Chapter 1:

Jual Janji
1.1

Definition

1.2

Sale of a promise
Conditional sale where land was used to secure a loan
Origin

1.3

Jual janji was developed after the coming of Islam in Tanah Melayu
To avoid the practice of usury Tengku Zahara v Che Yusuf
In the early days, Jual Janji was only in form of oral understanding.
No proper documentation took place.
When NLC was introduced, Jual Janji dealing was affected as there a
need to register every land transaction.

Elements

1.4

Parties
Transaction of a land
Jual Putus

Judicial Opinion

Strict
Time is of the essence
Haji Abdul Rahman v Hassan
D borrowed money from Eusoff
which
later
he
died.
The
defendant failed to pay within
stipulated time. The defendant
asked from the court to retransfer
back to him. The claim was
dismissed as it was statute barred.

Liberal
Right to redeem remained regardless the
period for repayment had lapsed or not.
Nawab Din v Mohamad Sharif
Jual Janji transaction was not affected
although the time had lapsed

1.5

Exception
1st : Extension of time
Abdul Hamid Saad v Aliyasak
P transferred land to D. Later, D
agreed to extend the time for the
repayment of the loan. Later, the
defendant
doesnt
want
to
transfer back the land. The court
ruled in favor of the plaintiff.
2nd : Evade of payment
Halijah Rejab v Abdullah Saad
D
refused
to
accept
the
repayment of loan. Thus, later he
cannot argued that the plaintiff
does not pay him within the
stipulated time.

Position in Malaysia

Court reluctant to deviate from Haji Abdul Rahman case

Jual Janji was recognized as customary transaction
Sec.206(3)