KOTA KINABALU: The State Government is currently incorporating a clear dispute resolution framework, including Alternative Dispute Resolution (ADR), into government-related transactions, development projects, and procurement agreements.
Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor said the State Attorney-General’s Chambers has also recommended that the Borneo International Centre for Arbitration and Mediation (BICAM) model clause for mediation and arbitration be adopted in all State Government contracts to avoid disruption to contract implementation in the event of a dispute.
“Disputes must be handled professionally, efficiently, and fairly. We also encourage government-linked companies and statutory bodies to explore the use of mediation as an initial step, not only to avoid prolonged litigation but also to preserve relationships and focus on outcomes,” he said.
The Chief Minister made these remarks in a speech delivered by Assistant Minister to the Chief Minister, Datuk Abidin Madingkir, during the BICAM Global ADR Horizons 2025 conference at the Magellan Sutera Resort today.
“Sabah is not only the gateway to Borneo, we are also strategically located along key economic corridors in the Indo-Pacific region. As global trade becomes increasingly integrated and supply chains more regional, Sabah stands to benefit from rising investment, industrial activity, and infrastructure growth,” he said.
However, he added, growth will also bring with it complex challenges, with contracts becoming larger, stakeholders’ interests more diverse, and the likelihood of disputes increasing — this is where ADR plays a crucial role.
“At the ASEAN level, we are witnessing stronger harmonisation of arbitration practices, a more robust enforcement regime, and the emergence of regional institutions that reflect our own legal cultures and economic realities. Sabah, through BICAM, is proud to be part of this global evolution by offering a neutral platform aligned with international standards,” he said.
To international partners and investors, Hajiji said Sabah is not only rich in natural resources and economic opportunities but also offers a conducive legal and institutional environment.
“The presence of an international-standard ADR centre like BICAM demonstrates our commitment to upholding the rule of law, respecting the sanctity of contracts, and resolving disputes constructively,” he said.
“This conference is particularly timely as it aims to modernise the way we manage differences, build trust between parties, and establish resilient institutions.
“Let this conference serve not only as a platform for knowledge sharing but also for setting direction and seeking solutions. I wish to reaffirm the State Government’s commitment to positioning Sabah as a responsible, trustworthy, and reform-oriented state, both nationally and internationally,” he said.-pr/BNN
