Malaysia—limits to arbitrators’ interpretation of a judicial order (Usahasama SPNB-LTAT Sdn Bhd v Abi Construction Sdn Bhd)

Table of contents

• What are the practical implications of this case?
• What was the background?
• First arbitral reference
• Second arbitral reference
• What did the court decide?

Article summary

Arbitration analysis: A recent case illustrates how arbitrators in Malaysia-seated arbitrations must ensure their decisions are sound and comply with orders of the court. Dato’ Nitin Nadkarni, partner, and Lim Tse Wei, associate at Lee Hishammuddin Allen & Gledhill, sound a note of caution against going beyond an order’s express wording—which is legally binding—or risk an award being challenged.