CIPAA 2012: Court of Appeal Clarifies When an Adjudication Decision Ceases to Be Binding YS Chong Enterprise Sdn Bhd (In Liquidation) v Perkasa Jauhari Sdn Bhd (In Liquidation) [Court of Appeal Civil Appeal Nos. J-02(NCC)(A)-464-03/2025 & J-02(IM)(NCC)-465-03/2025] Issues An adjudication decision under the Construction Industry Payment and Adjudication Act 2012 (“CIPAA 2012”) may be relied […]

Securing the Landlord’s Bargain: Defeating Opportunistic Defenses in Commercial Tenancies Executive Summary We recently secured a decisive victory for our client, the operator of a prominent shopping mall, enforcing the strict terms of a commercial tenancy agreement and protecting commercial landlords from opportunistic pandemic-era claims. The High Court decisively rejected a defaulting food and beverage […]

What happens if the notice for direct payment is issued before the time for payment under the adjudication decision has expired? Further, how should the Court determine whether there is “money due or payable” at the material time, particularly where sums are subject to retention, set-off, or deductions under a settlement agreement?

Section 30 of the Construction Industry Payment and Adjudication Act 2012 (“CIPAA 2012”) enables a subcontractor to request direct payment from the principal or employer if the main contractor fails to pay the adjudicated amount in favour of the subcontractor, and where there is money due or payable by the employer to the main contractor. However, would the employer still be considered a “principal” for the purposes of Section 30 if the main contract restricts the main contractor from awarding the subcontract in the first place?