29/11/2022

LECTURE 5:

DISPOSAL OF LAND
Alienation & Other than Alienation
Prepared by:
Dr. Anis Syazwani binti Sukereman
Centre of Studies for Estate Management,
College of Built Environment
Universiti Teknologi Mara (UiTM)

Table of contents
Power Of State
1. 4.
Disposal Other Than
Authority To Dispose Alienation-To issue Temporary
Land Occupation Licenses

2. 5.
Disposal Other Than Alienation-To
Disposal By Alienation permit the extraction and removal of rock
material

Disposal Other Than

3. Alienation-To reserve state
land and to lease reserved
6. Disposal Other Than Alienation-To
permit the use of air space above State land
or reserved land
land

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1. POWER OF STATE
AUTHORITY TO DISPOSE
LAND
Section 42(1) of National Land Code

POWER OF STATE AUTHORITY TO DISPOSE LAND

Disposal of Land

SEC 42(1)

To reserve state land

and to lease reserved Sec 62, 63 & 64
land
Alienation
(Sec 76)
To issue Temporary Sec 65
Occupation Licenses
Other than Alienation
To permit the extraction
and removal of rock Sec 70
material

To permit the use of air

space above State land Sec 75A
or reserved land

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2.
DISPOSAL BY
ALIENATION
Section 76 of National Land
Code

Definition of “alienate” and “alienated land”

(Sec 5, NLC)

“alienate” means to dispose of State “alienated land” means any land

land in perpetuity or for a term of years, in (including any parcel of a subdivided
consideration of the payment of rent, and building) in respect of which a registered
otherwise in accordance with section 76 title for the time being subsists, whether
or, when used in relation to the period final or qualified, whether in perpetuity or
before the commencement of this Act, to for a term of years, and whether granted
dispose of State land in perpetuity or for a by the State Authority under this Act or in
term of years under a previous land law the exercise of powers conferred by any
(not being a law relating to mining); previous land law, but does not include
mining land;

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Definition of Alienation (Sec 76)

The alienation of State land under this Act shall consist of
its disposal by the State Authority—

a) For a Term not e) Condition and

exceeding ninety- restrictions
nine years
b) payment of an c) Payment of d) Category of
annual rent premium land use

Section 76 (b) & (c) and Section 81 (1) (a) to (d)

The grantee must pay premium (once only unless exempted) survey fees and
other fees in connection with the preparation and registration of document
of title, the first year’s rent and annual rent subsequently without failed.
Sums of land Land Administrator will send notice in
revenue must be Form 5A to the intended proprietor
paid upon approval that land revenue is due. If payment
of Alienation not made; S81(2). The approval of
alienation will lapse

Fees for
1st year annual preparation and
Premium Survey fees
rent registration of
document

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PERIOD OF ALIENATION
Section 76. The alienation of State land under this Act shall consist of its disposal
by the State Authority:

a) for a term not exceeding ninety-nine years; State lease-leasehold land

in perpetuity;
aa) -freehold land
-only applicable to; land alienated to the federal government
or public authority; used for public purposes

Title under which land may be alienated

Section 77
Qualified
Final title
Title

Registry
Title

Land
Office Title

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HOW ALIENATION IS BEING AFFECTED (ENFORCED)

Section 78

a) The alienation of State land under final title shall be

effected in accordance with the provisions of Chapter 3.

The alienation of State land under qualified title shall be

b) effected in accordance with the provisions of Chapter 2
of Part Eleven.

The alienation of State land shall take effect upon the

c) registration of a register document of title

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Alienation is a form
of disposal that The document title which is
gives rights on land registered confer ownership
ownership through that is protected by the law
the document title. - indefeasibility of title.

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NORTH EAST PLANTATIONS SDN BHD vs LAND ADMINISTRATOR OF

DUNGUN & ANOTHER [2011] 4 CLJ 729

-SA grants 11 lots of state land with acreage of 10,000 Federal Court decided
acre to North East for the purpose of agricultural that the appeal made
activities. by North East against
-3 lots was registered, and titles were produced to North LA of Dungun does
East not have basis and
-North East later on came up with enough funds to pay therefore rejected due
the remaining 8 lots which amount to to the land is still
under the status of
RM2,052,465.30. However, SA decided to reject the State Land.
payment and to cancel out the previous approval

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General provision relating to approval

Section 79 (1)
Where any approval of the State Authority to the alienation of land under
this Act relates to land which (under sub-section (2) of section 77) is
required to be surveyed before it can be held under final title, it shall
be given by reference to a plan and description sufficient to enable
the land and its boundaries to be provisionally identified and
ascertained pending the survey.

