Malaysia Case Law: Decisions & Judgments | LexChat

Malaysia Case Law

Bills of exchange act s73a

  • 15 May 2025

    Public Bank Berhad Bukit Baru Villas Sdn Bhd

    Citation
    W-02(NCvC)(W)-1851-11/2023 (Mahkamah Rayuan)
    Court
    NCvC
    Case number
    W-02(NCvC)(W)-1851-11/2023 (Mahkamah Rayuan)

    The Court found on the balance of probabilities that the impugned signatures were forged based on the convergence of (i) direct denials by the alleged signatories, (ii) admissible expert handwriting opinion, and (iii) the bank’s own officers admitting visible differences; the bank failed to establish estoppel under s24 and failed both limbs of s73A (no causative contribution by BBV to the forgeries and no good faith by the bank given objective red flags and inadequate verification), and section 29 Limitation Act could not be invoked because fraud was not pleaded against the bank; accordingly…

  • 21 Sept 2022

    HONG LEONG BANK BERHAD 1. ) STARFISH HOLDINGS SDN BHD 2. ) WAHIDATUL ZAKIAH BINTI BAHARUM

    Citation
    WA-12BNCC-7-03/2022 (Mahkamah Tinggi)
    Court
    High Court
    Case number
    WA-12BNCC-7-03/2022 (Mahkamah Tinggi)

    Although the disputed signatures were proved forged, the Plaintiff negligently contributed to the forgeries by allowing a non‑signatory access to cheque books and failing to reconcile bank statements against cheque butts; under s.73A BEA such negligent contribution causes the signatures to operate and, because the Bank paid in good faith under a low statutory threshold, the Bank is protected. The Sessions Court's finding against the Bank was set aside and the appeal allowed.