BANGSAR HILL MANAGEMENT SDN BHD 1. ) LIM KOK SENG 2. ) TAN CHOW HEE

BANGSAR HILL MANAGEMENT SDN BHD 1. ) LIM KOK SENG 2. ) TAN CHOW HEE

The Magistrate erred in finding no mutual agreement. The Commissioner of Kuala Lumpur had power to contract under Act 190; the original tenure expiry was cured by a shareholders' resolution of 2.11.2017 and the Defendants' conduct (continuing to use services and making payments) demonstrated acceptance. Partial payments and failure to object to invoices amounted to admission and supported recovery. Therefore the appeal succeeds and the Plaintiff is entitled to recover outstanding maintenance charges and costs.

Citation
WA-11BNCvC-79-11/2023 (Mahkamah Tinggi)
Parties
Appellant / Plaintiff in Magistrate's Court: Bangsar Hill Management Sdn Bhd; Respondent / Defendant in Magistrate's Court: Lim Kok Seng; Respondent / Defendant in Magistrate's Court: Tan Chow Hee
Court
High Court
Jurisdiction
Malaysia
Judgment Date
20 May 2024
Case Number
WA-11BNCvC-79-11/2023 (Mahkamah Tinggi)
Procedural Posture
Civil Appeal / Appeal From Magistrate's Court After Full Trial (appellate Decision)
Outcome
Appeal allowed
Legal Topics
Maintenance Charges, Novation, Contract Validity and Extension, Invoices as Admission by Conduct, Section 71 Contracts Act 1950
Source Language
Malay/English
Contract Law Property Law Local Government Law Civil Procedure Maintenance Charges Novation Contract Validity and Extension Invoices as Admission by Conduct +1 more

Case Brief

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Parties

Bangsar Hill Management Sdn Bhd

Appellant / Plaintiff in Magistrate's Court

Lim Kok Seng

Respondent / Defendant in Magistrate's Court

Tan Chow Hee

Respondent / Defendant in Magistrate's Court

Procedural Posture

Civil Appeal / Appeal From Magistrate's Court After Full Trial (appellate Decision)

Legal Issues

  1. 1 Whether the Plaintiff had a valid contract/authority to manage and maintain the development and charge the Defendants
  2. 2 Whether the original contract term that had expired was validly extended or renewed
  3. 3 Whether issuance of invoices and partial payments constituted acceptance/admission and a basis to recover outstanding maintenance charges

Ratio Decidendi

The Magistrate erred in finding no mutual agreement. The Commissioner of Kuala Lumpur had power to contract under Act 190; the original tenure expiry was cured by a shareholders' resolution of 2.11.2017 and the Defendants' conduct (continuing to use services and making payments) demonstrated acceptance. Partial payments and failure to object to invoices amounted to admission and supported recovery. Therefore the appeal succeeds and the Plaintiff is entitled to recover outstanding maintenance charges and costs.

Court Disposition

Appeal allowed

Orders

  • Allow appeal
  • Costs to Appellant fixed at RM10000.00 payable by Respondents subject to allocatur's fee