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General provision relating to approval

7 Matters To Be Determined Upon Approving Alienation

Section 79 (2)

Form of Rate to
Area Period of
Final Title calculate
approved alienation
rent

Category Express conditions

Premium of land and restrictions in
use interest

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• Proprietor will be getting the indefeasibility title

of the land
•
•
Tenure is longer than other mode of disposal
Proprietor feels secured to develop and invest WHY
ALIENATION?
in the land
• If the land acquired by the State Authority for
public purposes, proprietor would get
compensation
• Proprietor can do all the dealing with the land

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3.
DISPOSAL OTHER THAN
ALIENATION
To reserve state land and to lease
reserved land

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Disposal Otherwise Than By Alienation

Power of reservation of State land Sec 62

(2) Any notification gazetted

(1) The State Authority under subsection (1) shall—
may by notification in (a) describe the reserved land;
the Gazette reserve any (b) describe the purpose for which
State land for any public the land is reserved;
purpose. (c) designate the public officer for (3) Copies of any such
the time being having the notification shall be
control of the reserved land;
published in accordance
(d) be conclusive evidence that
the land so described is with section 433.
reserved for a public purpose.

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Disposal Otherwise Than By Alienation

Power of reservation of State land Sec 62

Reserved land shall not be—

disposed of by the State Authority except used for any purpose other than that for
to the extent permitted by, and in which it is
accordance with the provisions of, reserved except in pursuance of a
section 63 and Chapters 2, 3 and 4 of this disposition made by
Part; or virtue of any of those provisions.

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Disposal Otherwise Than By Alienation

Power to lease reserved land Sec 63

Form 4E in NLC
Grant leases of the – any other
whole or any part conditions or
not exceeding 21 provisions
years which may be
prescribed

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Disposal Otherwise Than By Alienation

Revocation of reservation Sec 64

Proposed to Copies of any

Reservation of any revoke any Shall not revoke the notice published
land for a public reservation shall reservation until it has under subsection
purpose can be published in the
considered a report by the
(2) shall be
State Director setting out
revoked by the gazette with the nature of any published in
State Authority at details of a time objections received by accordance with
any time (whole of and place and
him and his observations.
section 433.
the land or part of will be held by May thereafter revoke the
the land) State Director reservation, either in Any lease of reserved land subsisting
accordance with the at the time the reservation is
and the State proposal as published, or revoked under this section shall
Authority in accordance with the continue in forcenotwithstanding
proposal modified in such the revocation.
respects as the State
Authority may consider
necessary or desirable.

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DISPOSAL OTHER 4.
THAN ALIENATION To issue
Temporary Occupation Licenses

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Disposal Otherwise Than By Alienation

Power to licence temporary occupation of State Sec 65
land, mining land and reserved land
Section 65(1) of the NLC specifies that the State Authority may permit the temporary
occupation under licence in respect of any of the following lands:

Mining land not for

the time being used
forpurposes of
mining

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Disposal Otherwise Than By Alienation

Limitation Of Purpose For which A Tol Can Be Issued Sec 65(2)

Section 65(2) of the NLC specifies that Temporary occupation licences may be issued for
any purpose other than one prohibited by subsection 42(2).

(a) to dispose of any land for the purposes of mining

(c) to dispose of any land for the purpose of the
(within the meaning of any written law for the time
removal of forest produce therefrom; or
being in force relating to mining);

(d) to alienate any land so as to have the effect of

(b) to permit the extraction or removal of rock less than two-fifths of a hectare of land subject to
material from any land for the purpose of obtaining the category “agriculture” or to any condition
metal or mineral therefrom; requiring its use for any agricultural purpose being
held by more than one person or body,;

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Disposal Otherwise Than By Alienation

Issue of temporary occupation licences Sec 66(1)

S66- absence of any contrary direction by the State

Authority, a TOL can be issued as follows:
- By the LA in respect of State Land May be to the effect that a TOL
- By the LA in respect of mining land provided that the cannot be issued by the LA or a
Senior Inspector of Mines or such other officer as may for TOL can be issued by the LA
the time being be charged with the administration within only when a certain body or
the State of any written law relating to mining and the
lessee have approved the granting of the TOL
committee has given its consent

