Grammarly Report

Report:
REMEDIES FOR CONTRACT

by AFNIRASYIHAH BINTI SAIDDIN
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Report was generated on Wednesday, Dec 15, 2021, 03:28 PM Page 1 of 79

Report: REMEDIES FOR CONTRACT
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1.0 Introduction
Remedies refer to recovering a right or preventing or obtaining redress for a
wrong. Legally, it means a way of solving a problem or ordering someone to
make a payment for harm or damage they have caused, using a decision made
in a law court. The topic that we will be discussing is the types of remedies
available in contract cases, especially in Malaysia, and the provisions in
1
Malaysian Law.
Our discussion will focus on a few types of remedies available in contract law
Malaysia: general damages, special damages, liquidated and unliquidated
damages, exemplary damages, and nominal damages. These are the types of
remedies applied widely and commonly to settle the issues of contract breach.
Plus, we are also discussing the types of equitable remedies used to solve the
dispute in a contract, which are speci c performance, injunction, and
rescission. We also include quantum meruit as another doctrine of remedy in
our discussion.
Furthermore, we are also focusing on discussing the application of remedies in
the case of voidable contracts. There are remedies for coercion, undue
in uence, fraud, misrepresentation, and mistake. There are a few types of
remedies that can be applied in each issue; therefore, we will explain further in
2
this paper.
Last but not least, as there are development and other convenience platforms
for claimants to obtain remedies despite bringing the contractual matters to
3
the court, we also provide in our discussion alternatives for claimants to have

dispute settlement mechanisms which are by arbitration and by bringing the

contractual issues to the Tribunal for Consumer Claims.
2.0 Damages - The Court's Two Principles for Awarding Damages

First - Remoteness of Damage
3
The court will usually draw a line and decide that losses sustained beyond a
speci c limit are too remote or unrecoverable to be considered damages. The
general rule, as stated in Hadley v Baxendale per Alderson B, is that the
4
recovery of damages will be too remote unless they are such that the defendant
, as a reasonable man, would have seen them as likely to happen according to
either –
5
Normal damages recoverable which naturally arise in the usual course of things
6,7
Abnormal damages are recoverable due to special facts known to the
4
defendant at the time of the contract.
This type of compensation is not available for remote or indirect losses.
In Hadley v Baxendale,
[1854] 9 EXCH 341
the plaintiff operated a mill. They decided to take one of the machines to the
4
mechanics because it had broken down. Then, they hired the defendant (a
transporter) to deliver it to the other state. Due to the defendants' 'negligence,'
it was delayed, and as a result, the mill was unable to run for a long time. As a
4
result, the plaintiff led a lawsuit against the defendant, claiming damages for
3
the delay. The court found that the only facts given to the transporter were 'that
the equipment being transported had broken and the plaintiffs were the
3
millers. The court held that two principles must be considered when
determining the remoteness of damage. Firstly, when there is a breach of the
contract made between parties, and when the damages are due, the amount of

compensation that the other party is entitled to receive should be following

what is 'fair and reasonable. Secondly, those consequences may reasonably be
expected to have been in the minds of both parties when they signed the
contract.
The rule in Hadley v Baxendale has been codi ed in our local context under
section 74(1) of the Contracts Act 1950 states that when a contract is
breached, the injured party who suffers loss or damage is entitled to receive
4
compensation from the defendant (who has breached the contract), which that
naturally resulted from the breach or that the parties knew would result from
the breach when they made the contract. In Goh Cheng Guan Holdings Sdn Bhd
v Nova Mulia Development Sdn Bhd,
[2020] 5 LNS 197
4
The plaintiff and the defendant signed a parcel sale and purchase agreement
for parking lot acquisition. The plaintiff will receive the parcel with the parking
lot within 36 months of signing the parcel sale and purchase agreement, as
8
stipulated in the agreement. On December 13, 2019, the plaintiff was given
vacated possession of the plot as mentioned above and the parking lot. A claim
for liquidated damages (delay compensation) was made by the plaintiff, who
used the sale and purchase agreements for both the plot and parking lot in
support of his position. When the plaintiff requested reimbursement from the
4 9 3
defendant for breach of contract under section 74 (1) of the Act, the court ruled
10 11
in favour of the plaintiff.
According to this case, if the defendants do not know the speci cs, such as
what he is carrying, or if time is of the essence and there will be losses if
12 13 4
delayed, plaintiffs can only seek normal damages. But if the defendant is aware
3
of all material information at the time of the incident, the court will protect the
plaintiff by awarding him "abnormal damages."

Second - The Measure of Damages

The courts determine the amount of compensation given to an injured party.
When it has determined which losses should be compensated, it must assess
14
the amount of damages that must be paid. The purpose is not to punish but to
compensate. It depends on the material to the facts of the case. There are
3
several illustrations from Section 74 of the Contract regarding how the court
15
will calculate damages
Illustration (a) until (r) in Section 74 of Contracts Act 1950
.
For instance, Ali enters into a deal with Benjamin to sell and deliver 50
16
gantangs of saltpeter at a speci ed amount to be paid upon delivery. Ali fails to
keep his commitment. Benjamin is entitled to recover from Ali's violence, if any,
between the contract price and the price at which Benjamin could get 50
17
gantangs of saltpeter of comparable quality at the time the saltpeter should
have been supplied.
Other considerations indeed need to be taken into account, which is the date to
assess damages is the date of the actual breach of contract and whether there
is any available market in which the goods can be freely and readily be sold in
the event of the purchaser's or buyer's default.
3
Firstly, the court also will determine based on the date to assess damages is
the date of the actual breach of contract. To illustrate, Ali agrees to buy
Benjamin's ship for RM60,000, but Ali cancels the deal. In order to compensate
Benjamin, Ali must pay Benjamin the difference between the contract price and
the price Benjamin can get for the ship at the time of the breach of contract
furthermore if he has agreed to transport a cargo of tin to Singapore for sale on
a speci c day. The ship's arrival in Singapore is delayed due to unavoidable
factors, which means that the cargo will arrive in Singapore later. The price of

tin declines after that date and before the arrival of the cargo. Ali's
compensation to Benjamin is based on the difference between the amount
Benjamin could have gotten for the cargo in Singapore if it had been forwarded
in time and the market price when it arrived.
3
Second, the court will determine whether there is an available market for the
products in the case of the purchaser's or buyer's default. To illustrate, to
secure Benjamin's trip to Sydney, Ali, a ship's owner, contracts with Benjamin,
a passenger, and Benjamin pays Ali, as a deposit for his passage, one-half of
his total fare. After being held up in Kelang for some time and incurring
considerable expenses, Benjamin travels to Sydney on another vessel and, as a
result, misses his ight and loses money since he arrived late. In addition to the
interest accrued on Benjamin's deposit, Ali is obligated to pay Benjamin the
18
cost of his incarceration in Kelang and any other fees he incurs as a result.
However, he is not obligated to reimburse Benjamin the money he lost by
arriving in Sydney late.
2.1 General Damages
1
General damages do not need to be pleaded because the law assumes they are
caused by violating a lawful right or duty. General damages are losses that
cannot be precisely quanti ed in monetary terms and are usually, but not
always, non-pecuniary.
Krishnan Ariunan, Abdul Majid bin Nabi Baksh, Contract Law in Malaysia,
(Malayan Journal Sdn Bhd, 2008) pg 173.
For example, damages for pain and suffering, loss of amenity, reasonable
expenses expended, and the difference between contract and market prices.
In Samba Valli a/p KR Ponnusamy v Datuk Bandar Kuala Lumpur & Ors and
another appeal,
[2018] 1 MLJ 784

