Frequently Asked Questions

Legal fees in Malaysia depend on the matter. Conveyancing fees are scaled under the Solicitors' Remuneration Order 2005. Litigation matters are usually billed hourly (RM 300 to RM 1,500 per hour depending on seniority) or on a fixed-fee basis. At Naidu Chambers we discuss fees upfront and offer fixed-fee arrangements for many matters.

For non-Muslim divorces under the Law Reform (Marriage and Divorce) Act 1976, a lawyer is not strictly required for joint petitions if both parties agree. Where there are disputes over custody, maintenance, or matrimonial assets, or where the divorce is contested, a lawyer is essential. Muslim divorces are heard in the Syariah Courts and follow a different procedure.

Under the Limitation Act 1953, contract claims must generally be filed within 6 years of the breach. Tort claims also have a 6-year limit. Personal injury claims are 3 years from the date of injury or knowledge. Specialty contracts (under seal) have a 12-year limit. Always consult a lawyer early as the date of accrual can be technical.

Yes. Government hospitals can be sued under the Government Proceedings Act 1956. Notice must be given to the relevant authorities under the Public Authorities Protection Act 1948 within strict time limits. The case must establish breach of duty by reference to the Bolam standard (with modification post-Foo Fio Na v Dr Soo Fook Mun).

Most civil cases reach trial within 12 to 24 months under the case management system in the Sessions and High Court. Complex commercial cases and appeals can take longer. Summary judgment under Order 14 of the Rules of Court 2012 may resolve clear cases in 3 to 6 months.

Defamation is governed by the Defamation Act 1957 and common law. The plaintiff must show the statement was defamatory, referred to them, and was published. Damages are presumed in libel; for slander, special damage may need proof. The limitation period is generally 6 years. Reading guides on libel, slander, and innocent dissemination is helpful before filing.

Under section 76 of the Law Reform (Marriage and Divorce) Act 1976, the court has wide discretion. Assets acquired by joint efforts during marriage are typically divided equitably; assets acquired by sole effort lean toward the acquiring party. The court considers contributions (financial and non-financial), the welfare of children, and conduct.

The Federal Court in Foo Fio Na v Dr Soo Fook Mun (2007) modified the Bolam test for diagnosis and treatment, holding that the court (not the medical profession) sets the standard. For disclosure of risks, the Federal Court adopted the Rogers v Whitaker test (2002). The duty of care is high and modern.

Yes. There is no restriction on foreign nationals being plaintiffs in Malaysian civil courts. The Rules of Court 2012 allow for service out of jurisdiction with leave under Order 11. Foreign judgments may be enforced under the Reciprocal Enforcement of Judgments Act 1958 if the foreign court is in the gazetted list.

Section 346 of the Companies Act 2016 allows minority shareholders to petition the court if the affairs of the company are conducted in a manner oppressive to them or in disregard of their interests. Remedies include forced buyout, regulation of the company's affairs, or winding-up.

Damages are categorised as general damages (pain and suffering, loss of amenities) and special damages (medical bills, loss of earnings). Quantum varies by injury severity. Recent reported settlements range from RM 100,000 to over RM 2 million. The court applies precedent and the Compendium of Personal Injury Awards as a guide.

Wrongful dismissal is a contractual claim heard in civil courts (breach of contract, e.g. dismissal without proper notice). Unfair dismissal is a statutory claim under section 20 of the Industrial Relations Act 1967, heard in the Industrial Court, alleging dismissal without just cause or excuse.

Yes. Defamatory statements on social media are actionable. Recent cases have awarded substantial damages for Facebook and Twitter posts. Section 233 of the Communications and Multimedia Act 1998 also creates a parallel criminal offence for offensive online communications, though defamation suits remain a civil remedy.

Options include sending a letter of demand, filing a civil suit (for liquidated sums under RM 1 million the Sessions Court has jurisdiction), or for corporate debtors over RM 50,000 issuing a statutory demand under section 466 of the Companies Act 2016 followed by a winding-up petition. Each path has different cost and time profiles.

A shareholders agreement is a private contract between owners of a Malaysian company that supplements the constitution. It typically governs decision-making, share transfers, drag-along/tag-along rights, dispute resolution, and exit. Without one, default Companies Act 2016 rules apply, which may not match commercial reality.

