Yew Huoi, How & Associates | Leading Malaysia Law Firm

Menu

TORT – DAMAGES – TRESPASS TO LAND – BALANCING THE SCALES – ASSESSING FAIR DAMAGES FOR LAND TRESPASS

Illustrative Scenario

X and Y own adjacent properties with a common border. X constructed buildings on his land, which encroached onto 0.28 hectares of Y’s land. The High Court ruled in favor of Y, finding X guilty of trespass and directing the Senior Assistant Registrar (SAR) to assess the damages payable. During the assessment proceedings, both parties presented valuation reports. Y’s report claimed the market rental value of his entire land was RM8,200 per month, multiplied by 96 months. In contrast, X’s report assessed the market value of the trespassed portion at RM2,000 per month. X further argued that even if Y’s valuation was accepted, the damages should only amount to RM57,623.04, as it should be based on the 0.28 hectares of trespassed land, not the entire property.

Key Issues

  1. Should the measure of damages be based on the loss of rent from the trespassed portion of the land?
  2. Has Y proven the amount claimed as loss?
  3. In the absence of sufficient proof, should only nominal damages be awarded?
  4. Can Y be compensated for the loss of rental for the entire land when the actual area trespassed is comparatively small?

Application to the Scenario

While X is obligated to pay a reasonable sum for the wrongful use of Y’s property, the burden of proof lies with Y to provide evidence of what that reasonable sum should be. If Y claims that he intended to rent out the land but was prevented from doing so due to the trespass, he must present evidence to establish that loss.

Although the fact of loss is presumed in the tort of trespass, the amount of recoverable loss must be proven by Y.

  • According to Y’s own valuation, the entire piece of land was valued at RM900,000.00.
  • The court is likely to determine that the rental amount of RM57,623, as suggested by X, is more reasonable compared to Y’s claim of RM782,200, especially given the overall land value of RM900,000.00.

Reference Cases

  • Cottrill v Steyning and Littlehampton Building Society [1966] 2 All ER 295, QBD
  • Amm a/l Joy (suing as Chairman Committee Members of Wat Boonyaram) v Chuan Seng Sdn Bhd [2018] 5 MLJ 255
  • Akitek Tenggara Sdn Bhd v Mid Valley City Sdn Bhd [2007] 5 MLJ 697; [2007] 6 CLJ 93
Back to Latest Legal Updates

Sorotan Terkini

STRATA MANAGEMENT – MANAGEMENT FEE SHOWDOWN – RESIDENTIAL VS. COMMERCIAL – WHO’S PAYING FOR THE EXTRAS?

In a landmark decision in Aikbee Timbers Sdn Bhd & Anor v Yii Sing Chiu & Anor and another appeal [2024] 1 MLJ 94 , the Court of Appeal clarified the rules on maintenance charges and sinking fund contributions in mixed strata developments. Developers and management corporations can impose different rates based on the distinct purposes of residential and commercial parcels. The judgment emphasizes fairness, ensuring residential owners bear the costs of exclusive facilities like pools and gyms, while commercial owners aren’t subsidizing amenities they don’t use. This ruling highlights the importance of transparency in budgeting and equitable cost-sharing in mixed-use properties.

Read More »
16 Disember ,2024 Tiada Ulasan

ILLEGALITY OF UNREGISTERED ESTATE AGENTS’ CLAIM – FINDER’S FEES AND ILLEGALITY: COURT DRAWS THE LINE ON UNREGISTERED ESTATE AGENTS

In a pivotal ruling, the Court of Appeal clarified that finder’s fee agreements are not automatically void under the Valuers, Appraisers, Estate Agents and Property Managers Act 1981. The Court emphasized that illegality must be specifically pleaded and supported by evidence, and isolated transactions do not trigger the Act’s prohibition. This decision highlights the importance of precise pleadings and a clear understanding of the law’s scope.

Read More »
16 Disember ,2024 Tiada Ulasan

COMPANIES ACT – OPPRESSION – DRAWING THE LINE: FEDERAL COURT DEFINES OPPRESSION VS. CORPORATE HARMS

In a decisive ruling, the Federal Court clarified the boundaries between personal shareholder oppression and corporate harm, overturning the Court of Appeal’s findings. The Court held that claims tied to the wrongful transfer of trademarks belonged to the company, not the individual shareholder, reaffirming that corporate harm must be addressed through a derivative action rather than an oppression claim.

Read More »
16 Disember ,2024 Tiada Ulasan

COMPANIES LAW – WHEN DIRECTORS BETRAY: COURT CONDEMNS BREACH OF TRUST AND CORPORATE MISCONDUCT

In a stark reminder of the consequences of corporate betrayal, the court found that the directors had systematically dismantled their own company to benefit a competing entity they controlled. By breaching their fiduciary duties, conspiring to harm the business, and unjustly enriching themselves, the defendants were held accountable through significant compensatory and exemplary damages, reaffirming the critical importance of trust and integrity in corporate governance.

Read More »
16 Disember ,2024 Tiada Ulasan

JURISDICTION – CHOOSING THE RIGHT COURT: THE SEA JUSTICE CASE HIGHLIGHTS WHERE MARITIME DISPUTES SHOULD BE HEARD

In The Sea Justice cases [2024] 2 Lloyd’s Rep 383 and [2024] 2 Lloyd’s Rep 429, the Singapore courts tackled a key question: which country should handle a maritime dispute when incidents span international waters? After examining the location of the collision, existing limitation funds in China, and witness availability, the courts concluded that China was the more appropriate forum. This ruling highlights that courts will often defer to the jurisdiction with the closest ties to the incident, ensuring efficient and fair handling of cross-border maritime disputes. This approach is also relevant in Malaysia, where similar principles apply.

Read More »
17 November ,2024 Tiada Ulasan
ms_MYMY
en_USEN zh_TWZH ms_MYMY
× Hubungi Kami