Yew Huoi, How & Associates | Leading Malaysia Law Firm

LEGAL UPDATES – ADMIRALTY JURISDICTION BROADENS: TRUST AND CONVERSION CLAIMS RECOGNISED IN THE MERLION APPLICATION

In Burrows v The Ship “Merlion” [2025] 2 Lloyd’s Rep 281, the Federal Court of Australia confirmed that trust, equitable ownership, conversion, and detinue claims can fall within Admiralty jurisdiction where they relate to a ship’s ownership or possession. However, the Court struck out the Australian Consumer Law claim, finding it a personal cause of action that could not ground an in rem proceeding. The judgment is persuasive for Malaysia, where under section 24(b) of the Courts of Judicature Act 1964 and Order 70 of the Rules of Court 2012, Malaysian courts are also likely to recognise trust-based or possessory interests as proprietary maritime claims, while maintaining the need to file personal contractual claims separately.

SHIPPING – ADMIRALTY IN REM – ANCHORED BUT NOT ADRIFT: REDEFINING “SHIP” IN ADMIRALTY JURISDICTION

The Singapore High Court in Vallianz Shipbuilding & Engineering v Owner of the Vessel ‘Eco Spark’ [2025] 1 Lloyd’s Rep 195 clarified the definition of a ‘ship’ under admiralty jurisdiction. Despite conversion into a stationary floating fish farm, the vessel retained its status as a ship due to its inherent navigational capability, significantly broadening the scope of admiralty law.

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