KUALA LUMPUR: Agreements involving personal, family or household matters, as well as those already approved by the courts or recognised as arbitral awards, will be excluded from the International Settlement Agreements Resulting from Mediation Bill 2025, says M. Kulasegaran.
Deputy Minister in the Prime Minister’s Department (Law and Institutional Reform) M. Kulasegaran said the proposed law focuses on two main elements: allowing international settlement agreements to be enforced as court orders and recognising them as admissible evidence in Malaysian courts and institutions.
"In general, this Bill emphasises two key elements: the enforcement of international settlement agreements as court orders and the admissibility of these agreements as evidence in any judicial proceedings or before any institution in Malaysia," he said while tabling the Bill for its second reading in the Dewan Rakyat on Wednesday (Feb 11).
Under Clause 6, he said, the Bill provides a framework for parties to apply to the High Court to have an agreement recorded for enforcement, and sets out the required documentation and procedures.
Once recorded, the agreement can be treated as a court order, allowing parties to rely on it as a defence or to enforce their rights, he added.
He explained that a certified English translation must accompany agreements drafted in languages other than Bahasa Malaysia or English.
The High Court, he added, will also have the power to refuse applications or to stay proceedings if parallel cases concerning the same agreement are underway elsewhere, helping to avoid conflicts and ensure consistency in enforcement.
The move is part of Malaysia’s plan to ratify the Singapore Convention on Mediation, signed in 2019, and aims to provide a clear legal framework for the enforcement of international settlement agreements in the country.