the appellant in the rst appeal was a scrap metal trader who had failed to get
19
a trading licence and approval to build a structure on her trading premises from
the DBKL, whose of cers were the other two respondents. The respondents
demolished the structure on the appellant's property and took her belongings
as part of an enforcement action. She never received the stuff back. The
respondents were sued in the High Court for, among other things, trespass,
conversion, and detinue by the appellant. The trial court granted her request
and appointed the senior assistant registrar (SAR) to determine damages. After
listening to the parties' argument, the SAR awarded the appellant RM2 million
in general damages. The judicial commissioner (JC) lowered the general
damages judgments to RM55,000 following an appeal against the assessment.
The appellant took action with the whole ruling of the JC.
It was held that the JC's general damages award of RM55,000 was fair and
reasonable. It is because the appellant had suffered hardship when the
respondents wrongfully seized her goods in their raid, and she had lost her
capital then was unable to pay off her business creditors because the funds
loaned were invested in the seized goods, forcing her to sell her assets,
20
including her car, house, and jewellery.
It is common knowledge that a person hurt by another's negligence is entitled
to non-pecuniary damages such as pain and suffering, hardship, mental
distress, and loss of life's amenities. In such instances, there is no
21
conventional method for calculating the harm. The courts normally determine
the sum based on facts presented and on fair and reasonable standards, free of
sentimental or imaginative norms. The wounded party's age, health, condition
prior to the injury, along with his state after the injury, should be taken into
3 3
account by the court. Before allocating damages, the court considers the
necessity for medical, psychological, or bodily symptoms and the impact on the

plaintiff's conduct and lifestyle. In light of these circumstances, it is

3
reasonable to conclude that the court made the correct decision.
2.2 Special Damages
1
Damages that are not presumed by the law are known as special damages. As a
22
result, it must be pleaded and proved speci cally.
Krishnan Arjunan, Abdul Majid bin Nabi Baksh, Contract Law in Malaysia,
(Malayan Law Journal Sdn Bhd, 2008) pg 173
Special damages are losses that can be quanti ed in monetary terms. The
3
exact amount of nancial loss is required by the court and relevant evidence. It
23
is also the damages accrued due to the breach in the speci c situation and
which would not customarily ow from all situations of that type—for example,
loss of pro t or interest.
In Shen & Sons Sdn Bhd v Jutawarna Development Sdn Bhd & Ors,
[2016] 7 MLJ 183
The plaintiff was the registered owner of a property in Kuala Lumpur, and the
defendants were working on the building of 40 condominium apartments on
24 4
land adjacent to the plaintiff's property. The third defendant was the project's
4
main contractor, named the second defendant as the project's subcontractor,
4
while the rst defendant was intimately involved in the construction process.
The plaintiff claimed that the defendants' construction operations in the
adjacent property had caused harm to its property. Even though the second and
third defendants claimed they had taken all necessary precautions to prevent
the alleged vibrations, the trial judge ruled the defendants liable and ordered
those damages be evaluated by the senior assistant registrar (the SAR). The
SAR assessed damages and awarded the plaintiff RM865,769.65 in special
damages. The second and third defendants appealed the SAR's decision to
award the plaintiff damages of RM1,115,769.85.

3
The court granted the defendants' appeal in part but did not decide on
4
expenses. To summarise, the defendant's appeal is permitted in part. The
awards have been set aside. The judge did not issue a costs order because he
believed D2 and D3 should be compensated for failing to raise a crucial
argument regarding the plaintiff's failure to claim special damages before the
SAR.
O 18 r 12(1) and (2) of the Rules of Court 2012 (the ROC 2012) has the
cumulative effect of requiring all relevant particulars concerning special
25
damages to be pled. Aside from the ROC 2012, a body of unambiguous case law
26 27
had emphasised that a plaintiff seeking special damages had to properly plead
and give the details of the claim in its pleading. The rationale for this provision
was to ensure that a defendant would not be caught off guard during the trial
28
and be aware of the full nature of the charges he would be facing. A review of
the statement of claim revealed no speci cs of unique injury or a request for
special damages in the current case. The procedure for claiming special
damages was straightforward but strict. If there was no pleading on special
damages in the statement of claim, no evidence on special damages could be
presented. Prior to the hearing on damages assessment, the plaintiff had made
no move to alter the statement of claim. In these circumstances, the
defendants' silence or failure to protest when the plaintiff presented
information on special damages could not be construed as a waiver.
2.3 Liquidated and Unliquidated
Damages are classi ed into two broad categories: general damages and special
damages. In addition to these two classi cations, damages might be classed
as Liquidated damages and Unliquidated damages.
The distinction between liquidated and unliquidated damages may be seen in
3
court on the ground of a petition or claim. Liquidated damages require the

claimant to plead; meanwhile, unliquidated damages are not.

2.3.1 Liquidated Damages
Liquidated damage is an amount of money that a contractual party promises to
pay to another party in the event of a contract violation, especially in situations
where calculating damages for breach could be complex. Its purpose is to
inform the party to act the obligation and potentially avoid challenging
quanti cation and remoteness issues.
1
Section 75 was intended to cut through the rather technical rules in English law
relating to liquidated damages and penalties. It applies the equitable rule in all
cases regardless of whether the sum generated in the contract was in
substance a penalty or a genuine pre-estimate of the losses that might be
29
suffered.
Contracts Act of 1950
30
It was said that when a contract is breached, if the amount to be paid in the
event of such a breach is set out in the agreement, or if the contract has a
penalty clause, the party who is being sued can get money from the party who
31
broke the contract, even if there was no actual damage or loss.
Section 75's implications may be stated as follows :
Any set amounts speci ed in the contract as being due in the event of a
violation constitute a penalty. The victim of a breach is entitled to collect
appropriate compensation from the party that breached the contract, not to
exceed the sum speci ed.
32
To receive compensation, the victim must establish the loss to not exceed the
amount speci ed in the contract. Section 75 regards any provision for
1
liquidated damages as if it were a penalty clause under common law.
9
Meanwhile, section 74 of the Act provided compensation for loss or damage
caused by a breach of contract. When a contract is breached, the party that

33
suffers loss or damage due to the violation is entitled to compensation. Such
compensation is not available for any distant or indirect loss of income or
property damage caused by the breach.
In Lec Contractors (M) Sdn Bhd v Castle Inn Sdn Bhd (No 2),
[2001] 5 MLJ 510
the defendants in the present case were the shareholders and directors of
Advanced Medical Products Sdn Bhd. After paying the initial deposits of
RM300,000, the plaintiffs had failed to make the remaining payments within
the stipulated time as required under the share sale and purchase agreement.
The parties agreed to an extension of time, but the plaintiffs failed to settle the
34
payments upon the expiry of the extended period. Due to this failure, the
defendants had terminated the contract.
The plaintiff claimed that the plaintiffs' investments unjusti ably enriched the
defendants in the event of the share sale and purchase agreement was
terminated as the plaintiffs invested enormous costs and expenses to put the
4
production lines in operation but did not own the company. The defendant's
counterclaim for damages for breach of contract, saying the plaintiffs breached
3
their payment obligations under the contract. The court dismissed the
defendants' counterclaim for liquidated damages because there was no
evidence of any sale or loss of Advanced Medical Products Sdn Bhd's assets.
The defendants had, by retaining the RM300,000, in effect, exercised their
rights to liquidated damages as agreed, albeit RM75,000 short of the agreed
sum. As a result, the defendants' claim for effectively the purchase price
balance under the share sale and purchase agreement was not proven.
2.3.2 Unliquidated Damages
Unliquidated damages are the amount of compensation determined by the
3
court. The purpose is to compensate the victim losses caused by a breach of

