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Issue #45/2017 09 November 2017

New This Week Case(s) of the Week CTI GROUP INC v. INTERNATIONAL BULK CARRIERS SPA [2017] 9 CLJ 499 Latest Cases Legal Network Series CLJ 2017 Volume 9 (Part 5) Articles LNS Article(s) CLJ Article(s) Legislation Highlights Principal Acts Amending Acts PU(A) PU(B) Legislation Alert

CTI GROUP INC v. INTERNATIONAL BULK CARRIERS SPA [2017] 9 CLJ 499
FEDERAL COURT, KOTA KINABALU
AHMAD MAAROP FCJ, ABU SAMAH NORDIN FCJ, ZAHARAH IBRAHIM FCJ, AZIAH ALI FCJ, ABDUL RAHMAN SEBLI JCA
[CIVIL APPEAL NO: 02(f)-61-09-2015(S)]
10 AUGUST 2017

ARBITRATION: Award – Recognition or enforcement – Arbitral award by International Chamber of Commerce – High Court allowed plaintiff’s application for recognition and enforcement of award – Appeal by defendant to set aside order of High Court – Procedure for recognition and enforcement – Two-stage process under ss. 38 and 39 of Arbitration Act 2005 read together with O. 69 rr. 8 and 9 of Rules of Court 2012 – Whether plaintiff discharged evidential burden – Whether application for setting aside made on substantive grounds in s. 39 of Arbitration Act 2005 – Whether defendant satisfied threshold requirement for setting aside recognition of arbitral award

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Legal Network Series

[2016] 1 LNS 1243	HAFIZ ALIAS lwn. TIMBALAN MENTERI DALAM NEGERI & YANG LAIN	PROSEDUR JENAYAH: Habeas corpus - Permohonan untuk writ habeas corpus - Tahanan dibawah s. 6(1) Akta Dadah Berbahaya (Langkah-Langkah Pencegahan Khas) 1985 ('Akta 1985') - Ketidakpatuhan prosedur - Penahanan semula selepas pemohon dibebaskan dari pusat pemulihan ahklak - Pegawai penyiasat gagal menjalankan sebarang siasatan keatas pemohon dan merakam percakapan pemohon - Sama ada penyediaan laporan penyiasatan di bawah s. 3(3) Akta 1985 adalah diragui - Sama ada penahanan pemohon adalah sah - Sama ada writ habeas corpus bagi pembebasan pemohon wajar dikeluarkan
[2016] 1 LNS 1408	JOHAWAKI PLANTATION SDN BHD lwn. PENTADBIR TANAH PERAK TENGAH	UNDANG-UNDANG TANAH: Pengambilan - Pampasan - Pampasan untuk pecah pisah tanah, kecederaan tanah dan kehilangan pendapatan - Tanah menjadi terpisah setelah pengambilan dengan adanya pembinaan lebuh raya - Penilai swasta dan kerajaan membuat anggaran penurunan nilai tanah tanpa sebarang bukti perbandingan - Ketiadaan keterangan berkenaan kehilangan akses selepas pengambilan tanah - Kewujudan pelan untuk membina jambatan bagi menghubungkan tanah yang terpisah - Sama ada terdapat penurunan nilai tanah yang telah di pecah pisah - Sama ada pemohon telah mengalami kerugian akibat pecah pisah tanah - Sama ada pampasan ganti rugi kecederaan tanah telah berbangkit di peringkat bantahan pemohon
[2017] 1 LNS 154	MOHAMAD NAZRI DAHERI v. PP	CRIMINAL LAW: Corruption - Corruptly accepting gratification - Accepting gratification for purpose of giving protection to offenders of illegal timber logging - Offence under s. 17(a) of Malaysian Anti-Corruption Commission Act 2009 ('MACC 2009') - Action and movement of accused clearly recorded audio-visually - Whether ingredients of s. 17(a) of MACC 2009 proven - Whether presumption under s. 15(1) of MACC 2009 applicable - Whether presumption under s. 15(1) of MACC 2009 rebutted CRIMINAL PROCEDURE: Appeal - Appeal against sentence - Offence under s. 17(a) of Malaysian Anti-Corruption Commission Act 2009 ('MACC 2009') - Imprisonment imposed only for a period of 3 years and 10 months for 3 charges to run consecutively from date of conviction - Whether imposition of fine and imprisonment is mandatory pursuant to s. 24 of MACC 2009 - Whether sentence imposed was manifestly excessive
[2017] 1 LNS 358	MUNIANDY SUBRAMANIAM v. MENTERI DALAM NEGERI, MALAYSIA & ORS	PREVENTIVE DETENTION: Detention order - Application for habeas corpus - Detention under s. 6(1) of Dangerous Drugs (Special Preventive Measures) Act 1985 ('Act 1985') - Minister relied on inaccurate recommendation of advisory board in extending detention order - Minister failed to prove that grounds for extension was same as grounds on which order originally made - Whether procedure adopted in breach of natural justice - Whether advisory board acted outside its jurisdiction under ss. 7 & 11 of Act 1985 - Whether detention order was valid
[2017] 1 LNS 636	LOGIK PENGURUSAN SDN BHD v. INDUSTRIAL COURT OF MALAYSIA & ANOR	ADMINISTRATIVE LAW: Judicial review - Certiorari - Application to quash decision of Industrial Court - Departure from pleadings - Erroneous assumption of facts - Industrial Court allowing claimant's application to amend grounds for dismissal in statement of case after end of trial and during submission stage - Whether departure from pleadings caused prejudice to company - Whether there was misdirection of facts and law committed by Industrial Court - Whether industrial court award ought to be quashed

