steps are being taken to make the scale fees mandatory in nature. The BQSM is in full support of a joint memorandum and will be a signatory.

Apart from MIA, MMA and BQSM, all the other professions represented at the meeting are governed by mandatory scale fees.

Architects absent

President Yeo informed the meeting that the Lembaga Arkitek Malaysia (LAM) and Pertubuhan Akitek Malaysia (PAM) have both declined an invitation to attend the meeting on the grounds that architects do not have a fixed scale of fees but rather a minimum scale of fees. PAM feels that as their minimum scale of fees are already provided for under the Architect's Act, it is not something that needs to be addressed at this moment.

Datuk Hj Md Ishak from ISM expressed regret and concern that the LAM and PAM are not present and will not be parties to a joint memorandum. This may affect the impact of the joint memorandum, as architects are the key players in the building and property related industries.

It was unanimously decided the joint memorandum should be expanded to cover "scale fees" rather "fixed scale fees" to cater for all professions. After a draft has been agreed upon, it should be forwarded to LAM and PAM, with a request that they reconsider their stand on this matter.

Johnny Yong from MIA agreed that since the joint memorandum will be expanded to cover scale fees and not fixed scale fees, he will bring this to the attention of MIA for further consideration on its role in this matter.

It was also unanimously decided that an invitation be extended to the Board of Valuers, the Land Surveyor's Board and the Association of Valuers in Private Practice, to be parties to the joint memorandum.

The Joint Memorandum

The contents of a joint memorandum on scale fees were unanimously agreed upon by all present. The gist of the memorandum is that professional services are intellectual and creative products and are not commodities. Scale fees are to set a benchmark to establish a reasonable level of remuneration commensurate with the provision of professional services of an acceptable and recognised standard. All the professional bodies will affirm that it is necessary and desirable for scale fees to be maintained and that effective and stringent measures be taken by professional bodies to enforce their respective scale fees.

The agreed final draft joint memorandum will now be circulated to all the professional bodies for the final approval by its governing bodies.

All the professional bodies present agreed to attend a joint press conference in early January 2006 to be organised by the Bar Council, when the joint memorandum will be officially announced and released to all relevant parties, and most importantly, to Rehda.

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