2025 MarsdenLR 3304
HIGH COURT MALAYA KUALA LUMPUR
TAN HOCK ONG – Appellant
Versus
TAN LOONG & SONS CONSTRUCTION SDN BHD – Respondent
[Originating Summons No: WA-24NCvC-978-03/2024]
An executor's authority is suspended upon surrendering a Grant of Probate, necessitating preservation of estate assets until the validity of the Will is determined.
Headnote:(A) Probate and Administration - Grant of Probate - Surrender of Grant - Executor's Authority - The Plaintiff, as Executor appointed by Grant of Probate, sought to compel the Defendant to transfer shares of the deceased. However, the surrender of the Grant pendently affected the Plaintiff's authority to deal with estate assets pending the validity challenge of the Will. The Court ruled that executor powers are suspended upon surrender of the Grant and that estate assets must be preserved until the Will's validity is determined. (Paras 1, 17, 19, 28)
(B) Administration Pendente Lite - Necessity - The Court found it necessary to appoint an Administrator Pendente Lite to protect estate assets due to ongoing litigation challenging the Will's validity and the need for impartial administration. (Paras 22, 27)
| Table of Content |
|---|
| 1. succession and executor's rights (Para 1 , 3 , 4 , 5 , 6 , 7 , 8 , 9 , 10) |
| 2. challenges to will's validity (Para 2 , 12 , 13 , 15 , 16) |
| 3. suspension of executor powers (Para 17 , 18 , 19) |
| 4. appointment of administrator pendente lite (Para 20 , 21 , 22 , 23) |
| 5. functions and limitations of an administrator pendente lite (Para 24 , 25 , 26 , 27 , 28) |
| 6. court's order and costs regarding petition (Para 29) |
[1] This is an Originating Summons (OS) filed by the Plaintiff who was appointed as the Executor of the Estate of Wong Bee (deceased) pursuant to a Grant of Probate dated 28 November 2022 issued by the Kuala Lumpur High Court in Originating Summons No WA-32NCvC-3059-10/2022. The Plaintiff seeks orders to compel the Defendant to affect the transmission and transfer of 228,750 shares that belonged to the deceased, in accordance with cl 3(a) of the deceased's Last Will and Testament dated 31 May 2010.
[2] The Defendant opposes this application primarily on the ground that the validity of the Will is being challenged in a separate proceeding, and the Plaintiff has since surrendered the sealed Grant of Probate to the Court pursuant to a Citation. This raises important questions about the authority of an executor to deal with estate assets when the underlying Grant of Probate has been surrendered to Court, and whether estate assets should be preserved pending resolution of challenges to the Will's validity.
The Key Facts
[3] The Plaintiff was appointed as Executor of his mother's - the deceased's estate through the Grant of Probate based on the deceased's Will. Under the Will, the deceased bequeathed her 228,750 shares in the Defendant to be divided equally between two beneficiaries - the Plaintiff and his older brother, Tan Hock Heng. They each are to receive 114,375 shares in the Defendant.
[4] The Defendant is a private limited company incorporated in Malaysia by the deceased's late husband/Plaintiff's late father on 29 March 1979. The directors are the Plaintiff's two other older brothers (Tan Hock Huat and Tan Hock Hoy), the Plaintiffs niece and nephew both of whom are Tan Hock Huat's children.
[5] When the deceased passed away on 2 June 2022, she held, amongst others, 228,750 shares in the Defendant. Clause 3(a) of her Will reads:
"I give, devise, bequeath all my shares, rights and interests that I possess in
(a) Tan Loong & Sons Construction Sdn Bhd [Company No: 46366-X];
(b) Tan Loong & Sons Realty and Development Sdn Bhd [Company No:52314-X];
(c) Eng Mee Import & Export (M) Sdn Bhd [Company No: 46507-P] to my children namely;
(d) Tan Hock Heng (NRIC No: 681009-10-6407);
(e) Tan Hock Ong (NRIC No: 720207-10-5041/A2045840);
All of No 837 Jalan Tengah, Taman Kepong, 52100 Kuala Lumpur, W. Persekutuan (KL) in equal shares."
[6] The Grant of Probate was granted on 28 November 2022 to the Plaintiff. It was subsequently issued on 20 January 2023.
[7] On 2 June 2023 upon the Plaintiffs instructions, the deceased's Estate forwarded a copy of the Grant of Probate to the Defendant's company secretary for them to prepare the necessary documents and advise of the transfer of shares in the Defendant to Tan Hock Heng and the Plaintiff. Preparations were carried out from 9 June 2023 to 7 August 2023 and eventually all documents were finalised and in proper order to transfer the Defendant's shares to the beneficiaries.
[8] On 16 August 2023 the company secretary forwarded the duly executed transfer forms dated 8 August 2023 to the Plaintiff and/or Tan Hock Heng together with the respective Notis Taksiran Pindah Milik Saham (Duti Tetap) dated 15 August 2023. The company secretary informed the Plaintiff that they were awaiting the signed copy of the Defendant's company resolution together with the deceased's share certificate to be returned to them for cancellation.
[9] Then on 6 September 2023 when the Defendant's board of directors vide its letter of the even date instructed the company secretary to "hold off on transferri