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Provisions in an agreement can be different — Hafiz Hassan

NOVEMBER 15 — Sabah is constitutionally entitled to 40 per cent of federal revenue collected from the state.

Article 112C of the Federal Constitution clearly states that the States of Sabah and Sarawak are entitled to, in respect of each financial year, the grants specified in Part IV of the Tenth Schedule.

Section 2(1) of Part IV of the Tenth Schedule states that Sabah is entitled to 40 per cent of federal revenue collected from the state.

Now, Section 1(1) of the same Part states that Sarawak is entitled to a grant of RM5,800,000 in each year.

The entitlements are different. Sections 1(1) and 2(1) are differently worded.

In other words, the provisions are bespoke. As I wrote in “Trade agreements: No one-size-fits-all”, the word means “specially made for a particular person, organisation, or purpose”.

No two provisions can be directly compared.

The word is used to refer to customised, non-standard provisions of an agreement.

Yet critics have continued comparing Article 5.1.1 of Malaysia’s reciprocal trade agreement (RTA) with the US with the same Article in the RTA between Washington with Cambodia.

Even provisions in the same agreement can be different.

 

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