NAME : IKA ALIEYA BINTI NORHISHAM
ID NUMBER : 58220124115
TEST 2
Question No.4
Rashidi sold his BMW R 1250 GS motorcycle to Halim. As Rashidi liked the motorcycle very
much he often persuaded Halim to lend him the motorcycle. Rashidi had a set of the
motorcycle keys, and he used the motorcycle whenever he liked regardless of whether
Halim needed the motorcycle or not. Halim is not happy with the situation and seeks advice
from you.
Advise Halim.
ISSUE: The issue in this question is whether Halim’s ownership rights were violated by
Rashidi’s continued use of the motorcycle after he sold it to Halim and left it to him. Rashidi
makes a spare key and uses the motorcycle without Halim’s permission. This action raises
the question whether this action can lead to unauthorized interference with Halim’s property
and what legal action can Halim pursue to assert his rights as the rightful owner.
RULES: Under contract law, when goods are sold and ownership is transferred, the seller
has no longer the right to use or control the goods. Is it because the seller agrees to transfer
the property in goods to the buyer for a price.
Section 12 of the Sale Of Goods Act 1957 (Malaysia) established that the seller just
transfers the ownership and allows the buyer to enjoy the goods. If the seller interferes with
the buyer’s enjoyment of the goods after the sale, this may constitute a violation of the
buyer’s right.
Rashidi’s unauthorized use of the motorcycle may amount to a tort of conversion where he is
wrongfully dealing with Halim’s property, denying Halim’s ownership rights.
APPLICATION: Rashidi sold the motorcycle to Halim, transferring ownership to him. This
means Halim has full rights over the motorcycle. Halim has the right to use the motorcycle
whenever he pleases, Rashidi is disregarding Halim’s ownership and consent. His actions
may amount to unauthorized use or even conversion of property.
The fact that Rashidi retained a set of keys does not give him any legal right to the
motorcycle, as ownership no longer rests with him. Rashidi’s action also prevented Halim
from enjoying his ownership of the motorcycle. This situation causes Halim inconvenience
and potentially financial losses if the motorcycle is damaged or depreciated due to Rashidi’s
usage. Halim is within his rights to deny Rashidi access and take action to protect his
property.
TENTATIVE CONCLUSION: Halim should assert his ownership rights by demanding Rashidi
to return the spare keys and stop using the motorcycle without permission. If Rashidi
continues to misuse the motorcycle, Halim may file a complaint for trespass to goods or seek
legal injunction to prevent further interference.