BAYANGAN SEPADU SDN BHD v. JABATAN PENGAIRAN DAN SALIRAN NEGERI SELANGOR & ORS

[2022] 2 MLRA 1

BAYANGAN SEPADU SDN BHD v. JABATAN PENGAIRAN DAN SALIRAN NEGERI SELANGOR & ORS
Federal Court, Putrajaya
Mohd Zawawi Salleh, Nallini Pathmanathan, Zabariah Mohd Yusof FCJJ
[Civil Appeal No: 01(f)-6-03-2021(B)]
9 December 2021

JUDGMENT

Mohd Zawawi Salleh FCJ:

Introduction

[1] This appeal requires us to consider important questions that go to the heart of the land registration under the Torrens System. One of the central issues is whether a successful bidder at the auction sale under the National Land Code 1965 ("the NLC") must recognise the interest of a person or a body not registered against the title to the land now duly registered in the successful bidder's name. Put another way, the question is whether a promise by the Previous Owner to surrender the land to the State of Authority Selangor is binding on the appellant, a successful bidder at the auction under the NLC, who has not at any time consented to the fenced-off lake and its related structures for flood mitigation to be on the land now duly registered in his name.

[2] On 16 February 2021, this court granted leave to the appellant to appeal against the majority decision of the Court of Appeal on the following two questions of law-

(i) "Assuming that Subject Land Lot 18903 was the agreed lot to be surrendered to Majlis Perbandaran Shah Alam (which is denied) whether the right of the appellant as the registered owner under ss 89 (conclusiveness of register documents of title) and 340 of the NLC (registration to confer indefeasible title) can be defeated by a promise to surrender the said property made by the Previous Owners; and

(ii) Assuming that Subject Land Lot 18903 was the agreed lot to be surrendered to Majlis Perbandaran Shah Alam (which is denied) whether there was a valid surrender of Subject Land Lot 18903 under ss 196(1)(c) read with 196(2)(a) of the NLC when the consent of the chargee had not been obtained."

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