JUDGMENT

Raus Sharif CJ:

Introduction

[1] This is an appeal by the appellants (defendants in the High Court) against the decision of the Court of Appeal given on 9 August 2016 which allowed the respondent's (plaintiff in the High Court) appeal and reversed the decision of the High Court given 27 May 2015 in dismissing the respondent's claim.

[2] The crux of the matter before the High Court and the Court of Appeal which came to opposite conclusions was whether the appellants were entitled to forfeit the total sum of RM7,329,629.00 paid by the respondent pursuant to several agreements between the parties for the sale and purchase of a property.

Background Facts

[3] The 1st and 2nd appellants are the directors and sole shareholders of the 3rd appellant which is at all material times the registered proprietor of a landed property held under Geran 212028 Lot No. 63374 Bandar Glenmarie, Daerah Petaling State of Selangor Darul Ehsan ("the Property").