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BUSINESS LAW
COURSEWORK
MAY 2018
QUESTION 1
the application of English Law which are the Civil Law Ordinance 1956 (CLO 1956) in
Peninsular Malaysia, the Application of Laws Ordinance 1951 in Sabah as well as the
With effect from 1 April 1972, after the formation of Malaysia, the CLO 1956 was
extended to Sabah and Sarawak by the Civil Law ordinance (Extension) Order 1971. The
Civil Law Act 1956 (Act 67) (Revised 1972) (CLA 1965) being incorporate to all the
three earlier statutes that are the statutory authority for the application of English law in
today’s Malaysia. The extent of the application of English law is prescribed in the
In Section 3 (1), it provides for the general application of English law. It states that:
Save so far as other provision has been made or may hereafter be made by any written
In West Malaysia or any part thereof, apply the common law of England and the rules of
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In Sabah, apply the common law of England and the rules of equity, together with statutes
1951;
In Sarawak, apply the common law of England and the rules of equity, together with
Provided always that the said common law, rules of equity and statutes of general
application shall be applied so far only as the circumstances of the States of Malaysia and
In short, section 3(1) provides that the courts in Malaysia shall apply the common law as
well as rules of equity existing in England in the absence of written law on 7th April 1956
in West Malaysia, 1st December 1951 in Sabah and 12th December 1949 in Sarawak.
In sub-sections (1)(b) and (1)(c) of section 3 states that English statutes of general
application Sabah and Sarawak shall be applied. The difference in wording between these
subsections on the one hand and subsection (1)(a) on the other hand perpetuated a
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controversy which earlier arose from section 3(1) CLO 1956 which was word for word
the same as section 3(1)(a) CLA 1956. Are English statutes of general application
applicable in West Malaysia? Two views, each as cogent as the other, exist. Professor
Bartholomew, writing on section 3(1) CLO 1956, holds that such English statutes are
applicable.39 Joseph Chia, in discussing the corresponding provision in the CLA 1956,
expresses a contrary opinion.40 Judicial opinion supports the Joseph Chia’s view.
QUESTION 2
https://lawaspect.com/common-law-3/
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QUESTION 3
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