Malaysia
Can you sue over a cancelled concert? What to know about refunds, tribunals, and class action options
In cases of event or concert cancellation by the organiser, ticket purchasers are generally entitled for a full refund of the ticket price. — Picture by Shafwan Zaidon.

KUALA LUMPUR, July 16 – Imagine: you managed to secure a ticket to catch your favourite singer or band live in action for the first time.

As anticipation and excitement build up, just 10 days before the concert, you’ve received a rather unfortunate notification saying that the concert you’re going to has been cancelled by the organiser.

For example, yesterday around 20 fans of Onew of the K-pop group Shinee were forced to host a press conference to claim refunds from a cancelled fanmeeting event last year.

If you are in the same boat, don’t get overwhelmed by emotions yet, as, not all is at loss. You may just be entitled to a refund and some form of compensation, especially if you think the cancellation was done unfairly by the organiser.

From refund eligibility to other legal route suggestion – here are some pointers on what to do after a concert or an event is cancelled in Malaysia:

1. Double-check the information and gather your ticketing receipts

In the era of misinformation, it is wise to double-check the cancellation announcement and make sure that the announcement was made by the official event organiser or promoter themselves.

Although it is required for the organiser or promoter to inform ticket holders of the cancellation at least via an email, there are also a few ways to check this. One of it is by visiting their official social media pages such as their Facebook or Instagram or even their website.

In some cases, ticket purchasers would also receive an email from the ticketing platform where they purchased the tickets from.

Once you have confirmation that the event is cancelled, gather all evidence of your ticketing details.This includes receipt of purchase and confirmation email, as well as travel accommodations such as flight tickets and hotel reservations — which can be categorised as additional losses for those who had to travel to the cancelled concert.

This is because in Malaysia, ticket purchases are protected by the Consumer Protection Act 1999.

Generally, you are entitled to a full refund of the ticket price if the organiser were the one who cancelled the event as this is considered a fundamental breach of contract, where they failed to provide the service.

In this case, this would cover the concert that you’ve paid for, and this also includes compensation for additional losses.

However, in cases of a force majeure event such as flooding or a pandemic, claiming compensation for additional losses from the organiser is difficult as the organiser could argue that the situation is beyond their control.

2. Be on the lookout for refund notices

This is one of the crucial parts, especially if you want your refund.

In cases of event cancellation in Malaysia, ticket holders would need to keep a keen eye on refund announcements and instructions. This is mainly because ticket holders would, more often than not, need to submit their personal details along with the ticketing receipts.

Refunds are usually processed through the original payment method used for the purchase.

Among the most common documentation that ticket holders must prepare include: a photocopy of ticket holders national registration identity card, physical or digital ticket of the event, confirmation email (for online purchases), travelling and accommodation details, as well as refund forms (if there’s any).

Do take note of the refund application deadline as well as the timeline of refund process set by the organiser which could sometimes take up to weeks or in some cases, even months.

Although there are no specific regulations on how long an organiser can take to process their refunds, reputable organisers would normally specify their refund processing timelines in their terms and conditions beforehand, which typically takes around 30 days.

3. Lodge a complaint with Trade Ministry

At this point, you might already feel that the organiser is treating you rather unfairly when it comes to getting your refund.

But fret not, as there's also the Ministry of Domestic Trade and Cost of Living (KPDN), which is the primary government body in Malaysia for consumer complaints.

Gather all the proper documentations including your receipts, back and forth messages and emails with the organiser along with details of the event and its cancellation before filing a complaint.

Lodging a complaint with KPDN is also a good method for starting an initial report.

There are several ways you can go about your complaints with KPDN and this includes:

  • e-Aduan Online Portal: file a complaint via its official portal here by registering an account and providing them with details of your event cancellation and your attempts at getting a refund. Don't forget to attach all of your supporting documents as well.
  • ezAdu Mobile Application: Download the ezAdu application from your smartphone's Play Store or App Store and file your complaints through the app which allows you to also upload all the necessary supporting documentation needed.
  • WhatsApp: Text your complaints via 019-279 4317 or 019-848 8000. Make sure to include your full name, MyKad number, contact number, mailing address, name, and address of the event organiser, proof of purchase and a clear explanation of your complaint.
  • Call centres and email: Reach out to KPDN official hotlines at 1-800 886 800 (Toll-free hotline) or 03-88826088/6245 (Enforcement Command Centre) or email to e-aduan@kpdnhep.gov.my.

