What is Ship Arrest in Malaysia? High Court Admiralty Jurisdiction Explained

1. Legal Basis for Admiralty Jurisdiction

In Malaysia, the High Court exercises admiralty jurisdiction equivalent to that of the High Court in the United Kingdom pursuant to Section 24(b) of the Courts of Judicature Act 1964 and Sections 20 and 21 of the UK Senior Courts Act 1981.

2. Claims That Qualify for Ship Arrest

An action in rem can be instituted against a vessel for claims recognized by statute, including:

• Damage received by or caused by a ship (e.g. collision, berth contact);
• Loss of life or personal injury caused by the ship;
• Loss of or damage to goods carried in a ship (cargo claims);
• Agreements relating to the carriage of goods or use of a ship (charterparty disputes);
• Unpaid bunkers, equipment, or repairs supplied to a vessel;
• Crew wages and master's disbursements (which also confer maritime lien status);
• Enforcement of registered ship mortgages.

3. The Urgent Arrest Procedure

Because commercial vessels call at Malaysian ports on tight schedules, speed is of the essence. Counsel files:

1. A Writ in Rem identifying the res (the vessel);
2. A Warrant of Arrest accompanied by a supporting affidavit sworn by the claimant;
3. A certificate of search showing no caveat against arrest is in force;
4. An undertaking to the Sheriff to pay the expenses of the arrest.

Upon issuance by the High Court Admiralty registry, the Sheriff or appointed bailiff serves the Warrant of Arrest on the vessel master and affixes the original warrant to the ship's mast or superstructure.

4. Procuring Urgent Release

Vessel owners or P&I Clubs seeking to avert costly port detention typically negotiate acceptable security. This is usually tendered in the form of a P&I Club Letter of Undertaking (LOU) from an International Group Club or a Malaysian bank guarantee. Once security is approved, the High Court issues a release order.