PERWIRA HABIB BANK (MALAYSIA) BERHAD V LUM CHOON REALTY SDN BHD

PERWIRA HABIB BANK (MALAYSIA) BERHAD V LUM CHOON REALTY SDN BHD

The Federal Court (majority) dismissed the bank's appeal and upheld the Court of Appeal's decision setting aside the order for sale; the procedural non-compliance identified rendered the order defective such that the order for sale could be set aside, and the appeal against that setting aside was dismissed with costs.

Citation
PERWIRA HABIB BANK (MALAYSIA) BERHAD V LUM CHOON REALTY SDN BHD
Parties
Appellant / Chargee / Plaintiff: Perwira Habib Bank Malaysia Bhd; Respondent / Chargor: Lum Choon Realty Sdn Bhd
Court
Malaysian court
Jurisdiction
Malaysia
Procedural Posture
Civil Appeal to Federal Court / Final Judgment on Appeal (appeal Dismissed)
Outcome
Appeal dismissed; Court of Appeal order setting aside order for sale upheld
Legal Topics
Charge, Order for Sale, Foreclosure, Compliance With Procedural Rules (o.83 RHC 1980), National Land Code S.254/256/257
Source Language
en
Land Law Civil Procedure Charge Order for Sale Foreclosure Compliance With Procedural Rules (o.83 RHC 1980) National Land Code S.254/256/257

Case Brief

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Parties

Perwira Habib Bank Malaysia Bhd

Appellant / Chargee / Plaintiff

Lum Choon Realty Sdn Bhd

Respondent / Chargor

Procedural Posture

Civil Appeal to Federal Court / Final Judgment on Appeal (appeal Dismissed)

Legal Issues

  1. 1 Whether failure to state precise amount due in pre-statutory letter of demand renders application for order for sale defective
  2. 2 Whether non-compliance with O.83 r.3(3)(c) and r.3(7) RHC 1980 by not stating interest in arrears and daily interest renders an order for sale defective
  3. 3 Whether Court of Appeal decision finding non-compliance conflicts with Federal Court decision in Low Lee Lian v. Ban Hin Lee Bank Bhd

Ratio Decidendi

The Federal Court (majority) dismissed the bank's appeal and upheld the Court of Appeal's decision setting aside the order for sale; the procedural non-compliance identified rendered the order defective such that the order for sale could be set aside, and the appeal against that setting aside was dismissed with costs.

Court Disposition

Appeal dismissed; Court of Appeal order setting aside order for sale upheld

Orders

  • Appeal dismissed with costs
  • Order for sale dated 15 October 1987 set aside