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ARTICLE · 14 JULY 2023

Res Judicata And Declarations Relating To CIPAA Adjudication

The plaintiff was a sub-contractor employed by the defendant to carry out the basement carcass works for a construction project.

MalaysiaLitigation, Mediation & Arbitration

The High Court recently decided on two issues in Meridian Contracts Sdn Bhd v Bauer (Malaysia) Sdn Bhd:1

  • If an adjudicator had only allowed a portion of the set-off claim in an earlier adjudication, could the next adjudicator allow for the remainder of the set-off claim in a subsequent adjudication?
  • In seeking to set aside an adjudication decision, can a party seek declaratory reliefs against third parties?

Facts

The plaintiff was a sub-contractor employed by the defendant to carry out the basement carcass works for a construction project.

In 2019, the plaintiff commenced the first adjudication against the defendant for a sum of 7,494,014.17 Malaysian ringgits. This sum consisted of progress claim No. 26 (the penultimate) and the first moiety retention sum, less the payments received. Meanwhile, the defendant had disputed the claim and stated that there was a set-off of 5,188,402.91 Malaysian ringgits. On 31 October 2019, the first adjudicator delivered

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