Coming into Force of Certain Provisions in the Malaysian Space Board Act 2022

The Minister of Science, Technology and Innovation has fixed 1 January 2025 as the date coming into force of certain sections in the Malaysian Space Board Act 2022. Those sections include s 15 (prohibition of non-peaceful use of the Space), s 16 to s 34 which deal with inter alia the issuance of licences and permits for building or manufacturing a space object, owning or operating a Space-related facility, owning or operating any launch facility, launch permit for a launch service provider for launching from a launch facility in Malaysia, conditions for issuance of licences and permits, fees, duration of the licences, renewal, transfer and other matters relating to the licences issued. Sections 36-38 deal with registration of Space objects. Section 39 imposes an absolute liability on  launch service provider and a Space object owner, while s 40 imposes an obligation to indemnify the Malaysian government. Sections 43-46 deals with Space incidents and accidents. Section 68 imposes certain criminal liability on certain specified officers of a body corporate, while s 69 imposes corporate liability for violations committed by an employee, agent or an employee of that agent.

ETCoLaw is the number one law firm advising on Space Law in Malaysia. If you have any query about Space Law or would like to know more about ETCoLaw’s legal services, please do not hesitate to CONTACT ETCoLaw.

14 January 2025 

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aviation space competition corporate company transport law regulation

Increase in Air Carrier’s Liabilities under the Montreal Convention 1999

The Montreal Convention sets down the limits of an air carrier’s liabilities which are revised to take into account inflation. The ICAO has announced the forthcoming increase of the limits.

Under the revision, the limits are as follows:

1. For death or bodily injury, the limit will increase to 151,880 SDRs (or equivalent to MYR886,005.80).
2. For delay in passenger transport, the limit will increase to 6,303 SDRs (or equivalent to MYR36,769.12).
3. For destruction, loss, damage or delay of baggage, the limit will increase to 1,519 SDRs (or equivalent to MYR8,861.22).
4. For destruction, loss, damage or delay of cargo, the limit will increase to 26 SDRs (or equivalent to MYR151.67) per kilogram.

The values in MYR are as of the date of the writing. The limits are set to take effect on 28 December 2024. 

For more information about ETCoLaw’s Aviation Law Practice, you may wish to visit Aviation & Space Law Practice.

If you have any legal enquiries, you may wish to CONTACT ETCoLaw.

13 November 2024

2024 Amendments to the Malaysian Aviation Consumer Protection Code

Subsequent to ETCoLaw’s legal update titled “Mandatory Refund to Passengers for Flight Delays” on 19 August 2024, the Malaysian Aviation Consumer Protection (Amendment) Code 2024 was gazetted on 30 August 2024. The 2024 Amendment Code amends the original 2019 Code in several significant aspects. The 2024 Amendment came in after a series of flight delays and cancellations as seen in the recent weeks.

One general change made to the Code is the overall replacement of the word “passenger” and its grammatical variants by the word “consumer.” The 2024 Amendment provides a consumer with travel rights under the Code. The rights include denial of embarkation on grounds of disability; flight disruption; lost, damaged or delayed baggage; lost or damaged mobility equipment or assistive device. A consumer includes a person with a ticket issued under a frequent flyer programme.

One of the most hotly debated issue was the flight delay or cancellation. The 2024 Amendment adds a new definition to the word “delay” which is defined to mean the time between the scheduled time of departure and actual time of departure. The words “scheduled time of departure” is defined to mean the date and time of flight departure specified on the ticket. A new paragraph 8A is added to the Code. It requires the airline to notify the consumer of any changes to the scheduled time of departure at least 2 weeks before the actual departure unless the operating airline can prove that a further change to the scheduled time of departure is caused by extraordinary circumstances or technical reasons which could not have been avoided even if all reasonable measures had been taken. It will come into effect on 1 January 2025.

The 2024 Amendment also requires an airline to publish in its advertisements, an all-inclusive price of the air fare which must consist of the base fare including all charges payable to the airline, any taxes and fees imposed by the government, any fees and charges prescribed under any written law, fuel surcharge, and other fees and charges as determined by MAVCOM to be imposed on consumers. Before a consumer purchases a ticket, the airline must disclose the final price of the air fare.

Airlines are now by the Code obligated to notify consumers of any change in the status of a flight, which includes cancellation of a flight, a delay of 30 minutes or longer in the scheduled time of departure, route cessation or flight rescheduling, as soon as practicable. The duty is on the operating airline to show that consumers have been notified and the public has been informed.

