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2014 MarsdenLR 2164

HIGH COURT MALAYA KUALA LUMPUR
FAIRISE ODYSSEY SDN BHD – Appellant
Versus
TENAGA NASIONAL BERHAD – Respondent
[Civil Suit No: 22NCVC-496-2011]



The court held that implied consent from the State Authority for constructing transmission lines negates claims of continuing trespass, binding all subsequent landowners to this approval.

Headnote:(A) Electricity Supply Act 1949 - Section 52 - Electricity Supply Act 1990 - Section 12 - Law of Trespass - Plaintiff sought removal of transmission lines erected by the defendant on its land claiming unlawful occupation without state authority approval - Court examined statutory requirements for approval and found implied consent by state authority for the construction of transmission lines based on historical documents and absence of objection - The court ruled that the defendant's actions did not constitute continuing trespass as approval binds all successive owners of the land. (Paras 21, 40, 44)

(B) Consent - An approval to erect structures on land can be express or implied, with an emphasis that absence of direct written approval does not negate the existence of consent if nobody protested during the significant period that the structures remained. (Paras 33, 43)

Facts of the case:
The plaintiff acquired registered title to the subject land in 2010, objecting to a transmission line erected in 1993 without state authority approval. The defendant contended it had implied approval due to the statutory works related to the nearby substation. (Paras 1, 7)

Findings of Court:
The plaintiff failed to prove continuing trespass as the evidence suggested TNB had the necessary approval from the State Authority, binding subsequent landowners. (Paras 44, 47)

Issues: Did the State Authority approve the construction of transmission lines which remain on the subject land, and if so, does this bind successors? (Para 14)

Ratio Decidendi: The court found that implied consent was granted based on the conduct of the State Authority and there was no continuing trespass given the historical context and lack of objections from previous owners. (Paras 43, 44)

Result: Plaintiff's claim dismissed.

Table of Content
1. factual background of land transaction and transmission line. (Para 1 , 2 , 3 , 4 , 5 , 6)
2. background facts regarding land and transmission line (Para 7 , 8)
3. historical context of land ownership and electricity supply (Para 9)
4. incorporation of tnb and its responsibilities. (Para 10 , 11)
5. arguments regarding the existence of trespass. (Para 12 , 13)
6. principles governing legal trespass. (Para 21 , 22 , 23)
7. discussion on statutory interpretation of approval requirements. (Para 24 , 25 , 26 , 27 , 28 , 29 , 32)
8. meaning of state authority's approval in statutes. (Para 33 , 34 , 35)
9. court’s findings on state authority's implicit approval. (Para 40 , 41 , 42)

[1] The plaintiff company purchased a parcel of land ("the subject land") in 2010 through which ran a high tension power transmission line ("transmission line"). The transmission line had been erected 17 years earlier in 1993, by the defendant, Tenaga Nasional Berhad ("TNB"), when the subject land was still state land, and before its alienation to the plaintiff's predecessors in title. The plaintiff objects to the existence of the transmission line on account of TNB's in ability to produce any written proof to show that the State Authority had approved the construction of the same on the subject land.

[2] The plaintiff brings this action against the defendant seeking, inter-alia, the removal of the transmission lines and other reliefs as below;

i. A declaration that the use and/or possession of the disputed area by the defendant is unlawful and void ab initio;

ii. Damages to be assessed and paid by the defendant to the plaintiff in respect of the loss of the disputed areas by reason of para 11 above;

iii. Damages to be assessed and paid by the defendant to the plaintiff in respect of the loss of value to the land by reason of para 12 above;

iv. Damages for trespass over the disputed area;

v. Aggravated and exemplary damages; and

vi. An order that the defendant shall deliver vacant possession of the disputed area to the plaintiff within seven (7) days from the date of the order.

The Facts

[3] The background facts which gave rise to the dispute may be stated briefly. The subject land is HS(D) No 10045, PT No 3980, Mukim Gemas, District of Tampin, Negeri Sembilan measuring about 144.272 hectares. It was originally state land which belonged to the Negeri Sembilan Government. In the 1980's the State Government decided to develop the subject land into an industrial zone. It therefore approved the alienation of the subject land to one Metro Angkasa Sdn Bhd ("Metro Angkasa") in 1990. The alienation was cancelled in 1992 when Metro Angkasa failed to pay the land premium within the stipulated period.

[4] In 1992, TNB engaged HG Power Transmission Sdn Bhd ("HG Power") for the construction, installation and laying of the transmission line on the subject land. On 2 November 1993, HG Power completed the work and a "Taking Over Certificate" was issued by TNB. About a year later, sometime in November 1994, TNB issued a "Completion Certificate" to HG Power.

[5] In the meantime, Metro Angkasa successfully appealed against the cancellation of the sale of the subject land to it. On 22 October 1993, the subject land was re-alienated to it.

[6] Sometime in March 1996, Metro Angkasa charged the subject land as security to Southern Bank for banking facilities granted to it. The subject land was foreclosed when Metro Angkasa defaulted in its monthly payments and sole to CIMB Bank Berhad ("CIMB") on 2 August 2006. On 11 January 2010, CIMB entered into a sale and purchase agreement to sell the subject land to one Elitprop Sdn Bhd ("Elitprop"). The agreement expressly stated that the purchase was on an "as is where is basis". At the request of Elitprop, CIMB transferred the subject land directly to the plaintiff, its nominee, by way of an agreement dated 1 November 2010.

[7] On 30 December 2010, when the plaintiff became the registered proprietor of the subject land, it objected to the

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