(1) A Temporary Occupation License (TOL) allows temporary occupation of state land, mining land, or reserved land for a specified purpose. (2) A TOL is issued by the Land Administrator with approval from relevant authorities and is valid until the end of the calendar year. It can be renewed up to three times. (3) A TOL holder has rights of possession but cannot transfer or assign the license to another party. The license terminates upon the death of the holder or dissolution of a company holder.

1. TEMPORARY OCCUPATION
LICENSE (TOL)
LAW 504
Prepared by:
Pn Hamsiah Omar

2. Sec. 65 – types of land that can be
issued with TOL
(1) SA may issue permit Tol of
(a) State land;
(b) Mining land (not for the time being used for
mining)
(c) Reserved land (not for the time being used
as reserved)
(2) TOL may be issued for any purpose but not
for purposes prohibited under sec. 42(2)

3. 2. Section 66 – who issues TOL
(a) State land – Land administrator
(b) Mining land – Land administrator with approval of
senior inspector of mines/officers in charge of
mining;
(c) Reserved land – Land administrator with the
approval of officer in charge of the reserve land.
Proviso, Land administrator is not authorised to issue
TOL inrespect of any river

4. 3. sec. 67(1) - duration
 Issued for a term not later than the end of the
calendar year in which it commences
 No matter when it is approved, it will expire
on 31st December on the year it was issued
eg: if license issued in may 2009, it shall
expire in December 2009

5. Sec 67 - Condition
(2) Every T.O.L :-
 Is subject to the conditions stated in the
said license;
 Must be consistent with any other
conditions that may be prescribed;
 The purpose of the TOL granted is
prescribed in the relevant form.

6. Sec. 67 - Renewal
(3) TOL may
 Apply for renewal to the Land Administrator (LA)
 LA may on application renew such a license for a
term not more than one calendar year;
 Proviso, there should not be more than 3 renewals
unless a prior written approval from the SA
obtained.
(4) Every TOL shall be in F4A, if renewed, license will
be endorsed with such renewal and the date of
next expiry

7. Sec. 68 – TOL not capable of transfer
 TOL shall not be capable of assignment
 TOL shall terminate on death of holder/dissolution of
company except (Sec. 426 – where there is a substitution of
holder – applied by present holder in F30C to the Registrar)
Sec. 68A – Deposit
The SA may direct LA to ask for deposits from TOL
holder – a reasonable amount – as security for the
rehabilitation of the land upon termination of TOL

8. Sec 69 – Combined TOL and Permit to
extract Rock Material
 The purpose of TOL issued may include the
extraction and removal of rock material
 Shall be in F4B an issued for a maximum
term of 5 years or more as may be
prescribed (but it does not for purpose of
obtaining metal or mineral)
 The TOL shall be deemed to constitute a
permit validly issued (to extract and remove
rock material) on behalf of the SA

9. Rights and obligations of TOL holder
(1) To pay annual fee;
(2) To pay deposit, if required
(3) To apply for renewal, no automatic renewal
case ; Teh Bee

10. 4. TOL HOLDER CAN SUE
TRESPASSER
case : Julaika Bivi v. Mydin (1961) MLJ 310
J, a TOL holder – a house erected by previous
holder. TOL holder and D was in possession
of part of the house. J requested D to move
out but was ignored by D
Held : a holder of a TOL who is in possession
of the land can sue any trespasser

11. Mohammed Said v. Fatimah
A . a TOL, brought an action for trespass
against B.
 His license had expired at that time.
Held : at the time he instituted the action A
had no right to the possession of the land
(due to expiry of the license and not
renewed) and therefore could not institute an
action for trespass against B

12. A holder of the license is not allowed to
assign his TOL as it merely confers a
personal right to the holder
 Hee Cheng v. Krishnan (1955) MLJ 103
“ A sale of a house built on a T.O.L land, amounts to a
transfer of a holder’s rights under the license and it is
prohibited.”

13. Paruvathy v. Krishnan (1955)
 Any assignment, arrangement to transfer or
assign the whole or any part of the TOL land
will be of no effect and such
assignment/arrangment will be illegal.

14. TOL holder is allowed to rent his
house built on his TOL land
Govindaraju v. Krishnan (1962) 1 MLJ 334

15. TOL will terminate on the death of the
person holder or dissolution of the
company/body.
Pappo v. Veriah (1965) 1 MLJ 127
Fatimah v. Moideen Kutty (1969) 1 MLJ 72

16. A holder of the license is not entitled
to any compensation upon termination
of TOL
 The Bee v. K. Maruthamuthu

17. A TOL holder is a trespasser if not
leave the land upon its termination
PP v. Yap Tai (1947) MLJ 50