CLJ Bulletin, Issue 2008, Vol 10

25 April 2008

CLJ Law MALAYSIA

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New This Week -  1. CLJ April (Part 2) 2008
2. CLJ April (Part 3) 2008

 

1. CLJ April (Part 2) 2008

COURT

FEDERAL COURT

The Co-operative Central Bank Ltd v. KGV & Associates Sdn Bhd
(Securities for advances - Security valued much higher than actual value in valuation report - Whether bank could claim pure economic loss) [2008] 2 CLJ 545

COURT OF APPEAL

Invescor Sdn Bhd v. Sobena Maju Sdn Bhd
(Contract - Deposit/earnest money - Forfeiture - Whether deposit or part payment) [2008] 2 CLJ 561

Teoh Chu Thong v. Anantha Kiruisan PSR & Anor
(Road traffic - Negligence - Collision between motor cycle and taxi) [2008] 2 CLJ 603

HIGH COURT

Affin Bank Bhd v. Mahanbir Singh Manmohon Singh & Anor
(Land law - Private caveat - Application for removal by plaintiff bank chargee) [2008] 2 CLJ 609

Cepatwawasan Group Bhd & Anor v. Tengku Dato' Kamal Ibni Sultan Sir Abu Bakar & Ors
(Company law - Directors - Company's claim for misappropriation of RM16 million - Claim for entertainment expenses - Whether court not duty bound to determine whether expenses reasonable or extravagant) [2008] 2 CLJ 620

Yiu Poh Siong v. PP
(Penal Code - Section 214 - Offence of giving gratification to conceal offence under r. 18 Road Traffic Rules 1959 (LN 166/1959) - Whether s. 214 excludes compoundable offences) [2008] 2 CLJ 636

SUBJECT INDEX

BANKING

Securities for advances - Security valued much higher than actual value in valuation report - Valuation report commissioned by third party and not by bank or borrower - Whether bank could claim pure economic loss
The Co-operative Central Bank Ltd v. KGV & Associates Sdn Bhd
(Alauddin Mohd Sheriff CJ (Malaya), Arifin Zakaria & Hashim Yusoff FCJJ) [2008] 2 CLJ 545 [FC]

CIVIL PROCEDURE

Appeal - Appeal to Court of Appeal from High Court - Case originated in sessions court - Whether further appeal lies to Federal Court - Courts of Judicature Act 1964, s. 96
Teoh Chu Thong v. Anantha Kiruisan PSR & Anor
(Gopal Sri Ram, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 603 [CA]

Striking out - Plaintiff's appeal against striking out of claim against 14th-17th defendants - Claim for misappropriation of RM16 million through sham sale and purchase transactions after resignation as directors of plaintiff company - Whether sufficient material adduced to substantiate claim - Claim for entertainment expenses of RM287,914.64 during tenure as directors - Whether facts showed that expenses were authorised - Whether court not duty bound to determine whether expenses reasonable or extravagant
Cepatwawasan Group Bhd & Anor v. Tengku Dato' Kamal Ibni Sultan Sir Abu Bakar & Ors
(Badariah Sahamid JC) [2008] 2 CLJ 620 [HC]

COMPANY LAW

Directors - Company's claim for misappropriation of RM16 million through sham sale and purchase transactions after resignation as directors of plaintiff company - Whether sufficient material adduced to substantiate claim - Claim for entertainment expenses of RM287,914.64 during tenure as directors - Whether facts showed that expenses were authorised - Whether court not duty bound to determine whether expenses reasonable or extravagant
Cepatwawasan Group Bhd & Anor v. Tengku Dato' Kamal Ibni Sultan Sir Abu Bakar & Ors
(Badariah Sahamid JC) [2008] 2 CLJ 620 [HC]

Directors - De facto or shadow directors - Whether there were directions or instructions in respect of management of company - Companies Act 1965, s. 4(1)
Cepatwawasan Group Bhd & Anor v. Tengku Dato' Kamal Ibni Sultan Sir Abu Bakar & Ors
(Badariah Sahamid JC) [2008] 2 CLJ 620 [HC]

