MIDTERM TEST

Faculty of Business & Management

Course :
BBCL2013
COMMERCIAL LAW

Date : 26th February 2024

Time :

Module Lecturer : Norhafiza Awang

Total marks : 50 marks (worth 20%)

Instructions to candidates:

1. Write your name and student number on the Mid Term Paper AND Answer Booklet.

2. You must attempt all questions.

3. Once finished, kindly upload your answer in the LMS portal.

4. Maximum of 50% deduction for copy and paste / plagiarism.

DO NOT REMOVE ANY PART OF THIS TEST PAPER FROM THE

EXAMINATION ROOM

Name : NAZIRUL HAZIQ BIN MOHD RIZAL

Student ID : 202309010674
 Date: Course: BBCL2013 Commercial Law

Answer ALL questions. [50 marks]

1. Describe the definition of law and the rule of law in Malaysia.

[10 marks]
Definition Of Law

Law is a set of rules that regulates interaction that people have with each other and which sets
standards of conduct between individiuals and the government and which are enforceable through
sanction. To the layman, law is understood as being a general rule of conduct. The Oxford English
Dictionary defines law as “ the body of enacted or customary rules recognized by community as
binding “

The Rule Of Law

According to Dicey, the rule of law involves the following three propositions :

1. No person must be punished except for a breach of the law.

2. All persons are equal before the law irrespective of status or position.
3. The right of freedoms of citizens are enforceable in the court.

2. (a) With reference to the classification of law, explain the concept of public law and private
law. Support your answer with relevant of case laws.

 Public Law:

Public law in Malaysia encompasses constitutional law, administrative law, and criminal law,
among others. It deals with the relationship between the government and its citizens, as well as
the structure and operation of government institutions.

Case Example: In the case of Semenyih Jaya Sdn Bhd v. Pentadbir Tanah Daerah Hulu Langat &
Anor (2017), the Federal Court of Malaysia clarified the principles of administrative law relating to
the exercise of discretionary power by public authorities. This case underscored the importance of
adherence to procedural fairness and reasonableness by administrative bodies, highlighting the
significance of public law principles in Malaysia.
 Private Law:

Private law in Malaysia covers areas such as contract law, tort law, property law, and family law. It
governs the relationships between private individuals or entities and addresses issues such as
contractual disputes, tortious liabilities, and property rights.

Case Example: In the case of Lee Kwan Woh and Yusof bin Haji Abdul Rahman (2013), the
Malaysian Court of Appeal dealt with the principles of tort law, specifically negligence. The court
affirmed the duty of care owed by one party to another and elaborated on the elements required to
establish negligence, thus exemplifying the application of private law principles in Malaysia.

(b) Briefly define international law.

International law is a system of treaties and agreements between nations that governs how
nations interact with other nations, citizens of other nations, and businesses of other nations.
International law typically falls into two different categories.

3. Discuss the jurisdiction of Superior Court in Malaysia and support your answer with relevant
provision and case laws.

In Malaysia, the superior courts consist of the Federal Court, the Court of Appeal, and the High
Courts. These courts have specific jurisdictions as outlined in the Federal Constitution and
relevant statutes.

1) Federal Court :

 The Federal Court is the highest court in Malaysia. Its jurisdiction is primarily appellate in
nature, meaning it hears appeals from the Court of Appeal and occasionally from the High
Courts.
 Article 121(1) of the Federal Constitution establishes the Federal Court as the apex court, with
the authority to determine appeals on constitutional matters, civil matters, and criminal matters.
 Case Law: In the case of Semenyih Jaya Sdn Bhd v. Pentadbir Tanah Daerah Hulu Langat &
Anor (2017), the Federal Court exercised its jurisdiction to hear an appeal concerning
administrative law principles. This case affirmed the Federal Court's authority to adjudicate on
matters of administrative law and clarify legal principles in this area.
2) Court of Appeal:

 The Court of Appeal sits below the Federal Court and above the High Courts. Its jurisdiction
primarily involves hearing appeals from the High Courts and certain specialized tribunals.
 Section 67 of the Courts of Judicature Act 1964 outlines the appellate jurisdiction of the Court
of Appeal, which includes appeals in civil and criminal matters, as well as appeals from certain
specialized tribunals.
 Case Law: In PP v. Mohd Yusoff (2014), the Court of Appeal heard an appeal involving
criminal law principles. This case demonstrates the Court of Appeal's jurisdiction to review
decisions from lower courts and ensure proper application of legal principles.