3
contract. The court's conclusion is predicated on the evidence and facts.
However, under extraordinary instances, courts may deviate from this
35
commonly recognised concept and award damages on a non-compensatory
basis.
Unliquidated damages are often awarded in situations involving claims of
36
negligence, omission, or misleading and deceptive behaviour. Unliquidated
damages vary the facts of each case, such as the worth of property rose or
reduced as a consequence of delay. Therefore, it is critical, especially in the
37
case of unliquidated damages, to analyse all facets of a dispute to determine
the most signi cant amount of damages claimable. On the other hand, a
defendant often requires guidance in connection with a dispute over the heads
38
of damages or the quantity of damages sought by a plaintiff.
3
When determining unliquidated damages, the court will use a compensating
approach, attempting to return the non - breaching party to the state it would
have been in had the breach not occurred. This action is accomplished by
considering these three points— rst, expectation damages which is a
monetary compensation proportional to the bene t anticipated by the
aggrieved. Secondly, damages for reliance, reimbursement based on the
39
incurred expenditures, or the loss of chance damages, are recompense for the
3
'chance' value. The court will determine the actual damages, including any lost
pro ts, that resulted naturally from the violation. When the parties contracted,
the kind and magnitude of the loss must have been predictable albeit not
necessarily anticipated.
40
When a plaintiff is unable to de ne his losses in monetary terms, the damages
3
are said to be 'unliquidated.' In such a case, the court determines the damages
based on the loss or harm sustained and established by the innocent party.

41 42
Dr Syed Ahmad Alsagoff, Principle of the Law of Contract in Malaysia (4th edn,
2010) pg, 516
In Asia Plywood Co Sdn Bhd v Aeon Co (M) Bhd & Anor,
[2020] 8 MLJ 736
the plaintiff was granted leave to prove on the balance of probabilities that it
had suffered actual damages, reasonably foreseeable, in the form of loss of
4
chance to sell the land to another party as a result of the defendant's caveat.
The plaintiff's lawyer stated that damages that can not be quanti ed with
3
precision do not absolve the liability offender. The court accepted the plaintiff's
calculation that, had it sold the land to an interested party, it would have
gained RM 2,310,805.53 in interest at a rate of 3.1 percent per year by
4
depositing 98 percent of the purchase price in a xed deposit. The defendant
did not attempt to refute the plaintiff's interest rate. The Court of Appeal
subsequently reversed the Deputy Registrar's ruling and allowed the plaintiff to
recover RM2,410,074.53 in damages.
3
Based on this case, the court referred to the principal in the case of Chaplin v
Hicks,
[1911] 2 KB 786
43
where the judge on the said case assessed the plaintiff's claims for damages
4
even though the defendant countered it by saying the plaintiff had lost her
44
right. The loss of the opportunity to win such a large award constituted a
breach that entitled her to be signi cant, i.e., unliquidated damages, rather
than only nominal damages. Such damages were not necessarily incapable of
assessment.
2.4 Exemplary Damages

3
Exemplary damages are granted by the court on the premise to punish the
4 45
defendant and also as a deterrent for the defendants' acts in the future.
Generally, the courts would impose exemplary damages as a penalty to the
agreement under minimal circumstances.
2.4.1 Application of exemplary damages in Malaysian contract cases

In Malaysia, only three types of cases would be given exemplary damages. The
1
rst is when government employees have oppressed others or broken the law.
4
The second scenario is one in which the defendant's conduct should generate a
more signi cant pro t for him than the plaintiff's indemni cation. The last one
4
is when the defendant's deliberate wrongdoing is a gross breach of the
plaintiff's rights.
3
The following three considerations will be considered by the court when
46 47
awarding exemplary damages. To begin with, the plaintiff can only be
reimbursed if he or she has been the victim of such a "punishable act." It would
48 49
be ridiculous if a plaintiff who was unaffected by abusive behaviour made a
3
pro t. Apart from that, it should be used with caution, and the court may be
50
obliged to set an upper deadline on such awards. The ability to award
"exemplary" damages is a weapon to preserve and punish liberty without
1 51
resorting to criminal law. Last but not least, even if they are unrelated to
compensatory damages, the parties' nancial resources are essential to
4
exemplary damages. Everything that increases or reduces the defendant's
behavior is signi cant. Exemplary damages are imposed on a defendant
52
besides the compensatory damages that they are already liable to pay to a
subsequent plaintiff.
3 5
Exemplary damages were not awarded by the court with breach of contract but
in the case Choy Ching Wan @ Chua Cheng Wan v Land Development Specialist

54
Sdn Bhd,
[2008] 7 MLJ 96
exemplary damages were awarded. While the trial was proceeding, the second
4
defendant sold the apartment claimed by the plaintiff to a third party, denying
the plaintiff the right to speci c performance. Abdul Malik Ishak Judge gave
4
the plaintiff exemplary damages against the second defendant, the amount of
which will be determined by the senior assistant registrar.
2.4.2 Exclusion of claiming exemplary damages under contract case in

Malaysia
Exemplary damages also can be excluded to be claimed in the exclusion clause
55
of the agreement and it does not overrule the restraint of legal proceedings
under section 29
Contracts Act 1950
. In CIMB Bank Berhad v Anthony Lawrence Bourke and Alison Deborah Essex
Bourke,
[2019] 2 CLJ 1
4
The plaintiff and the defendant had entered into a contract wherein Clause 12
of the contract agreed to set aside the claim of exemplary damages in advance
56 57
if there is a breach of contract by the parties. The issue in this case, whether
9
section 29 of the Act
Contract Act 1950
may be invoked to uphold clause 12 in the contract to free the liability of
parties who breach the contract from paying exemplary damages. Section 29
mentions that:
58
"Every agreement, by which any party thereto is restricted absolutely from
enforcing his rights under or in respect of any contract, by the usual legal

proceedings in the ordinary tribunals, or which limits the time within which he
59
may thus enforce his rights is void to that extent."
3
The federal court held that Clause 12 precludes the Plaintiffs from claiming any
60 4
loss or damage and the Defendant will not be liable for any amount for loss of
income or pro t or savings, or any indirect, incidental, consequential,
exemplary, or special damages. Clause 12 does not appear to contravene
9
section 29 of the Act because it only prevents the claimant from claiming the
types of damages described in that clause, namely loss of income, pro t, or
savings, or indirect, incidental, and consequential exemplary punitive or
special damages, and not from claiming, and being awarded, general damages
61
for breach of contract and/or negligence.
62
ibid.
64
So in this case, it shows that exemplary damage can be set aside in advance
65
from being claimed if it is put in the clause of the contract and whenever there
is a breach of contract, the plaintiff will not be entitled to the exemplary
63
damages.
2.5 Nominal Damages
Nominal damages are a type of damages that handles the issue of a trivial sum
of money that is to be rewarded to the plaintiff whose legal right has been
66
violated. Its purpose is to grant the innocent party's legal right as he suffered
no loss or harm. This damage is awarded as a symbol of respect and honor to
the plaintiff.
3
The main element that must be shown for the court to grant nominal damages
67
is that there was a breach that has been established, even if the party suffers
3
no loss. For example, in a breach of contract, the court may award nominal
compensation for the innocent party if a breach occurred, even though no
actual loss or nancial injury was suffered on behalf of the plaintiff.

