The High Court said it was the constitutional right for the Catholic newspaper, the Herald, to use the word "Allah."
"Even though Islam is the federal religion, it does not empower the respondents to prohibit the use of the word," said High Court judge Lau Bee Lan.
Last January, Malaysia banned the use of the word "Allah" by Christians, saying the use of the Arabic word might offend the sensitivities of Muslims who make up 60 per cent of Malaysia's 28 million population.
Analysts say cases such as that involving the Herald worry Malaysian Muslim activists and officials who see using the word Allah in Christian publications including bibles as attempts to proselytize.
Read the complete story
(Some news sites require registration)