Malaysia-Section 181 petition

In Choy Heng Min @ Chua Hing Ming v Cheah Kah Seng & Ors [2016] 7 MLJ 815, it was held that:-

"...[38] Section 181 of the CA 1965 provides statutory protection to members against majority members or members who do not have a controlling interest in the company (Kumagai Gumi Co Ltd v Zenecon-Kumagai Sdn Bhd & Ors and another application [1994] 2 MLJ 789).

[39] Briefly, the protection is afforded against four types of misconduct perpetrated against a member of a company: (a) oppression; (b) disregard of interests; (c) unfair discrimination; and (d) prejudice. These four types of conduct may overlap; at the same time, each type may stand on its own. It is a question of fact differing from case to case.

[40] The test for determining whether the conduct complained of falls within the meaning of s 181 is an objective test. In other words, the evidence must be scrutinised objectively and as the Federal Court put it in Owen Sim Liang Khui v Piasau Jaya Sdn Bhd & Anor [1996] 1 MLJ 113 at p 129, 'must eminently be determined according to the facts of each particular case'."

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