3
For the court to grant nominal damages, it is suf cient for the plaintiff to show
3 68
that there is a declaration of an end of an agreement or contract by the court .
3
Nevertheless, the court may also grant nominal damages when there is a loss
shown in the case if the necessary evidence of the amount is not given.
Therefore, when there is a breach of contract, the party who has caused the
69
breach is liable to pay for damages.
In the case of Tekun Nasional V. Plenitude Drive (M) Sdn Bhd & Another,
[2021] 10 CLJ 206
there was an issue regarding the type of damages to be assessed. Tekun, an
agency under the Ministry of Entrepreneur Development, was established to
provide quick and straightforward nancing facilities to Bumiputeras to kick-
start and further expand their businesses, disburse loans, and collect the
repayments. Tekun awarded the project to Plenitude to develop an ef cient
information infrastructure system that will upgrade the loan repayment facility
by introducing the MG and SI system. It was agreed that Plenitude would
supply at a minimum number of 500 mobile gadgets for Tekun's use throughout
70
Malaysia. A total of 28 MG was delivered to Tekun's branches in Federal
71
Territory. It also has been veri ed and approved by Tekun, leading to the
remaining MG being supposed to be delivered to all branches throughout the
country as they had agreed before.
However, Tekun refused to collect the remaining mobile gadgets and asked
their Federal Territory of cers to stop using the system. Plenitude then issued a
notice to Tekun to rectify the breach. However, since Tekun failed to rectify the
breach, Plenitude then issued a notice to terminate the agreement and ask for
compensation. The High Court then allowed Plenitude's claim on liability and
awarded for general damages to be assessed, even though the plaintiff failed to
3
prove the damages at the trial. The court of appeal then overruled the high

3
court's decision and resulted in the nominal damages to the Plenitude because
Plenitude failed to prove the damages suffered. The Federal Court then
af rmed the decision of the Court of Appeal, which substituted with an order
for nominal damages.
72
The party claiming for special or general damages bears the burden of proving
the fact and quantum of damages suffered. However, suppose there was no
evidence of damages, whether oral or documentary, to support the claimed
73 3 74
amount. The court will only allow for nominal damages as illustrated in the
75
case above.
In the case of Operasi Kastam Diraja Malaysia Bhd v. Yi Go Group Sdn Bhd,
[2021] 10 CLJ 31
76 77
The contract was made where the plaintiff provides the rental service often
78
used storage containers, a forklift, and a crane which will be operated by the
79 4
plaintiff's workers. The defendant then failed to pay the plaintiff for the
services rendered. The plaintiff subsequently terminated the contract and led
a lawsuit because no payment had been received. The plaintiff sought to
collect the outstanding amount of RM143,877.90 and the sum of RM40,000 as
a commitment fee refund. The plaintiff also requested an RM3.6 million
80
judgment as well as an assessment of general damages.
The plaintiff claimed that its loss not only included the amount invoiced for the
rst three months in their contract for which payment had not been made but
also included damages calculated over the entire ve-year contract period, i.e.,
the rental it would have received if the contract had been completed to its
termination date.
81
The Registrar awarded only nominal damages of RM100,000, considering the
plaintiff's failure to present evidence to support the claim. On appeal, the High
81
Court overturned the Registrar's ruling and granted RM3.6 million plus 5%

82
interest from the date of the writ until the date of realization, plus RM5,000 in
expenses.
3 81
The court of appeal then upheld the Registrar's judgment, striking aside Rm3.6
million ordered by the High Court Judge on the basis that the plaintiff had not
presented any evidence on its contract costs. These cases show that if there
has been a loss or damage, but the claiming party has failed to justify the
damages, only nominal damages will be granted.
3.0 Equitable Remedies

Equitable remedies are judicial remedies developed by courts of equity to
provide more exible responses in changing social conditions that were
1
possible in the precedent-based common law. Equitable remedies differ from
"legal" remedies where it is available to a successful claimant as of right by the
3,83
discretion of the court to grant them. In common law jurisdictions, there are a
84
variety of equitable remedies. But in our assignment, we are focusing on three
85 86
basic equitable remedies which are speci c performance, injunction, and
87
rescission.
3.1 Speci c Performance

4
Speci c performance is a court order requiring the defendant to perform the
9
act promised in the contract. The purpose is to put the parties in the same
situation as they would have been if they had ful lled their duties properly. As
1
an equitable remedy, speci c performance is available only when the law or a
statute does not provide an adequate remedy for a breach of contract.
Generally, speci c performance is available in the following instances.
Krishnan Arjunan, Abdul Majid bin Nabi Baksh, Contract Law in Malaysia,
(Malayan Law Journal Sdn Bhd, 2008) pg 531-534

88
1. where the purchaser of the land is concerned; the underlying reason may be
that each piece of land is unique, and any alternative he may obtain will not be
a satisfactory substitute.
In Sekemas Sdn Bhd v Lian Seng Co Sdn Bhd,
[1989] 2 MLJ 155
the appellant asked that the sums it had paid under the agreement be refunded
subject to deduction of agreed liquidated damages not exceeding 25% of the
purchase price, as provided in the contract. The respondent sued for speci c
89
performance after the appellant failed to complete the purchase of the
expensive property.
The High Court ordered speci c performance accordingly. The appellant
appealed. The Supreme Court noted that individual performance was a
discretionary remedy under section 21 (2) (b).
Speci c Relief Act 1950
3
However, the court agreed with the trial court that hardship had been brought
90
by the appellant himself when he decided to embark on the expensive venture
without having secured adequate nance.
This case illustrates the necessity of speci c performance. If there is no
speci c performance, the existing remedies could not be suf cient for the
party.
2. When the subject matter of the contract is rare or unique.
The rarity of the subject matter of a contract is exempli ed by an agreement to
purchase one of a few antique cars extant and unique by the 'Mona Lisa.' The
reasoning is that damages are not an adequate remedy because they will not
place the innocent party in a position he would have been in but for the breach,
such as in possession of the subject matter.

