Federal Court: Decision on 26.7.2024 Showdown Between Purchasers and Developer post-Ang Ming Lee Decision (Live Updates)

[LIVE] We will be providing live updates to our highly anticipated Decision in the Federal Court between purchasers and the Developer in respect of issues on LAD claims post-Ang Ming Lee, scheduled to begin at 9.30a.m. [Prema Bonanza Sdn Bhd v Vignesh Naidu A/L Kuppusamy Naidu (Federal Court, Civil Appeal No.: 02(i)-72-08/2022(W) & 02(i)-74-08/2022(W)) & Obata-Ambak Holdings Sdn Bhd v Prema Bonanza Sdn Bhd (Federal Court, Civil Appeal No.: 02(i)-70-08/2022(W) & 02(i)-71-08/2022(W))]

• 11.15 a.m. – the Federal Court concluded that it has been unanimously decided that the Purchasers’ appeals (Appeal 70 and 71) are dismissed, and the Developer’s appeals (Appeal 72 and 74) are allowed.
• 11.12 a.m. – On the issue of prospective overruling and the reliance test, the Federal Court decided that having considered the justice of the case, and the exceptional circumstances applicable to the present appeals: if the decision in Ang Ming Lee were to have retrospective effect, serious ramifications and repercussions would be caused to the housing development industry and developers, who had at all times complied with the laws which, at that point in time were valid. The decision of Ang Ming Lee is to be applied prospectively.
• 10.44 a.m. – The Federal Court held that the Second Actor Theory applies, where innocent parties had relied on the first act albeit being unlawful i.e. the execution of the letter to grant extension by the Controller.
• 10.24 a.m. – The Federal Court stated that the case of Ang Ming Lee did not deliberate the issue of limitation period. On the limitation period, the Federal Court decided, in brief, as follows: it is trite that where a claim is founded on a breach of contract, the claim must be filed within 6 years. Time begins to run at the earliest point of time the purchasers could file an action i.e. from the date of execution of the SPA.
• 9.51 a.m. – Y.A. Dato’ Sri Hasnah Binti Dato’ Mohammed Hashim commences the reading of the summary of the Federal Court’s Decision.
• 9.47 a.m. – The Senior Assistant Registrar announces the arrival of the presiding Federal Court judges, as follows:
  • Y.A.A. Tan Sri Datuk Amar Abang Iskandar Bin Abang Hashim, PMR,
  • Y.A. Dato’ Zabariah Binti Mohd Yusof, HMP,
  • Y.A. Dato’ Sri Hasnah Binti Dato’ Mohammed Hashim, HMP,
  • Y.A. Datuk Harmindar Singh Dhaliwal. HMP, and
  • Y.A. Datuk Abdul Karim Bin Abdul Jalil, HMP.
• 9.30a.m. – Watching brief solicitors are also present in Court.
• 8.30a.m. – Solicitors for the Appellants and Respondents have arrived and are present in Court.