Multi-tiered dispute resolution clauses have become a ubiquitous feature in commercial contracts, offering parties an alternative avenue for resolving disputes outside traditional court proceedings.   Where a dispute resolution clause has been agreed upon by parties, the court’s primary task or duty is to give effect to that clause. Additionally, there may be even further prerequisites to arbitration, such as a mediation or negotiation clause on top of an arbitration clause,

In medical negligence cases, once negligence by the doctor has been established, the dispute then focuses on who should pay the damages, either the hospital or the doctor or both.   The prevalent industry practice now sees the doctor being contracted by the hospital as an independent contractor instead of an employee. This arrangement is effective to minimise the risk that the hospital will be held liable for negligent acts by the doctor. As the doctor is no longer an employe

The topic of sexual harassment in the workplace is still a prevalent topic to date. Research has shown that chronic stress caused by harassment at the workplace can contribute to mental and physical health problems. Workplace discrimination and harassment is a serious phenomenon.   This alert explores the various avenues provided for an employee to explore in the face of workplace sexual harassment and how employers can ensure these issues are eliminated.   Sexual Harassment

The Court of Appeal unanimously dismissed the appeal by the Director General of Inland Revenue (DGIR) to challenge the granting of leave...

We do not often consider the impact of our words, at least not in the strictly legal sense. Yet, across centuries and cultures, the value of reputation has been universally acknowledged. As Shakespeare's Iago astutely observed in Othello, reputation “ is an idle and most false imposition; oft got without merit and lost without deserving ”.   The law of defamation, governed by the Defamation Act 1957, seeks to provide an avenue to redress the frequently superfluous and unprovo

Recently, the High Court in Notable Vision Sdn Bhd v Ketua Pengarah Hasil Dalam Negeri [2024] MLJ 173 held that the taxpayer was entitled...

In today's corporate landscape, the roles of nominee shareholders and anonymous shareholders are undeniably significant. While both concepts involve individuals holding shares of companies, there is a difference between the two. Nominee shareholders typically represent others in holding shares, while anonymous shareholders prefer to keep their identities confidential and hidden.   Who Is A Nominee Shareholder?   A nominee shareholder refers to a person acting as a legal but u

Recently, the High Court in OCP v Ketua Pengarah Hasil Dalam Negeri [2024] MLJU 385 ruled in favour of the taxpayer, where it was held...

In the realm of legal proceedings, a powerful shield known as absolute privilege stands guard, providing robust protection to statements made within the confines of the courtroom. This doctrine which deeply rooted in the principles of justice and free speech, grants immunity from defamation claims to individuals involved in judicial proceedings. Amidst this legal landscape, a pivotal question arises: Can one truly speak freely within the courtroom or does the shadow of defama

When a developer fails to deliver vacant possession within the stipulated time as stated in the sale and purchase agreement (SPA), the calculation of liquidated ascertained damages (LAD) starts from the date of payment of the booking fee or any form of payment by a purchaser to a developer towards the purchase price of a property.   What would be the scenario if the SPA had been signed by the purchaser and booking fee has been paid to the developer, but the SPA had not been s

RDS is pleased to publish RDS Legal Insight Q1 of 2024. This quarterly magazine features the following articles by our colleagues: 1)...

Section 140A of the Income Tax Act 1967 (ITA) provides that transactions with an associated person must be determined and applied at...

Section 245 of the Companies Act 2016 (CA 2016) provides for a company and for its directors and manager to keep and maintain accounting and other records at the registered office of the company or such other places as the directors think fit. These accounting and other records shall at all times be open for inspection by the directors. Further, the court also may by order allow an approved company auditor acting for a director to inspect the accounting and other records of t

In the realm of investments and financial transactions, what meets the eye may not be the legal reality. The Court of Appeal has recently allowed the following appeals where it resolves around what initially appeared to be a sales agreement was in fact, a cleverly disguised moneylending agreement:   (a)        Lee Kuang Gen v Tan Sri Dato’ Seri M Mahadevan Mahalingam (Civil Appeal No.: W-02(NCvC)(W)-2021-10/2021)   (b)        David Choong Jin Chai v Tan Sri Dato’ Seri M Mahad

The present information age is characterised by the abundance of information and minimal restrictions on access and control thereof. The right to freedom of speech and expression rises to prominence considering its role for the dissemination and acquisition of information and knowledge. In Malaysia, this right is constitutionally protected pursuant to Article 10 of the Federal Constitution.   It is trite, however, that the right to freedom of speech and expression is not abso

A caveat may be entered by the Registrar on the register document of land title to prohibit the enforcement of registration, endorsement, or entry on the register document of title thereto. A caveat is commonly used as a mechanism to protect purchasers’ interest prior to the completion of a sale and purchase agreement.   However, the issue is whether an agreement to purchase grants a purchaser the right to caveat a property?     In Loo Kian Aik & Anor v Aliran Raya Sdn Bhd &

Recently, the Court of Appeal unanimously allowed the taxpayer’s appeal in relation to a RM 28 million sales tax dispute. This case which...

The doctrine of kompetenz-kompetenz  is reflected in Section 18 of the Arbitration Act 2005 [1] , in which the arbitral tribunal may rule on its own jurisdiction including determining the existence of the arbitration agreement. However, it is pertinent to note that the foundation of an arbitrator’s jurisdiction is the agreement entered into between the disputants. If such an agreement is absent, then, there is no jurisdiction [2] . Hence, if the validity of the arbitration ag

Recently, the Court of Appeal affirmed the decision of the High Court which allowed the taxpayer’s appeal to deduct the Bumiputera...

In Ssangyong Engineering & Construction Co Ltd v Oxley Rising Sdn Bhd and Another [2023] MLJU 404, the High Court set aside an adjudication decision due to a denial of natural justice pursuant to Section 15(b) of the Construction Industry Payment and Adjudication Act 2012 (CIPAA 2012). Brief Facts   Oxley Rising Sdn Bhd   (Defendant) was the employer of a mixed development project in Kuala Lumpur (Project). In 2018, the Defendant awarded a contract to the Plaintiff to execute