Malaysian and China groups sign MoU to promote mediation

(From left) MBAM honorary advisor (legal) John Tong, Wee, CECCM treasurer Charles Yang Zhijun, Lyu En and CCIWC committee member Rebecca Deng at the signing ceremony.

Master Builders Association Malaysia (MBAM) and China Enterprises Chamber of Commerce (CECCM) in Malaysia will work together to promote mediation for resolving contractual disputes in the construction sector.

MBAM president Oliver HC Wee and CECCM’s construction industry working committee (CCIWC) president Lyu En signed a memorandum of understanding (MoU) on this matter.

Wee said the association was committed to building a resilient, agile and sustainable construction society with its members, ministries, government institutions and non-governmental organisations.

Under the guidance of the China Embassy in Malaysia, CECCM formed the working committee in 2019 to promote a better connection between China and Malaysia’s construction industries.

Its aim is to act as a platform to exchange opinions with one another and improve their professional skills, enterprises’ management skills and team building as well as develop opportunities.

During the MoU signing ceremony, Lyu En called upon all CECCM members to make full use of the mediation services provided.

He also hoped that the MoU signing would promote more collaborations between both parties.

“This MoU will allow us to advise our members in reducing legal disputes and choosing mediation as a better alternative to resolving them.

“Our collaboration is particularly relevant in this post-pandemic era where disputes among contracting parties have increased.

“There are more than 1,000 cases being handled at various courts related to construction contract disputes.

“In addition, on adjudication alone, fees worth hundreds of millions have been paid by disputing parties. This does not include legal expenses incurred at various courts and arbitration,” he said.

MBAM also held a seminar on post-Covid- 19 measures, Construction Industry Payment and Adjudication Act (CIPPA) 2012 and mediation on the day of the MoU signing.

The seminar brought together speakers such as Harbans Singh KS, Kenny Chan Yew Hoong and Karen Ng Yueh Ying, who shared their knowledge on the process of adjudication under CIPAA 2012 and mediation.