Or you can also visit the nearest KPDN office in your area.

Once you've submitted your complaints, you will receive a complaint reference number or a notification of acknowledgement by KPDN and you can also check your complaint progress and its investigation status via the e-Aduan Online Portal.

A class action lawsuit would allow one or more persons to represent others who share the ‘same interests’ in a legal action. — Picture by Choo Choy May .

4. Malaysian Consumer Claims Tribunal (MCCT)

When it comes to issues with refunds and seeking compensation from the organiser, the Malaysian Consumer Claims Tribunal (MCCT) is the effective formal route if direct negotiations with the organiser or ticketing platform has failed.

MCCT is established under section 85, Part XII of The Consumer Protection Act 1999 and its purpose is to provide a convenient, inexpensive, and speedy alternative to civil courts for consumers to seek redress for disputes related to goods and services.

So, how does MCCT actually work? First, you will need to fill up 'Form 1' which is available to download via https://ttpm.kpdn.gov.my and fill up your details along with a brief of the event details and its cancellation, the event organiser name and its company’s registration number.

Also be sure to include the amount you’re claiming, in this case the ticket price, along with additional losses if there’s any.

You can then submit the form physically at any MCCT branches in your area, or even online via the e-Tribunal Portal. There’s also a filing fee of RM5.

For those submitting their claims physically, be sure to prepare four copies of the ‘Form 1’ in advance. Once you’ve completed the claim submission, you would later need to serve one copy of your ‘Form 1’ and four copies of ‘Form 2’ to the organiser’s company address personally or via post.

The organiser will then have 14 days to file out their defence in ‘Form 2’ and submit it to MCCT where the Tribunal will later set a hearing date for both you and the organiser.

Unlike a court proceeding, Tribunal hearings do not allow lawyers – you and the organiser will present and defend the case in front of a Tribunal president, whose role includes to act as a mediator and facilitator during the hearing.

The Tribunal's primary aim is often to mediate a settlement between the parties. If an agreement is reached, it will be recorded as a consent award. However if no settlement is reached, the Tribunal president will hear both sides and make an ‘Award’ which is legally bound.

If the Award goes into your favour, the organiser will have to comply with the Award within 14 days. Iin cases of the organiser failing to comply within that time frame, you may also lodge a non-compliance complaint to the MCCT’s Enforcement Division.

This will result in a fine up to RM10,000 or imprisonment of up to two years or both while for every day of a continuing offence. The organiser is also liable to a fine between RM100 to RM5,000 for each day.

It is also worth noting that MCCT claims are capped at RM50,000 only and for civil claims exceeding the total amount can pursue their case at the civil courts.

5. Class Action Lawsuit

If it turns out that you are not the only one affected, and there are other like-minded fans who are seeking refunds and compensation from the organiser – a class action lawsuit or representative proceedings might help.

A class action lawsuit would allow one or more persons to represent others who share the ‘same interests’ in a legal action.

This also means that the case will be presented at any one of these civil courts. This includes Magistrate’s Court for civil claims amounting up to RM100,000, Session’s Court for civil claims amounting between RM101,000 to RM1 million while the High Court can hear all monetary claims.

Court proceedings are complex in general which requires legal strategy and which is why the group of plaintiffs would need to hire a lawyer to advise their best course of action.

Unlike the MCCT, civil court proceedings are not just complex but more expensive. You would have to cover legal expenses, and it is also time-consuming — a proceeding could take from months up to years before a court judgement is made.

However, on the brighter side a class action lawsuit would have greater impact in terms of pressuring a company in reaching a comprehensive settlement compared to a single individual claim. It is also more likely to garner greater attention from the public.

Class action lawsuit is also cost-efficient as you can divide the legal fees and disbursements among the group of plaintiffs while also avoiding clogging up the courts with identical issues by resolving common issues for an entire group.

In conclusion, for those who are seeking refunds and compensation for a cancelled concert or live events by the organiser, individually, MCCT is the recommended course of action. This course of action is cheaper and isn't as time-consuming as civil court proceedings.

But in cases of representing a group with a collective civil claim amounting over RM50,000, taking the class action lawsuit route would be ideal, but it is best to get legal advice from a lawyer.

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