The win for Malaysia implies the final award will be annulled and the descendants' efforts to seize Malaysian assets will end, the government said.
The Filipino heirs of the last Sultan of Sulu won a $14.9-billion award in a French arbitration court last year in a long-running dispute over the deal, after a partial award was first issued in May 2020.
The Paris Court of Appeal found the case arbitrator had wrongly upheld his jurisdiction, Malaysia said on Tuesday.
The heirs say they were not involved in the incursion and sought arbitration over the suspension of payments.
In recent months, Malaysia has stepped up efforts to protect itself from the arbitration award, including filing police complaints against one of the claimants' lawyers.
Persons:
Azalina Othman Said, Kanupriya Kapoor
Organizations:
Malaysian, Malaysia, Appeal, United, Independent Malaysia, Thomson
Locations:
KUALA LUMPUR, Malaysia, Sulu, France, United Nations, Philippines, Borneo