MALAYSIA Law and Practice Contributed by: Rabindra S. Nathan, Rodney Gomez, K. Shanti Mogan and Alexius Lee, Shearn Delamore & Co
an arbitrator making an oral award; an award other than the form prescribed will necessarily be invalid. There is no statutory time limit provided by Malaysian law on the delivery of the award, but the time for mak- ing an award may be limited by the arbitration agree - ment entered into between the parties. Where such a time limit exists, failure to comply with it may expose the award to a risk of being set aside unless an exten - sion is validly granted (see Ken Grouting Sdn Bhd v RKT Nusantara Sdn Bhd [2021] 2 CLJ 173 (Court of Appeal)). The High Court may also extend the time limit, unless otherwise agreed by the parties (Section 46 of the AA 2005). However, the High Court may only do so where there is an application made by the arbitrator or the parties and not on its own volition (see Ken Grouting Sdn Bhd v RKT Nusantara Sdn Bhd [2021] 2 CLJ 173 The types of remedies that an arbitral tribunal may award are not limited by the AA 2005 or the AIAC Arbi - tration Rules. However, the type of remedies awarded are necessarily confined to the powers conferred on the arbitral tribunal by the parties in the agreement to arbitrate. Reliefs that form part of the exclusive jurisdiction of the court pursuant to statute may not be granted by an arbitral tribunal, even if the arbitral tribunal may decide on the subject matter of the dispute (see the UK Court of Appeal decision in Fulham Football Club (1987) Ltd v Richards and another [2011] EWCA Civ 855. The English position is also adopted in the Malay - sian Federal Court case of Arch Reinsurance Ltd v Akay Holdings Sdn Bhd [2019] 5 MLJ 186. 10.3 Recovering Interest and Legal Costs Parties are entitled to recover interest and legal costs in an arbitration, especially where such entitlements are expressly provided for in the arbitration agree - ment. The arbitral tribunal has the discretion to award simple or compound interest from such date, rate and rest as the arbitral tribunal considers appropriate. The interest granted may also be for: (Malaysian Court of Appeal)). 10.2 Types of Remedies
• any period, ending no later than the date of pay - ment; • of the whole or any part of sums awarded by the arbitral tribunal; • sums paid before the date of the award; or • costs awarded or ordered by the arbitral tribunal in the arbitral proceedings. The AA 2005 does not limit the grant of interest to simple interest or compound interest. This is dealt with in accordance with underlying contract and the substantive law. The general principle in relation to the award of costs is for the arbitral tribunal to order costs in favour of the successful party and to award all reasonable costs incurred by that party during the arbitration. This would generally include legal fees and disburse - ments reasonably incurred by the party in respect of the arbitration. An arbitral award made by an arbitral tribunal pursu - ant to an arbitration agreement is final, binding and conclusive, and is not appealable based on questions of fact or law. The limited circumstances in which an arbitral award may be set aside are on the following grounds: • a party to the arbitration agreement was under any incapacity; • the arbitration agreement is not valid under the law to which the parties have subjected it or, failing any indication thereon, under the laws of Malaysia; • the party making the application was not given proper notice of the appointment of an arbitrator or the arbitral proceedings, or was otherwise unable to present their case; • the award deals with a dispute that is not contem - plated by or does not fall within the terms of the submission to arbitration; • the award contains decisions on matters that are beyond the scope of the submission to arbitration; 11. Review of an Award 11.1 Grounds for Appeal
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