Malaysian Subordinate Court Jurisdiction Rules (SCA 1948)

Posted on Dec 24, 2025 in Law & Jurisprudence

Subordinate Court Jurisdiction: Chapter 2

Counterclaims and Monetary Limits

Section 66(1) – Sessions Court: Can hear the case even if the counterclaim is bigger than the plaintiff’s claim, but cannot award more than its own limit (e.g., max RM1 million).

Section 66(2) – High Court: Any party can apply to move the whole case to the High Court, which has no monetary limit.

Calculating Claim Value: Principal and Interest

Issue: Claim Calculation for Jurisdiction

Claim = Principal (within limit) + Interest (pushes total over limit)

Foo Sey Koh v Chua Seng Seng (1986):

  • Only count interest up to the date of filing (not after judgment).
  • Add that interest to principal → total = claim amount.
  • BUT: If the interest amount is uncertain, the court looks only at the principal to decide jurisdiction.

Simple Rule: Jurisdiction is based on principal + accrued interest till filing (unless interest is unclear → use principal only).

General Exclusions under SCA 1948

Under Section 69 of the Subordinate Courts Act 1948, the Sessions Court cannot handle cases concerning:

  • Land (except under Sections 70 and 71).
  • Enforcing trusts.
  • Complex accounts.
  • Most declaratory orders (except under Section 65(5)(b) and interpleader under Section 73).
  • Issuing or cancelling probate.
  • Legitimacy issues.
  • Guardianship or custody of children (unless allowed by law).
  • The validity or divorce of a marriage.

Actions Concerning Immovable Property

Land Dispute Restrictions (Section 69(a) SCA 1948)

Sessions Court cannot deal with land cases, except under Sections 70 & 71.

Land Recovery Powers (Section 70 SCA 1948)

Section 70(1): Sessions Court can hear claims to recover land and order a court officer to put the winner in possession.

Section 70(2): It can also award rent, mesne profits, and damages along with recovery.

Title Dispute Resolution (Sections 70(4) & 71 SCA 1948)

If there’s a real dispute over who owns the land, the Sessions Court cannot decide — unless both parties agree it can (Section 71). If no agreement, the Sessions Court must ask the High Court to take over the case.

Judicial Interpretation of Title Disputes

Hiew Kim Swee v G. C. Gomez (1955): The court does not decide ownership disputes just from the written claims (pleadings). It must look at all the evidence in the case. Even if the pleading looks like there’s a title dispute, if evidence shows no real dispute, the Sessions Court can still decide.

Three Scenarios of Title Dispute
  1. Plaintiff = owner, Defendant = tenant → No title dispute.
  2. Defendant says Plaintiff is just a tenant with time left → No title dispute.
  3. Defendant says someone else owns it → Yes, title dispute.

Jurisdiction of the Magistrate Court

First Class Magistrate (Section 90 SCA 1948)

A First Class Magistrate can hear cases where the dispute or property value is up to RM100,000.

Second Class Magistrate (Section 92 SCA 1948)

A Second Class Magistrate:

  • Can only handle claims for debt or fixed amounts up to RM10,000 (with interest).
  • Has no appeal powers.
  • Can also deal with small claims under RM5,000 (per Order 93, ROC 2012).

Powers Equivalent to Sessions Court (Section 93(1) SCA 1948)

Magistrates get the same powers as the Sessions Court under Sections 65(3)&(4), 66–70, and 72–74. This includes hearing land recovery cases if there is no real ownership dispute. But Section 71 (needing consent or transfer to High Court for title disputes) does not apply to Magistrates.

Territorial Jurisdiction of Subordinate Courts

Geographical Limits (Sections 59 & 76 SCA 1948)

The Yang di-Pertuan Agong (YDPA) can set geographical limits for Sessions and Magistrates’ Courts. But no limits have been set yet, so:

  • Any Sessions or Magistrates’ Court in Peninsular Malaysia can hear cases from anywhere in Peninsular Malaysia.
  • Courts in Sabah and Sarawak can only hear cases from their own state.

Grounds for Filing Suit (Paragraph 2, 3rd Schedule SCA 1948)

A Subordinate Court can pause or stop a case unless it was filed in the district where:

  1. The cause of action arose, or
  2. The defendant lives/works, or
  3. One of the defendants lives/works, or
  4. The key facts happened, or
  5. It’s fair and just.

It can also move the case to another court of the same level, either on request or on its own motion.

Contractual Choice of Law Clauses

An agreement cannot take away a court’s legal power to hear a case. Jurisdiction is decided by law, not the contract.

Elf Petroleum v Winelf Petroleum [1986]: Even if parties agreed to use Singapore law, Malaysian courts could still hear the case.

Transfer of Proceedings

Transfer Powers (Order 57 Rule 1, ROC 2012)

  • High Court and Subordinate Courts can transfer a case to another court of the same level — on request or on their own motion.
  • Only the High Court can move cases to or from a Subordinate Court.

Hap Seng Plantations v Excess Interpoint (2016): The High Court of Malaya cannot transfer cases to or from the High Court of Sabah & Sarawak.