First Decision on Enforcement of Arbitral Tribunal's Interim Measure

5 March 2022 - The decision of CRCC Malaysia Bhd v DSG Projects Malaysia Sdn Bhd [2022] MLJU 201 (grounds of judgment dated 18 February 2022) is the first decision on the provisions for the enforcement of interm measures granted by the Arbitral Tribunal. The application was based on the sections 19A to 19J of the Arbitration Act 2005 which are similar to Articles 17A to 17J of the Model Law.

In this case, the High Court refused the application to enforce the Arbitral Tribunal's interim measure. The interim measure was found to be incompatible with the powers conferred upon the Court. Here, the interim measure was for the claimant to obtain security for the claimant's costs against the respondent for the claimant's monetary claim. The claimant applied to the High Court for enforcement. The respondent successfully resisted the enforcement on the ground that security for costs could not be granted in favour of a plaintiff or a claiming party.

Lee Shih and Pang Huey Lynn acted for the successful respondent in resisting the enforcement. This decision is pending appeal before the Court of Appeal.