SYARIKAT LEAN HUP (LIEW BROTHERS) SDN BHD V. CHEOW CHONG THAI

SYARIKAT LEAN HUP (LIEW BROTHERS) SDN BHD V. CHEOW CHONG THAI

The agreement was rectified for mutual mistake of law to conform with the 1982 Regulations: completion period is 24 months and agreed damages are 10% p.a.; vacant possession occurred upon connection of water and electricity (20 February 1986); damages assessed from the statutory expiry date (29 July 1984) to 20 February 1986 (569 days) at 10% of the purchase price, producing the monetary award and interest; appeal dismissed.

Citation
SYARIKAT LEAN HUP (LIEW BROTHERS) SDN BHD V. CHEOW CHONG THAI
Parties
Appellant / Housing Developer: Syarikat Lean Hup (Liew Brothers) Sdn Bhd; Respondent / Purchaser: Cheow Chong Thai
Court
Malaysian court
Jurisdiction
Malaysia
Judgment Date
1988
Procedural Posture
Civil Appeal (high Court) / Judgment on Appeal
Outcome
Appeal dismissed
Legal Topics
Rectification of Contract, Mutual Mistake of Law, Vacant Possession, Damages for Late Delivery, Interpretation of Statutory Housing Regulations
Source Language
en
Contract Law Property / Housing Law Specific Relief Rectification of Contract Mutual Mistake of Law Vacant Possession Damages for Late Delivery Interpretation of Statutory Housing Regulations

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Parties

Syarikat Lean Hup (Liew Brothers) Sdn Bhd

Appellant / Housing Developer

Cheow Chong Thai

Respondent / Purchaser

Procedural Posture

Civil Appeal (high Court) / Judgment on Appeal

Legal Issues

  1. 1 Whether the written sale and purchase agreement should be rectified for a mutual mistake of law to reflect mandatory statutory requirements (completion period and rate of agreed damages)
  2. 2 Whether 'delivery of vacant possession' includes connection of water and electricity and completion of main access road
  3. 3 Proper period and rate for calculating agreed damages for late delivery

Ratio Decidendi

The agreement was rectified for mutual mistake of law to conform with the 1982 Regulations: completion period is 24 months and agreed damages are 10% p.a.; vacant possession occurred upon connection of water and electricity (20 February 1986); damages assessed from the statutory expiry date (29 July 1984) to 20 February 1986 (569 days) at 10% of the purchase price, producing the monetary award and interest; appeal dismissed.

Court Disposition

Appeal dismissed

Orders

  • Sale and purchase agreement rectified to conform with Housing Developers (Control and Licensing) Regulations 1982 (Schedule E): completion period 24 months and agreed damages 10% per annum
  • Vacant possession held to have been delivered on 20 February 1986 (upon connection of water and electricity)