JUDGMENT

Faizah Jamaludin J:

A. Introduction

[1] This is a civil suit brought by the plaintiffs against the developer and the landowner of the housing development project known as "Anjung Sari @ Bandar Setia Alam" ("Anjung Sari").

[2] The plaintiffs had entered into Sales and Purchase Agreements ("SPAs") with the developer and the landowner for the purchase of double-storey bungalows in Phase 2 of Anjung Sari. The SPAs are in the statutory form prescribed in Schedule G of the Housing Development (Control and Licensing) Regulations 1989 ("HDR 1989") made under the Housing Development (Control and Licensing) Act 1966 (Act 118) ("HDA 1966").

[3] The issue at the heart of this suit is whether a landowner - who had appointed a developer to develop the land, but who, prior to the completion of the development, had directed the developer to stop all work and vacate the land, and who had taken over from the developer possession of the land, the issue documents of title of the land sold to the purchasers, the SPAs, and the deposits paid by the purchasers - is responsible under the SPAs, the HDA 1966 and the HDR 1989 to complete the construction of the houses sold pursuant to the SPAs.

[4] The lan