YEO ENG LAM INFINITY VANTAGE SDN BHD

YEO ENG LAM INFINITY VANTAGE SDN BHD

Filing an application to disqualify the plaintiff's solicitors and subsequently filing a statement of defence with a counter-claim (without a clear and unequivocal reservation of the right to arbitrate) constituted 'steps in the proceedings' under s10(1) Arbitration Act 2005, thereby disqualifying the defendant from obtaining a stay to refer the dispute to arbitration; the High Court's dismissal of the stay application was correct and the appeal was dismissed.

Citation
N-02(IM)(NCVC)-507-03/2018 (Mahkamah Rayuan)
Parties
Appellant/defendant: Yeo Eng Lam; Respondent/plaintiff: Infinity Vantage Sdn Bhd
Court
IM
Jurisdiction
Malaysia
Judgment Date
29 October 2018
Case Number
N-02(IM)(NCVC)-507-03/2018 (Mahkamah Rayuan)
Procedural Posture
Civil Appeal Concerning Breach of Contract and Stay to Arbitration / Court of Appeal Judgment (final Disposition)
Outcome
Appeal dismissed; High Court decision affirmed
Legal Topics
Stay of Proceedings, Section 10 Arbitration Act 2005, Steps in Proceedings/pleadings, Disqualification of Solicitors, Reservation of Rights to Arbitrate, Costs
Source Language
Malay/English
Arbitration Contract Civil Procedure Professional Conduct/conflict of Interest Stay of Proceedings Section 10 Arbitration Act 2005 Steps in Proceedings/pleadings Disqualification of Solicitors +2 more

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Parties

Yeo Eng Lam

Appellant/defendant

Infinity Vantage Sdn Bhd

Respondent/plaintiff

Procedural Posture

Civil Appeal Concerning Breach of Contract and Stay to Arbitration / Court of Appeal Judgment (final Disposition)

Legal Issues

  1. 1 Whether the defendant took "any other steps in the proceedings" within the meaning of s10(1) Arbitration Act 2005 thereby precluding a stay to arbitration
  2. 2 Whether the filing of an application to disqualify plaintiff's solicitors and the filing of a statement of defence and counter-claim constituted steps indicating an unequivocal intention to litigate in court
  3. 3 Whether the defendant's purported reservation of rights was clear and unequivocal

Ratio Decidendi

Filing an application to disqualify the plaintiff's solicitors and subsequently filing a statement of defence with a counter-claim (without a clear and unequivocal reservation of the right to arbitrate) constituted 'steps in the proceedings' under s10(1) Arbitration Act 2005, thereby disqualifying the defendant from obtaining a stay to refer the dispute to arbitration; the High Court's dismissal of the stay application was correct and the appeal was dismissed.

Court Disposition

Appeal dismissed; High Court decision affirmed

Orders

  • Appeal dismissed
  • Defendant to pay costs of RM 10,000 to the Plaintiff subject to the payment of the allocatur's fee