Tag: Adjudication Decision

Construction Industry Payment and Adjudication Act 2012
("CIPAA")

Tag: Adjudication Decision

CIPAA 101 Logo

Procedure for CIPAA Adjudication Proceeding

CIPAA Adjudication Proceeding offers a quick and efficient procedure to this problem as the Adjudication Decision can be rendered within 80 – 95 working days and the Winning Party may then enforce the Adjudication Decision and recover the outstanding payment or professional fees.

In this article, we will set out the procedure and the complete guide of the CIPAA Adjudication Proceeding from A – Z: 1. Payment Claim 2. Payment Response, 3. Notice of Adjudication 4. Adjudication Claim, 5. Adjudication Response, 6. Adjudication Reply, 7. Adjudication Decision.

Read More »
CIPAA Consulting News & Update Background

CASE UPDATE: Adjudicator has Power to Grant Pre-Award Interest in CIPAA

Milsonland Development Sdn Bhd v Macro Resources Sdn Bhd [2017] 8 MLJ 708

In this case, the High Court clarifies that an Adjudicator has the power to grant pre-award interest pursuant to Section 25(O) of CIPAA.

For completion, pre-award Interest, as the name suggests, refers to the interest calculated from the date of the supposed due date of payment until the date of Adjudication Decision.

Read More »
CIPAA Consulting News & Update Background

CASE UPDATE: An Aggrieved Claimant in CIPAA Proceeding may Set Aside an Adjudication Decision

Syarikat Bina Darul Aman Bhd & Anor v Government of Malaysia [2017] MLJU 2381

It is previously thought that when the Claimant’s claim is dismissed by the Adjudicator, the Claimant can only proceed to commence arbitration / court litigation to recover the payment, which often time could be more expensive and time-consuming.

In this case, the High Court held that in a case where the Claimant is successful only in part of its claim or the whole claim is dismissed, the Claimant may apply to set aside the Adjudication Decision under Section 15 of CIPAA.

Read More »
CIPAA Consulting News & Update Background

CASE UPDATE: “Loss and Expense” Claim is Allowed Under CIPAA

Syarikat Bina Darul Aman Berhad & Anor vs Government of Malaysia [2017] MLJU 2381

Previously, it is often thought that a ‘loss and expense’ claim arises out of the employer’s delay is not claimable under CIPAA as it is regarded as special damages.

In this case, the High Court clarified that an Unpaid Party / Claimant may claim for loss and expense arising from delays beyond its control in a CIPAA Adjudication Proceeding.  

Read More »
CIPAA 101 Logo

Enforcement of CIPAA Adjudication Decision

Under the Part IV of Construction Industry Payment and Adjudication Act 2012, there are 3 methods of enforcement which can be exercised concurrently:-

Section 28: Enforcement of Adjudication Decision as Judgment

Section 29: Suspension or reduction of rate of progress of Performance

Section 30: Direct Payment from Principal

Winding up Proceeding: The winning party may also seek to enforce the Adjudication Decision by issuing a Statutory Demand under Section 466 of Company Act 2016. If the losing party fails to meet the demanded Adjudicated Sum within 21 days, the winning party may proceed to wind up the losing party and liquidate its assets to meet the debt.

Read More »
CIPAA Consulting News & Update Background

CASE UPDATE: CIPAA cannot be contracted out

Ranhill E&C Sdn Bhd v Tioxide (Malaysia) Sdn Bhd and Another Case [2015] 1 LNS 1435
The High Court held that the right to refer to CIPAA Adjudication is a statutory right which cannot be contracted out by virtue of the arbitration clause. By extension, the Court will not upheld any attempt to contract out of CIPAA.

Read More »

CONTACT US NOW
FIRST CONSULTATION IS FREE

NEWS & UPDATE

Submit your email address above to receive the latest news & updates on CIPAA.

*We do NOT send advertising emails to subscribers.