Court Rules On Whether Arbitration Award Can Be Partially Set Aside And Whether Objection To Arbitrators Appointment Was Afterthought

Introduction

In Persatuan Kanak-Kanak Spastik Selangor & Wilayah Persekutuan, the Court of Appeal¹ decided on two important issues that impact the arbitration scene in Malaysia. The issues before the Court of Appeal were:

• whether the High Court judge had erred in coming to its decisions in setting aside the whole arbitration award pursuant to section 37(1) of the Arbitration Act 2005 (AA) upon deeming that section 37(3) of the AA was not applicable; and
• whether the arbitrator had indeed breached public policy by not making a full and timely disclosure of his relationship with the witness.

Facts

Persatuan Kanak-Kanak Spastik Selangor dan Wilayah Persekutuan (the association) appointed Mr Low Koh Hwa of Low Kok Hwa (Low), a registered architect who practises as a sole proprietor, to provide architectural consultancy services for the redevelopment of a building of the association in Petaling Jaya, Selangor.