There are 2 classification in Malaysia law system, which is written laws and unwritten laws.

The difference between written and unwritten law is that its one of the most important
sources of law. Written law includes the federal and state constitution. It is also the legislation
enacted by parliament and state assemblies e.g. Act of Parliament, Ordinance and
Enactments. Subsidiary legislation made by persons or bodies under the powers conferred on
them by Acts of Parliament or State Assemblies e.g. Rules and Regulations, By-laws,
Guidelines, etc. On the other hand, unwritten law is the portion of Malaysian law which is not
written e.g. which is not enacted by parliament or the state assemblies and which is not found
in the written Federal and State Constitutions. Unwritten law is found in cases decided by the
courts and local customs. The unwritten law comprises the following, principles of English
law applicable to local circumstances. Judicial decisions of the superior courts ,i.e the high
courts, court of appeal and the federal court. Customs of the local inhabitants which have
been accepted as law by the courts. One other important source of Malaysian Law is Muslim
law. Muslim or Islamic law is increasing being applied in our local law e.g. incorporation of
some Islamic principles into banking laws. Muslim laws applies to all persons who are
muslims e.g. laws relating to family matters and estate matters relating to the division of
property and assets when a person dies.
Malaysia is a federation of 13 states with a written constitution. The Federal Constitution,
which is the supreme law of the country. It also Lays down the powers of the Federal and
State Governments and the basic or fundamental rights of the individual and Can only be
changed by a two-thirds majority of the total number of members of the legislature. The
Federal constitution declares itself as the supreme law of the Federation according to (Article
4(1) of the Federal Constitution). The laws enacted by Federal Constitution which are
contradictory to the Federal Constitution may be declared void by the Courts as seen in
Repco Holdings Bhd. v Public Prosecutor (1997), the Courts held that s126(2) of the
Securities Industry Act and s39(2) of the Securities Commission Act to be unconstitutional,
null and void. In (Article 73 of the Federal Constitution) confers legislative powers to the
Federal Parliament and the State Legislature and thus, Parliament may make laws for the
whole of Malaysia. Legislation refers to law enacted by a body constituted for this purpose.
Laws are legislated by Parliament at federal level and Various State Legislative Assemblies at
state level. Parliament and the State Legislatures are not supreme but They have to enact laws
subject to the provisions set out in the Federal and State Constitutions. The subject-matter for
legislation is divided between the Federal and State Governments.

Parliament is competent to enact laws on matters enumerated in List I of the Ninth

Schedule. The State can enact laws on matters enumerated in List II (State List). Matters
on List III (Concurrent List) are within the concurrent competence of both authorities and
Matters not enumerated in any of the lists are within the authority of the State. In (Article
44 of Federal Constitution) vests the legislative authority of Malaysia in Parliament,
comprising the Yang di-Pertuan Agong and the two houses of Parliament which are Dewan
Negara and Dewan Rakyat.
In subsidiary legislation An Act of Parliament or statute is brought into being by Parliament
through the parliamentary process which is long and involves several stages. Parliament now
produces annually a very large output of new legislation in the form of Acts of Parliament.
This legislation is an attempt to regulate very complex matters such as employment, social
security, tax liability and economic management. The need to fill in and to vary the details of
statute law is met by conferring, usually on the minister concerned, a statutory power to make
regulations for defined purposes of the main statute. This is called subsidiary legislation or
delegated legislation, since the parent Act delegates to some executive authority power to
legislate in this way. A parent Act often confers similar powers upon local authorities to
legislate by way of bye-laws. The reason for there to be subsidiary legislation is because
Parliament does have the time nor the expertise to examine the regulation of every industry or
aspect of the community. Subsidiary legislation give to certain bodies or people the right to
make legislation. The Interpretation Act 1967, defines subsidiary legislation as any
proclamation, rule, regulation, order, notification, by-law or other instrument made under any
Ordinance, Enactment or other lawful authority and having legislative effect. Such persons or
bodies include the Yang di-Pertuan Agong, Ministers, local authorities etc. It is void if it
contravenes the parent Act or the Constitution.
In Common Law for Malaysia, Malaysian law can also be found in the judicial decisions of
the High Court, Court of Appeal and the Federal Court and the then Supreme Court, High
Court and the Judicial Committee of the Privy Council. Decisions of these courts were made,
and still are being made, systematically by the use of what is called the doctrine of binding
judicial precedent. Judges do not decide cases arbitrarily as They follow certain accepted
principles commonly known as precedents and Precedents are basically decisions made by
judges previously in similar situations, for Example, if the Federal Court made a certain
decision in 1987 and assuming the facts and situations before a High Court judge deciding a
case in 1990 are similar to the said Federal Court case, the High Court judge must decide the

case before him by applying the principles laid down by the Federal Court in 1987. The
principle of law to be followed must form part of the ratio decidendi of the case. The ratio
decidendi is the 'reason for the decision' and is the principle of law as applied to the facts of
the case; it is a matter of interpretation for the later judge to determining the similar dispute.
Obiter dicta (general judicial observation) is made by a judge in the course of his judgement.
It is not strictly relevant to the decision. It is treated as persuasive precedent i.e. for later
judges to pay attention. These are not binding but if stated by an important court in the
structure.
English law forms part of the laws of Malaysia and it can be found in the English common
law and rules of equity. However, not all the English common law and rules of equity form
part of Malaysian law. S3(1) of the Civil Law Act 1956 (Revised 1972) provides that in
Peninsular Malaysia, the courts shall apply the common law of England and the rules of
equity as administered in England on the 7th day of April, 1956. In Sabah and Sarawak, the
courts shall apply the common law of England and the rules of equity, together with statutes
of general application, as administered or in force in England on the 1st day of December
1951 and the 12th day of December 1949 respectively. However, the Supreme Court in
Commonwealth of Australia v Midford (Malaysia) Sdn. Bhd. & Anor held that the
developments of common law after 1956 may well be applicable in Malaysia.
The last law in Malaysia is custom law. Customs of the local inhabitants in Malaysia are also
a source of law. Customs relating to family law (marriage, divorce and inheritance) are given
legal force by the courts in Malaysia. In Sabah and Sarawak, native custom-matters apply in
land dealings over native customary lands and family matters