BANK KERJASAMA RAKYAT MALAYSIA BERHAD v 1. ) SIEMENS MALAYSIA SDN BHD 2. ) SIEMENS AKTIENGESELLSCHAFT

wa-22m-284-11-2021 High Court (Mahkamah Tinggi) 22 October 2023 • WA-22M-284-11/2021

Catchwords

Banking – Legal assignment under S. 4(3) of the Civil Law Act – Tripartite agreement – Consortium agreement – Construction project – Assignment of contract proceeds – Retention sum – Set-off wrongly carried out – Irrevocable notice – Facility agreement – Financing Facilities did not comply with Shariah principles – Estoppel – Contract Act 1950 – Civil Law Act 1956 – Assessment of damages. The Court held the Plaintiff had a valid and enforceable legal assignment of Hisniaga’s contract proceeds via a tripartite agreement, binding on the Defendants. Set-offs by Defendants were unlawful post-assignment. Claims for assigned proceeds and retention sum allowed; quantum to be assessed separately. Shariah compliance challenge dismissed as irrelevant.

Judges (1)

Yusrin Faidz bin Yusoff Delivered

Parties (3)

BANK KERJASAMA RAKYAT MALAYSIA BERHAD Plaintiff Siemens Malaysia Sdn Bhd Defendant Siemens Aktiengesellschaft Defendant

Judgment

Read the full judgment on the official Malaysia Courts portal.

Read on eJudgment

Source: eJudgment (wa-22m-284-11-2021)