National Land Code (KTN) has been enacted in accordance with Article 76(4) Federal Constitution on 18 September 1965. The purpose is to provide a uniform land holding and management system in all eleven states in Peninsular Malaysia.

The land management system used in Malaysia is the Torrens System. This system originated from South Australia. The system was named after Sir Robert Torrens who introduced it to South Australia in 1858.

The Benefits of the Torrens System are as follows:

a. Everyone who owned land will hold a clear document of title, guaranteed by the government. Document of title contains information on all conditions and interest involve of the land.
b. Each person can trade in land by registration of memorandum stereotypes easily without requiring complex and expensive search through the previous documents.
c. Land ownership and rights of all persons who held the lease or charge can not be denied.

The National Land Code 1965 came into force on 1 January 1966 (through L.N. 474/1965) in all states in Peninsular Malaysia. Sabah and Sarawak use their own land law. The use of the National Land Code 1965 has resulted in several land laws coming into force before January 1, 1966 repealed. The list of laws to be abolished is contained in the Eleventh Schedule of the National Land Code.