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2010 MarsdenLR 42

HIGH COURT KUALA LUMPUR
AMAZING PLACE SDN BHD – Appellant
Versus
COUTURE HOMES SDN BHD & ANOR – Respondent
[Civil Suit No: S-22-206-2010]



Petitioner Advocates:Liza Chan,CM Chew,Alex Wong ,Respondent Advocate: Justin Voon,Alvin Lai

The binding nature of contract terms supersedes any prior oral representations, affirming the adequacy of damages as a remedy over injunctions in commercial property disputes.

Headnote:(A) Interlocutory Injunction - RHC 1980 - Order 18 Rule 19 - Application for injunction by purchaser of commercial unit to restrain developer from altering the property's plans and characteristics - Court denied request, stating grounds included lack of serious triable issues, plaintiff not entitled to the unit sought based on agreements signed - Court emphasized binding nature of contract clauses negating oral representations made during negotiations. (Paras 11, 12, 29-44)

(B) Contract Law - Entire Agreement Clause - Contractual terms must be adhered to, barring reliance on prior representations not recorded in the written agreement - Oral representations contradicted by terms of SPA and Deed of Mutual Covenant - Court upheld this principle by referencing ss 91 and 92 of the Evidence Act. (Paras 18, 24)

(C) Legal Remedies - Assessment of remedies in cases of property transactions - Court found damages adequate and no imminent harm, thus not justifying injunction. (Paras 42-46)

Table of Content
1. application for interlocutory injunction and striking out claim. (Para 1 , 2)
2. factual background regarding the parties and spa. (Para 3 , 4 , 5 , 6 , 7)
3. plaintiff's grounds for injunction and defendant's strike-out reasons. (Para 8 , 9 , 10)
4. examination of oral representations and plaintiff's reliance. (Para 11 , 12 , 13 , 14 , 15 , 16)
5. legal standards for contracts and oral representations. (Para 17 , 18 , 19 , 20)
6. evidence act provisions on written contracts and extrinsic evidence. (Para 21 , 22 , 23 , 24 , 25)
7. invalidation of claim based on oral representations. (Para 26 , 27 , 28)
8. discussion on renumbering and designation of parcels. (Para 29 , 30 , 31 , 32 , 33 , 34)
9. clarifications on area ownership and construction rights. (Para 37 , 38 , 39)
10. plaintiff's prayers evaluated against claims. (Para 40 , 41 , 42)
11. assessment of adequacy of remedy and damages. (Para 43 , 44 , 45)
12. conclusion on the plaintiff’s claim and motion. (Para 46 , 48)
13. final orders issued by the court. (Para 49)
Zabariah Mohd Yusof JC:

[1] Enclosure 3 is the plaintiff's application for an interlocutory injunction to restrain the 1st defendant and its servants or agents from:

i) modifying, altering or dealing in any manner whatsoever with LG- 27 which is identified and marked in the lower ground floor plan of the sale and purchase agreement dated 9 May 2007 made between the 1st defendant and the plaintiff (hereinafter referred to as "the SPA");

ii) making any physical changes or amendments or modifications to the lower ground floor plan for LG-27 in the SPA save to complete LG-27 and to take all actions to carry out all necessary works to place it in such condition and state for delivery of vacant possession to the plaintiff until trial of this action.

[2] Enclosure 10 is the 1st defendant's application to strike out the plaintiff's claim under O 18 r 19 (1) (a), (b) and (d) of the RHC 1980.

Background Facts

[3] The 1st defendant is the developer of the project known as "Empire Subang" and the plaintiff is the purchaser for one of the commercial units (the parcel) in the said project.

[4] A SPA and the Deed of Mutual Covenant was signed by the plaintiff and the 1st defendant.

[5] The plaintiff's case is that it was induced to purchased parcel LG-27 on the 1st defendant's oral representation that parcel LG-27 would have dual frontage or entrance.

[6] The 1st defendant denies this and said that there is no dual frontage or entrance. The 1st defendant also says that the plaintiff's parcel is LG-26.

[7] The 1st defendant further contended that LG-27 has been renumbered and re designated as LG-26. The 1st defendant also denies the existence of the oral representation and alleges that the term of the SPA and the Deed of Mutual Covenant negates the plaintiff's allegation.

[8] Plaintiff then filed the application herein for an interlocutory injunction to restrain the 1st defendant and its servant or agents from inter alia, modifying, altering, dealing, make any changes or modifications to the lower ground floor plan for LG-27 in the SPA save to complete LG-27 and to take all actions or carry out all necessary works to place it in such conditions and state for delivery of vacant possession to the plaintiff until trial of this action.

[9] The basis of the plaintiff's application is that:

i) there is a serious issue to be tried or triable issues in relation to the oral representation, interpretation of the SPA and the conflicting building plans.

ii) the justice of the case lies with the plaintiff since this case involved immovable property, damages is not an adequate remedy,

iii) There is no delay on the plaintiff's part in filing this application.

[10] The 1st defendant on the other hand filed an application to strike out the plaintiff's claim under O 18 r 19 (1) of the RHC on the grounds that:

i) there is no reasonable cause of action at all and the plaintiff's case should be struck out in limine.

ii) without a reasonable cause of action,

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