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Showing posts from September, 2019

[Key Takeaways] Seminar on Exclusion Clause - Endgame?

The KLBC Young Lawyers Committee organised a seminar on 15 April 2019 to discuss CIMB Bank Bhd v. Anthony Lawrence Bourke & Anor [2019] 2 MLJ 1 , the recent landmark Federal Court decision on exclusion clauses. Ong Yu Jian, the successful lead counsel for the Respondents shared insights into the arguments taken before the Federal Court. We also had Vince Chong Khin Young share his views on the applicability and effectiveness of an exclusion clause from the banks’ perspective in light of this recent Federal Court decision. Both speakers received many questions from the floor. In essence, the Federal Court held that any exclusion clause which is purposed to absolutely restrain any party from litigating against another party under any type of contract, is found to contravene S. 29 of the Contracts Act 1950. An exclusion clause can be struck down by the courts if it goes against public policy. This happens where there is unequal bargaining power between parties. In an