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Malayan Credit Ltd v Jack Chia-MPH Ltd

[1986] AC 549

Case summary last updated at 08/01/2020 15:18 by the Oxbridge Notes in-house law team.

Judgement for the case Malayan Credit Ltd v Jack Chia-MPH Ltd

D was a tenant of a property for his business. He agreed that P could become his joint tenant and that the lease be granted to them both. They agreed what space each would occupy and what proportions of rent each would pay. Privy council held that it could presume joint tenants at law to be in fact tenants in common where each tenant used the property for separate business purposes (other examples where it has done so previously include a purchase in unequal shares, a loan on mortgage advanced unequally or partnership property). 
Lord Brightman: “It is improbable that they would intend to hold as joint tenants in equity”. For example, if D died he would not want his share in the property to revert to the other business. Factors indicating tenancy in common: (1) separate commercial interests of P and D; (2) P and D had kept their space allocation and rent payments separate and (3) The rent, stamp duty etc was payable in unequal shares by P and D. 

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