Malaysia Case Law: Decisions & Judgments | LexChat

Topic

Compound vs simple interest

Legal area

Court

17 Sept 2025

PEMIUTANG PENGHAKIMAN MALAYAN BANKING BERHAD PENGHUTANG PENGHAKIMAN SOO CHOON LAI

Citation

WA-29NCC-911-08/2023 (Mahkamah Tinggi)
Court

High Court
Case number

WA-29NCC-911-08/2023 (Mahkamah Tinggi)

The appeals fail because the applications to set aside the Judgment‑in‑Default and the subsequent appeal were dismissed (no stay of execution), and the Bankruptcy Notice and Creditor's Petition correctly claimed compound interest consistent with the Judgment‑in‑Default; therefore the debtor's simple interest calculation was misconceived and did not render the BN/CP irregular.
21 Aug 2025

YANKONG STAINLESS SDN BHD 1. ) LATEX FORM SDN BHD 2. ) SARAVANA KUMAR A/L NARAYANAN 3. ) KONG MUK WENG

Citation

BL-A72NCvC-325-07/2024 (Mahkamah Majistret)
Court

Magistrates' Court
Case number

BL-A72NCvC-325-07/2024 (Mahkamah Majistret)

On the balance of probabilities the Plaintiff proved the credit contract, delivery and acceptance of goods and that the 1.5% monthly late payment interest formed part of the agreed terms; Defendants failed to prove a binding waiver or full-and-final settlement; the personal guarantee was validly executed and not procured by legal duress; late stamping was remedied and did not invalidate the guarantee; the charged interest was simple not compound. Therefore Defendants are jointly and severally liable to pay the claimed late payment interest and costs.