Malaysia Case Law: Decisions & Judgments

Topic

Validity of arbitration clause

Legal area

Court

8 Nov 2024

1. ) Hasnor Afifah Binti Mohd Noor (BERNIAGA DI BAWAH NAMA DAN GAYA SIMFORNI HUMAIRA RESOURCES (NO. SYARIKAT: 201503250268 (2469912-M) 2. ) LONTEX GROUP Sp. z.o.o. 1. ) XFYRE (M) SDN BHD 2. ) TETUAN CHAMBERS OF ZHAFRI AMINURASHID (DAHULUNYA

Citation

BA-24NCC-15-02/2023 (Mahkamah Tinggi)
Court

High Court
Case number

BA-24NCC-15-02/2023 (Mahkamah Tinggi)

Enclosure 56 was dismissed because the 1st Defendant had waived any right to a stay and to interim relief under the Arbitration Act by taking unqualified steps in the High Court (participation in hearings, filing pleadings and other actions), so the court retained jurisdiction; the security for costs application was unjustified and disproportionate and was dismissed on the facts; issues about affidavits by a bankrupt director were noted but the court proceeded to decide Enclosure 56 on its merits.
6 Sept 2024

SPNB ASPIRASI SDN BHD SETIA AWAN MANAGEMENT SDN BHD

Citation

AA-22C-1-01/2024 (Mahkamah Tinggi)
Court

High Court
Case number

AA-22C-1-01/2024 (Mahkamah Tinggi)

Clause 18 is permissive and offers an option between arbitration and litigation and lacks essential arbitration particulars; the plaintiff exercised the court option by filing writ and the defendant did not issue a notice of arbitration; accordingly the clause does not constitute a binding arbitration agreement and the application for a stay under s.10(1) is dismissed.
15 Jul 2022

1. ) Hew Choong Jeng 2. ) Eng Chip Jin 3. ) Lai Suen Sen 4. ) Kwan Hep Chuen 5. ) Lee Chee Herng Kok Low Kau

Citation

BA-12ANCC-7-02/2022 (Mahkamah Tinggi)
Court

High Court
Case number

BA-12ANCC-7-02/2022 (Mahkamah Tinggi)

The appeal was allowed and a stay pending arbitration was granted because the plaintiff failed to discharge the onus of proving the arbitration clause was null, void or inoperative; the clause covers the dispute and under the Arbitration Act 2005 the absence of an express seat or procedural rules does not invalidate an arbitration agreement as the tribunal may determine seat and procedure.
1 Oct 2020

Abd Rahman Bin Soltan & 3 Lagi Federal Land Development Authority & 1 Lagi

Citation

WA-22NCVC-843-11/2019 (Mahkamah Tinggi)
Court

High Court
Case number

WA-22NCVC-843-11/2019 (Mahkamah Tinggi)

As a non‑party to the arbitration agreement FELDA satisfied the lower threshold for an anti‑arbitration injunction by showing serious issues to be tried (notably the alleged invalidity of the Development Agreement for lack of Ministerial approval and the potential nullity of dependent instruments), that the balance of convenience favored restraining arbitration because arbitration would affect FELDA’s proprietary rights and risk inconsistent findings and multiplicity of proceedings, and that damages would be inadequate given SPSB’s inability to demonstrate capacity to pay. Accordingly the cou…
7 Sept 2020

FELDA INVESTMENT CORPORATION SDN BHD [No. Syarikat: 201301022616 (1052445-A)] SYNERGY PROMENADE SDN BHD [No. Syarikat: 200001014378 (516984-D)]

Citation

WA-24NCC(ARB)-5-01/2020 (Mahkamah Tinggi)
Court

ARB
Case number

WA-24NCC(ARB)-5-01/2020 (Mahkamah Tinggi)

Article 9.04 is not pathological or void; the Development Agreement contained an arbitration agreement; Section 18 Arbitration Act 2005 gives the arbitral tribunal primary jurisdiction to rule on its own jurisdiction and validity of the arbitration agreement, with limited recourse to the High Court by way of appeal under s.18(8); the Plaintiff’s remedy was to raise jurisdictional objections before the tribunal (and, if applicable, appeal its preliminary ruling), not to obtain a permanent anti-arbitration injunction. Accordingly the originating summons seeking a permanent injunction was dismis…

Malaysia Case Law

1. ) Hasnor Afifah Binti Mohd Noor (BERNIAGA DI BAWAH NAMA DAN GAYA SIMFORNI HUMAIRA RESOURCES (NO. SYARIKAT: 201503250268 (2469912-M) 2. ) LONTEX GROUP Sp. z.o.o. 1. ) XFYRE (M) SDN BHD 2. ) TETUAN CHAMBERS OF ZHAFRI AMINURASHID (DAHULUNYA

SPNB ASPIRASI SDN BHD SETIA AWAN MANAGEMENT SDN BHD

1. ) Hew Choong Jeng 2. ) Eng Chip Jin 3. ) Lai Suen Sen 4. ) Kwan Hep Chuen 5. ) Lee Chee Herng Kok Low Kau

Abd Rahman Bin Soltan & 3 Lagi Federal Land Development Authority & 1 Lagi

FELDA INVESTMENT CORPORATION SDN BHD [No. Syarikat: 201301022616 (1052445-A)] SYNERGY PROMENADE SDN BHD [No. Syarikat: 200001014378 (516984-D)]