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2023 MarsdenLR 592

HIGH COURT MALAYA KUALA LUMPUR
N2N CONNECT BERHAD & ORS – Appellant
Versus
CHUA TIONG HOONG & ORS; GENERAL RESERVER OF DIGITAL ASSETS LTD & ORS (IN.... – Respondent
[Civil Suit No:WA-22IP-16-03/2021]



Petitioner Advocates:Khoo Guan Huat,Suaran Singh,Kok Hao Ying,Ashwinathan Selvanathan ,Respondent Advocate: Wendy Lam,Wong Jia Ee,R Ramani,R Himahlini

The obligation for full and fair disclosure in ex-parte Anton Piller applications is critical to uphold the order's validity.

Headnote:(1) Relevant laws on Anton Piller Orders dictate that applicants must provide comprehensive disclosure of evidence, ensuring minimal invasion of privacy. In this case, the plaintiffs sought an ex-parte Anton Piller Order that allows entry and search of the Defendants’ premises, claiming a breach of confidentiality and copyright infringement. (2) The Court addressed critical issues surrounding the validity of the ex-parte order, analyzing the propriety of the applicant’s disclosure. The Court emphasized that failure to adhere to strict disclosure obligations can result in the injunction being set aside. (3) Ultimately, the Court upheld the validity of the Anton Piller Order, dismissing the Defendants' applications to set it aside, as sufficient grounds were presented by the Plaintiffs.

Table of Content
1. ex-parte applications can lead to significant impacts on the defendants' rights. (Para 1 , 2 , 3 , 4)
2. claims of irreparable harm must be substantiated to support an anton piller order. (Para 5 , 6 , 7 , 8)
3. principles of disclosure are critical in ex-parte applications. (Para 10 , 11 , 12 , 13 , 14)
4. inferences may be drawn regarding the likelihood of evidence destruction. (Para 15 , 16 , 18 , 19)
JUDGMENT

Mohd Radzi Harun J:

Background

[1] On 2 April 2021, this Court had allowed the ex-parte application by the Plaintiffs which include an Anton Pillar Order allowing the Plaintiffs to enter and search the Defendants' premises for specific purposes.

[2] Chua Tiong Hoong, Finevo Technology Sdn Bhd and AK Partner Hybrid Connect Sdn Bhd, the 1st, 5th and 6th Defendants, collectively filed an application (encl 77) to set aside the said ex-parte Order. Shyam Sundar and Wong Voon Fui, the 3rd and 4th Defendants respectively, filed a similar application collectively in encl 90 to set aside the same ex-parte Order.

[3] Both applications were heard at the same time and were dismissed by this Court, hence the two appeals.

[4] Due to the shared background facts involving the parties, the nature of the issues raised by the parties, the similar nature of the two application and the same reasons applied by this Court in determining both applications, this single Grounds of Judgment shall apply to both appeals.

The APO

[5] The ex-parte application by the Plaintiffs was for the following Orders:

(i) Entry and Search of Premises

That the Defendants to permit persons listed in the application to enter the premises of the Defendants as enumerated in Schedule 1 to the application, during working days and working time as enumerated in the application, for the purpose of, inter alia, searching, copying, imaging, the items as described in Schedules 2 and 3 of the Application for the purpose of, inter alia:

(a) seizure for evidence of confidential and/or proprietary information and / or trade secrets of the Plaintiffs and any material which may be used as evidence in this action, comprising the Plaintiffs' Confidential Information and Trade Secrets;

(b) seizure for evidence of any works, materials, information and/or documents that comprise the works and/or copyright of Plaintiffs, comprising and including Plaintiff's Software and/or Plaintiffs' Marketing Materials;

(c) taking possession and/or custody of all the said items for the safekeeping of the Supervising Solicitor(s) and/or their authorized representatives.

(ii) Delivery Up

That the Defendants to deliver up to the Supervising Solicitor(s) and/ or their authorised representative(s), devices which shall include any computers (inclusive of email accounts and central processing units), cloud accounts and repositories, all logs and activities, browsing history, external and/or internal hard disks, laptops, notebooks, tablets, mobile phones, pen drives etc in the possession, custody of the Defendants for the purpose of:

(a) seizure for evidence of confidential and proprietary information and / or trade secrets of the Plaintiffs and any material which may be used as evidence in this action as set out in the Schedule 3 attached hereto; and

(b) imaging of the same to preserve the integrity of evidence and data.

(iii) Injunction

(a) An injunction to restrain the Defendants, until trial of this action and determination of this action or further order of the Court, from disclosing or utilizing in any way, any or all of the Listed Items as set out in Schedule 3 and/or the Plaintiffs' Confidential Information and Trade Secrets (as set out in the Statement of Claim and Affidavit in Support) and Schedule 2 attached hereto for any purpose or to otherwise exploit the same without the Plaintiffs' consent;

(b) An injunction to restrain the Defendants from infringing the copyright subsisting in the Plaintiffs' Software; and / or

(c) causing, enabling and / or assisting any others to do such infringement acts.

(iv)

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