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2025 MarsdenLR 4996

HIGH COURT MALAYA SHAH ALAM
STEPHANIE JEAN YII & ORS – Appellant
Versus
MENTERI KEMENTERIAN PEMBANGUNAN KERAJAAN TEMPATAN & ORS – Respondent
[Judicial Review No: BA-25-14-03-2023]



Petitioner Advocates:Chan Shieh Chin ,Respondent Advocate: Shahidah Nafisah Leman

The court affirmed that exemptions granted under the COVID-19 Act were lawful and did not violate constitutional rights, recognizing the lack of a statutory right for purchasers to be heard.

Headnote:(A) COVID-19 Act 2020 - Sections 35 and 38C - Judicial review application challenging exemptions for delivery of vacant possession due to COVID-19 delays - Applicants sought to declare First, Second, and Third Exemptions null and void, arguing violations of rights under Article 13 of the Federal Constitution. (Paras 2, 18, 19)

(B) Judicial review standard - The grounds for review include illegality, irrationality, procedural impropriety, and disproportionality as per established legal principles. (Params 12, 13)

Facts of the case:
The applicants contested decisions granting time exemptions for delivery of vacant possession of residential units, citing inconsistencies and lack of transparency in the process. The developer was granted extensions citing the pandemic's impact. (Paras 6, 16, 34)

Findings of Court:
The Court found no illegality or irrationality in the exemptions granted, affirming that they were permissible under the COVID-19 Act. The right to be heard was not granted explicitly by the Act, and conditions for the exemptions were met. (Paras 40, 60)

Issues: Whether the exemptions violated the applicants' rights under Article 13 of the Federal Constitution and the legality of the exemptions granted by the authorities. (Paras 18, 19)

Ratio Decidendi: The Court ruled that the developer's exemptions were lawful per the provisions of the COVID-19 Act and did not contravene constitutional rights since they did not constitute deprivation of property as defined in Article 13. The lack of a statutory right for purchasers to be heard prior to such exemptions was acknowledged. (Paras 19, 56)

Result: Judicial review application dismissed.

Table of Content
1. challenge to exemptions via judicial review (Para 1 , 2)
2. factual background of exemptions granted by authorities (Para 3 , 4 , 5 , 6 , 7 , 8 , 9 , 10 , 11)
3. principles of judicial review applicability (Para 12 , 13 , 14 , 15)
4. arguments on legality under art 13 of federal constitution (Para 16 , 17 , 18 , 19 , 20)
5. legal interpretation of s 35 of covid-19 act (Para 21 , 22 , 23 , 24 , 25 , 26 , 27 , 28)
6. second exemption context and rulings (Para 30 , 31 , 32 , 33 , 34 , 35 , 36 , 37 , 38)
7. assessment of third exemption validity (Para 39 , 40 , 41 , 42 , 43 , 44)
8. right to be heard considerations (Para 54 , 55 , 56 , 57 , 58 , 59)
Shahnaz Sulaiman J:

[1] In this judicial review application, the Applicants seek to challenge the decision of the 1st respondent and/or 2nd respondent in granting:

(i) the First Exemption (18 March 2020 to 31 August 2020) via a letter dated 3 October 2021;

(ii) the Second Exemption (1 September 2020 to 31 December 2020) via a letter dated 4 October 2022 of the Temporary Measures for Reducing the Impact of Coronavirus Disease 2019 (COVID-19) Act 2020 ["Act 829"]; and

(iii) the Third Exemption of 365 days for the period from 1 January 2021 to 31 October 2021 pursuant to s 38C of the Temporary Measures for Reducing the Impact of Coronavirus Disease 2019 (COVID-19) (Amendment) Act 2022 ["Act A1641"] via letter dated 25 January 2022, wherein the said 365 days in that period would be excluded in the calculation of the time period for delivery of vacant possession and completion of common facilities.

[Act 829 And Act A1641 Collectively Referred To As COVID-19 Act]

Reliefs Sought

[2] The main reliefs sought by the Applicants are:

(i) a declaration that the First Exemption, Second Exemption and Third Exemption are null and void; and

(ii) an order of certiorari to quash the First Exemption, Second Exemption and Third Exemption.

Factual Background

[3] The facts of this application have been gleaned from the documents filed by the parties.

[4] The 1st respondent is the Minister responsible for housing matters under the Housing Development (Control and Licensing) Act 1966 ("HDA") and its Regulations. The 2nd respondent is the Director General of Jabatan Perumahan Negara.

[5] The 3rd respondent is the licensed housing developer of the project, operating under the HDA.

[6] The 3rd respondent entered into Sale and Purchase Agreements ("SPAs") with the Applicants, who are the buyers of units in the development.

[7] These SPAs follow Schedule G and reg 11(1) of the Housing Development (Control and Licensing) Regulations 1989. Clause 24 of the SPAs requires vacant possession to be delivered within 24 months.

[8] The 3rd respondent submitted letters dated 10 December 2020 to apply for an exemption of time for delivery of vacant possession under s 35 of Act 829. The 2nd respondent, in accordance with s 35(1) of the COVID-19 Act, approved the First Exemption.

[9] The First Exemption was allowed with the following conditions imposed by the 2nd respondent:

"(i) Pemaju memaklumkan kepada Pembeli berkenaan kelulusan ini secara bertulis dan melampirkan surat pemakluman kelulusan;

(ii) Pemaju hendaklah memastikan bahawa tempoh liability kecacatan mengambil kira pengecualian tempoh dari 18 Mac 2020 hingga 31 Ogos 2020;

(iii) Pemaju memaklumkan kepada pembeli sebarang denda lewat bayar yang dikenakan dari 18 Mac 2020 hingga 31 Ogos 2020 adalah dikecualikan dan tidak akan dikenakan kepada Pembeli; dan

(iv) Pemaju menyelesaikan sebarang denda ("LAD") sekiranya Pemaju gagal menyiapkan unit dalam tempoh pelanjutan yang ditetapkan." [See: 2nd Respondent's Affidavit — para (17)]

[10] The 3rd respondent submitted letters dated 3 January 2021 and 23 May 2022 seeking a Second Exemption of time for the delivery of vacant possession under s 35 of Act 829. Included in the submission was a letter from the project architect, Archi-Invent Architect, dated 31 January 2022, in support of the application. Pursuant to s 35(1) of the COVID-19 A

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