Malaysia Case Law: Decisions & Judgments | LexChat

Malaysia Case Law

Term loan facility
  • 3 Feb 2025

    PERSPEKTIF MASA SDN BHD SABAH DEVELOPMENT BANK BERHAD

    Citation
    BA-22NCvC-490-11/2023 (Mahkamah Tinggi)
    Court
    High Court
    Case number
    BA-22NCvC-490-11/2023 (Mahkamah Tinggi)

    The court held that the plaintiff’s claim was plainly unsustainable because the written bank guarantee and facility agreements unequivocally permitted payment on demand without the bank investigating disputes between beneficiary and principal; the plaintiff accepted and benefited from the facilities and later converted the paid guarantee into a term loan, there was no adequate evidence of unconscionable conduct or of any duty on the bank to investigate, therefore the strike‑out application succeeds.