Commercial · Freezing orders
Can a court freeze their money before judgment?
Sometimes. The order is called a Mareva injunction. It stops the other side disposing of or dealing with assets in a way that would leave a judgment with nothing to bite on. The court grants it only where three things are shown.
The three things
- 01
A good arguable case.
The claim itself has to be more than barely capable of serious argument. It does not have to be shown to be more likely than not to succeed.
- 02
A real risk the assets will go.
Not a fear. A risk shown on evidence: money moving outside the ordinary course of business, unusual transfers, a sudden change in how assets are held. No threat is needed; conduct can be enough. This is where most of the work in an application sits.
- 03
Assets the court can reach.
Property, bank accounts, shares or debts in Malaysia, or otherwise within reach of the Malaysian court.
What it costs to ask
The application is usually made without notice, so the other side is not in the room to answer. That brings two obligations. Full and frank disclosure: every material fact, including the ones that hurt your case. And an undertaking in damages: a promise to pay the other side’s losses if the order should not have been made. These are won or lost on the affidavit and the undertaking, both of which are prepared on the assumption they will be tested.
Why the clock matters
Delay counts against an application. A court that is asked to act urgently expects the applicant to have acted urgently too.
What this page cannot see
Whether your facts meet number two.
That turns on the money itself: where it sat, where it went, when, and who moved it. Set those down with dates.
Six steps, about twelve minutes. It is read by Raul, not by a clerk or an assistant.
Longer read: Mareva injunctions in Malaysia: when and how to freeze assets
General information only. Not legal advice. Reading this page or sending a brief does not create a solicitor and client relationship; that begins only on a written engagement.