Legal Updates for Aug 2018

Land Law – Indefeasibility : Meaning of 'good faith'

In Peninsular Malaysia, the law governing land matters is embodied in the National Land Code 1965 ("NLC"). Section 340 of the NLC deals with the indefeasibility of a registered title to and interest in land. Section 340(2) of the NLC sets out the circumstances under which a registered title to or interest in land can be rendered defeasible and set aside. Section 340(3) of the NLC provides that a subsequent registered title to or interest in land – which is acquired from a preceding owner of registered title or holder of registered interest who gets onto the register by means of one or more of the vitiating methods as specified in Section 340(2) of the NLC – shall be protected if the subsequent registered title to or interest in land is acquired 'in good faith and for valuable consideration' (pursuant to the proviso thereto). Therefore, it is crucial to understand what is meant by ‘good faith’ in the proviso to Section 340(3) of the NLC. 

Bubble Yet To Burst: Chatime vs Tealive, Round 2

On 16 July 2018, the Chatime-Tealive battle reached the apex court of Malaysia, the Federal Court. The Federal Court granted an application to stay the Court of Appeal order dated 27 June 2018, which had granted a prohibitory injunction against Tealive – in effect requiring all Tealive stores to close down.

In order to understand what the Federal Court’s decision means for this dispute, and what will happen next, we travel back in time to late 2016, when trouble between both sides first started to brew.

Personal Data Protection Update: Public Consultation Paper No.1/2018 – The Implementation of Data Breach Notification

We wish to bring to your attention a Public Consultation Paper (No.1/2018) entitled “The Implementation of Data Breach Notification” (the “DBN Public Consultation Paper”), which was recently published by the Personal Data Protection Commissioner (the “Commissioner”) on the official website of the Personal Data Protection Department. The DBN Public Consultation Paper proposes the introduction of a data breach notification (DBN) mechanism in Malaysia, wherein data users will be required to notify the relevant authorities and affected parties on the occurrence of a data breach within their respective organizations.

In this update, we provide you with a summary of the DBN Public Consultation Paper, address its proposed implementation mechanism, the objectives behind the introduction of DBN, and the specific elements that are proposed to be included in a DBN. The DBN Public Consultation Paper is currently in its public consultation stage, and the Commissioner has requested for feedback and suggestions from the public to be submitted on or before 21 August 2018.