Grounds for challenging compulsory land acquisition

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<ul><li>1.AInul Jaria Maidin -Land Law 1 Challenging Compulsory Land Acquisition General principle - any person whose land has been acquired compulsorily by the State Authority cannot challenge the acquisition proceedings </li></ul> <p>2. AInul Jaria Maidin -Land Law2 There are very limited grounds for challenging acquisition. Acquisition is unlawful, i.e. where the acquiring authority has exceeded its statutory powers and is taking the land for a purpose outside the scope of the Act or ostensibly for one purpose but intended for another. 3. AInul Jaria Maidin -Land Law3 The principal ground on which an expropriation can be challenged is that the acquiring authority has exceeded its powers, i.e. it has acted ultra vires. See Municipal Council of Sydney v Campbell [1925] AC 338 (PC), where court rejected a compulsory acquisition where the real motive for acquiring the land was for the purpose of enjoying the substantial increase in the value that was to accrue to the land. 4. AInul Jaria Maidin -Land Law4 See Stamford Holdings Sdn Bhd v Kerajaan Negeri Johor &amp; Ors [1998] 1 MLJ 607, where the acquisition was challenged on the ground of mala fide. In Krishnan Moorthy P Manickam v Pengarah Tanah dan Galian Negeri Johor [1996] 4 CLJ 233, it was held that there was no need for such a pre-acquisition hearing as the audi alteram partem rule did not apply when the Executive Committee decided to acquire the plaintiffs land. 5. AInul Jaria Maidin -Land Law5 How to Challenge Reference to court Reference by the Land Administrator- S.36(2) LAA 1960 Objection by the Person Interested -S.36(2) LAA Objection by any person or Government or Corporation on whose behalf such land is acquired S.37(3) LAA 1960 6. AInul Jaria Maidin -Land Law6 Who can Challenge Interested persons includes registered proprietor (title holder), registered interest holder i.e. chargees, lessees, sub-lessee, lien-holder, TER, easement holder, a purchaser who has entered into a valid sale and purchase agreement, also other registrable interest or title holder 7. AInul Jaria Maidin -Land Law7 Challenging Land Acquisition Dissatisfied with amount of compensation Ultra Vires provision of Federal Constitution Breach of Natural Justice Mala Fide -Bad Faith 8. AInul Jaria Maidin -Land Law8 Challenging Land Acquisition Non-Compliance with s 9(1) of LAA Delay: (a) Delay in holding an enquiry (b) Delay in making an award (c) Delay in making actual payment of compensation 9. AInul Jaria Maidin -Land Law9 Dissatisfaction with Quantum or amount of compensation 10. AInul Jaria Maidin -Land Law10 A landowner who is unhappy with the amount of compensation can challenge the proceedings Ng Tiou Hong v Collector of Land Revenue, Gombak Selangor, State Authority had acquired a piece of property owned by 14 co-owners. Being dissatisfied with the Collectors award the owners had refer their claims to the High Ct. The judge proceeded to divide the property into 2 separate portions giving different values to 2 portions. On appeal to Fed Ct., it was held that the proper thing to do is to value the land as one whole unit. Thus, appeal is allowed. 11. AInul Jaria Maidin -Land Law11 See Ng Tiou Hong v Collector of Land Revenue, Gombak [1984] 2 MLJ 35 where the Selangor State Authority acquired a property co-owner by 14 owners. The owners being dissatisfied with the compensation referred to High Court. Judge apportioned land into two different areas and assessed it differently. On appeal to Federal Court it was held that land should be valued as a whole unit. 12. AInul Jaria Maidin -Land Law12 See Collector of Land Revenue Kuantan v Noor Cahaya The issue was whether the trial judge was correct in holding that market value &amp; potential value are 2 separate items to be determined separately and then to be added to one another. Fed Ct. held that the 2 items should be considered together as one whole item, as market values includes potential value. 