Uncontested probate of a will typically takes 6 to 12 months from filing to grant. Letters of administration (where there is no will) are similar. Disputed cases (will challenges, family disputes) can take 2 years or more. The Probate and Administration Act 1959 governs the process.

Yes. Insurance disputes are governed by the Financial Services Act 2013 and the policy contract. The Ombudsman for Financial Services (OFS) handles claims up to RM 250,000 free of charge. Larger or complex disputes go to civil court. Strict time limits apply — read your policy and consult a lawyer early.

Under the Companies Act 2016, you need at least 1 director resident in Malaysia, 1 shareholder, a name reservation via SSM, a registered office, and a constitution (optional but recommended). Filing is online via MyCoID. Standard registration takes 1 to 5 working days.

Section 28 of the Contracts Act 1950 voids agreements in restraint of trade except in narrow circumstances (sale of goodwill, partnership dissolution). Post-employment non-compete clauses are generally unenforceable in Malaysia, distinguishing it from many other jurisdictions. Confidentiality and non-solicitation may be enforceable if reasonable.

Damages comprise general damages (pain and suffering, loss of amenities, future earning capacity) and special damages (medical expenses, loss of earnings to date, pre-trial losses). The Compendium of Personal Injury Awards is the practitioner's reference. Catastrophic injuries (paraplegia, quadriplegia) can attract awards exceeding RM 1 million.

Judicial management under section 404 of the Companies Act 2016 places a company under independent management for up to 12 months (extendable) to allow restructuring. It is suitable for viable but distressed companies where survival is more valuable than liquidation. A judicial management order shields from creditor action during the period.

Yes, depending on the country. The Reciprocal Enforcement of Judgments Act 1958 covers gazetted countries (UK, Singapore, Hong Kong, India, etc.) where registration is straightforward. For non-gazetted countries, a fresh action on the foreign judgment is required. Time limits and reciprocity rules apply.

A writ of summons is used for matters with substantial factual disputes (Order 5 Rule 2 of the Rules of Court 2012). An originating summons is used for disputes primarily on points of law or construction of documents. Choosing the wrong mode can result in the case being struck out.

Unfair contract clauses can be challenged under common-law principles (fundamental breach, unconscionability), the Consumer Protection Act 1999 (for consumer transactions), or general contract law (mistake, duress, undue influence). The court considers commercial context, bargaining power, and reasonableness.

The Construction Industry Payment and Adjudication Act 2012 (CIPAA) provides a fast-track adjudication process for unpaid construction claims. An adjudicator must decide within 45 working days. The decision is binding pending arbitration or litigation. CIPAA has revolutionised cash flow in Malaysian construction.

Yes. Solicitors owe a duty of care to their clients. Common claims include missed limitation periods, failure to advise on key risks, and conflict of interest. The Legal Profession Act 1976 also allows complaints to the Disciplinary Board. Limitation is 6 years from the negligent act or knowledge of damage.

Eviction requires due process. Under the Distress Act 1951, distress for unpaid rent requires a court order. Wrongful eviction (self-help, lockout) can result in damages and injunctions against the landlord. The tenancy agreement and any written notice provisions govern. The Civil Law Act 1956 also applies.

Section 88 of the Law Reform (Marriage and Divorce) Act 1976 makes the welfare of the child the paramount consideration. For children under 7, there is a rebuttable presumption favouring the mother. The court considers wishes of the child, stability, and the parents' capability. Joint custody is increasingly common.

Order 11 of the Rules of Court 2012 governs service out of jurisdiction. Leave is generally required, supported by an affidavit setting out grounds (contract performed in Malaysia, tort committed in Malaysia, etc.). Service may be effected by personal service abroad, postal service, or under the Hague Service Convention if applicable.

Generally no — limited liability protects directors. Exceptions include: fraudulent or wrongful trading (sections 539, 540 Companies Act 2016), personal guarantees, breach of fiduciary duty, certain tax debts, EPF and SOCSO arrears, and lifting the corporate veil for fraud or sham. Directors should be aware of these exposures.