3. In exceptional circumstances where damages would not be an adequate

remedy.
In the case of Zulki i Musa v Fauzia Khanom Irshad Khan & Anor
[2015] 1 LNS 76
91,92
, the defendants were the vendors and plaintiff the purchaser of the subject
property under a Sale and Purchase Agreement at the purchase price of
RM220,000. The subject property was charged to the Housing Loan Division of
the Ministry of Finance as security for the Government housing loan obtained
by the vendors to purchase the property. At the material time of the Sale and
Purchase Agreement, the charge was still in force as the vendors had not
settled the monthly installments in total. To nance the purchase, the plaintiff
93
obtained a joint loan with her mother-in-law from Citibank Bhd. Upon approval
of the loan, Citibank Bhd released a portion of the loan sum to the Bahagian
Pinjaman Perumahan towards the settlement of the balance outstanding from
4
the defendant to Bahagian Pinjaman Perumahan. However, the sale and
purchase of the subject property could not be completed due to a caveat that
4 94
the rst defendant had entered on the said property on 12.12.2013.
On the issue of the prayer speci c performance of the terms and conditions of
1
the Sale and Purchase Agreement, the governing law is section 11 of the
Speci c Relief Act 1950, of which subsection 11 (1) (c) which is relevant and
3
applicable to the instant facts provides that it is clear that the court is vested
with broad discretionary power to order speci c performance where damages
95
is not an adequate remedy. Section 11(2) provided the application where the
4 4
burden to rebut the presumption lies on the defendant. If the defendant does
3
not do so, then the court will assume that when there is a case of breach of
96
contract regarding immovable property, compensation in money is not enough.

97 98
Thus, the remedy of speci c performance is required, unless it can be proven
otherwise.
3
Based on the facts of the instant case, the court held that the above statutory
presumption applies in this instance and may be invoked in favor of the
99 100
plaintiff, as the defendants had not attempted to rebut the presumption. This is
a case where the defendants' nancial compensation for non-performance of
the contract would not afford adequate relief to the plaintiff.
3.2 Injunction
An injunction is a court order of restraint to perform, act, or repeat wrongful
conduct. It is also known as a prohibitory injunction. An injunction can also be
an order to perform or act based on a contract; it is called a mandatory
101
injunction. The relief of injunction cannot be claimed as a right, since it is
discretionary as equitable relief. Therefore, the grant of an injunction will be
102
given where it is necessary.
3
There are situations where the court will not grant the injunction
Principles of the Laws of Contract in Malaysia, Dr. Syed Ahmad Alsagoff, 2015,
pg 7
:
103
Where the party has obtained adequate damages to compensate for his losses,
3
the court will not grant the injunction if the party applies for its application
later on.
The injunction can only be granted when the remedy is effective. An effective
remedy should prevent the alleged violation or provide adequate redress for
3
any violation that had already occurred. When the court nds that the
104
injunction is not an effective remedy, the injunction will not be granted as the
3
court could not enforce its order.

3 105
The court would never grant the injunction if its existence would enforce a
106
contract of personal service. Therefore, if the contract prevents a person from
3
earning a living, the court will not order an injunction. However, if a person can
3
still work despite the injunction granted, the court will proceed with the order
107
of injunction.
For instance, in the case of Broome (Selangor) Rubber Plantation v Whitley RH,
[1919] 1 FMSLR 365
4
the defendant entered into a contract to serve the plaintiff as an assistant
108 109
manages on rubber estates at Bangi, Selangor, for 3 years and 8 months. While
4
serving his period, the defendant gave notice to the plaintiff to terminate the
3
contract. Plaintiff then sued for an injunction asking the court to order the
4
defendant not to work for anyone else as an assistant manager during the
3 4
contract period. The court granted the injunction and prohibited the defendant
from working as a manager or assistant within the states of Selangor and
Negeri Sembilan. The injunction is effective until his contract of service with
3 4
the plaintiff expires. The court granted the injunction since the defendant can
still nd other jobs in other states other than the one prohibited and will not
starve after all.
3.2.1 Injunction Under Malaysian Law

1
Under Malaysian law, the grant of an injunction has been stated under several
provisions in the Speci c Relief Act 1950. There are several types of injunctions
3
that the court will consider. According to Section 51 (1) and (2), these provisions
de ne and justify the difference between two main injunctions: temporary
injunctions and perpetual injunctions. A temporary injunction is granted
temporarily or within a speci ed time until further order by a court. The
temporary injunction can be granted at any time in a suit. Meanwhile, a

perpetual injunction can only be granted by the decree made at the hearing and
110
upon the merits of the suit. The person who was granted the perpetual
9
injunction will be restrained forever from doing the act or conduct that has
111
been ordered.
112 3
Section 52 (1) of the Speci c Relief Act then further stated that the court would
grant the perpetual injunction to the applicant to prevent the breach of an
3
obligation existing in his favor. The court will grant the injunction when the
4
defendant was said to invade or threatened to invade the plaintiff's right or
enjoyment of property.
3
Section 52 (3) listed the circumstances where the court may grant the
113
perpetual injunction
:
4
Where the defendant is a trustee of the property for the plaintiff;
Where there exists no standard for ascertaining the actual damage caused, or
likely to be caused, by the invasion;
Where the invasion is such that pecuniary compensation would not afford
adequate relief;
Where it is probable that pecuniary compensation cannot be got for the
invasion; and
Where the injunction is necessary to prevent a multiplicity of judicial
proceedings.
Besides this injunction, Section 53 further explains the mandatory injunction

114
where it is necessary to prevent the breach of obligation and the erring party
may be compelled to perform certain acts

Ibid
. A mandatory injunction will be granted to preserve or restore the status quo
115
that existed before the pending controversy until the nal hearing, when full
relief may be granted, or to compel the undoing of illegal acts or the restoration
of that which was wrongfully taken from the complaining party until the nal
116
hearing, when full relief may be granted. Before ordering a mandatory
3
injunction, the Court must be satis ed that the injunction will have the effect
of maintaining the status quo and preventing irreparable harm. A temporary
obligatory injunction can only be given in great hardship and compelling
117
circumstances, and usually when the status quo that existed at the time the
suit was led is to be restored.
It can be illustrated in the case of Jambatan Merah Sdn Bhd (In Liquidation) V.
Public Bank Bhd
[2016] 1 CLJ 811
where a subsidiary of Swee Joo Bhd, the plaintiff, was tied to other Swee Joo
118 4
Bhd subsidiaries ('associated rms'). The defendant granted the plaintiff
119
numerous banking facilities, which were secured by three charges over three of
4
the plaintiff's lots: 28, 28A, and 31. The plaintiff, defendant, and af liated rms
120
entered into a restructuring and reschedule agreement ('R&R agreement') to
resolve their debts. The plaintiff accepted the R&R agreement by signing all
4 121
four letters from the defendant to each of the associated entities. Following the
4 8
defendant's initial 14 October 2010 letter, the plaintiff received a second letter
8
dated 25 October 2010, specifying the terms for the plaintiff's "redemption" of
the three lots. The plaintiff and connected companies redeemed Lot Nos. 28
8 8
and 28A on October 25, 2010. The plaintiff was wound up on September 19,
2011, and the liquidator was permitted to "engage into a license/tenancy/lease
3
agreement" for Lot No. 31. With the court's permission, the liquidator leased

122 4
Lot No. 31 to the renter. The defendant, alleging the plaintiff owed it money,
sent the renter two different notices in Form 16J that it had entered into
possession of Lot No. 31 by obtaining rent from the tenant.
4
The plaintiff then demanded from the defendant a "redemption" statement for
8 123 8 4
Lot No. 31 on 9 July 2014, and again on 27 November 2014. The defendant did
4
not respond. The plaintiff then sued the defendant. According to the liquidator,
4
among other things, the defendant had used the sale proceeds from Lot Nos.
4
28 and 28A to settle the related companies' debts; the defendant could not
claim more than what it had admitted in the rst suit; the indebtedness sum
incorrectly included the related companies' debts, and the liquidator had let
3
Lot No. 31 to the tenant with the court's permission. A discharge statement is a
4
statement of the plaintiff's debt to the defendant under the charge
124
('indebtedness'), which enables the plaintiff to discharge the charge ('discharge
statement').
3
It was held that, after a trial, the court ordered a perpetual mandatory
4
injunction to compel the defendant to deliver to the plaintiff a discharge
125 4
statement that contains the sum of indebtedness. Further, as the defendant
3
could not issue Form 16J because of s. 270 (1) (a) of the NLC, the court
exercised its discretion under ss. 50 and 51 (2) of the SRA to order a perpetual
4
injunction to restrain the defendant from exercising any right in respect of Lot
No. 31 under s. 271 of the NLC
National Land Code 1965
.
This case shows that the injunction was granted according to what the issue
126 3
arises from each circumstance and it is made within the discretion of the court
127
.

