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Negligence

NEGLIGENCE – HOTEL LIABILITY: UNVEILING THE LEGAL RISKS IN NEGLIGENCE AND VICARIOUS LIABILITY CASES

In the hospitality industry, the duty of care owed by hotels to their guests is paramount. This legal update explores a scenario where a hotel’s failure to safeguard access to guest rooms leads to tragic consequences. It examines the potential negligence claim against a hotel employee and the broader implications of vicarious liability for the hotel and its owners. Drawing on relevant case law, we delve into the essential elements of negligence and the circumstances under which a hotel can be held responsible for the actions of its staff.

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Family Law

FAMILY LAW – DIVISION OF MATRIMONIAL ASSETS

Many people have this false conception that all assets of the husband including EPF, shares and monies will be divided equally when there is a divorce.
What is the law that governs division of matrimonial assets in Malaysia?

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Company Law

WINDING-UP – OFFICIAL RECEIVER AND LIQUIDATOR (“ORL”)

In cases of compulsory winding up, the court would appoint a liquidator under s.478 of the Companies Act 2016 (“CA 2016”) to expeditiously recover and realise the assets of the wound-up company for the distribution of dividends to creditors and administer any outstanding matters involving………..

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Property Law

PROPERTY LAW – LEGAL IMPLICATIONS OF SALE AND PURCHASE AGREEMENT BREACHES AND THE RIGHT TO OFFSET IN MALAYSIAN PROPERTY TRANSACTIONS

In the realm of Malaysian property transactions, the intricacies of Sale and Purchase Agreements (SPAs) and the enforcement of Liquidated Ascertained Damages (LAD) play pivotal roles in safeguarding the interests of both developers and purchasers. This article delves into the legal framework governing the rights and obligations of parties involved in property transactions, particularly focusing on the consequences of contractual breaches and the conditions under which a purchaser can exercise the right to offset against LAD. Through the examination of relevant case law and statutory provisions, we illuminate the legal pathways available for resolving disputes arising from the failure to adhere to the terms of SPAs, thereby offering insights into the equitable administration of justice in the context of Malaysian property law.

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Constitutional Law

CONSTITUTIONAL LAW – ANTI-TRAFFICKING IN PERSONS AND ANTI-SMUGGLING OF IMMIGRANTS – CONSTITUTIONAL CLASH: EXAMINING LEGISLATIVE OVERREACH IN EVIDENCE LAW – PRIMA FACIE EVIDENCE

This update scrutinizes the constitutionality of Section 61A of the Anti-Trafficking in Persons and Anti-Smuggling of Migrants Act 2007, focusing on whether Parliament violated the separation of powers by defining prima facie evidence, and the judiciary’s role in upholding constitutional integrity.

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Employment

INDUSTRIAL LAW – NAVIGATING THE LEGALITIES OF RETRENCHMENT

The dismissal of X by Company ABC, citing economic downturns, presents a compelling case on the complexities of employment termination and retrenchment legality. X contested his redundancy, claiming his role in property management and services was unaffected by the property development market’s challenges. This case probes into the legitimacy of retrenchment under economic duress and the employer’s duty to act in good faith, as guided by Section 20(3) of the Industrial Relations Act 1967. The burden rests on Company ABC to prove the necessity and genuineness of X’s redundancy, with failure to do so possibly leading to a verdict of unjustified termination. This scenario underscores the critical importance of evidence and intention in retrenchment cases, as reflected in precedents like Akilan a/l Subramanian v. Prima Awam (M) Sdn Bhd.

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Road Traffic

ROAD TRAFFIC – DUTY OF DIRECTOR GENERAL OF ROAD TRANSPORT

In a legal spotlight, X’s acquisition of a cloned vehicle unknowingly, due to lapses in the Road Transport Department’s record-keeping, raises questions about statutory duties and public trust. The case underscores the importance of stringent vehicle registry maintenance to prevent ownership of unlawfully modified vehicles.

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Family Law

DISTRIBUTION OF ASSETS – LEGAL RIGHTS OF CHILDREN BORN IN UNREGISTERED CUSTOMARY MARRIAGES TO INHERIT INTESTATE ESTATES

Born to parents in an unregistered Chinese customary marriage, an individual was deemed illegitimate following their father’s intestate death. The key legal issue is whether this individual can inherit under the Distribution Act 1958 (DA). The DA does not restrict inheritance to legitimate children only; it includes all bloodline descendants. Therefore, the individual qualifies as ‘issue’ and is entitled to inherit their father’s estate despite questions of legitimacy.

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Criminal Law

CRIMINAL LAW – RAPE – EVALUATING CREDITIBILITY AND CONSENT – CASES OF VULNERABLE WITNESSES UNDER THE EVIDENCE ACT

This article explores the implications of Section 133A of the Evidence Act 1950 in cases involving vulnerable witnesses, particularly children with learning disabilities. It discusses how the court assesses the credibility of such witnesses and the significance of consent under the Penal Code, particularly in instances involving betrayal of trust by a caregiver such as rape or incest.

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Recent Legal Updates

NAVIGATION AND SHIPPING LAW – COLLISION REGULATIONS – COLLISION AT SEA – A WAKE-UP CALL FOR ADHERING TO NAVIGATION RULES

The collision between the FMG Sydney and MSC Apollo highlights the critical importance of adhering to established navigation rules. Deviations, delayed actions, and reliance on radio communications instead of clear, early maneuvers can lead to disastrous outcomes. This case serves as a stark reminder for mariners: follow the rules, act decisively, and prioritize safety above assumptions.

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SHIPPING AND ADMIRALTY IN REM – A SINKING ASSET – COURT ORDERS SALE OF ARRESTED VESSEL TO PRESERVE CLAIM SECURITY

In a landmark admiralty decision, the High Court ordered the pendente lite sale of the arrested vessel Shi Pu 1, emphasizing the principle of preserving claim security over the defendant’s financial incapacity. The court ruled that the vessel, deemed a “wasting asset,” could not remain under arrest indefinitely without proper maintenance or security. This case reinforces the necessity for shipowners to manage arrested assets proactively to prevent significant financial and legal repercussions.

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EMPLOYMENT LAW – IS DIRECTOR A DIRECTOR OR EMPLOYEE? UNPACKING DUAL ROLES IN EMPLOYMENT LAW

The Court of Appeal clarified the dual roles of directors as both shareholders and employees, affirming that executive directors can qualify as “workmen” under the Industrial Relations Act 1967. The decision emphasizes that removal as a director does not equate to lawful dismissal as an employee unless due process is followed. This case highlights the importance of distinguishing shareholder rights from employment protections, ensuring companies navigate such disputes with clarity and fairness.

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REGULATIONS – GENERAL AGREEMENT ON TARIFFS AND TRADE (GATT 1947 ) – ARTICLE I

This legal update explores key provisions of the General Agreement on Tariffs and Trade (GATT 1947), focusing on Article I (Most-Favoured-Nation Treatment), Article II (Schedules of Concessions), Article XX (General Exceptions), and Article XXI (Security Exceptions). Article I mandates that any trade advantage granted by one contracting party to another must be extended unconditionally to all other parties. Article II ensures that imported goods from contracting parties receive treatment no less favourable than that outlined in agreed schedules, while also regulating permissible taxes and charges. Articles XX and XXI provide exceptions for measures necessary to protect public morals, health, security interests, and compliance with domestic laws. The provisions reflect the foundational principles of non-discrimination, transparency, and fair trade, while allowing for limited, well-defined exceptions. This summary is intended to provide a concise reference for businesses and legal practitioners involved in international trade law.

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