PROPERTY LAW – CO-PROPRIETORSHIP – TERMINATION

YHA have in our earlier legal updates set out the remedy of termination of co-proprietorship for properties. See the following URL.

This legal updates will set out whether there is a need for co-proprietor to first show there is a request for land to be partitioned before applying to court for termination of co-proprietorship for land to be sold.

As we have stated in our earlier updates, as co-proprietors, you may apply to the court to either:

  1. Partition the property between all the co-proprietors; or
  2. terminate the co-proprietorship in the property via sale of land and proceeds be equally divided equally among co-proprietors on the ground that there is a deadlock.

Do you have to satisfy the court item (i) i.e. the property has to be partitioned first before you apply for termination under item (ii) for the property be sold?

  • No. There is no requirement in Section 145 of the National Land Code 1965 (“NLC 1965”) that co-proprietor who wished to terminate his co-proprietorship on the land by sale to first show that he had earlier applied for the land to be partitioned, but the application was rejected.
  • An application can be made straight for item (ii) i.e. termination of co-proprietorship for the property to be sold and proceeds to be divided amongst co-proprietors.
  • As we have highlighted in our legal updates Land Law Co Proprietorship Termination , application for partition of the land would require compliance to Section 136 of the National Land Code 1965 (“NLC 1965”). Partitioning of land is a complicated and expensive process.
  • The court has decided that this partitioning remedy (which is more onerous) does not have to be first complied. Co-proprietors can proceed with item (ii) option.
  • Besides Section 145 of the NLC 1965, the High Court too has power to have the property sold without partitioning under O. 31 r 1 of the Rules of Court 2012 and Para 3 Schedule of the Courts of Judicature Act 1964.
  • Case in point : Ong Chin Hai & Anor v Ong Hoo See & Ors [2022] 5 MLJ 690

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