3) High Courts:

The High Courts are the principal trial courts in Malaysia. They have both original and appellate
jurisdiction, depending on the nature of the case.

Section 25 of the Courts of Judicature Act 1964 confers original jurisdiction upon the High Courts
in civil and criminal matters.

Case Law: In Lee Kwan Woh v. Yusof bin Haji Abdul Rahman (2013), the High Court exercised its
jurisdiction in a civil case involving tort law principles. This case highlights the High Court's role as
a trial court in adjudicating disputes between parties.

[10 marks]
 4. Differentiate the jurisdiction of First-class Magistrate and Second-class Magistrate. Support
your answer with relevant case laws [10 marks]

In Malaysia, the jurisdiction of magistrates is differentiated based on their class, with first-class
magistrates having broader authority compared to second-class magistrates. This classification
determines the types of cases they can hear and the penalties they can impose.

1. First-Class Magistrate:

 First-class magistrates typically have wider jurisdiction compared to second-class magistrates.

They can preside over a broader range of cases, including both civil and criminal matters, and
they have the authority to impose higher penalties.
 Section 87 of the Subordinate Courts Act 1948 outlines the jurisdiction of first-class
magistrates, which includes hearing cases involving offenses punishable with imprisonment
for a term not exceeding ten years, and civil cases where the amount in dispute does not
exceed a certain threshold.
 Case Law: In the case of PP v. Mohd Yusoff (2014), a criminal case involving serious
offenses, the magistrate's court, presided over by a first-class magistrate, exercised its
jurisdiction to hear the case and impose appropriate penalties.

Second-Class Magistrate:

 Second-class magistrates typically have more limited jurisdiction compared to first-class

magistrates. They may handle less serious criminal cases and civil matters with lower
monetary thresholds.
 Section 88 of the Subordinate Courts Act 1948 specifies the jurisdiction of second-class
magistrates, which generally includes hearing cases involving offenses punishable with
imprisonment for a term not exceeding two years and civil cases with lower monetary limits.
 Case Law: While there may not be a specific case law example available, second-class
magistrates would typically handle less serious criminal cases, such as minor assaults or
thefts, and civil cases involving smaller amounts of money.
 5. With reference to the hierarchy of court, explain the jurisdiction of Shariah Court and Industrial
Courts in Malaysia.

Each of these courts has its own jurisdiction and plays a crucial role in the Malaysian legal system.

1) Shariah Court:

 The Shariah Court has jurisdiction over matters related to Islamic law or Shariah. It primarily
deals with personal status matters for Muslims, such as marriage, divorce, inheritance, and
custody of children.
 The jurisdiction of the Shariah Court is governed by state laws, as Islamic law falls under the
purview of state governments in Malaysia.
 The Shariah Courts (Criminal Jurisdiction) Act 1965 empowers the Shariah Court to hear and
determine offenses against Islamic law (syariah offenses) committed by Muslims.
 The jurisdiction of the Shariah Court is exclusive to Muslims, and its decisions do not have
jurisdictional authority over non-Muslims.
 Appeals from the Shariah Court are typically heard by the Shariah Court of Appeal at the state
level and, in certain cases, by the Federal Court.

2) Industrial Court:

 The Industrial Court deals with disputes between employers and employees concerning
industrial relations matters, such as unfair dismissal, trade disputes, and collective
agreements.
 The jurisdiction of the Industrial Court is provided for under the Industrial Relations Act 1967.
 The Industrial Court has the authority to adjudicate disputes arising from employment
relationships in both the public and private sectors, except for members of the armed forces
and police force.
 The decisions of the Industrial Court are final and binding, subject only to limited judicial
review on questions of law.
 Appeals from the Industrial Court are typically made to the High Court on points of law only,
and its decisions are generally not appealable on findings of fact.

[10 marks]

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