Court Orders MYAirline to Pay RM17.7 Million for Unpaid Service Charges

By Loshinniy Nair S. Baskaran,

Kuala Lumpur, 17th August – The Kuala Lumpur High Court has ruled that MYAirline Sdn Bhd must pay RM17.7 million to Malaysia Airports, covering unpaid airport service charges.

The judgment includes RM9.1 million to Malaysia Airports (Sepang) Sdn Bhd and RM8.6 million to Malaysia Airports Sdn Bhd. This order was made after the court granted a summary judgment, effectively deciding the case without a full trial.

MYAirline had attempted to strike out the suit, arguing that the dispute should have been handled through a specific mechanism under the Malaysian Aviation Commission Act 2015.

However, the court rejected this argument, ruling in favor of Malaysia Airports. As a result, MYAirline is now obligated to pay the full amount owed.

This decision underscores the importance of adhering to contractual obligations and the legal recourse available to entities when service charges go unpaid.

The court’s dismissal of MYAirline’s strike-out application highlights the judiciary’s stance on the enforcement of such obligations and the limited circumstances under which summary judgments can be challenged.

The ruling also sets a precedent for similar disputes in the aviation industry, emphasizing that legal mechanisms within the industry’s regulatory framework must be followed when resolving financial disagreements, as stated in the Star.