3.3 Rescission
.
Rescission enables a contractual party to terminate the contract. It occurs
when a contract is declared null and void and thus ceases to be legally binding.
Rescission is the process of undoing a transaction. The courts have the
authority to release non-liable parties from their contractual agreements and,
when possible, will effectively pursue restoring them to their pre-contractual
position. It was just like it never occurred. Parties may retract if they are
victims of avoidable causes, such as fraud, mistake, duress, or undue
in uence.
3.3.1 Provisions in Malaysia Law

9
It has been provided in section 34 of the Act that rescission may be adjudged.
A written contract may be declared invalid or terminable by the plaintiff or
3 3
declared illegal by the court. Additionally, the court may revoke a judgment
requiring particular execution of a contract of sale or an agreement to assume
a lease if the purchaser or lessee defaults on payment of the purchase price or
3
other amounts required by the court.
In the same section above, sub-clause (2), the purchaser or lessee of the
subject matter is obligated to pay the seller or lessor the rents and pro ts, if
128 3
any, that he obtained as possessor. In the same case, the court may rescind the
contract in whole or in part, as the justice of the case may require.
Meanwhile, section 67 of the Contract Act 1950 stated that a proposal might be
transmitted or withdrawn in the same manner as a contract and is subject to

the same regulations as a contract. Avoidable contract revocation is not

transferable based on nationality or other legal grounds.
129 130
Both misrepresentation and mistake is a typical occurrence for rescission to
3
arise in court. Since it is an equitable remedy, the application is a court order
restoring the parties to their pre-contract positions. Consequently, it is
131
accessible only in cases when doing so is genuinely practicable.
It can be illustrated in the case of Lec Contractors (M) Sdn Bhd v Castle Inn Sdn
Bhd (No 2),
[2001] 5 MLJ 510
where the plaintiff was the general contractor on the project. At the same time,
4
the defendant was the employer on the project, which was a projected hotel
and of ce building. Having been forced to terminate or rescind the agreement
3
contract as a consequence, the plaintiff led an application with the court
4
seeking a declaration that the defendant is obligated to pay the amount of
132 3
RM4.8 million. The court held that when a contract is rescinded, the
4
defendant's 'duty' to put aside the requisite retention amount is different from
the plaintiff's 'prior vested right that remained unaffected.' That right may be
asserted only during the contract term, not after the plaintiff has repudiated it.
133
Restitutio in integrum would be applicable for a valid claim for rescission of a
contract. It must be able to return to the actual pre-contract state without the
subject matter of the contract needing to be materially affected in any manner.
3.3.2 Outcome of Rescission

Rescission restored the parties' contract to pre-contractual positions as if the
contract never existed. That is the pre-existing status quo. It is classi ed as
"non-existent." The agreement brings the transaction to an end with a
retroactive effect. When a rescinding right is available and properly exercised,

the contract is said to have been "rescinded." There have been instances when
rescission was permitted even though arrangements had been thoroughly
completed. As a result, the remedy is fact-speci c.
'Rescission: Contract Law Remedy | Misrepresentation, Mistake, Fraud'
<https://hallellis.co.uk/rescission-contract-law-meaning/> accessed 03
8
December 2021
That being said, this part of the rescission is merely a brie ng on the nature of
134 135
the stated equitable remedy. We will further explain it in more detail in the next
section of this project paper, which remedies for fraud, misrepresentation, and
mistake.
3.3.3 Factors that can lead to the misled party having no right to rescind the
contract:
1. Af rmation
If the misled party af rms the contract, he loses his right to rescind the
contract. Once established, the agreement cannot be revoked. Upon proving,
he can claim compensation from the guilty party to put him in the position he
would have been in if the representation made had been con rmed.
2. Undue delay
Undue delay or laches is an equitable defense, implying a lapse of time and
delay in prosecuting a claim. A court will refuse to aid the plaintiff to sleep
upon his rights and acquiesce for a signi cant length of time. His lawsuit is
then barred by laches. In such a case, he cannot recover whatever advantage
under the contract he had given to the guilty party.
3
Section 32 of the Limitation Act 1953 speaks of the court's right to refuse relief
on the ground laches. It follows that the section also permits the equitable

defense of laches to defeat the common law remedy of damages.

3. Where the payment of damages is an adequate remedy
In Chuah Tong Yeong v Kuala Lumpur Gold & Country Club,
[2003] 6 MLJ 577
4
the plaintiff paid a sum of RM 900,000 to become a member of the defendant's
club. He complained that certain facilities featured in the club's house
3 4
brochure were non – existence. The court found that the defendant breached
its representation to provide a library at the golf club for members' use and that
the number of open car parks provided was 100 less than the 500 represented.
However, the plaintiff had not shown any actual loss or damage caused by
these misrepresentations. Abdul Wahab J held that these misrepresentations
were not prominent or decisive considerations to the plaintiff in becoming a
club member and thus did not warrant an order of rescission. However, the
3
court ordered the payment of compensation by way of damages, if any, to be
81 136
assessed by the registrar .
In this case, it is portrayed that the payment of damages is an adequate remedy
4 3
for the defendant's misrepresentation, and the court will not give an order for
rescission.
4. Where restoration of the subject matter is not possible
The plaintiff must be able to restore the subject matter of the contract in its
original state as it was before the agreement. The courts do not construe this
strictly and strive to do what is practically just, although it cannot restore the
parties precisely to their pre-contractual position.
5. Third Party Rights
Finally, there are third-party rights. Although the right to rescind is typically
lost when an innocent third party gains an interest in the subject matter, this
general rule becomes more problematic in circumstances of undue in uence.