CONTRACT

Deposit/earnest money - Forfeiture - Termination of joint venture agreement to develop land in consideration of RM15 million as security deposit - Sum of RM200,00 paid - Whether deposit or part payment - Whether vendor entitled to 10% of security deposit less RM200,000 paid
Invescor Sdn Bhd v. Sobena Maju Sdn Bhd
(Mokhtar Sidin, James Foong & Zainun Ali JJCA) [2008] 2 CLJ 561 [CA]

CRIMINAL LAW

Penal Code - Section 214 - Offence of giving gratification to conceal offence under r. 18 Road Traffic Rules 1959 (LN 166/1959) - Whether r. 18 read together with s. 128(1) Road Transport Act 1987 a compoundable offence - Whether s. 214 excludes compoundable offences - Whether conviction and sentence under s. 214 rendered illegal
Yiu Poh Siong v. PP
(Hamid Sultan Abu Backer JC) [2008] 2 CLJ 636 [HC]

LAND LAW

Caveat - Private caveat - Application for removal by plaintiff bank chargee - Caveator is only shareholder of chargor company - Whether caveator has caveatable interest - National Land Code, s. 323, Form 19B
Affin Bank Bhd v. Mahanbir Singh Manmohon Singh & Anor
(Azahar Mohamed J) [2008] 2 CLJ 609 [HC]

Caveat - Registrar's caveat - Application for removal by plaintiff bank chargee - No reply to plaintiff's averments - Whether application should be allowed on authority of Ng Hee Thoong & Anor v. Public Bank Berhad
Affin Bank Bhd v. Mahanbir Singh Manmohon Singh & Anor|
(Azahar Mohamed J) [2008] 2 CLJ 609

ROAD TRAFFIC

Negligence - Collision between motor cycle and taxi - Appeal from High Court that reversed sessions court's decision on finding of fact - Sessions court found that defendant taxi driver must have pulled up to pick up a passenger from kerb thereby causing accident - High Court held no evidence that such person was on kerb - Whether High Court erred in interfering with sessions court's finding of fact
Teoh Chu Thong v. Anantha Kiruisan PSR & Anor
(Gopal Sri Ram, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 603 [CA]

Overloading - Carrying on lorry load in excess of permitted weight - Offence under r. 18 Road Traffic Rules 1959 (LN 166/1959) - Offender convicted and sentenced under s. 214 Penal Code for bribing officer to conceal offence under r. 18 - Whether r. 18 read together with s. 128(1) Road Transport Act 1987 a compoundable offence - Whether s. 214 excludes compoundable offences - Whether conviction and sentence under s. 214 rendered illegal
Yiu Poh Siong v. PP
(Hamid Sultan Abu Backer JC) [2008] 2 CLJ 636 [HC]

TORT

Negligence - Duty of care - Negligent misstatement - Professional advisor to third party in claim for pure economic loss
The Co-operative Central Bank Ltd v. KGV & Associates Sdn Bhd
(Alauddin Mohd Sheriff CJ (Malaya), Arifin Zakaria & Hashim Yusoff FCJJ) [2008] 2 CLJ 545 [FC]

Negligence - Negligent misstatement - Valuation report by property valuer to third party - Bank claimed it relied on report to grant loan to borrower who defaulted - Whether valuer had knowledge that report was to be relied by bank - Whether valuer owed duty of care to persons unknown
The Co-operative Central Bank Ltd v. KGV & Associates Sdn Bhd
(Alauddin Mohd Sheriff CJ (Malaya), Arifin Zakaria & Hashim Yusoff FCJJ) [2008] 2 CLJ 545 [FC]

^^

2. CLJ April (Part 3) 2008

COURT

COURT OF APPEAL

Bukit Cerakah Development Sdn Bhd v. L'Grande Development Sdn Bhd
(Building contract - Set off - Right to - Construction of clause of contract) [2008] 2 CLJ 645

OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Share swap transaction - Duty of care - Whether owed either in contract or tort - Securities Industry Act 1983, s. 86) [2008] 2 CLJ 660

Seloga Jaya Sdn Bhd v. UEM Genisys Sdn Bhd
(Disposal of action without trial - Rules of the High Court 1980, O. 14A) [2008] 2 CLJ 686

