PRESTIJ MEGA CONSTRUCTION SDN BHD KELLER (M) SDN BHD

PRESTIJ MEGA CONSTRUCTION SDN BHD KELLER (M) SDN BHD

PMC's appeal and originating summonses were dismissed because PMC failed to proceed expeditiously with arbitration as required by the Sessions Court order, the Sessions Court retained residual jurisdiction to set aside the stay when its directions were not complied with, PMC could not invoke the Court's inherent jurisdiction to set aside an adjudication decision because CIPAA prescribes exclusive statutory remedies, and the existing judgment in default on the same claim precluded enforcement of the adjudication decision; accordingly the appeal and all applications were dismissed with costs.

Citation
WA-12AC-1-01/2019 & WA-24C-37-03/2019 (Mahkamah Tinggi)
Parties
Appellant, Plaintiff, Defendant: Prestij Mega Construction Sdn Bhd; Respondent, Plaintiff, Defendant: Keller (M) Sdn Bhd
Court
High Court
Jurisdiction
Malaysia
Judgment Date
11 June 2019
Case Number
WA-12AC-1-01/2019 & WA-24C-37-03/2019 (Mahkamah Tinggi)
Procedural Posture
Civil Appeal and Originating Summonses Concerning Construction Adjudication and Arbitration / Final Judgment on Appeal and Applications (disposition of Appeal and Originating Summonses)
Outcome
All appeals and originating summonses dismissed; judgment in default entered against PMC remains; adjudication enforcement denied
Legal Topics
Stay of Proceedings, Setting Aside Judgment, Enforcement of Adjudication Decision, CIPAA Sections 13/15/16/28, Arbitration Act 2005 Section 10, Inherent Jurisdiction, Functus Officio
Source Language
Malay/English

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Parties

Prestij Mega Construction Sdn Bhd

Appellant, Plaintiff, Defendant

Keller (M) Sdn Bhd

Respondent, Plaintiff, Defendant

Procedural Posture

Civil Appeal and Originating Summonses Concerning Construction Adjudication and Arbitration / Final Judgment on Appeal and Applications (disposition of Appeal and Originating Summonses)

  1. 1 Whether the Sessions Court could set aside its earlier stay/order for arbitration for non-compliance with the order
  2. 2 Whether PMC validly commenced arbitration and acted expeditiously or abused the arbitration process
  3. 3 Whether an adjudication decision can be set aside by recourse to inherent jurisdiction or must be challenged under section 15 CIPAA

Ratio Decidendi

PMC's appeal and originating summonses were dismissed because PMC failed to proceed expeditiously with arbitration as required by the Sessions Court order, the Sessions Court retained residual jurisdiction to set aside the stay when its directions were not complied with, PMC could not invoke the Court's inherent jurisdiction to set aside an adjudication decision because CIPAA prescribes exclusive statutory remedies, and the existing judgment in default on the same claim precluded enforcement of the adjudication decision; accordingly the appeal and all applications were dismissed with costs.

Court Disposition

All appeals and originating summonses dismissed; judgment in default entered against PMC remains; adjudication enforcement denied

Orders

  • Appeal by Prestij Mega Construction Sdn Bhd dismissed with costs
  • Originating summons by Prestij Mega Construction to set aside and stay adjudication decision dismissed with costs