Previously, the courts debated whether the third party had "constructive
notice" of the impact, but more recent cases talk about them being put on
inquiry. Although parties cannot sue for damages for undue in uence, courts
have concluded that in the absence of rescission, victims may be entitled to
equitable compensation, which is essentially the same thing.
4.0 Quantum Meruit

137
Quantum Meruit is another type of remedy when a contract is breached. But it
depends on circumstances where the availability of Quantum meruit can be
138 139
executed. Usually, a breach of contract happens when there is a fraud,
140 142
misrepresentation, etc. But in quantum meruit, it refers to a claim that can be
led in an alternative of a damages action for breach of contract on all or part
141
of his portion of the bargain before the other party's breach. When one party
has completed the violation, a quantum meruit award is made. It is a restitution
award.
The difference between a claim for damages and a claim in quantum meruit is
that while the former is a claim for compensation for a loss, the latter is a claim
for reasonable remuneration. Each is a claim for an undetermined amount.
An action in quantum meruit is available to recover money for services or goods
supplied to a defendant in circumstances where the claimant is not reimbursed
by performing his obligations. The claimant must usually show that the
4
defendant expressly or impliedly requested or freely accepted the services or
goods in question.
4.1 Application of Quantum Meruit in Contracts Act 1950

Section 66 of the Contracts Act 1950 cited that the plaintiff who has
abandoned a contract cannot maintain an action on a quantum meruit though

the Contracts Act 1950 may come to his aid. This provision provides for
activities on a quantum meruit concerning bene ts obtained under a void
contract. Section 71 of the Contracts Act 1950 provides a statutory right to
compensation based on quantum meruit. It embodies the equitable principle of
restitution and the prevention of unjust enrichment. It enables a person who
supplied goods or rendered some service to claim for compensation from the
person who enjoyed the bene t of the supply made or of the services intended
to do so gratuitously, to claim for compensation from the person who wanted
143
the use of the supply made or of the services rendered.
4.2 Where Quantum Merits are Available?
The circumstances in which a quantum meruit may be claimed are as follows –
1. When there is an express or implied agreement to provide a service but no

agreement as to price.
In the case of Infraprima Construction Sdn Bhd v. Budaya Restu Sdn Bhd,
[2021] 1 LNS 1111
4
the plaintiff appointed the defendant as the main contractor to construct and
complete the 'Projek Mass Rapid Transit Lembah Klang: Jajaran Sungai Buloh-
8
Kajang.' By a letter of award dated 6 August 2014 ("Sub-Contract"), the
4
defendant accepted the plaintiff's quotation of RM38,527,566.29 to construct
the architecture and sub-structure of the project. In the beginning, the project
144
required the construction of 7 story buildings. But then, the project was
4
amended to 35 multi-story buildings. As a result, the defendant provided the
plaintiff with the revised blueprints. The amendment resulted in the project not
being completed within the agreed time in Sub - Contract. In August 2015, the

4
defendant asked the plaintiff to expend additional costs to accelerate the
amended works, and the plaintiff did so. After the project was completed, they
agreed that the plaintiff was entitled to the nal balance of the contract, and
4
the retention money totals RM1,237,199.16. On the other hand, the defendant
said that he did not direct the plaintiff to use acceleration measures as the
4
plaintiff claimed. The defendant neglected to pay the plaintiff. Then, the
3
plaintiff brought the issue to the court.
3 4
The court held that the defendant's instructions to the plaintiff during the
revised works were correct. As a result of promissory estoppel, there is an
4
implied contract. As the parties had not agreed on a price, the defendant's
liability would be paid on a quantum meruit for the plaintiff in the sum of
8
RM1,337,199.16 with interest at 5% per annum from 6 May 2019 until full
145
realization and costs of RM85,000.00 subject to the usual allocator.
Based on this case, it is pointless to examine the plaintiff's alternative causes
of action, such as quantum meruit, because they all result in the same
outcome: a nding of liability for the plaintiff. Since the plaintiff had
4
commenced the preliminary works with the knowledge, though the defendant
146
was liable to the plaintiff. So, in this case, quantum meruit was applied when
there was an express agreement to provide a service but no agreement as to
price.
2. Where the parties have not performed the terms of their contract, but a new
contract can be inferred from their conduct to have replaced the original, a
quantum meruit award may be available for the value of the work done under
the new implied contract.
In Teras Kimia Sdn Bhd v Kerajaan Malaysia,
[2014] 7 MLJ 584

147
A claimed compensation against B for work done on a quantum meruit basis.
3
The court held a new contract between A and B during the interim period. A was
entitled to receive reasonable compensation from B for the services provided.
3
The court calculated the quantum (measure) of reasonable compensation by
reference to the value of A's services. The deal was calculated according to the
amount paid by B to A during the nal or fth year of the original contract, i.e.,
148 3
about RM9.5m per month as charged in A's invoices to B. The court awarded A
RM66.2m as fair and reasonable compensation for A's services to B during the
interim period.
3. Where a contract is terminated by breach after one party has performed his
obligations, the party not in default may elect to accept the violation and sue
on a quantum meruit for the value of work done.
In Prima United Engineering Sdn Bhd v. PBH Engineering Sdn Bhd,
[2021] 1 LNS 153
the plaintiff had completed most of the work under a contract as the project
management consultant to build the pipeline from LINDE – Pasir Gudang to
149 4
Lotte Chemical Titan SDN BHD. The defendant terminated the contract
because he claimed that the plaintiff had failed to complete the project within
150
the contractual period, which was determined on 28.2.2019. However, the
plaintiff contended that the contractual period de ned under the Letter of
Award had been extended to 31.8.2019 given the Extension of Time (EOT)
4
granted by Linde Malaysia Sdn Bhd to the defendant for the completion of the
151
Projects under the Letter of Awards. Based on a Pro t and Loss Account, the
plaintiff claimed that the Scope A Project had recorded project pro ts
amounting to RM2,859,480.64 as of 23.7.2019.

3
The court held that by the express terms of the Letter of Award, the plaintiff
152
was entitled to the EOT as the delay of completion of the project. The plaintiff
was entitled to recover the total amount of the work done and material
supplied on a quantum meruit.
4
We understand that the defendant was not entitled to terminate the contract
4
based on this case. When he did so, he breached the contract. The defendant
repudiated the agreement before the work was completed without giving notice
to the plaintiff to nish by a speci c date. There must be an implied contract on
4 153
the defendant's part to pay for the work done. Therefore, the party not in
default may elect to accept the breach and sue on a quantum meruit for the
value of work done.
4. A quantum meruit is also available to a party who is prevented from

completing his obligations by the other party.
In the case of Delpuri-Harl Corp. JV Sdn Bhd v Perbadanan Kemajuan Negeri
Selangor,
(2014) 1 LNS 1075
154
the appellant appointed the respondent, to carry out the development of a
155
portion of the project - Penempatan Semula Setinggan Bukit Botak, Selangor.
The project was to construct and complete 592 units of one-story semi-
detached houses, including infrastructure works to relocate the squatters at
Bukit Botak under Bandar Baru Selayang. Suddenly, the appellant issued a
Temporary Stop Work Notice to the respondent to stop all work immediately
until further notice. The Stop Work Notice was due to the appellant's intention
to review the project. The quantity surveyor of the appellant estimated the
value of work done, including the prorated cost and premium paid for the
Contractors All Risk and Workmen's Compensation Insurance Policies, for RM

70,575.45. Importantly, it was noted by the appellant's witness that piling

works had not begun, although some piles had been delivered to the site.
3
In the absence of proof of damages by the appellant, the court believes that the
sum of RM 70,575.45 correctly represents the value of work done by the sub-
contractor, measured on a quantum meruit basis. As the appellant had failed to
3
elect to claim either for uncertainty in the circumstances, the court decided to
award the loss of pro ts or for wasted expenditure only, and the claim being
bad assessed by the respondent's witness, as nominal damages to the sum of
156
RM 100,000.00 which sum included the sum of RM70,575. This is on the basis
3
that the court recognizes the fact of termination.
Based on this case, it was submitted that the respondent was prevented from
157
completing its obligation by the appellant in the rst place. Hence, a quantum
meruit is also available to the appellant. It is an alternative of a damages action
for breach of contract on all or part of the party's breach. As its purpose is to
159
put the respondent in the situation, he would have been in if the contract had
been ful lled by paying the amount merited for what had been done up until
158
that point.
5.0 Remedies for Voidable Contract

