CLARS Members Contribute to Major Malaysian Contract Law Reform
Several members of Monash Law's Centre for Commercial Law and Regulatory Studies (CLARS) have been involved in a major project to modernise Malaysia's contract law.
This project has reached an important milestone, with the Committee for the Review and Reform of Contract Law presenting its final report to the Malaysian Minister for Law and Institutional Reform. The final report has now been published on the Malaysian Government’s website, and stakeholder engagement concerning the proposed reforms is continuing.
The project was undertaken through CLARS Malaysia Hub, which was established in Kuala Lumpur in 2024 at the request of the Malaysian Government.
In his opinion piece, “A once-in-a-generation opportunity to modernise Malaysian contract law”, Committee Chair and Federal Court judge Justice Vazeer calls the proposed regime for exemption and limitation clauses “one of the most significant innovations” arising from the review. Drawing on the UK’s Unfair Contract Terms Act 1977, the proposed regime would introduce a test of "reasonableness" beyond the consumer context to certain exclusion clauses.
Lisa Di Marco undertook substantial work developing and drafting these proposals, including comparative and policy analysis, legislative provisions and supporting materials.
Karen Abidi contributed research, analysis and reform recommendations concerning the doctrine of consideration and commercial contract variations, directed towards modernising the Act and better aligning it with contemporary contracting practices.
Other CLARS members who provided important contributions in the broader project included Tanjina Sharmin and Emmanuel Laryea.
The project demonstrates the international impact of CLARS and Monash Law scholarship, as well as the contribution that comparative and collaborative legal research can make to significant legislative reform.