BELLWORTH DEVELOPMENTS SDN BHD SETIAKON BUILDERS SDN BHD

BELLWORTH DEVELOPMENTS SDN BHD SETIAKON BUILDERS SDN BHD

Bellworth failed to prove statutory grounds to set aside the Award; the one-day delay in submitting the Draft Final Award under AIAC Rule 12(2) did not deprive the tribunal of jurisdiction such that the award was void; the Certificate of Non-Completion issue was pleaded and within the tribunal's powers; no breach of natural justice or public policy established; remission under s37(6) was inappropriate because no timely request was made in the originating summons and the Court would not remit in these circumstances; accordingly the setting aside application dismissed and enforcement ordered.

Citation
WA-24C(ARB)-41-09/2023 (Mahkamah Tinggi)
Parties
Plaintiff (o.s. No. 35); Defendant (o.s. No. 41): Setiakon Builders Sdn Bhd; Defendant (o.s. No. 35); Plaintiff (o.s. No. 41): Bellworth Developments Sdn Bhd
Court
ARB
Jurisdiction
Malaysia
Judgment Date
3 July 2024
Case Number
WA-24C(ARB)-41-09/2023 (Mahkamah Tinggi)
Procedural Posture
Originating Summonses to Set Aside and to Enforce Arbitral Award (arbitration Act 2005) / High Court Judgment on Applications to Set Aside Award and to Enforce Award (decision Dated 31 December 2024); Appeals Noted
Outcome
Setting Aside Application dismissed; Enforcement Application allowed and Award enforced as judgment of the High Court
Legal Topics
Setting Aside Arbitral Award (s37 AA 2005), Enforcement of Arbitral Award (s38 AA 2005), AIAC Rules Rule 12 Technical Review and Time Computation, Remission to Arbitral Tribunal (s37(6) AA 2005), Natural Justice/public Policy
Source Language
Malay/English
Arbitration Construction/contract Civil Procedure Setting Aside Arbitral Award (s37 AA 2005) Enforcement of Arbitral Award (s38 AA 2005) AIAC Rules Rule 12 Technical Review and Time Computation Remission to Arbitral Tribunal (s37(6) AA 2005) Natural Justice/public Policy

Case Brief

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Parties

Setiakon Builders Sdn Bhd

Plaintiff (o.s. No. 35); Defendant (o.s. No. 41)

Bellworth Developments Sdn Bhd

Defendant (o.s. No. 35); Plaintiff (o.s. No. 41)

Procedural Posture

Originating Summonses to Set Aside and to Enforce Arbitral Award (arbitration Act 2005) / High Court Judgment on Applications to Set Aside Award and to Enforce Award (decision Dated 31 December 2024); Appeals Noted

Legal Issues

  1. 1 Whether Draft Final Award submitted one day late under AIAC Rule 12(2) deprived tribunal of jurisdiction
  2. 2 Whether tribunal decided on a 'new difference' (validity of Certificate of Non-Completion) beyond scope of submission
  3. 3 Whether there was breach of natural justice and award conflicts with public policy

Ratio Decidendi

Bellworth failed to prove statutory grounds to set aside the Award; the one-day delay in submitting the Draft Final Award under AIAC Rule 12(2) did not deprive the tribunal of jurisdiction such that the award was void; the Certificate of Non-Completion issue was pleaded and within the tribunal's powers; no breach of natural justice or public policy established; remission under s37(6) was inappropriate because no timely request was made in the originating summons and the Court would not remit in these circumstances; accordingly the setting aside application dismissed and enforcement ordered.

Court Disposition

Setting Aside Application dismissed; Enforcement Application allowed and Award enforced as judgment of the High Court

Orders

  • Setting Aside Application (O.S. No. WA-24C(ARB)-41-09/2023) dismissed
  • Enforcement Application (O.S. No. WA-24C(ARB)-35-08/2023) allowed; Final Award dated 7.7.2023 to be registered and enforced as judgment