Bank Negara Malaysia has announced the launch of the MYOR as the new alternative reference rate (ARR) for Malaysia. Globally, ARRs are being introduced as part of a transition to transaction-based rates, in line with the LIBOR reforms after the global financial crisis. The introduction of ARRs aims to facilitate usage of benchmark rates that are more robust and based upon transactions in active, liquid markets. Read more

The Malaysian High Court has clarified when a party will be considered unable to fulfil its contractual obligations for the purposes of relief against contractual claims under Section 7 of the Covid-19 Act. The Ravichanthiran decision clarifies the test to be met by parties seeking to rely on the provision and affirms the Malaysian courts' approach of keeping parties to their contractual obligations. Read more

Following the High Court decision in Lineclear Motion Pictures Sdn Bhd v Measat Broadcast Network Systems Sdn Bhd, a party seeking indemnity costs upon successfully obtaining a stay bears the burden to demonstrate unreasonable conduct by the breaching party, and reasonable conduct on its own part, to obtain indemnity costs. Read more

In Vertex Superieur Sdn Bhd & Anor v Shell Malaysia Trading Sdn Bhd, the High Court refused to stay court proceedings brought in breach of an arbitration agreement on the basis that it was in the public interest that allegations by a non-signatory that an underlying contract was procured by private bribery and corruption should be tried expeditiously through court proceedings. Read more

In Masenang Sdn Bhd v Sabanilam Enterprise Sdn Bhd, the Federal Court held that the courts of first instance of the place specified as the seat of arbitration in Malaysia has exclusive supervisory jurisdiction over arbitrations seated in that place, including any award arising from such proceedings. Read more

The Asian International Arbitration Centre has launched the latest revisions to its Arbitration Rules, following their last update in 2018. Upon coming into effect on 1 August 2021, the AIAC Arbitration Rules 2021 will apply to all AIAC arbitrations commenced after this date unless parties agree otherwise. Read more

On Sunday, 20 June 2021, the Asian International Arbitration Centre (AIAC) launched its new International Arbitration Rules for public comment following extensive consultations with an international External Advisory Committee for the Revision of the AIAC Arbitration Rules Read more

In MISC Berhad v Cockett Marine Oil (Asia) Pte Ltd, the Malaysian High Court issued an anti-arbitration injunction to halt a London-seated arbitration on the grounds that the arbitration proceedings were in breach of an exclusive jurisdiction clause in favour of the Malaysian courts. Read more