1. ) SHAHRUL IMAN BIN ABDULLAH 2. ) PACIFIC & ORIENT INSURANCE CO. BERHAD 1. ) PACIFIC & ORIENT INSURANCE CO. BERHAD 2. ) 1. SHAHRUL IMAN BIN ABDULLAH 2. NAVIN NAICKER A/L VIJAYAN 3. YAHYA BIN YACOB

1. ) SHAHRUL IMAN BIN ABDULLAH 2. ) PACIFIC & ORIENT INSURANCE CO. BERHAD 1. ) PACIFIC & ORIENT INSURANCE CO. BERHAD 2. ) 1. SHAHRUL IMAN BIN ABDULLAH 2. NAVIN NAICKER A/L VIJAYAN 3. YAHYA BIN YACOB

The Court of Appeal dismissed the insurer's appeal: s96(3) relief was unavailable after a liability judgment had been obtained; the JID in the Recovery Action was a regularly obtained, valid judgment not subject to collateral impeachment absent illegality, lack of jurisdiction or breach of natural justice; consequently the insurer's action to impeach the JID failed and there was no basis to continue the interlocutory injunction once the insurer's claims were dismissed; costs follow the event and successful defendants were entitled to costs.

Citation
W-02(NCC)(W)-1704-09/2019 DAN W-02(NCC)(W)-1711-09/2019 (Mahkamah Rayuan)
Parties
Perayu (appellant): Shahrul Iman bin Abdullah; Perayu/respondent (insurer): Pacific & Orient Insurance Co. Berhad; Respondent (insured): Navin Naicker A/L Vijayan; Respondent (rider): Yahya bin Yacob
Court
NCC
Jurisdiction
Malaysia
Judgment Date
24 June 2020
Case Number
W-02(NCC)(W)-1704-09/2019 DAN W-02(NCC)(W)-1711-09/2019 (Mahkamah Rayuan)
Procedural Posture
Civil Appeals From High Court (consolidated Suits) / Court of Appeal Judgment on Appeals and Cross Appeals
Outcome
Insurer's appeal dismissed; Insured's and Rider's cross-appeals allowed; Claimant's appeal allowed in part (injunction and costs set aside).
Legal Topics
Section 96(3) Road Transport Act 1987, Setting Aside Judgment in Default, Interlocutory Injunction, Costs Discretion, Fraud Allegation in Insurance Claim
Source Language
Malay/English
Insurance Law Road Transport Law Civil Procedure Judgment Enforcement Section 96(3) Road Transport Act 1987 Setting Aside Judgment in Default Interlocutory Injunction Costs Discretion +1 more

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Parties

Shahrul Iman bin Abdullah

Perayu (appellant)

Pacific & Orient Insurance Co. Berhad

Perayu/respondent (insurer)

Navin Naicker A/L Vijayan

Respondent (insured)

Yahya bin Yacob

Respondent (rider)

Procedural Posture

Civil Appeals From High Court (consolidated Suits) / Court of Appeal Judgment on Appeals and Cross Appeals

Legal Issues

  1. 1 Whether insurer may obtain declaration under s96(3) RTA after claimant has obtained judgment (ie after liability incurred)
  2. 2 Whether a High Court may impeach or set aside a judgment in default of appearance regularly obtained from another court of concurrent jurisdiction
  3. 3 Whether an interlocutory injunction can be continued after the cause of action supporting it is dismissed

Ratio Decidendi

The Court of Appeal dismissed the insurer's appeal: s96(3) relief was unavailable after a liability judgment had been obtained; the JID in the Recovery Action was a regularly obtained, valid judgment not subject to collateral impeachment absent illegality, lack of jurisdiction or breach of natural justice; consequently the insurer's action to impeach the JID failed and there was no basis to continue the interlocutory injunction once the insurer's claims were dismissed; costs follow the event and successful defendants were entitled to costs.

Court Disposition

Insurer's appeal dismissed; Insured's and Rider's cross-appeals allowed; Claimant's appeal allowed in part (injunction and costs set aside).

Orders

  • Insurer's appeal in Appeal 1711 dismissed with costs
  • Insured's and Rider's cross-appeals allowed with costs here and below