Malaysia Case Law: Decisions & Judgments

Topic

Compensation for wrongful caveat

Legal area

Court

26 Aug 2025

CM AUTO HOLDINGS SDN. BHD. 1. ) PENGERUSI, PERSATUAN PEMILIK HUB BANGI 2. ) PENDAFTAR HAKMILIK NEGERI SELANGOR

Citation

BA-24NCvC-2416-10/2024 (Mahkamah Tinggi)
Court

High Court
Case number

BA-24NCvC-2416-10/2024 (Mahkamah Tinggi)

The court held the private caveat was not unlawfully entered because it was authorized by the Deed of Mutual Covenant and approved by members at an AGM; the applicant knew or was bound by the Deed and therefore cannot claim ignorance; consequentially damages under s329 fail for want of unlawful entry and for lack of causation on the balance of probabilities.
18 Oct 2021

URUSAN PARKING ENTERPRISE SDN BHD (NO. SYARIKAT : 216634-U) NORHABIBI BINTI TALIB (NO. K/P : 690328-01-5646)

Citation

WA-24NCVC-83-01/2018 (Mahkamah Tinggi)
Court

High Court
Case number

WA-24NCVC-83-01/2018 (Mahkamah Tinggi)

Court held defendant wrongfully registered a private caveat without reasonable cause; plaintiff proved loss causally linked to the caveat on a balance of probabilities; discretionary assessment of damages warranted an increase from nominal award to global compensation of RM100,000 with costs of RM5,000 subject to taxation.
24 Aug 2021

Sri Muda Corner Holdings (M) Sdn Bhd Tan Sri Dato' Sri Ramasamy a/l Muthusamy

Citation

BA-24NCVC-1604-11/2019 (Mahkamah Tinggi)
Court

High Court
Case number

BA-24NCVC-1604-11/2019 (Mahkamah Tinggi)

The court found the Form 19B and statutory declaration showed only a monetary claim/security for a friendly loan and thus no caveatable interest existed; accordingly the caveat was removed under s327 NLC. The plaintiff was denied compensation under s329 because it failed to conduct the requisite land search before bidding and was therefore disentitled to damages.
19 Jan 2021

VICMETA SDN BHD KT HARVEST SDN BHD

Citation

BA-24NCVC-1839-12/2019 (Mahkamah Tinggi)
Court

High Court
Case number

BA-24NCVC-1839-12/2019 (Mahkamah Tinggi)

Defendant's claimed entitlement to Lots 3 and 4 was contingent on lender confirmation of loan approval and therefore was not a present registrable interest at the time the caveat was lodged; contractual provision permitting a caveat (clause 11.3) cannot override legal requirement of a present caveatable interest; accordingly the caveat was wrongful and ordered removed; no compensation awarded due to lack of evidence of loss.
17 Feb 2020

PEMBANGUNAN TANAH DAN PERUMAHAN SENDIRIAN BERHAD (NO. SYARIKAT: 007545-P) NORAZLIN BINTI MOKRI (NO. K/P SINGAPURA: S1820962D)

Citation

JA-24NCvC-422-07/2019 (Mahkamah Tinggi)
Court

High Court
Case number

JA-24NCvC-422-07/2019 (Mahkamah Tinggi)

Defendant failed to prove any caveatable interest: no SPA exhibited to prove purchase from plaintiff, inconsistent pleadings showed any remedy would be in personam against vendors, no proof of payment to establish trust, and no evidence that the land formed part of Mokri's estate; accordingly the caveat was unjustified and was removed.

Malaysia Case Law

CM AUTO HOLDINGS SDN. BHD. 1. ) PENGERUSI, PERSATUAN PEMILIK HUB BANGI 2. ) PENDAFTAR HAKMILIK NEGERI SELANGOR

URUSAN PARKING ENTERPRISE SDN BHD (NO. SYARIKAT : 216634-U) NORHABIBI BINTI TALIB (NO. K/P : 690328-01-5646)

Sri Muda Corner Holdings (M) Sdn Bhd Tan Sri Dato' Sri Ramasamy a/l Muthusamy

VICMETA SDN BHD KT HARVEST SDN BHD

PEMBANGUNAN TANAH DAN PERUMAHAN SENDIRIAN BERHAD (NO. SYARIKAT: 007545-P) NORAZLIN BINTI MOKRI (NO. K/P SINGAPURA: S1820962D)