A Comparative Analysis of Frozen Estates in Malaysia and Indonesia

Abstract

In Malaysia, a frozen estate is an estate of a deceased owner that has not been administered by the beneficiaries even after six months have passed from the owner’s death and refers to freehold land, where the annual rent is payable by the heirs. However, difficulties with unclaimed estates are critical, since it has been stated that the latest valuation of unclaimed estates in West Malaysia stands at RM90 billion in 2021. As a result, despite assertions that these estates have diverse effects, the total number of non-administered estates cannot be determined. Therefore, the purpose of this article is to examine frozen estates in Malaysia and Indonesia. The debate employs a comparative approach by examining contemporary sources and secondary materials such as case law, statute legislation, and other non-legal and legal literature. This study indicates that Malaysia and Indonesia are both dealing with frozen estates, with a large number of frozen estates causing loss to beneficiaries as well as both countries.