UDL6323 Land Law II Tri 2, 2024/2025
Topic 7 Liens
Tutorial 08
Question 1 to 3 for general discussion
1. Discuss the elements which must be fulfilled for the creation of lien under the
National Land Code (Revised – 2020).
2. What is the effect of entry and non-entry of lienholder caveat? Explain.
3. In 2006, Intan deposited the IDT to her land with Ravi as security for a loan from
Ravi. Ravi did not enter a lienholder’s caveat.
Recently, Intan informed Ravi that the land office required the IDT to her land for an
investigation. On this ground, Ravi returned the IDT to Intan. However, the fact of
the matter was Intan needed the IDT for the purpose of creating a charge over her land
in favour of Bank Holee which has agreed to grant Intan a loan. The charge
instruments have been executed but before they could be presented for registration,
Ravi entered a caveat against the land.
Bank Holee has applied to remove Ravi’s caveat under section 327 of the National
Land Code (Revised – 2020).
Advise Ravi.
Assume that Ravi did not enter a caveat and Bank Holee’s charge has been registered.
Can Ravi enforce his security against Intan’s land?
Question 4 for Individual Presentation
4. Five volunteer students present the following cases and non-presenters will be
selected to write the answer for submission:
(a) Hong Leong Bank Bhd. v Staghorn Sdn. Bhd. [2008] 2 MLJ 622 FC
(b) Perwira Affin Bank Bhd. (formerly known as Perwira Habib Bank Malaysia
Bhd.) v Selangor Properties Sdn. Bhd. & Ors [2010] 3 MLJ 43 CA
(c) Megat Najmuddin v Perwira Habib Bank Bhd. [2003] 4 MLJ 65
(d) Standard Chartered Bank v Yap Sing Yoke & Ors [1989] 2 MLJ 49
(e) Vallipuram Sivaguru v Palaniappa Chetty [1937] MLJ 59
WRITTEN EXERCISE
5. A third-party charge can be created under the National Land Code 1965. Discuss
whether this is also true in case of lien. Support your answer with case law.
(10 marks)
[Question 4(a), Tri 2, 2014/2015, Final]
Prepared by Tay Eng Siang, Asfarina Kartika Binti Shakri & Yong Kai Jie, FOL, MMU 1
