YKK (Malaysia) Sdn Bhd Pengarah Tanah dan Galian Johor

YKK (Malaysia) Sdn Bhd Pengarah Tanah dan Galian Johor

Clause 7, contained in a statutory qualified lease, does not create a private law contractual right binding the State Authority to an automatic 30-year renewal; renewal of state leases is governed by the National Land Code (notably s78(3) and s90A) and remains a statutory discretion subject to registration and administrative steps. The claim required public law remedy (judicial review) and specific performance against the State is barred; accordingly the originating summons was unsustainable and the appeal is dismissed.

Citation
01(f)-23-08/2019(J) (Mahkamah Persekutuan)
Parties
Appellant / Plaintiff: YKK (Malaysia) Sdn Bhd; Respondent / Defendant: Pengarah Tanah dan Galian Johor
Court
f
Jurisdiction
Malaysia
Judgment Date
16 July 2021
Case Number
01(f)-23-08/2019(J) (Mahkamah Persekutuan)
Procedural Posture
Civil Appeal (federal Court) / Final Judgment on Appeal From Court of Appeal (leave Granted)
Outcome
Appeal dismissed; Court of Appeal decision affirmed
Legal Topics
Lease Renewal, Statutory Lease, National Land Code 1965, Judicial Review, Legitimate Expectation, Specific Performance, State Land Alienation
Source Language
Malay/English
Land Law Administrative Law Contract Law Property Law Public Law Lease Renewal Statutory Lease National Land Code 1965 +4 more

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Parties

YKK (Malaysia) Sdn Bhd

Appellant / Plaintiff

Pengarah Tanah dan Galian Johor

Respondent / Defendant

Procedural Posture

Civil Appeal (federal Court) / Final Judgment on Appeal From Court of Appeal (leave Granted)

Legal Issues

  1. 1 Whether alienation of state land by qualified lease under the National Land Code 1965 gives rise to a private law contract enforceable in private law
  2. 2 Whether Clause 7 (Option to Renew) created a binding contractual obligation on the State Authority
  3. 3 Whether the plaintiff's proceedings should have been by judicial review (Order 53) rather than originating summons

Ratio Decidendi

Clause 7, contained in a statutory qualified lease, does not create a private law contractual right binding the State Authority to an automatic 30-year renewal; renewal of state leases is governed by the National Land Code (notably s78(3) and s90A) and remains a statutory discretion subject to registration and administrative steps. The claim required public law remedy (judicial review) and specific performance against the State is barred; accordingly the originating summons was unsustainable and the appeal is dismissed.

Court Disposition

Appeal dismissed; Court of Appeal decision affirmed

Orders

  • Appeal dismissed
  • Decision of the Court of Appeal affirmed