Tag: land law

PROPERTY LAW – CHARGED BUT NOT IN CHARGE: COURT PROTECTS HOMEBUYERS OVER LENDERS IN LANDMARK RULING

In Champion Score Sdn Bhd v Mohd Sobri Chew bin Abdullah [2025] 3 MLJ 732, the Court of Appeal robustly affirmed that developers, having received full payment, become bare trustees without power to encumber properties. The Court decisively canceled an improperly created charge, emphasizing that financial institutions must diligently scrutinize developers’ authority under powers of attorney. This landmark decision highlight judicial commitment to protecting homebuyers, reinforcing statutory and public policy safeguards against developer misconduct.

TORT OF NEGLIGENCE – STRATA MANAGEMENT – HOLDING DEVELOPERS ACCOUNTABLE FOR DEFECTS – A WIN FOR CONDO OWNERS!

The decision in Badan Pengurusan Bersama Subang Parkhomes v Zen Estates Sdn Bhd (Fadhlullah & Associates Consulting Engineers Sdn Bhd) [2025] 7 MLJ 780 emphasizes developers’ clear duty of care toward condominium residents, reinforcing their responsibility to properly rectify defects. It highlights the essential role developers play in ensuring quality and compliance, protecting residents from bearing unnecessary financial burdens arising from poorly completed projects.

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.

LAND LAW – TRUST – WHEN TIME AND TRUST RUN OUT – PROPERTY OWNERSHIP DISPUTES AND THE DOCTRINE OF LACHES

Illustrative Scenario X and Y are siblings. In 1980, their father started a sundry shop business and used the earnings to purchase a piece of land, which was registered in their mother’s name for plantation purposes. X worked at the sundry shop for six years without receiving any salary. As a result, the mother transferred […]

LAND LAW – FORGERY OF SIGNATURE OF THE VENDOR ON TRANSFER DOCUMENTS – SIGNATURE EXPERT

I have just discovered through a land search that my property was no longer registered in my name. What can I do?