Chapter 2 - Pre-Litigation Issues - Exceptions to Limitation Period Flashcards
OVERVIEW
1) Disability
2) Part-payment or acknowledgement of debt
3) Fraud or Mistake
EXTENSION FOR DISABILITY
The law
S.24 LA:
- One year from the date of cessation from the disability.
EXTENSION FOR DISABILITY
The procedure
O.76:
- Procedure to bring an action for against person under disability.
PART-PAYMENT OR ACKNOWLEDGEMENT OF DEBT
The law
S.26 LA
- fresh accrual of action on acknowledgement of debt
S.27 LA
- acknowledgment must be in writing
PART-PAYMENT OR ACKNOWLEDGEMENT OF DEBT
Issues on S.26
- whether needs to be principal debtor
TNB v Pearl Island Resort Development:
- S.26 covers third party other than the principal debtor.
- A person liable for the debt may or may not be different from the person who is accountable for the debt.
PART-PAYMENT OR ACKNOWLEDGEMENT OF DEBT
Issues on S.26
- acknowledgment by letter
Tenaga Nasional Bhd v Kamarstone Sdn Bhd
- letter acknowledging the debt will activate S.26.
PART-PAYMENT OR ACKNOWLEDGEMENT OF DEBT
Issues on S.27
- Whether SMS qualifies
Yam Kong Seng v Yee Weng Kai (FC, 2014)
- SMS satisfied the writing & signature requirement under S.27.
FRAUD OR MISTAKE
Overview
1) The law
2) Scope of fraud
3) Test for fraud
4) Test for mistake
FRAUD OR MISTAKE
The law
S.29 LA
- period shall not begin to run until the fraud or mistake has been discovered.
FRAUD OR MISTAKE
Scope of fraud
Yong & Co v Wee Hood Teck Development
- includes constructive or equitable fraud
FRAUD OR MISTAKE
Test for fraud
SR, UT
Yong & Co v Wee Hood Teck Development
- conduct with regards to SPECIAL RELATIONSHIP;
- it is an UNCONSCIONABLE THING to do.
FRAUD OR MISTAKE
Test for mistake
Fong Tak Sin v Credit Corporation (M) Bhd
- mistake must have certain CONSEQUENCES & P is seeking relief from the consequences;
- mistake must be ESSENTIAL ingredient to the cause of action.