On delay and flight cancellation, the operating airline is required to provide the consumer affected by flight cancellation or delay or 30 minutes or longer a letter to that effect. A new Third Schedule provides for the limits of liability of the airlines in line with the 2019 revision to the liability under the Montreal Convention 1999. Where refund is applicable, the operating airline shall first offer a refund unless the consumer chooses a different option. Other options include offering hotel accommodation and transport between the airport and accommodation. Nevertheless, the operating is entitled to offer alternative forms of “refund” where the operating airline can prove that the cancellation or delay of 5 hours or longer is caused by extraordinary circumstances which could not have been avoided even if all reasonable measures had been taken. Refund must be made in the same form as the original mode of payment.

Where there is any route cessation, the operating airline must notify the consumers and inform the public 1 month before the date of cessation, and inform the consumers of their rights in the First Schedule. The operating airline must first offer to refund within 30 days unless the consumer chooses a different option—such as re-routing. Nevertheless, the operating airline is entitled to offer alternative forms of “refund”.

In the case of flight re-scheduling of 3 hours or longer, the operating airline must notify the consumers about the new departure time before or after the scheduled time of departure, or at least 24 hours from the scheduled time of departure, and their rights under the First Schedule. The operating airline must first offer to refund within 30 days unless the consumer chooses a different option—such as re-routing. Nevertheless, the operating is entitled to offer alternative forms of “refund” in certain circumstances.

Where due to a change in the status of a flight, a flight becomes no longer available, the contracting airline must immediately remove the flight from all the online booking systems—where tickets are sold through a travel agent or travel portal—and stop all bookings or sale.

An airline is prohibited from refusing to accept a reservation for a flight departing from an aerodrome to which the Code applies, or to embark a person with disability with a valid reservation at such an aerodrome, on the grounds of disability, except where the refusal is to meet safety requirements or due to the aircraft size or doors. Where there is a refusal of reservation, the 2024 Amendment imposes a duty on the airline to make reasonable efforts to propose an acceptable alternative. Where a person with disability has been denied embarkation on that ground, he and any person accompanying him is entitled to the rights in the First Schedule. The 2024 Amendment requires an airline to make publicly available information on safety rules that apply to carriage of disabled persons. The 2024 Amendment provides for the timing of providing the relevant information and providing assistance by the airline to such disabled persons. An aerodrome operator is also under a duty to ensure that there are structural amenities and facilities that meet the requirements of disabled persons.

On denied boarding, the 2024 Amendment allows the airline to deny boarding to any consumer before boarding where there is insufficient volunteer, and to offer the rights as per the First Schedule.

The 2024 Amendment provides for a new First Schedule on the rights of the persons coming within the description therein, and a new Third Schedule which revised the limit of airline’s liability for lost, damaged or delayed luggage in line with the 2019 revision to the liability under the Montreal Convention 1999.

Liabilities and compensation aside, the 2024 Amendment extends the period for lodging a complaint with MAVCOM—which will merge with the CAAM soon—within 2 years from the date the cause of complaint accrued. Notwithstanding the 2024 Amendment it seems that a complaint may run concurrently with court proceedings between the same parties.

The new paragraph 8A aside, the rest of the 2024 Amendment came into effect on 1 September 2024.

For more information about ETCoLaw’s Aviation Law Practice, you may wish to visit Aviation & Space Law Practice.

If you have any legal enquiries, you may wish to CONTACT ETCoLaw.

4 September 2024

Mandatory Refund to Passengers for Flight Delays

As announced by the Minister of Transport at a press conference yesterday, airlines will be required to make full refund to passengers affected by delay of 5 hours or longer. 

For that, amendments will be made to the Malaysian Aviation Consumer Protection Code 2016 by way of gazette on 2 September 2024. However, it remains unclear at this moment if the new amendment will take effect immediately upon gazette or at another date in January 2025. ETCoLaw will wait for the gazette.

The full refund applies only if the passenger chooses to cancel his flight. The airline concerned may either refund via the original mode of payment (i.e. credit card refund if purchase of ticket was made via a credit card) or offer alternative modes of refund such as flight credits or flight vouchers.

The mandatory refund applies to fuel surcharge, taxes, fees, charges and other levies.

The full refund applies to both refundable and non-refundable tickets.

The Minister also reminded all airlines that any changes to the flight schedule must be communicated to the passengers at least 2 weeks before the actual departure, unless caused by extraordinary circumstances or unavoidable technical issues. A maximum penalty of RM200,000 may be imposed for any failure to comply with the said Code.

