Malaysia Case Law: Decisions & Judgments | LexChat

Topic

Order for sale under section 256 nlc

Legal area

Court

25 Feb 2021

SMALL MEDIUM ENTERPRISE DEVELOPMENT BANK MALAYSIA BERHAD (COMPANY NO.: 49572-H) REVIDEO PRECISION ENGINEERING SDN. BHD. (COMPANY NO.: 557644-K)

Citation

JB-24MFC-36-08/2020 (Mahkamah Tinggi)
Court

High Court
Case number

JB-24MFC-36-08/2020 (Mahkamah Tinggi)

Plaintiff proved default and compliance with statutory notice requirements and produced a conclusive certificate of indebtedness; partial and subsequent payments did not eliminate the debt or establish any exception to indefeasibility or other cause to the contrary; therefore under s.256 NLC the court must order sale of the charged property.
17 Feb 2020

Hong Leong Bank Berhad Tangam a/p Chonayah@Santhiran

Citation

JA-24FC-1065-07/2019 (Mahkamah Tinggi)
Court

High Court
Case number

JA-24FC-1065-07/2019 (Mahkamah Tinggi)

The court held the redemption was procured using forged authorisation and related documents and was therefore tainted by fraud; under s19 and s65 of the Contracts Act the Plaintiff could treat the redemption as voidable, rescind it and restore the position by refunding the redemption sum to the redeemer and reinstating the loan; the defendant could not both allege fraud and claim the loan was extinguished (approbate and reprobate); the defendant failed to establish cause to the contrary under s256(3) NLC, therefore the court granted the order for sale.