Professional Documents
Culture Documents
... PLAINTIFF
AND
1.
2.
LEE IN JEE
(NO. K/P: 471006-04-5199)
3.
4.
5.
6.
7.
... DEFENDANTS
GROUNDS OF JUDGMENT
BACKGROUND
1.
2.
The Plaintiffs claim against the 2nd to the 7th Defendants (2nd to
7th Defendants) was in respect of the Guarantee and or the
Indemnity Form dated 22nd May 1999 executed by the 2nd to 7th
Defendants in favour of the Plaintiff (Exhibit P4 at page 219 to
222 of B1 (Part C)) where the 2nd to the 7th Defendants agreed
to unconditionally and irrevocably guarantee and indemnify the
Plaintiff as principal in respect of all monies due to the Plaintiff by
the 1st Defendant.
3.
The 1st Defendant denied liability and pleaded that in fact it was
the Plaintiff which owed the 1st Defendant the sum of
RM311,359.17 being the sum due and owing for debit notes
issued from 27th October 1999 to 29th July 2000 (paragraph 21
of the Defendants Defence and Counterclaim). Hence the 1st
Defendant claimed the said amount from the Plaintiff by way of a
Counterclaim.
2
4.
This case proceeded by way of a full trial and after one witness
having testified for the Plaintiff, the Plaintiff closed its case. At
the end of the Plaintiffs case the learned Counsel for the
Defendants informed the Court that the Defendants would be
submitting on no case to answer with liberty to call for evidence
to prove their Counterclaim. I then proceeded to hear the
submissions of the learned Counsels.
5.
6.
7.
The 1st Defendants Counterclaim against the Plaintiff was for the
sum of RM311,359.17, among others, for short supply of
concrete, idling charges and compensation to flood victims which
the 1st Defendant had paid to Majlis Perbandaran Petaling Jaya.
The particulars of the 1st Defendants Counterclaim could be
seen at page 20 of the Document A. On or about 7.1.2004 the
1st Defendant had applied for summary judgment to be entered
against the Plaintiff in respect of the Counterclaim pursuant to
3
9.
THE DOCUMENTS
10.
At the outset of the trial parties have agreed for the following
documents to be used:
Description
Document
i.
Bundle of Pleadings
ii.
B1
iii.
B2
iv.
B3
v.
B4
vi.
Issues To Be Tried
vii.
viii.
ix.
11.
12.
The 1st Defendant called one Lee Chee Seng (DW1) as its
witness. DW1 was the Senior Manager in charge of the project at
the material time and currently a shareholder and Executive
Director of the Defendant. According to DW1 around July 1999
the 1st Defendant was the main contractor in a project known as
Cadangan Membina 4 Blok Pangsapuri di atas Lot PT 9579,
Mukim Damansara, Daerah Petaling, PJU 1, Petaling Jaya,
Selangor (the Project) and the Plaintiff was the sole supplier
of concrete for the Project. In order to ensure prompt delivery of
concrete to the Project the Plaintiff had set up an in house plant
within the Project.
13.
During the initial part of the Project the Plaintiff was able to
supply the concrete to the satisfaction of the 1st Defendant.
However around September 1999 the Plaintiff had serious
problem in meeting with its supply which had resulted in the
delay, non supply and short supply of the concrete.
The
i.
ii.
v.
14.
15.
16.
This was
19.
Despite what was negotiated and agreed the Plaintiff had issued
a notice of demand against the Defendant claiming for the sum
of RM266,279.03 for the concrete sold and delivered for the
Project (Exhibit P26 (page 170-173 of B1) which was denied by
the Defendant. The 1st Defendant had also highlighted the
agreements made between parties pursuant to Exhibits D94 and
D95 (at pages 174 & 175 of B1).
20.
10
22.
23.
24.
Both the Plaintiff and the 1st Defendant had agreed to resolve
their differences by entering into a settlement agreement dated
8.1.2001 (Exhibit P39 (page 159 of B1)) and by the terms of the
settlement agreement the outstanding issues between parties
had been settled between them. PW1 was aware of the terms of
Exhibit P39 as he was the person responsible to approve those
terms on behalf of the Plaintiff. Pursuant to Exhibit P39, the 1st
Defendant had agreed to accept half of the total amount claimed
by the Defendant for short supply of concrete and idling charges
which was RM143,079.59.
25.
26.
From Exhibits P39 and P40 the terms which were agreed by both
parties were so clear that the Plaintiff had agreed to absorb part
of the 1st Defendants claim mentioned in Q and A 11 to 15 of
DWS DW1 and the 1st Defendant would in turn pay the Plaintiff
the principal sum for the supply of the ready mixed concrete. In
short the balance sum of the 1st Defendants Counterclaim was
waived. Pursuant to Exhibit P39 and P40 the Plaintiff had agreed
to pay the 1st Defendant the sum of RM143,079.58 plus
RM18,900.00 which was equivalent of RM161,979.59. The
Plaintiff had no obligations to pay the 1st Defendant any further
sums as claimed by the 1st Defendant in the Counterclaim as the
1st Defendant had
Hence no further
Burden of Proof
27.
28.
29.
30.
account.
Pertaining
to
the
sum
of
RM25,200.00
31.
Exhibits P39 and P40 were tendered through PW1 in the original
action and the 1st Defendant had failed to strenuously cross
examine PW1 on the significance of these two pertinent
documents which had clearly stipulated the parties agreement to
waive and set off against each others account in respect of the
contract for the supply of concrete to the Project. However DW1
had in his cross examination testified that the 1st Defendant had
agreed to accept a lesser sum subject to conditions having been
fulfilled by the Plaintiff. As the Plaintiff had not satisfied these
conditions the Plaintiff was not entitled to enjoy the reduction
14
32.
33.
The burden was on the 1st Defendant to prove its case on the
balance of probabilities and on the evidence adduced thus far I
am satisfied the 1st Defendant had failed to meet with the
standard of prove required by the law. In any event I am satisfied
the 1st Defendant had already obtained judgment against the
Plaintiff for the sum of RM161,979.00 which was the amount
agreed pursuant to Exhibits P39 and P40. This amount was
agreed to by both the 1st Defendant and the Plaintiffs
representative, one Mr Teo Choon Seong.
15
34.
35.
Neither could
16
36.
37.
Reference can also be made to the case of Keng Huat Film Co.
Sdn Bhd v. Makhanlall (Properties) Pte Ltd [1984] 1 MLJ 243
at page 247 where it was held that:
It should be noted that in Prenns case (ante) the House of Lords
refused to extend the courts interpretative power by allowing precontract negotiations to be looked at in aid of the construction of a
written document, by emphasising the disadvantages and danger
17
language, the
39.
40.
I have also rejected the 1st Defendants claim for interest at the
rate of 8% per annum in respect of the judgment sum obtained
on 9.11.2009 before His Lordship Justice Dato Abd Malik bin
Ishak.
disposed off by His Lordship Justice Dato Abdul Malik bin Ishak,
the 1st Defendant ought to have applied for the interest at the
18
9.11.2006.
CONCLUSION
19
Dated
15 June 2012
Date of Decision
13 April 2012
24 April 2012
20
Parties:
1.
2.
21