Financial Consumer Protection under the Unfair Contract Terms

IT has been long recognised under consumer protection law that unfair contract terms should be strictly prohibited due to the unequal bargaining power between the financial institutions and the consumer. Furthermore, in 2018 case of CIMB Bank Berhad v Anthony Lawrence Bourke and Anor [2018] 1 LNS 1887, Malaysian Federal Court upheld the decision of the Court of Appeal that commercial bank

cannot reply on exclusion clauses that restrain legal proceedings, contravening to section 29 of the Contracts Act 1950.