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CLJ 2017 Volume 9 (Part 5)

FEDERAL COURT

CTI Group Inc v. International Bulk Carriers SPA
Ahmad Maarop, Abu Samah Nordin, Zaharah Ibrahim, Aziah Ali FCJJ; Abdul Rahman Sebli JCA
(Arbitration - Award - Recognition or enforcement - Arbitral award by International Chamber of Commerce) [2017] 9 CLJ 499 [FC]

COURT OF APPEAL

Limba Jaya Timber Sdn Bhd & Anor v. Superintendent Of Lands And Surveys, Limbang & Anor
David Wong Dak Wah, Hamid Sultan Abu Backer, Umi Kalthum Abdul Majid JJCA
(Civil Procedure - Judicial review - Appeal against decision of Superintendent of Lands and Surveys as decision-maker) [2017] 9 CLJ 533 [CA]

Raymond Cheah Choon Sing v. Jurutera Daerah, Jabatan Kerja Raya Seberang Perai Tengah & Ors
Mohd Zawawi Salleh, Vernon Ong Lam Kiat, Abdul Rahman Sebli JJCA
(Tort; Words & Phrases - Negligence - Road accident) [2017] 9 CLJ 543 [CA]

HIGH COURT

AmLife Insurance Bhd lwn. Ketua Pengarah Hasil Dalam Negeri
Has Zanah Mehat H
(Undang-undang Hasil; Prosedur Sivil - Cukai pendapatan - Rayuan terhadap keputusan Pesuruhjaya Khas Cukai Pendapatan - Bantahan awalan) [2017] 9 CLJ 556 [HC]

Perbadanan Pengurusan Megan Avenue 1 v. Harcharan S Sidhu & Anor
Faizah Jamaludin JC
(Land Law; Statutory Interpretation - Strata title - Management corporation - Maintenance and management of building) [2017] 9 CLJ 563 [HC]

Weststar Construction Sdn Bhd v. Prisma Athira Architect
Lee Swee Seng J
(Contract - Breach - Claim For Services Rendered) [2017] 9 CLJ 575 [HC]

SUBJECT INDEX

ARBITRATION

Award - Recognition or enforcement - Arbitral award by International Chamber of Commerce - High Court allowed plaintiff's application for recognition and enforcement of award - Appeal by defendant to set aside order of High Court - Procedure for recognition and enforcement - Two-stage process under ss. 38 and 39 of Arbitration Act 2005 read together with O. 69 rr. 8 and 9 of Rules of Court 2012 - Whether plaintiff discharged evidential burden - Whether application for setting aside made on substantive grounds in s. 39 of Arbitration Act 2005 - Whether defendant satisfied threshold requirement for setting aside recognition of arbitral award
CTI Group Inc v. International Bulk Carriers SPA
(Ahmad Maarop, Abu Samah Nordin, Zaharah Ibrahim, Aziah Ali FCJJ, Abdul Rahman Sebli JCA) [2017] 9 CLJ 499 [FC]

