MALAYSIA Law and Practice Contributed by: Dhinesh Bhaskaran, Rabindra Nathan, Shanti Mogan and Lai Wai Fong, Shearn Delamore & Co
11.3 Interest Awarded on Costs The court will not usually specifically award inter- est on costs. However, interest on costs is claimable where the costs are part of a judgment debt. See Order 42 Rule 12 of the Rules of Court 2012 and Azlin Azrai bin Lan Hawari v United Overseas Bank (M) Bhd [2017] 5 MLJ 43. The rate is determined by the Chief Justice (currently 5% per annum) and is calculated from the date of judgment to satisfaction. 12. Alternative Dispute Resolution (ADR) 12.1 Views of ADR Within the Country The general methods of alternative dispute res- olution in Malaysia are arbitration, adjudication and mediation. Arbitration is commonly resorted to in commer- cial disputes, and has to be contractually agreed as the chosen mode of resolving disputes. Adjudication is commonly resorted to for con- struction disputes, where the proceedings are generally governed by the Construction Industry Payment and Adjudication Act 2012. Mediation is used less frequently – in matrimo- nial disputes, for example. 12.2 ADR Within the Legal System Arbitration clauses are strictly enforced by the courts. A suit filed in violation of an arbitration clause will normally be stayed upon the applica- tion of the defendant. See Section 10(1) of the Arbitration Act 2005.
• the complexity of the item or of the cause or matter in which it arises, and the difficulty or novelty of the questions involved; • the skill, specialised knowledge and respon- sibility required of, and the time and labour expended by, the solicitor or counsel; • the number and importance of the documents prepared or perused; • the place and circumstances in which the business is involved and transacted; • the importance of the cause or matter to the client; and • where money or property is involved, its amount or value. See Order 59 Rule 16 of the Rules of Court 2012. The court may also take into account the fol- lowing: • any offer of settlement, or offer to contribute to settlement of the claim – see Order 59 Rules 4 and 8; • whether anything is done, or an omission is made, improperly or unnecessarily by or on behalf of a party – see Order 59 Rule 5; • the conduct of the parties, including conduct before and during the proceedings – see Order 59 Rule 8; • the conduct of the parties in relation to any attempt to resolve the suit by mediation or other means of dispute resolution – see Order 59 Rule 8; • the extent to which the parties have followed any relevant pre-action protocol or practice direction – see Order 59 Rule 8; and • costs due to unnecessary claims or issues raised in the proceedings – see Order 59 Rule 10.
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