Yew Huoi, How & Associates | Leading Malaysia Law Firm

ADMINISTRATIVE LAW – RULES OF NATURAL JUSTICE – RIGHT TO BE HEARD

What is administrative law in general? 

  •  Administrative law is a large field of law that deals with the agencies that are in charge of a variety of government projects. Administrative law governs agencies, commissions, and boards. Administrative law is frequently encountered by the public in the context of a public benefit that has been refused or terminated.

 When can natural justice be claimed?

  • .In judicial, quasi-judicial, and administrative systems, two norms have evolved over time to embody natural justice principles: 1) ‘Nemo debet esse judex in propria causa,’ which states that no one should be judged in his own cause, and 2) ‘audi alteram partem,’ which states that no one should be condemned without first hearing their side of story. 

Q. In the recent case of Nurul Rifayah bt Muhammad Iqbal & Ors v Tan Sri Dato’ Hj Mahiaddin bin Md Yassin & Ors [2021] 12 MLJ 510 the voting rights has been reduced from 21 to 18 years old and will be taken effect starting from July 2021. However, it has been delayed till September 1, 2022 due to the Movement Control Order. This has affected the youth in Malaysia as the Malaysian youth organisation (UNDI 18) has been fighting for these issues. Does this sound fair to you? 

A. If you were in this position, the best way to deal with it is to request the court for a judicial review regarding the issue faced by you. However, there are a few steps that the court will look into before granting  judicial review. This will avoid frivolous or vexatious claims made by the appellant. Hence, O 53 r 2(4) of the Rules of Court 2012 will be read by the court during the two stage test to request leave from the court. Once the court sees nothing wrong with proceeding on the judicial review, leave will be granted. 

What are the remedies available for judicial review? 

  •  Habeas corpus, certiorari, prohibition, and mandamus are examples of public law remedies. In Malaysia, habeas corpus is a well-known prerogative writ that is frequently used to challenge the validity of an ISA detention decision. Regardless of nationality, anybody or someone acting on their behalf can appeal such a writ. In general, a writ of habeas corpus will be issued if the applicant can show that the custody is illegal and that the process of bringing the prisoner to trial is taking too long. It should be remembered that one must appear before a magistrate within 24 hours of being detained.
  •  Certiorari, which means “quashing order,” is a retroactive order that brings a decision made by the authority before the court and asks that it be overturned. Prohibition, on the other hand, is a future command to overturn a decision that is about to be made. It is important to remember that failing to comply with such an order constitutes criminal contempt of court. Meanwhile, mandamus is used to compel the decision–making body to undertake public tasks that it has failed to do. It is enforced to guarantee that public officials carry out their responsibilities. Both certiorari and mandamus can be sought concurrently.

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COMMERCIAL CONTRACT – FORCE MAJEURE OR JUST EXCUSES? LESSONS FROM LITASCO V DER MOND OIL [2024] 2 LLOYD’S REP 593

The recent decision in Litasco SA v Der Mond Oil and Gas Africa SA [2024] 2 Lloyd’s Rep 593 highlights the strict thresholds required to invoke defences such as force majeure and trade sanctions in commercial disputes. The English Commercial Court dismissed claims of misrepresentation and found that banking restrictions and sanctions did not excuse payment obligations under the crude oil contract. This judgment reinforces the importance of precise contractual drafting and credible evidence in defending against payment claims, serving as a cautionary tale for businesses navigating international trade and legal obligations.

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SHIPPING – LETTER OF CREDIT – LESSONS FROM UNICREDIT’S FRAUD CLAIM AGAINST GLENCORE

The Singapore Court of Appeal’s decision in Unicredit Bank AG v Glencore Singapore Pte Ltd [2024] 2 Lloyd’s Rep 624 reaffirms the principle of autonomy in letters of credit and highlights the high evidentiary threshold for invoking the fraud exception. Unicredit’s claim of deceit was dismissed as the court found no evidence of false representations by Glencore, emphasizing that banks deal with documents, not underlying transactions. This case serves as a critical reminder for international trade practitioners to prioritize clear documentation and robust due diligence to mitigate risks in financial transactions.

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LAND LAW – PROPERTY SOLD TWICE: OWNERSHIP NOT TRANSFERRED IN FIRST SALE

This legal update examines the Court of Appeal’s decision in Malayan Banking Bhd v Mohd Affandi bin Ahmad & Anor [2024] 1 MLJ 1, which reaffirmed the binding nature of valid Sale and Purchase Agreements (SPAs) and the establishment of constructive trust. The court dismissed claims of deferred indefeasibility by subsequent purchasers and a chargee bank, emphasizing the critical importance of due diligence in property transactions. The decision serves as a cautionary tale for financial institutions and vendors, reinforcing the need for meticulous compliance with legal and equitable obligations.

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