The court affirmed that arbitration awards can only be set aside on specific statutory grounds, emphasizing limited judicial intervention in arbitration matters to uphold party autonomy and finality.

Azlan Sulaiman J:

Introduction

[1] An arbitration between Sinerjuta Sdn Bhd ("Sinerjuta") and JO Architects Sdn Bhd ("JO Architects") resulted in a Final Award dated 25 September 2024 ("Final Award") in JO Architect's favour.

[2] Originating Summons No: WA-24C(ARB)-75-12/2024 ("OS 75/2024") is Sinerjuta's application under several provisions of s 37 of the Arbitration Act, 2005 ("Act") to, inter alia, set the Final Award aside, and Originating Summons No: WA-24C(ARB)-1- 01/2025 ("OS 1/2025") is JO Architect's application to enforce the Final Award against Sinerjuta under s 38 of the Act.

[3] In this Judgment, I will consider OS 75/2024 first as, if the Final Award is set aside, that would dispense with the need to even decide OS 1/2025.

Salient Facts

[4] By a Letter of Appointment dated 10 March 2014 ("LOA"), Sinerjuta had appointed JO Architect's to provide architectural consultancy services for a project to develop one 34-storey block of 524 affordable housing units in the Kampung Muhibbah, Mukim Petaling, Kuala Lumpur ("Project").

[5] Clause B of the LOA provided for the fees payable to JO Architect, as follows:

"The professional fees shall be calculated as 1.80% of the Awarded Construction Contract Sum ("ACCS") or the Final Construction Cost ("FCC") as determined in the final account by the Project Quantity Surveyors, whichever is lower.

Interim fee claims shall be based in the first instance on the construction cost estimate shown in the Project Quantity Surveyors' Cost Plan that is prepared by referring to the submission drawings and plans for Authority approval.

Upon their determination, the ACCS and FCC shall chronologically operate as the determinant for calculation of fees. Variances in fee entitlements and payments arising from this prescriptive manner of staging payments shall at all times be reconciled as soon as practicable to ensure fairness to both parties.

The additional 6% government service tax shall be borne by the Client"

[6] A dispute arose between them on additional fees that JO Architect claimed from Sinerjuta. Despite having already received the sum payable under the LOA for its services, JO Architect contends that a further sum of RM277,720.00 (consisting of RM262,000.00 and RM 15,720-00 as 6% SST) is due and payable to it by Sinerjuta, under what is commonly called "SiFUS", under the Strata Titles Act 1985.

[7] SiFUS (an acronym for Sijil Formula Unit Syer) is a statutory requirement under s 6(3)(d) of the Strata Management Act 2013 which came into effect on 1 June 2015, ie after the LOA.

[8] The Lembaga Akitek Malaysia's General Circular dated 24 November 2017 ("Circular") was, inter alia:

"to advise all Architects in their role as a principal submitting person (PSP), under the present regulations to certify the drawings prepared by a Licensed Land Surveyor for the purpose of filing of schedule of parcels".

[9] Paras 2-4 of the Circular provided:

"2. Certification requirements under this Act are additional statutory obligations that Architects are required to comply. An Architect appointed as a principal submitting person (PSP) is to certify and make necessary declarations under the Act, and shall not unnecessarily refuse to comply with these requirements.

3. The new certification requirements implemented through this Act imposes additional work on Architects, for which the Architect is entitled to charge additional fees for the works done accordingly.

4. Architects shall charge additional fees for these certification services at a rate of RM500.00 per parcel for each certification filed to the Commissioner. "

[10] On Sinerjuta's instructions, JO Architects had undertaken the SiFUS certification for all the 524 strata units of the Project. JO Architect's claim for that sum of RM277,720.00 under SiFUS was premised on certification services at the rate of RM500.00 ie RM500.00 x 524 units = RM262,000.00 for the Project in accordance with para 4 of the Circular, and SST.

[11] Despite JO Architect having, through