SARAF BIN MARU KHATAMMI DEVELOPMENT SDN BHD

SARAF BIN MARU KHATAMMI DEVELOPMENT SDN BHD

The court found the defendant breached the payment obligations under the sale agreements, that the plaintiff validly served notice under clause 22, and that clause 23 entitled the plaintiff to terminate, to forfeit RM200,000 and to repay the excess; consequentially the power of attorney was cancelled; the COVID-19 argument failed absent a contractual force majeure and did not excuse performance; costs awarded.

Citation
BL-24NCvC-12-02/2024 (Mahkamah Tinggi)
Parties
Plaintiff: Saraf bin Maru; Defendant: Khatammi Development
Court
High Court
Jurisdiction
Malaysia
Judgment Date
21 June 2024
Case Number
BL-24NCvC-12-02/2024 (Mahkamah Tinggi)
Procedural Posture
Civil Contract (sale of Land) / Judgment
Outcome
Plaintiff's claims allowed; sale agreement and power of attorney terminated; forfeiture enforced; balance to be returned; costs awarded.
Legal Topics
Termination of Contract, Repudiation, Forfeiture, Power of Attorney/cancellation, Return of Payments, Kaveat
Source Language
Malay/English
Contract Property Civil Procedure Termination of Contract Repudiation Forfeiture Power of Attorney/cancellation Return of Payments +1 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 3 Party arguments 2 Amounts and remedies 6
Sign in to unlock

Parties

Saraf bin Maru

Plaintiff

Khatammi Development

Defendant

Procedural Posture

Civil Contract (sale of Land) / Judgment

Legal Issues

  1. 1 Whether defendant's failure to pay amounted to fundamental breach permitting termination
  2. 2 Whether clause 22 notice and clause 23 forfeiture are enforceable
  3. 3 Whether the power of attorney should be cancelled as consequence of termination

Ratio Decidendi

The court found the defendant breached the payment obligations under the sale agreements, that the plaintiff validly served notice under clause 22, and that clause 23 entitled the plaintiff to terminate, to forfeit RM200,000 and to repay the excess; consequentially the power of attorney was cancelled; the COVID-19 argument failed absent a contractual force majeure and did not excuse performance; costs awarded.

Court Disposition

Plaintiff's claims allowed; sale agreement and power of attorney terminated; forfeiture enforced; balance to be returned; costs awarded.

Orders

  • Declaration that the Sale and Purchase Agreement dated 27.7.2018 is terminated
  • Declaration that the Power of Attorney dated 22.11.2018 (Registration No. 242/2018) is cancelled and the Defendant no longer has power over the land described as PM 1039 Lot No. 23682, Mukim Kapar