Lau Lie Nian 1. ) Talent Team Sdn Bhd 2. ) Tetuan Soh Hayati & Co

Lau Lie Nian 1. ) Talent Team Sdn Bhd 2. ) Tetuan Soh Hayati & Co

The court upheld the Sessions Court: the RM5,000 was a stakeholder sum (not a booking fee) payable to the solicitors; accordingly LAD calculation begins from the SPA date (25.09.2015) not the stakeholder payment date; the Housing Controller's extensions of time were valid and cannot be nullified in this private action absent prior judicial review in the High Court; the 2nd Respondent cannot be compelled to release stakeholder funds to pay LAD because clause 30 and s22E HDA prohibit release absent conditions and doing so would breach fiduciary, professional and statutory duties. Therefore no LAD payable and no release of stakeholder sum.

Citation
WA-12ANCvC-109-03/2020 (Mahkamah Tinggi)
Parties
Appellant / Plaintiff: Lau Lie Nian; 1st Respondent / Defendant: Talent Team Sdn. Bhd.; 2nd Respondent / Defendant (stakeholder Solicitors): Tetuan Soh Hayati & Co
Court
High Court
Jurisdiction
Malaysia
Judgment Date
22 October 2021
Case Number
WA-12ANCvC-109-03/2020 (Mahkamah Tinggi)
Procedural Posture
Civil Appeal (appeal From Sessions Court) / High Court Rehearing Under Order 55 Rule 2 of the Rules of Court 2012
Outcome
Appeal dismissed with costs; decision of Sessions Court upheld
Legal Topics
Liquidated Damages, Housing Development Act (schedule H), Stakeholder Funds and Duties, Extension of Time (eot) by Housing Controller, Judicial Review Vs Private Action, Vacant Possession, Strata Title, Breach of Fiduciary Duty, Release of Stakeholder Sum
Source Language
Malay/English
Contract Law Housing & Real Property Law Administrative Law Trusts and Fiduciary Law Civil Procedure Professional/regulatory Discipline Liquidated Damages Housing Development Act (schedule H) +7 more

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Parties

Lau Lie Nian

Appellant / Plaintiff

Talent Team Sdn. Bhd.

1st Respondent / Defendant

Tetuan Soh Hayati & Co

2nd Respondent / Defendant (stakeholder Solicitors)

Procedural Posture

Civil Appeal (appeal From Sessions Court) / High Court Rehearing Under Order 55 Rule 2 of the Rules of Court 2012

Legal Issues

  1. 1 From what date are liquidated ascertained damages (LAD) calculated (booking fee payment date or SPA date)?
  2. 2 Was the RM5,000 payment a booking fee or a stakeholder sum?
  3. 3 Are the two extensions of time granted by the Housing Controller valid and challengeable in this private action?

Ratio Decidendi

The court upheld the Sessions Court: the RM5,000 was a stakeholder sum (not a booking fee) payable to the solicitors; accordingly LAD calculation begins from the SPA date (25.09.2015) not the stakeholder payment date; the Housing Controller's extensions of time were valid and cannot be nullified in this private action absent prior judicial review in the High Court; the 2nd Respondent cannot be compelled to release stakeholder funds to pay LAD because clause 30 and s22E HDA prohibit release absent conditions and doing so would breach fiduciary, professional and statutory duties. Therefore no LAD payable and no release of stakeholder sum.

Court Disposition

Appeal dismissed with costs; decision of Sessions Court upheld

Orders

  • Appeal dismissed with costs
  • Decision of the learned Sessions Court judge is upheld