JUDGMENT

Gopal Sri Ram JCA:

This is an important case. It has to do with whether our jurisprudence recognises a doctrine of inequality of bargaining power independent of the well-established doctrine of undue influence. This is the first time, at least as far as I am aware, that this issue has come up for decision at the appellate level. It is a matter upon which careful argument supported by the citation of authority would have been most helpful.

Let me narrate the facts in outline.

The appellant is a farmer. He earns part of his income by harvesting coconuts from land that he rents from the respondents. The appellant also owns two pieces of land. I will refer to them as "the subject property". The appellant's predecessor in title had acquired the subject property by prescriptive right under the land law in force in Penang at the material time. The appellant's root of title was therefore under a cloud and was defeasible.

On 11 November 1975, the appellant entered into an agreement to sell the subject property to the respondents for RM42,000. There is mention made in the agreement of the payment of a deposit of RM4,200. As an issue has been raised in respect of this, I will deal wi