Statutory Reception of Equity

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Class 2 – A.

Statutory reception of equity (fairness, good conscience, just) in Msia – “justice” equals
“equity”

Midsem: 3 classes – history, reception, fusion between civil law and equity – essay

Reception (penerimaan), extension (pemanjangan), application (pemakaian) – all make reception of


equity in Msia

*written law – law tht was enacted (digubal) with a formal process

Ways of reception – 1. Statute (ex: Specific Relief Act – provides injunction, specific performance), 2.
judicial decisions

Before reception of Common Law – customary law (malay native laws – Adat Temenggong, Perpatih
codified in Hukum Kanun Melaka and Undang2 Laut Melaka and native customary laws, like in Sabah
Sarawak)

Complete history of equity: ?? (in England to Msia)

In England

-Customary law (adat) – common law – established curia regis (royal court) to administer common
law – so many cases, cant solve, writ scope limited – king elected chancellor to hear cases –
chancellor adds writs – Courts of chancery established

-for cases tht cant be decided by curia regis, courts of chancery hears – vice chancellor helps –
binding precedent and judicial precedent concepts are birthed

-after Courts of Judicature Act, curia regia and courts of chancery combined

In Msia

-equity received through statute

-equity through court decisions – creates equitable principles

Separated by States

-in Negeri2 Selat

-in Malay States (Federated, Unfederated and Borneo)

Separated by phases of law

-before Civil Law Act 1956

(below is separation through phases of law, CLA didn’t come in yet, and separation through States
(haven’t entered Malay States)

1. 1807, First Royal Charter of Justice (Piagam Keadilan Diraja Pertama) introduces English Law in
Penang

-Regina v Williams, court said tht civil cases have to be adjudged with “justice and right” according to
English law
2. 1827, Second Royal Charter of Justice – used to extend (extension) English laws to Malacca and
Singapore

3. 1843, Official Trustee Act XVII (application) – this act introduces the concept of trustee, a principle
in equity, court chooses trustee to ensure justice what is trustee? a trustee manages money
or assets in a trust for the trust creator/grantor OR his beneficiaries’ benefit

1850, Breach of Trust Act XIII – holds trustee liable for embezzlement (theft or misappropriation of
funds) of trust

4. 1855, Third Royal Charter of Justice – to restructure the courts – 1 court for Penang, 1 court for
Singapore and Malacca

6. Application – Straits Settlement Civil Law Ordinance – Law and Equity administered to supplement
Civil Law

Courts of Judicature Act 1873 – Law and Equity to be used by courts

7. 1928, Law of Sarawak Ordinance, rules of equity to be applied with the maintenance of local
customs

8. 1937, Civil Law Enactment, implement English Laws in Malay States, extended to Unfederated
Malay States with Malay States Civil Law (Extension) Ordinance

9. 1950, application – Specific Relief Act provides equitable remedies – specific performance,
injunction…

after Civil Law Act 1956

10. -mengukuhkan reception of English law and rules of equity in the Malay Peninsular, Sabah and
Sarawak (decisions made before 1956 are binding, after are persuasive)

-has to be suitable to local circumstances – english law used when lacunae in law

-when common law and rules of equity in conflict, rules of equity upheld – equity v statute, statute
upheld, honor intention of draftsmen (penggubal undang2)

11. LRA 1976 – receives rules of equity and common law

*republic – no monarchy; democracy – got monarch

*Acts to buy: CLA and Trustee Act

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