The collision between the FMG Sydney and MSC Apollo highlights the critical importance of adhering to established navigation rules. Deviations, delayed actions, and reliance on radio communications instead of clear, early maneuvers can lead to disastrous outcomes. This case serves as a stark reminder for mariners: follow the rules, act decisively, and prioritize safety above assumptions.
TORT LAW- DEFAMATION- FAIR COMMENT
Upon viewing a report, Mr. A (a politician) had made a statement about Mr. C that he had used the public funds for a national cattle farming project to purchase three units of houses. Mr. C sued Mr. A on the basis that the defamatory statement made had tarnished his reputation and character. Can Mr. C sue Mr. A on the grounds of defamation?
Q: What is defamation?
A: Defamation is a statement made by a person that tarnishes a person’s reputation. It can be made in writing (considered “libel”) or orally (considered “slander”).
Q: Must Mr. C incur financial losses before he can sue Mr. A?
A: No, he can sue for damages as long as his reputation is tarnished.
Q: Is there any defence to an action for defamation?
A: If Mr. A has genuinely given a view on a fact proven to be true, he can then raise the defence to his statement made, that is, he has only made a “fair comment” rather than a defamatory statement.
Q: What is a “fair comment”?
A: A “fair comment” is a comment given based on proven fact.
Three elements of a “fair comment”:
Q: Is there a cap to compensation on defamation?
A: There is no known cap. The court will look at the facts and the following factors to decide how much the compensation would be:
Q: How long is the limitation period to file a claim for defamation?
A: For West Malaysia, the limitation period is 6 years from the date the defendant published the defamatory statement.
Recent Post
NAVIGATION AND SHIPPING LAW – COLLISION REGULATIONS – COLLISION AT SEA – A WAKE-UP CALL FOR ADHERING TO NAVIGATION RULES
The collision between the FMG Sydney and MSC Apollo highlights the critical importance of adhering to established navigation rules. Deviations, delayed actions, and reliance on radio communications instead of clear, early maneuvers can lead to disastrous outcomes. This case serves as a stark reminder for mariners: follow the rules, act decisively, and prioritize safety above assumptions.
SHIPPING AND ADMIRALTY IN REM – A SINKING ASSET – COURT ORDERS SALE OF ARRESTED VESSEL TO PRESERVE CLAIM SECURITY
In a landmark admiralty decision, the High Court ordered the pendente lite sale of the arrested vessel Shi Pu 1, emphasizing the principle of preserving claim security over the defendant’s financial incapacity. The court ruled that the vessel, deemed a “wasting asset,” could not remain under arrest indefinitely without proper maintenance or security. This case reinforces the necessity for shipowners to manage arrested assets proactively to prevent significant financial and legal repercussions.
EMPLOYMENT LAW – IS DIRECTOR A DIRECTOR OR EMPLOYEE? UNPACKING DUAL ROLES IN EMPLOYMENT LAW
The Court of Appeal clarified the dual roles of directors as both shareholders and employees, affirming that executive directors can qualify as “workmen” under the Industrial Relations Act 1967. The decision emphasizes that removal as a director does not equate to lawful dismissal as an employee unless due process is followed. This case highlights the importance of distinguishing shareholder rights from employment protections, ensuring companies navigate such disputes with clarity and fairness.
COMMERCIAL CONTRACT – FORCE MAJEURE OR JUST EXCUSES? LESSONS FROM LITASCO V DER MOND OIL [2024] 2 LLOYD’S REP 593
The recent decision in Litasco SA v Der Mond Oil and Gas Africa SA [2024] 2 Lloyd’s Rep 593 highlights the strict thresholds required to invoke defences such as force majeure and trade sanctions in commercial disputes. The English Commercial Court dismissed claims of misrepresentation and found that banking restrictions and sanctions did not excuse payment obligations under the crude oil contract. This judgment reinforces the importance of precise contractual drafting and credible evidence in defending against payment claims, serving as a cautionary tale for businesses navigating international trade and legal obligations.
SHIPPING – LETTER OF CREDIT – LESSONS FROM UNICREDIT’S FRAUD CLAIM AGAINST GLENCORE
The Singapore Court of Appeal’s decision in Unicredit Bank AG v Glencore Singapore Pte Ltd [2024] 2 Lloyd’s Rep 624 reaffirms the principle of autonomy in letters of credit and highlights the high evidentiary threshold for invoking the fraud exception. Unicredit’s claim of deceit was dismissed as the court found no evidence of false representations by Glencore, emphasizing that banks deal with documents, not underlying transactions. This case serves as a critical reminder for international trade practitioners to prioritize clear documentation and robust due diligence to mitigate risks in financial transactions.
LAND LAW – PROPERTY SOLD TWICE: OWNERSHIP NOT TRANSFERRED IN FIRST SALE
This legal update examines the Court of Appeal’s decision in Malayan Banking Bhd v Mohd Affandi bin Ahmad & Anor [2024] 1 MLJ 1, which reaffirmed the binding nature of valid Sale and Purchase Agreements (SPAs) and the establishment of constructive trust. The court dismissed claims of deferred indefeasibility by subsequent purchasers and a chargee bank, emphasizing the critical importance of due diligence in property transactions. The decision serves as a cautionary tale for financial institutions and vendors, reinforcing the need for meticulous compliance with legal and equitable obligations.