KUALA LUMPUR: MYAirline Sdn Bhd has been ordered to pay RM17.7 million to Malaysia Airports (Sepang) Sdn Bhd and Malaysia Airports Sdn Bhd in overdue airport service charges.
The High Court today granted the application for a summary judgment against the defendant MYAirline filed by both plaintiffs last year.
High Court Judicial Commissioner (JC) Gan Techiong directed the defendant to pay RM9,111,402.94 to the first plaintiff, Malaysia Airports (Sepang), and RM8,636,150.08 to the second plaintiff, Malaysia Airports.
“The court also orders the defendant to pay costs of RM10,000 to each plaintiff,“ he said.
A summary judgment is issued when the court decides that one party is entitled to judgment as a matter of law, based solely on written submissions and legal arguments, without the need for a full trial or witness testimonies.
In his decision, JC Gan said the two plaintiffs are entitled to collect charges from airlines for services provided and then proceeded to award the sums.
On Nov 9, 2023, both plaintiffs filed for summary judgment, submitting that the amount claimed from the defendant remains accrued and unpaid and that the airline has no defence against the lawsuit.
On Nov 24, 2023, MYAirline filed an application to strike out the suit, contending that the plaintiffs should first utilise the dispute resolution mechanism provided in Sections 74 to 78 of the Malaysian Aviation Commission Act 2015.
They claimed, therefore, that the plaintiffs’ action was deemed invalid or premature as they did not adhere to nor utilise the prescribed dispute resolution method.
Both plaintiffs objected to the application, asserting that the dispute resolution mechanism under the Malaysian Aviation Commission Act is not applicable in this instance.
JC Gan dismissed MYAirline’s application to strike out the suit and ordered them to pay RM30,000 in costs to the plaintiffs.
Malaysia Airports (Sepang) and Malaysia Airports, filed the initial lawsuit on Oct 18, 2023, claiming that MYAirline had failed to pay six categories of service charges amounting to RM17,747,553.02.
They claimed that the overdue charges owed by MYAirline included passenger service and passenger security charges amounting to RM10,863,478.90, landing fees of RM5,445,555.45, parking fees of RM176,017.92, aerobridge fees of RM655,760, check-in counter fees of RM267,367, and late payment charges of RM339,373.72.
The plaintiffs also asserted that the airline did not contest the contents of the invoices and account statements issued to it within 30 days.
Consequently, the plaintiffs sought, among other damages, that the defendant pay the outstanding charges of RM17,747,553.02, specifically RM9,111,402.94 to the first plaintiff and RM8,636,150.08 to the second plaintiff, along with general damages and any other relief deemed appropriate by the court.
Malaysia Airports (Sepang) and Malaysia Airports Sdn Bhd were represented by Shannon Rajan, Eric Gomez, and Katelyn Yeoh while MYAirline was represented by lawyer Nesema Jalaludheen.
