End of the road for Sulu claimants

9 Sept 2024News

Malaysia secured a major victory in the Netherlands as the Supreme Court dismissed the Sulu heirs' appeal

In a landmark decision, Malaysia has won a decisive victory against the so-called heirs of the long-defunct Sultanate of Sulu. The Supreme Court of the Netherlands dismissed the appeal by the claimants seeking to enforce a disputed "Final Award" rendered in Paris. This ruling follows a previous decision by the Hague Court of Appeal on June 27, 2023, which had upheld Malaysia's challenge, confirming the country's position in the case.

The case arose from a claim by individuals purporting to be the heirs of the Sultanate of Sulu, seeking to enforce an arbitration award that Malaysia has consistently deemed illegitimate. This award was initially handed down in Paris by Dr. Gonzalo Stampa, despite the Spanish courts annulling his appointment as arbitrator. Malaysia contested the validity of the arbitration tribunal and the arbitration agreement itself, resulting in a thorough legal battle across multiple jurisdictions.

The Supreme Court of the Netherlands, after a detailed review by five Justices, fully rejected the Sulu claimants' appeal and ordered them to pay the costs of the appeal. This outcome means that the claimants will not be able to seize Malaysian assets in the Netherlands, effectively blocking any future attempts to enforce the disputed award.

Malaysia’s Minister in the Prime Minister’s Department (Law and Institutional Reform), Azalina Othman Said, lauded the decision as a significant triumph for the rule of law and international arbitration. The ruling not only protects Malaysia's sovereignty but also upholds the integrity of international dispute resolution mechanisms.

This victory marks a crucial step towards the end of the long-running Sulu case, and it is expected to significantly weaken the claimants' ability to pursue enforcement in other jurisdictions. The Malaysian government expressed gratitude to Prime Minister Dato' Seri Anwar Ibrahim for his unwavering commitment to defending the country’s sovereignty, and to all those involved in the legal fight.

Legal News desk contact: editorial@solicitorsjournal.com

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