Globally, eCommerce fraud is escalating, and Malaysia is no exception. In 2024 alone the Royal Malaysia Police logged 35,368 cybercrime cases tied to online scams, and in just the first three months of 2025 we’re already at 12,110 cases with losses totalling RM 573.7 million. Legal protections such as the Contracts Act 1950, Consumer Protection Act 1999 and the Penal Code attempt to cover the issue, but as of today, there’s no single, dedicated act governing eCommerce fraud. Meanwhile, Singapore and Australia have taken steps to curb scams with the Singaporean Technical Reference 76 and the Australian Scam Prevention Framework.
The Review of eCommerce Legislation Final Report (Laporan Akhir Kajian Semakan Semula Perundangan eDagang) (‘the report’) represents a major national effort to modernise, refresh and renew the legal and regulatory framework for online commerce in Malaysia. Led by the Ministry of Domestic Trade and Cost of Living (‘KPDN’) with input from over 90 stakeholders, the report provides a comprehensive evaluation of existing eCommerce laws, identifies key enforcement and consumer protection gaps, and sets out a structured plan for reform.
On 26 October 2025, an Agreement Between the United States and Malaysia on Reciprocal Trade was entered into. The Trade Agreement is aimed at establishing a clear and predictable framework for reciprocal trade. The Trade Agreement establishes a comprehensive framework aimed at enhancing bilateral economic ties, strengthening supply chain resilience, and aligning both countries’ trade and national-security interests. It is composed of seven key sections and multiple operative articles, each setting specific reciprocal commitments
美利坚合众国政府(’美国’)与马来西亚政府已就一项《互惠贸易协议》(’协议’)达成共识,旨在加强双方的双边经济关系,并为两国出口商提供前所未有的市场准入机会。
The much-anticipated Cross-Border Insolvency Bill was officially passed by the Dewan Rakyat on 29th July 2025, marking a milestone in Malaysia’s legal and commercial development. After an engaged debate involving Members of Parliament from both sides of the political aisle, the Bill received broad support for its potential to modernise the way Malaysia handles cross-border financial disputes.
Despite the rapid growth of cross-border trade, Malaysia currently lacks a legislative framework that specifically governs cross-border e-commerce transactions. This creates a regulatory blind spot, allowing foreign online marketplace operators and sellers to evade liability simply because they do not have a physical or legal presence in Malaysia. When harmful, defective, or illegal goods are sold into Malaysia, or when personal data is mishandled by foreign platforms, affected consumers often struggle to identify, locate, or take legal action against these entities due to the differing jurisdictions in which parties are located. This leaves consumers vulnerable and domestic laws unenforceable against offshore actors.
E-commerce has revolutionised the way businesses and consumers interact. However, while technology has changed the mode of doing business, the law continues to apply. The same principles that govern traditional commerce — from fair trading to product safety — extend to online transactions, though often with added complexity.
In mainland Southeast Asia, it is possible to move overland from the southern tip of Singapore all the way to northern Thailand, Cambodia, or Vietnam. This connectivity, however, brings in legal complexity when cross-border road accidents occur. The question of which country’s law applies, whether that of the accident location, the vehicle’s registration state, or both, remains a persistent challenge in the ASEAN region.
Malaysian arbitration law has historically featured a debate on the available routes for enforcing foreign arbitral awards, specifically, whether award creditors could opt for direct enforcement under the Malaysian Arbitration Act 2005 or were required to pursue enforcement under the Reciprocal Enforcement of Judgments Act 1958 framework after converting the award into a judgment abroad.
In October 2023, the Asian International Arbitration Centre (‘AIAC’) introduced the Asian Sports Arbitration Rules 2023 (‘ASAR 2023’). In Malaysia, AIAC has emerged as a hub for sports arbitration when it introduced ASAR 2023, designing it for the unique requirements of the sports industry. AIAC aims to be an international hub for arbitration matters. This is also supported in our legislation Arbitration Act 2005 where it supports ADR and recognises both domestic and international arbitration.
