Malaysia Marine and Heavy Engineering

MALAYSIA Marine and Heavy Engineering Holdings Bhd (MHB) suffered a legal setback after the High Court in Johor Bahru set aside an ex-parte injunction obtained by its wholly owned subsidiary Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE), in relation to a RM57.3 million arbitration claim filed by Haumea Offshore Sdn Bhd.

The injunction, granted in May 2025, had temporarily restrained Haumea, formerly known as Trans Fame Offshore Sdn Bhd, from proceeding with arbitration over disputes tied to a subcontract for hook-up and commissioning (HUC) works under the Bokor Phase 3 Redevelopment Project.

In its 5 August 2025 decision, the court also awarded RM10,000 in costs to Haumea and set September 11, 2025 as the hearing date for MMHE’s originating summons seeking a declaration that the notice of arbitration is invalid.

The dispute stems from a subcontract awarded to Haumea by MMHE for hook-up and commissioning (HUC) works and marine vessel support under the Bokor Phase 3 Redevelopment Project (Package A).

Haumea is claiming approximately RM57.3 million, inclusive of interest and costs, for what it alleges are disputes arising from the execution of the works.

MMHE had initially secured an ex-parte injunction on 20 May 2025, preventing Haumea from initiating arbitration.

The injunction was granted to preserve the status quo while the High Court considered whether the Notice of Arbitration was legally valid.

With the injunction now lifted, MMHE has been advised by its solicitors to appeal the decision and will continue legal efforts to challenge the arbitration.

The company stated that if the High Court eventually rules that the notice of arbitration is invalid, any arbitral proceedings initiated under it would be rendered null and void.

At this stage, MHB said there is no financial or operational impact on the group arising from the court’s latest decision.

MMHE is preparing to defend itself and, if necessary, file a counterclaim as part of the arbitration process. — TMR

The post MHB’s injunction set aside in RM57.3m arbitration dispute appeared first on The Malaysian Reserve.