PETROFAC (MALAYSIA-PM304) LIMITED PBJV GROUP SDN BHD

PETROFAC (MALAYSIA-PM304) LIMITED PBJV GROUP SDN BHD

PBJV failed to establish any serious or material breach of natural justice connected to the making of the Award; the Tribunal acted within its discretionary powers to admit and weigh evidence (including reports and hearsay) and to interpret pleadings in context; the alleged irregularities did not satisfy the high public policy threshold to set aside or refuse enforcement. Consequently OS 2 (setting aside) is dismissed and OS 41 (enforcement) is allowed.

Citation
WA-24NCC(ARB)-41-12/2024 (Mahkamah Tinggi)
Parties
Enforcement Applicant / Claimant: Petrofac (Malaysia-PM304) Limited; Setting Aside Applicant / Respondent: PBJV Group Sdn Bhd
Court
ARB
Jurisdiction
Malaysia
Judgment Date
12 August 2025
Case Number
WA-24NCC(ARB)-41-12/2024 (Mahkamah Tinggi)
Procedural Posture
Arbitration Enforcement and Setting Aside of Award / High Court Judgment (commercial Division)
Outcome
OS 2 (setting aside application by PBJV) dismissed with costs; OS 41 (Petrofac enforcement application) allowed with costs
Legal Topics
Enforcement of Arbitral Award, Setting Aside Arbitral Award, Natural Justice, Hearsay Evidence, Judicial Review of Arbitral Merits
Source Language
Malay/English
Arbitration Civil Procedure Evidence Public Policy Contract Law Enforcement of Arbitral Award Setting Aside Arbitral Award Natural Justice +2 more

Case Brief

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Parties

Petrofac (Malaysia-PM304) Limited

Enforcement Applicant / Claimant

PBJV Group Sdn Bhd

Setting Aside Applicant / Respondent

Procedural Posture

Arbitration Enforcement and Setting Aside of Award / High Court Judgment (commercial Division)

Legal Issues

  1. 1 Whether the Final Award dated 22.10.2024 should be set aside for breach of natural justice
  2. 2 Whether the Final Award should be refused enforcement on public policy grounds
  3. 3 Whether reliance on untested/ hearsay reports by the tribunal amounted to procedural unfairness

Ratio Decidendi

PBJV failed to establish any serious or material breach of natural justice connected to the making of the Award; the Tribunal acted within its discretionary powers to admit and weigh evidence (including reports and hearsay) and to interpret pleadings in context; the alleged irregularities did not satisfy the high public policy threshold to set aside or refuse enforcement. Consequently OS 2 (setting aside) is dismissed and OS 41 (enforcement) is allowed.

Court Disposition

OS 2 (setting aside application by PBJV) dismissed with costs; OS 41 (Petrofac enforcement application) allowed with costs

Orders

  • Enclosure 1 of OS 2 dismissed with costs
  • Enclosure 1 of OS 41 to register and enforce the Final Award dated 22.10.2024 allowed with costs