13. AInul Jaria Maidin -Land Law13 Ultra Vires Federal Constitution Section 3 LAA was alleged to be in contravention of Article 8(1) Federal Constitution. Article 8(1) provides that All persons are equal before the law and entitled to equal protection of the law. See S.Kulasingam &amp; Anor v Commissioner of Land, Federal Territory [1982] 1 MLJ 204 where it was alleged that S 3 LAA is ultra vires the Federal Constitution. The court held that it is not since s 3 provides public purpose and not merely purpose as such it is not inconsistent with Art. 8 14. AInul Jaria Maidin -Land Law14 Goh Seng Peow &amp; Sons Realty S.B. v Collector of Land Revenue, W.P[1986] 2 MLJ 395 15. AInul Jaria Maidin -Land Law15 Breach of Natural Justice Principle of natural justice provides that no person should be condemned unheard See Lau Cher Hian v Collector of Land Revenue, Muar [1971] 1 MLJ 96 where the appellant appealed against the decision of the Collector on the ground of not being given an opportunity to be heard 16. AInul Jaria Maidin -Land Law16 She was delayed in consulting with her co- proprietor, her brother thus she did not make her written objections within the six weeks period. She applied to court for extension of time on the ground that the Notice in Form H did not mention about the 6 weeks duration. Trial ct rejected. On appeal allowed right to be heard. 17. AInul Jaria Maidin -Land Law17 Pemungut Hasil Tanah barat Daya PP v Kam Gin Paik &amp; Ors -grounds of denial of natural justice Federal Ct collected has not disregarded any evidence adduced by or for the landowners. Given opportunity to be heard. Only that the Land Administrator refused to allow the council for the landowner to cross-examine on the valuation report did not infringe natural justice. 18. AInul Jaria Maidin -Land Law18 Mala Fide (Bad Faith) Syed Omar bin Abdul Rahman Taha Alsagoff v Government of Johor [1979] 1 MLJ 49 Yeap Seok Pen v Government of Kelantan [1986] 1 MLJ 449 Stamford Holdings Sdn Bhd v Kerajaan Negeri Johor &amp; Ors [1998] 1 MLJ 607 19. AInul Jaria Maidin -Land Law19 Non-Compliance with provisions of section 9(1) of LAA 1960 S. Kulasingam and Anor v Commissioner of Land, Federal Territory [1982] 1 MLJ 204 -Failure to comply with s. 9(1) LAA publication of Notice in Form 8 under s 8- the collected shall make a note of the intended acquisition on the RDT . In this case, the collector made the note 2 months after publication in the Gazette. Fed. Ct requirement is directory and not mandatory. So long the notation is made even at a later time still valid. 20. AInul Jaria Maidin -Land Law20 Delay (a) Delay in holding an enquiry (b) Delay in making an award (c) Delay in making actual payment of compensation 21. AInul Jaria Maidin -Land Law21 Delay in holding an inquiry PHT Daerah Barat Daya, Pulau Pinang v Ong Gaik Kee [1983] 2 MLJ 35 Oriental Rubber and Palm Oil Sdn. Bhd. v PHT Kuantan [1983] 1 MLJ 315 Sg.Bongkoh Estate v PHT Kuala Muda (1995) 1 CLJ 400 22. AInul Jaria Maidin -Land Law22 Delay in making an award Delay in making an award or the amount of compensation that is payable to the interested persons after holding an inquiry 23. AInul Jaria Maidin -Land Law23 Delay in payment of compensation The delay on the part of the State Authority in making the payment to the interested persons There used to be inordinate delay in the payment of compensation for the land acquired. 24. AInul Jaria Maidin -Land Law24 Pemungut Hasil Tanah Kuantan v Oriental Rubber &amp; Palmoil Sdn Bhd [1986] 1 MLJ 39 dealy of 3 years between s 8 notification and the inquiry and the award by the land administrator There was no reasonable explanation for the delay in holding the inquiry. Supreme Ct- delay as unreasonable. However, Ct said that there was no evidence that the landowner has suffered any grave injustice 25. AInul Jaria Maidin -Land Law25 </p>

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