FEDERAL COURT PUTRAJAYA
LIPUTAN SIMFONI SDN BHD – Appellant
Versus
PEMBANGUNAN ORKID DESA SDN BHD – Respondent
| Table of Content |
|---|
| 1. overview of competing claims between landowner and purchaser. (Para 1 , 2 , 5 , 6) |
| 2. determining good faith relies on actions before and during official registration. (Para 3) |
| 3. court's conclusion on the transfer's validity under fraudulent circumstances. (Para 23 , 24 , 62) |
| 4. definition and implications of good faith in land transactions. (Para 30 , 32 , 54) |
[1] This case again highlighted the difficulty in resolving the competing claims between an innocent landowner and a purchaser of a piece of land which was the subject matter of a fraudulent transaction under s 340(2) of the National Land Code ("Code").
[2] The High Court allowed the original owner's claim, thereby restoring the subject land to the original owner. The Court of Appeal affirmed the decision of the High Court.
[3] On 8 December 2016, leave to appeal was allowed to the appellant, the purchaser, on the following questions of law:
Question 1: Whether the relevant time for the determination of good faith of a subsequent purchaser for the purpose of s 340(3) of the National Land Code (" NLC ") is based on the circumstances at the time of entering into the transaction or at the time of registration
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