Toh Huat Khay v. Lim A Chang
(Land law - Transfer - Validity of - Restriction in interest on alienated land - National Land Code, ss. 109(2), 120, 122, 124) [2008] 2 CLJ 718

HIGH COURT

Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Local authority - Maintenance and repair - Negligence - Road accident - Statutory obligation - Local Authorities Ordinance 1996, ss. 119, 120(3) - City of Kuching North Ordinance 1988, s. 3(1)) [2008] 2 CLJ 724

Tajudin Salleh v. PP
(Penal Code - Section 354 - Assault or use of criminal force to a person with intent to outrage modesty - Evidence of child witness) [2008] 2 CLJ 745

SUBJECT INDEX

CIVIL PROCEDURE

Action - Disposal of action without trial - Appeal against - Whether question of law suitable for determination without full trial of action - Whether such determination final as to entire cause or matter - Rules of the High Court 1980, O. 14A
Seloga Jaya Sdn Bhd v. UEM Genisys Sdn Bhd
(Mohd Ghazali Yusoff, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 686 [CA]

Appeal - Evaluation of evidence - "Bought witness" - Whether evidence must be carefully scrutinised - Whether failure to do so constituted a misdirection warranting appellate interference
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

Injunction - Interlocutory injunction - Injunction to restrain winding up petition - Abuse of process - Bona fide petitioner
Seloga Jaya Sdn Bhd v. UEM Genisys Sdn Bhd
(Mohd Ghazali Yusoff, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 686 [CA]

COMPANY LAW

Winding up - Petition - Interlocutory injunction restraining filing or advertising of petition - Abuse of process - Bona fide petitioner
Seloga Jaya Sdn Bhd v. UEM Genisys Sdn Bhd
(Mohd Ghazali Yusoff, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 686 [CA]

CONTRACT

Breach - Action for damages - Share swap transaction - Duty of care - Whether owed - False or misleading information - Securities Industry Act 1983, s. 86
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

Building contract - Construction of terms of contract - Right to set off - Interim certificate issued by architect - Whether void - Whether architect functus officio - Bona fides - Pleading - Quantification of liquidated sum - Whether required
Bukit Cerakah Development Sdn Bhd v. L'Grande Development Sdn Bhd
(Gopal Sri Ram, James Foong & Suriyadi Halim Omar JJCA) [2008] 2 CLJ 645 [CA]

Building contract - Set off - Right to - Construction of clause of contract - Interim certificate issued by architect - Whether void - Whether architect functus officio - Bona fides - Pleading - Quantification of liquidated sum - Whether required
Bukit Cerakah Development Sdn Bhd v. L'Grande Development Sdn Bhd
(Gopal Sri Ram, James Foong & Suriyadi Halim Omar JJCA) [2008] 2 CLJ 645 [CA]

Construction - Term of payment - Debt owing - Plain and ordinary meaning - Whether payments must be made in cash - Estoppel - Whether there was overt or implied acceptance of payment in kind
Seloga Jaya Sdn Bhd v. UEM Genisys Sdn Bhd
(Mohd Ghazali Yusoff, Suriyadi Halim Omar & Hasan Lah JJCA) [2008] 2 CLJ 686 [CA]

Security - Share swap transaction - Action for damages - Duty of care - Whether owed - Breach - False or misleading information - Securities Industry Act 1983, s. 86
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

CRIMINAL LAW

Penal Code - Section 354 - Assault or use of criminal force to a person with intent to outrage modesty - Appeal against conviction and sentence - Evidence of child witness - Competency and corroboration - Whether conviction unsafe - Substantial miscarriage of justice - Evidence Act 1950, ss. 118, 133A - Criminal Procedure Code, s. 422
Tajudin Salleh v. PP
(Hamid Sultan Abu Backer JC) [2008] 2 CLJ 745 [HC]

CRIMINAL PROCEDURE

Trial - Competence of witness - Child witness - Corroboration - Evidence Act 1950, ss. 118, 133A - Criminal Procedure Code, s. 422
Tajudin Salleh v. PP
(Hamid Sultan Abu Backer JC) [2008] 2 CLJ 745 [HC]