CIVIL PROCEDURE

Judicial review - Appeal against decision of Superintendent of Lands and Surveys as decision-maker - Whether decision-maker could be made respondent - Whether Tan Guan Seng v. Sibuti Yong Seng Quarry Sdn Bhd applicable and binding - Proper interpretation of O. 55A of Rules of Court 2012
Limba Jaya Timber Sdn Bhd & Anor v. Superintendent Of Lands And Surveys, Limbang & Anor
(David Wong Dak Wah, Hamid Sultan Abu Backer, Umi Kalthum Abdul Majid JJCA) [2017] 9 CLJ 533 [CA]

CONTRACT

Breach - Claim for services rendered - Architect as main consultant to appoint engineering consultant - Claim for agreed engineering consultancy fees by architect - Architect not duly registered under Registration of Engineers Act 1967 - Whether architect could claim for agreed engineering consultancy fees - Whether claim by architect for agreed engineering consultancy fees valid - Whether there was a breach of the Architects Rules 1996 - Whether architect merely claimed agreed engineering consultancy fees on behalf of engineering consultant
Weststar Construction Sdn Bhd v. Prisma Athira Architect
(Lee Swee Seng J) [2017] 9 CLJ 575 [HC]

LAND LAW

Strata title - Management corporation - Maintenance and management of building - Claim for outstanding sum for maintenance service - Whether management corporation has valid claim against persons who purchased and occupied parcel in subdivided building but yet to be registered as proprietor on strata title - Whether purchasers of property came within definition of 'proprietor' under Strata Management Act 2013 - Whether purchasers of property liable for outstanding charges - Strata Management Act 2013, ss. 52(8), 77(3), 82
Perbadanan Pengurusan Megan Avenue 1 v. Harcharan S Sidhu & Anor
(Faizah Jamaludin JC) [2017] 9 CLJ 563 [HC]

STATUTORY INTERPRETATION

Construction of statutes - Legislations governing strata titles and management of subdivided building - Whether Strata Management Act 2013 must be read and construed with Strata Titles Act 1985 - Definition of 'proprietor' - Whether includes 'person or body who would receive rent if the parcel were let to tenant' or 'purchaser to be duly registered as proprietor' - Strata Management Act 2013, ss. 2, 3, 52 - Strata Titles Act 1985, s. 4
Perbadanan Pengurusan Megan Avenue 1 v. Harcharan S Sidhu & Anor
(Faizah Jamaludin JC) [2017] 9 CLJ 563 [HC]

TORT

Negligence - Road accident - Motorcycle rider fell into potholes and thrown off motorcycle - Claim for damages against defendants - Whether road in question under care and maintenance of defendants - Whether defendants well aware of existence of potholes - Whether defendants negligent in not repairing potholes - Whether defendants duty-bound to maintain road in question - Whether defendants protected under s. 7(3) of Government Proceedings Act 1956
Raymond Cheah Choon Sing v. Jurutera Daerah, Jabatan Kerja Raya Seberang Perai Tengah & Ors
(Mohd Zawawi Salleh, Vernon Ong Lam Kiat, Abdul Rahman Sebli JJCA) [2017] 9 CLJ 543 [CA]

WORDS & PHRASES

'neglect' - Definition - Whether a failure to give proper care or attention - Liability of government for any neglect by public officer - Government Proceedings Act 1956, ss. 5, 7(1) - Whether words 'construction and maintenance' in the phrase 'in the execution of any works of 'construction and maintenance' disjunctive - Government Proceedings Act 1956, s. 7(3)
Raymond Cheah Choon Sing v. Jurutera Daerah, Jabatan Kerja Raya Seberang Perai Tengah & Ors
(Mohd Zawawi Salleh, Vernon Ong Lam Kiat, Abdul Rahman Sebli JJCA) [2017] 9 CLJ 543 [CA]