- By the LA in respect of reserved land provided that the A TOL can be issued by the
officer who is in control of it has approved the granting of officer who is in control of it if he
the TOL is being authorised to do so by
the State Authority – S66(c)(ii)

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Disposal Otherwise Than By Alienation

Issue of temporary occupation licences Sec 66(2)

S66- TOL cannot be issued by Land Administrator on:

(a) any such river and up to fifty metres of the bank of any such
river; or
(b) any such lake or spring and up to fifty metres from the
edge of any such lake or spring,

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Disposal Otherwise Than By Alienation

Term and Condition of TOL Sec 67

By virtue of Sec 67(1) and (2),every TOL issued is subject to the following conditions:

Every temporary occupation licence and The Land Administrator can renew the TOL up to 3
also a combined temporary occupation
licence with the permit to extract and times without having to go through special permission
remove rock material (sec 69) shall be from State Authority. Subsequent renewals require
issued for a term expiring not later than written permission from State Authority.
the end of the calendar year
It may renew annually: Every temporary occupation licence other than one to
which section 69 applies shall be in Form 4a and in the
case of renewal of such licence it shall be endorsed
with a note of such renewal and the date of its
intended expiry.

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Disposal Otherwise Than By Alienation

Others related provision of TOL Sec 68, 68A & 69

Sec 68 Sec 69
TOL shall not be capable of assignment Combined temporary occupation licence and
(transfer) and that every TOL shall permit under
terminate on the death of the holder or
dissolution of the body (a) shall be in Form 4b; and
(b) may be issued for a maximum term not
Sec 68A exceeding five
State Authority may impose a deposit on TOL Years
holders as State Authority may consider
reasonable as security for the due performance Issuance of this combined TOL and permit are
and observance to which the licence is subject for State land, Mining land and reserved land.
and the rehabilitation of the land.
Purpose:
• To Occupy, Extract, Remove And Transport
Rock Material
• To Erect Temporary Building For The
Purpose of Work Above
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5.
DISPOSAL OTHER THAN
ALIENATION
To permit the extraction and removal
of rock material

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Disposal Otherwise Than By Alienation

To permit the extraction and removal of rock material Sec 70 & 71

Sec 70 Sec 71
SA may issue permits from any state Issue of permit
land, alienated of land, mining land and • State Land – Land Administrator
reserved land
• Alienated Land – Land Administrator
:to proprietor of land
: with consent of proprietor, any other
person or body
• Mining Land - by the Land Administrator
acting with approval of Senior Inspector of
Mines
• Reserved Land – by the Land Administrator
acting with approval of officer in control by
that officer, as authorised by State Authority

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Disposal Otherwise Than By Alienation

To permit the extraction and removal of rock material

Form 4C

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Characteristic of permits-Sec 71,72,73 & 74

Duration:- untill the end of Only for the purpose stated
calendar year on the permit

Quantity: not exceeding No dealings can be done on

as stated permit nor transmitted on death

Assigment only if permitted by Death of permit holder : permit

State Land Rule ends

Breach = Cancelled and no Cancelled with compensation:

compensation according to provision in s434 of NLC
Permit holder need to pay annual sum to SA and a
deposit as security

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DISPOSAL OTHER 6.
THAN ALIENATION
To permit the use of air space above
State land or reserved land

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Permit to use Air Space:

Purpose: Sec 75A:
-Erecting, maintaining and occupying a The State Authority may
structure approve the issue of a
-As an adjunct to any structure on the permit for a period not
exceeding twenty-one
adjoining land
years for the purpose of
erecting, maintaining and
The Land Administrator or any officer occupying a structure on
authorized by the State Authority shall State land or reserved
issue on behalf of the State Authority, a land, or over State land or
permit in Form 4d. (Sec 75C) reserved land.

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Conditions, etc., of
permits (Sec 75D)
Every permit under section
75a shall be issued subject to
the following:

(a) an annual payment as may

be determined by the State
Authority; and
(b) such terms and conditions
as may be specified.

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CONCLUSION
Disposal of Land

To reserve state land

and to lease reserved Sec 62, 63 & 64
land
Alienation
(Sec 76)
To issue Temporary Sec 65
Occupation Licenses
Other than Alienation
To permit the extraction
and removal of rock Sec 70
material

To permit the use of air

space above State land Sec 75A
or reserved land

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Thanks
Do you have any questions?
anissyazwani@uitm.edu.my

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