Formation
Pursuant to Contracts Act 1950 (Malaysia) s 2(h), an agreement enforceable by law is a contract. The ingredients of a valid legally binding contract was set out in the case of Sri Kajang Rock Products Sdn Bhd v. Mayban Finance Berhad & Ors [1992] 1 CLJ 204 where VC George J (as he was then) stated:
“To constitute a valid contract, there must be separate and definite parties thereto; those parties must be in agreement, that there must be a consensus ad idem; those parties must intend to create legal relations in the sense that the promises of each side are to be enforceable simply because they are contractual promises and the promises of each party must be supported by consideration”
In summary for any contract to be effective in Malaysia four elements must be present which are as follows:
- (a) Offer;
- (b) Absolute and unqualified acceptance of that offer;
- (c)An intention to create legal relations; and
- (d)The presence of consideration
This preview is an excerpt from the following publication. this publication for access to all the commentary and precedents.
Purchase of Real Property - Step by Step Guide & Precedents
by By Lawyers For Lawyers author - Jayadeep Hari & Jamil
Overview
This Purchase Step-by-Step Legal Practice Guide and Precedents contains extensive precedents and guidance to enable a lawyer to complete a purchase of property matter including guidance on:
- Sale and purchase agreement with title
- Sale and purchase agreement without title
- Purchase by foreigner
- Caveats
- Real Property Gains Tax
- Strata Titles Act 1985
A wide range of precedent forms and letters used through the course of the transaction are also included. As with all Step-by-Step Guides this guide takes you sequentially through a Purchase matter from getting the matter underway and taking instructions, right through to finalisation.