Malaysia Case Law: Decisions & Judgments | LexChat

Topic

National land code s340 indefeasibility

Legal area

Court

21 Oct 2024

MALAYAN BANKING BERHAD WONG CHEE KIAN PENCELAH 1. ) Bariah Binti Ngalimi 2. ) Nazlinsha Binti Mohd Shahbuddin

Citation

BA-24FC-1253-12/2023 (Mahkamah Tinggi)
Court

High Court
Case number

BA-24FC-1253-12/2023 (Mahkamah Tinggi)

Court held Plaintiff is a purchaser in good faith and for valuable consideration within the proviso to s340(3) NLC, thereby acquiring an indefeasible interest; Interveners' application to set aside or stay the Order for Sale failed for lack of notice of actual fraud to the bank; Enclosure 16 dismissed and caveats removed with costs awarded to Plaintiff.
5 Mar 2024

EKO PROPERTY HOLDINGS SDN BHD 1. ) SOO JIA XUAN 2. ) SOO YAM HOONG

Citation

P-02(NCvC)(W)-338-03/2023 (Mahkamah Rayuan)
Court

NCvC
Case number

P-02(NCvC)(W)-338-03/2023 (Mahkamah Rayuan)

On the balance of probabilities the court found plaintiffs paid the full purchase price and received vacant possession thereby making the vendor (D1) a bare trustee; the subsequent sale to D2 was void ab initio and the registration in D2's name was obtained by an instrument tainted as void/insufficient under s340(2)(b) NLC; D2, as an immediate purchaser, was not entitled to protection under the proviso to s340(3) and failed to prove bona fide status and adequate due diligence; therefore the Court of Appeal dismissed D2's appeal and affirmed the High Court judgment ordering costs.