DAMAGES

Action for - Injury sustained by reason of breach of statutory duty - Assessment - Special damages - Evidence of claims - Whether substantiated
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

Head injury - Fracture of left parietal region with extradural haematoma - General damages - Assessment of sum to be awarded - Principles applicable
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

EVIDENCE

Witness - Child witness - Competency - Corroboration - Evidence Act 1950, ss. 118, 133A - Criminal Procedure Code, s. 422
Tajudin Salleh v. PP
(Hamid Sultan Abu Backer JC) [2008] 2 CLJ 745 [HC]

Witness - Credibility of - "Bought witness" - Evaluation of evidence of such witness - Whether must be carefully scrutinised - Whether failure to do so constituted a misdirection warranting appellate interference
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

LAND LAW

Alienation and incidents - Restriction in interest - Purported transfer in spite of - Alteration or rescission of condition – Permission - Whether vested in relevant State Authority - Whether transfer unlawful - National Land Code, ss. 109(2), 120, 122, 124
Toh Huat Khay v. Lim A Chang
(Gopal Sri Ram, Zainun Ali & Hasan Lah JJCA) [2008] 2 CLJ 718 [CA]

Transfer - Validity of - Restriction in interest on alienated land - Purported transfer in spite of - Alteration or rescission of condition - Permission - Whether vested in relevant State Authority - Whether transfer unlawful - National Land Code, ss. 109(2), 120, 122, 124
Toh Huat Khay v. Lim A Chan
(Gopal Sri Ram, Zainun Ali & Hasan Lah JJCA) [2008] 2 CLJ 718 [CA]

LOCAL AUTHORITY

Maintenance and repair - Negligence - Road accident - Tree falling on vehicle travelling along road - Statutory obligation - Whether duty of care owed - Local Authorities Ordinance 1996, ss. 119, 120(3) - City of Kuching North Ordinance 1988, s. 3(1)
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

PROFESSIONS

Architects - Building contract - Construction of terms of contract - Right to set off - Interim certificate issued by architect - Whether void - Whether architect functus officio
Bukit Cerakah Development Sdn Bhd v. L'Grande Development Sdn Bhd
(Gopal Sri Ram, James Foong & Suriyadi Halim Omar JJCA) [2008] 2 CLJ 645 [CA]

ROAD TRAFFIC

Negligence - Breach of statutory duty - Road accident - Tree falling on vehicle travelling along road - Local authority - Statutory obligation - Whether duty of care owed - Local Authorities Ordinance 1996, ss. 119, 120(3) - City of Kuching North Ordinance 1988, s. 3(1)
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

SECURITIES

Shares - Share swap transaction - Action for damages - Duty of care - Whether owed either in contract or tort - Whether breached - False or misleading information - Securities Industry Act 1983, s. 86
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

TORT

Damages - Assessment - Negligence - Breach of statutory duty - Special damages - Evidence of claims - Whether substantiated
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

Negligence - Breach of statutory duty - Road accident - Tree falling on vehicle travelling along road - Local authority - Statutory obligation - Whether duty of care owed - Local Authorities Ordinance 1996, ss. 119, 120(3) - City of Kuching North Ordinance 1988, s. 3(1)
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

Negligence - Duty of care - Road accident - Tree falling on vehicle travelling along road - Local authority - Statutory obligation - Whether duty of care owed - Local Authorities Ordinance 1996, ss. 119, 120(3) - City of Kuching North Ordinance 1988, s. 3(1)
Hay Me Kian & Anor v. Dewan Bandaraya Kuching Utara
(Abdul Aziz Rahim J) [2008] 2 CLJ 724 [HC]

Negligence - Duty of care - Share swap transaction - Action for damages - Whether duty of care owed - Breach - False or misleading information - Securities Industry Act 1983, s. 86
OSK & Partners Sdn Bhd v. Assets Investments Pte Ltd
(Gopal Sri Ram, Raus Sharif & Zainun Ali JJCA) [2008] 2 CLJ 660 [CA]

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CASE OF THE WEEK

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UPCOMING EVENTS

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