For more information about ETCoLaw’s Aviation Law Practice, you may wish to visit the site Aviation & Space Law Practice.

29 August 2024 

Review of Regulations for Foreign-Registered Aircraft

The Civil Aviation Authority of Malaysia (CAAM) in a media statement a few days ago announced its intention to review regulations, particularly regulation 147, regarding the operation of foreign-registered aircraft in general aviation.

The review is intended to increase CAAM’s oversight of such foreign-registered aircraft. The review apparently was prompted by the investigation report released recently on the aircraft accident near Elmina, Shah Alam Selangor, which had occurred just over a year ago. The accident involved an N-registered aircraft.

If you are an aviation operator, or may be affected by the proposed review, you may wish to CONTACT ETCoLaw. 

For more information about ETCoLaw’s Aviation Law Practice, you may wish to visit Aviation & Space Law Practice.

19 August 2024 

Parliament of Malaysia Passed the Malaysian Aviation Commission (Dissolution) Bill 2024

The Dewan Senate (Upper House of Parliament) passed the Bill on 30 July 2024. The Dewan Rakyat (Lower House of Parliament or House of Representatives) had earlier passed the same Bill on 26 July 2024.

With the passing of this Bill, together with the passing of the Civil Aviation Authority of Malaysia (Amendment) Bill 2024, the two regulatory authorities will be merged into one. Therefore, airlines and aviation operators that requires any licence or permit will in future only have to apply to one single authority.

In addition, the MAVCOM Act 2024 allows existing operating and concession agreements to continue until the expiry date and subject to the terms and conditions attached to the agreement. This presumably applies to codeshare agreements, metal-neutral agreements and other forms of JV between airlines. Existing licences, permits and air traffic rights whether for domestic or international routes are also preserved. Ongoing applications and complaints with MAVCOM remain unaffected, and will presumably be handled by the merged CAAM. Legal proceedings may be brought or continued, nevertheless, by MAVCOM and its successor, notwithstanding the passing of the Bill. Any existing regulations made by MAVCOM remain in-force until revoked or amended.

1 August 2024

Dr. Vince spoke on Space-related Disputes Resolution at the recent ASIA ALTERNATIVE DISPUTE RESOLUTION WEEK 2022

ETCoLaw are delighted to share with our clients and business associates that our Dr. Vince was invited to speak on issues related to resolution of Space disputes at the AIAC Asia ADR Week 2022.

For more information about ETCoLaw’s Space Law Practice, please visit Aviation & Space Law Practice.

For more information about ETCoLaw’s Dispute Resolution Practice, please visit Dispute Resolution & Administrative Investigation.

If you would like to get in touch with ETCoLaw, please Contact ETCoLaw.

11 October 2022

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Space Board Act 2022

The Space Board Act 2022, which passed the Houses of Parliament, was gazetted on January 25th, 2022. The Act provides for, among others, the establishment of a Malaysian Space Board to regulate space activities. It also prescribes some offences and the extra-territorial jurisdiction for the prosecution of the same. 

The Act must be read together with other written laws relating to space activities, including written laws relating civil aviation, communications and multimedia, and strategic trade.

If your company are involved in space activities, and would like to know more about the Space Board Act 2022 and how it may affect your company’s business, please do not hesitate to CONTACT ETCoLaw.

For your information, our Dr. Vince is the only Malaysian with a Master of Laws degree in Air & Space Law from the Institute of Air & Space Law, McGill University. He has published numerous articles in international journals on Air & Space Law, and is the only Malaysian qualified to advise on Space Law. For more information about ETCoLaw’s Aviation and Space Law Practice, please visit Aviation & Space Law Practice.

10 February 2022

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Aircraft Leasing, Scheme of Arrangement, and the Cape Town Convention

COVID-19, Airline Debt Restructuring, and the Law on Scheme of Arrangement

22 March 2021

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aviation space aircraft leasing financing cape town enforcement

Unmanned Aircraft Systems Directive

The Ministry of Transport of Malaysia together with the Civil Aviation Authority of Malaysia issued an Unmanned Aircraft Systems (UAS) Directive on 25 February 2021.

The UAS Directive is available here: UAS English 25feb21.

Should you have any queries, you are most welcome to CONTACT ETCoLaw.

26 February 2021

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aviation space aircraft leasing financing cape town enforcemen

MOSTI Drafting Space Bill to Regulate Space Industry

Malaysia is in the process of drafting a Space Bill to regulate the space industry in Malaysia. To read more…

4 October 2020

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aviation space aircraft leasing financing cape town enforcement