MALAYAN BANKING BERHAD 1. ) KUMPULAN LIZIZ SDN. BHD. 2. ) LIEW AH KAU 3. ) GHAZALI BIN ABDUL HALIM PIHAK KETIGA 1. ) DSE CONSTRUCTION SDN BHD 2. ) PEMBINAAN AZAM JAYA SDN BHD PIHAK TERKILAN Ho Hup Construction Company Berhad

MALAYAN BANKING BERHAD 1. ) KUMPULAN LIZIZ SDN. BHD. 2. ) LIEW AH KAU 3. ) GHAZALI BIN ABDUL HALIM PIHAK KETIGA 1. ) DSE CONSTRUCTION SDN BHD 2. ) PEMBINAAN AZAM JAYA SDN BHD PIHAK TERKILAN Ho Hup Construction Company Berhad

The court exercised its discretion under Order 34 ROC to refuse to record the parties' proposed consent order and dismissed the 3rd Third Party's application because permitting a stay of the third‑party proceedings pending the KK Suit would likely impede just, expeditious and economical disposal of the action, create foreseeable evidential and trial difficulties, and the third‑party issues are inextricably linked to the main action such that they should proceed together before the High Court in Malaya which has jurisdiction; consolidation with the Sabah suit was not available.

Citation
AA-22NCC-12-07/2020 (Mahkamah Tinggi)
Parties
Plaintiff: Malayan Banking Berhad; Defendant 1: Kumpulan Liziz Sdn Bhd; Defendant 2: Liew Ah Kau; Defendant 3: Ghazali bin Abdul Halim; 1st Third Party: DSE Construction Sdn Bhd; 2nd Third Party: Ho Hup Construction Company Berhad; 3rd Third Party: Pembinaan Azam Jaya Sdn Bhd
Court
High Court
Jurisdiction
Malaysia
Judgment Date
9 May 2022
Case Number
AA-22NCC-12-07/2020 (Mahkamah Tinggi)
Procedural Posture
Civil Banking/contract With Third Party Proceedings / Pre Trial Case Management / Interlocutory Judgment on Application to Stay/strike Out and on Recording of Consent Order
Outcome
Proposed consent order disallowed; 3rd Third Party's application (Enclosure 115) dismissed
Legal Topics
Stay of Proceedings, Consent Order, Multiplicity of Proceedings, Forum Conveniens, Exclusive Jurisdiction Clause, Striking Out, Order 34 ROC Case Management
Source Language
Malay/English

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Parties

Malayan Banking Berhad

Plaintiff

Kumpulan Liziz Sdn Bhd

Defendant 1

Liew Ah Kau

Defendant 2

Ghazali bin Abdul Halim

Defendant 3

DSE Construction Sdn Bhd

1st Third Party

Ho Hup Construction Company Berhad

2nd Third Party

Pembinaan Azam Jaya Sdn Bhd

3rd Third Party

Procedural Posture

Civil Banking/contract With Third Party Proceedings / Pre Trial Case Management / Interlocutory Judgment on Application to Stay/strike Out and on Recording of Consent Order

  1. 1 Whether the Court should record a consent order staying part of third‑party proceedings under pre‑trial case management regime
  2. 2 Whether the third‑party proceedings should be stayed or struck out for multiplicity of proceedings and/or lack of jurisdiction
  3. 3 Whether the third‑party claim is inextricably linked to the main action such that it must proceed together

Ratio Decidendi

The court exercised its discretion under Order 34 ROC to refuse to record the parties' proposed consent order and dismissed the 3rd Third Party's application because permitting a stay of the third‑party proceedings pending the KK Suit would likely impede just, expeditious and economical disposal of the action, create foreseeable evidential and trial difficulties, and the third‑party issues are inextricably linked to the main action such that they should proceed together before the High Court in Malaya which has jurisdiction; consolidation with the Sabah suit was not available.

Court Disposition

Proposed consent order disallowed; 3rd Third Party's application (Enclosure 115) dismissed

Orders

  • The draft consent order (Enclosure 125) is disallowed and is not recorded by the Court
  • The 3rd Third Party's application to set aside/strike out or stay the Third Party proceedings (Enclosure 115) is dismissed