INDEKS PERKARA

PROSEDUR SIVIL

Bantahan awalan - Cukai pendapatan - Rayuan terhadap keputusan Pesuruhjaya Khas Cukai Pendapatan - Sama ada terdapat kegagalan korum dalam prosiding rayuan - Keesahan panel baharu yang hanya mendengar hujahan dan kemudian membuat keputusan berdasarkan prosiding yang dimulakan oleh panel pertama - Sama ada syarat-syarat pewujudan panel baharu dipatuhi - Ketiadaan seorang ahli panel pertama dalam panel baharu yang membuat keputusan - Sama ada panel baharu hendaklah mendengar semula rayuan - Sama ada perenggan 1A Jadual Ke-5 Akta Cukai Pendapatan 1967 dipatuhi - Sama ada keputusan panel baharu sah
AmLife Insurance Bhd lwn. Ketua Pengarah Hasil Dalam Negeri
(Has Zanah Mehat H) [2017] 9 CLJ 556 [HC]

UNDANG-UNDANG HASIL

Cukai pendapatan - Rayuan terhadap keputusan Pesuruhjaya Khas Cukai Pendapatan - Bantahan awalan - Sama ada terdapat kegagalan korum dalam prosiding rayuan - Keesahan panel baharu yang hanya mendengar hujahan dan kemudian membuat keputusan berdasarkan prosiding yang dimulakan oleh panel pertama - Sama ada syarat-syarat pewujudan panel baharu dipatuhi - Ketiadaan seorang ahli panel pertama dalam panel baharu yang membuat keputusan - Sama ada panel baharu hendaklah mendengar semula rayuan - Sama ada perenggan 1A Jadual Ke-5 Akta Cukai Pendapatan 1967 dipatuhi - Sama ada keputusan panel baharu sah
AmLife Insurance Bhd lwn. Ketua Pengarah Hasil Dalam Negeri
(Has Zanah Mehat H) [2017] 9 CLJ 556 [HC]

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LNS Article(s)

1. THE DAWN OF SHARIAH-BASED INDICES: A BRIEF COMPARISON BETWEEN THE MALAYSIAN SHARIAH INDEX (MSI) AND THE SYARIAH INDEX PROJECT (SIP)* ^{[Read excerpt]}
   WAN NAIM WAN MANSOR AHMAD BADRI ABDULLAH [2017] 1 LNS(A) l

[2017] 1 LNS(A) l



MALAYSIA

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THE DAWN OF SHARIAH-BASED INDICES: A BRIEF COMPARISON BETWEEN
THE MALAYSIAN SHARIAH INDEX (MSI) AND THE SYARIAH INDEX PROJECT (SIP)*

WAN NAIM WAN MANSOR
AHMAD BADRI ABDULLAH

Growing interest in Maqasid Shariah as a legitimate source to address new socio-political conditions had inspired several modeling attempts to quantify and measure Islamic 'divine goals'. The week of March 2016 witnessed two Shariah-based indices being introduced to the Malaysian public. The first was the Malaysian Shariah Index, a government-sponsored research led by the Department of Islamic Development Malaysia (JAKIM) with the participation of over 133 experts from local universities. Its results were presented by Prime Minister Najib Razak himself, in the presence of religious and government leaders in a grand convention hosted by Putrajaya.^[1]

. . .

* Published with kind permission of the International Institute of Advanced Islamic Studies (IAIS) Malaysia. (www.iais.org.my).

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CLJ Article(s)

1. THE LEGAL ISSUE IN THE REQUIREMENTS FOR INSURABLE INTEREST AT THE TIME OF LOSS FOR MOTOR INSURANCE AND MOTOR TAKAFUL CONTRACTS ^{[Read excerpt]}
   DR CHEAH YOU SUM [2017] 9 CLJ(A) xvii

[2017] 9 CLJ(A) xvii



MALAYSIA

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THE LEGAL ISSUE IN THE REQUIREMENTS FOR INSURABLE INTEREST AT THE TIME OF LOSS FOR MOTOR INSURANCE AND MOTOR TAKAFUL CONTRACTS

DR CHEAH YOU SUM

Abstract

The legal requirements for insurable interest in motor insurance exist primarily due to common law authorities. The concept of insurable interest is introduced in order to eliminate the negative elements of wagering or gambling. However, under common law, such insurable interest is only required to exist at the time of the claim and not at the time of the inception of contract for conventional motor insurance contract. This is different for motor takaful contracts as the Shariah Advisory Council's requirements state that permissible takaful interest must exist both at the inception of contract and at the time of claim under the motor takaful contract.

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* Ph.D (UKM)

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