This section will discuss the remedies for voidable contract and void
agreement: coercion, undue in uence, fraud and misrepresentation, and
mistake.
5.1 Remedies for Coercion

160
One of the events where a voidable agreement happens is when the contract is
entered due to coercion. Concurring to section 19 (1) of the Contracts Act 1950,
moreover said where consent to an agreement is caused to one of it, coercion,

161
the agreement could be a voidable contract at the alternative of the party
whose consent was so caused. When coercion is demonstrated, the offended
party is entitled to remedies speci ed under the Contract Act 1950. Section 15
of the Contract Act 1950 has provided the meaning of coercion under contract.
In order to constitute coercion under contract, it must comply with committing
any act forbidden by the Penal Code.
5.1.1 Relationship between Section 15 and Section 73

The relationship between Section 15 and Section 73 of Contract Act 1950 is
distinguished in the case of Chin Nam Bee Development Sdn Bhd v Tai Kim
Choo & Ors.
[1988] 1 CLJ 457
The respondent had each entered into a Sale and Purchase agreement to buy a
162
house each at RM29,500 to be developed by the appellant. Be that as it may,
the debate that drove the display activity concerned the extra RM 4,000 by
each plaintiff to the defendants. The offended party charged that the further
sum of RM4,000 was paid under threat card and coercion by an executive of the
3
defendant company. The court held that the proof showed the payment of the
4
RM4000 to the defendant was not intentional. The plaintiff was undermined to
163 164
do so in the torment of having their bookings for the houses cancelled. Thus, in
this case, the word coercion within the setting section 73 ought to be given its
standard and general meaning since there is nothing under section 15 that
9
states the word coercion ought to apply all through the Act. The de nition of
impelling in section 15 ought to apply for the reason contained in section 14
concerning free consent because it is expressly stated so.
So, in conclusion, Section 15 af rmed that coercion must be with the intention
165
of causing any person to enter into an agreement

Contract Act 1950

. In other words, whether there is free consent given in entering the contract.
Meanwhile, illustration (b) of Section 73 emphasizes that there is no
9
requirement that the Act done constitutes coercion must be done to enter into
166
an agreement.
ibid
4
Generally, the claimant or plaintiff who claims the defendant for coercion bears
4
the burden to prove that the defendant in icted coercion on him to enter an
agreement.
5.1.2 List of Remedies under Coercion

1. Rescission
According to section 19(1), when the consent for an agreement is gained
through coercion, the agreement becomes a voidable contract where the victim
167
has the right to rescind the contract according to their choice.
Contract Act 1950
2. Restitution
As an impact from Section 19 regarding rescission mentioned above, Section 65
168
of the Contract Act has outlined the restitution of contract.
ibid
It means that the victim or the claimant who seeks rescission has to return the
bene t they receive from the guilty party.
3. Restoration

This remedy, on the other hand, Section 66 of the Contracts Act 1950, has
outlined the obligation of the guilty party to restore the bene t gained from the
victim. This application can be seen in the coercion case of Agasta Co Ltd &
Anor v Rintis Malay Motors Sdn Bhd.
[2021] MLJU 1663
4
The plaintiff claimed against the defendant to restore the loss he suffered from
entering the Sales Contract under coercion alongside rescission of the
4
agreement. The counterclaim is made from the defendant claiming the Sales
4
Contracts and the Agreement. The defendant claimed damages against the
plaintiff, including special damages for RM 5,221,000 and aggravated damages
3 4
of RM 5,000,000.00. The court held that the defendant is ordered to pay the
4
plaintiff the sum claimed. The counterclaim by the defendant was set aside.
The plaintiff succeeded in restoring the loss he suffered due to the contract
entered under coercion. Hence, with rescission, the victim is entitled to restore
the loss he suffered due to this type of case.
4. Compensation
According to section 76, which resulted from the rescission of the contract by
the victim, he is also entitled to compensation for any damage he suffered from
169 170
the unfair agreement. This provision is also included in coercion cases..
Contract Act 1950
In the case of Bergamo Development (M) Sdn Bhd v Eck Development Sdn Bhd
& Anor,
[2018] MLJU 555
the plaintiff made a claim against the rst and second defendants for RM 3.1
million worth of compensation for the Construction Agreement dated 7
8
November 2013 that has been alleged of entering by the plaintiff under

3
coercion. The court held that the plaintiff succeeded in his claim and was
entitled to RM 5,390,000 of compensation, including 5% per annum from the
171
date of writ and the cost of legal proceedings.
5. Section 73 of Contract Act 1950

Regarding coercion under section 73, where coercion generally happens under
an agreement, the liability is on the person who has received money or bene ts
through coercion to return or repay it to the other rightful party.
Contracts Act 1950
The application of liability under this section for coercion case can be seen in
the case of Transnasional Express Sdn Bhd & Ors v Tan Chong Industrial
Equipment Sdn Bhd,
[2021] MLJU 1793
172,173
the plaintiff claimed that is not to challenge the agreements, including the
agreed purchase price of RM16 million. However, they are seeking a remedy
174
premised on unjust enrichment and coercion under Common Law as well as
4
Section 71 and 73 of the Contract Act 1950. The defendant argued that no
1
principle of law permits the alteration of the agreed purchase price and to bring
a claim of unjust enrichment to displace or override the agreed purchase price
of RM16 million.
In conclusion, on the balance of probabilities, Rozana Ali Yusoff Judge satis ed
that the plaintiffs had made out a cause of action in unjust enrichment in that
4
the defendant has been enhanced, that this enrichment was picked up at the
4
plaintiffs' cost by way of coercion, which the defendant's enrichment was
unreasonable which gives the plaintiff a right for repayment from the
4
defendant. It means whenever a coercion case happens under contract within

section 73, the liability for the guilty party is to repay or return the money or
bene ts they receive through it, not to the extent to cancel the agreement.
5.2 Remedies for Undue In uence

Section 16 explains undue in uence.
Contracts Act 1950.
Undue in uence is an equitable doctrine that applies when one party uses their
power to in uence the other to enter into a contract. If a court determines that
a contract was formed due to undue in uence, the contract may be set aside or
176
modi ed to lessen the disadvantage. There are two types of undue in uence
which are actual and presumed.
Under English Law, a transaction demonstrated to have been entered into
under undue in uence will be voidable rather than void. The victim has the right
177
to cancel the agreement, but if they obtained any bene ts due to it, their right
to cancel is conditional on compensation for those bene ts.
In Malaysian cases, rescission is the most common way for an innocent party to
get out of all of his obligations under a contract obtained through undue
in uence. If he chooses to rescind the contract, he can do so by notifying the
3
other party of his intent to do so or by applying to the court under section 34(1)
3 178
(a) to have the contract rescinded by the court .
Speci c Relief Act 1950.
179
As a result, the party seeking rescission must return any bene ts he received
under the contract. According to section 20, when consent to an agreement is
caused by undue in uence, the agreement is a contract voidable at the option
of the party whose consent was so caused. Any such contract may be set aside
in its entirety or if the party entitled to avoid it has obtained any bene t from it,
3 180
on the terms and conditions that the court deems just.

Contracts Act 1950.

Section 66 states that if an agreement or contract is found to be void, anyone
who has bene ted from the agreement or contract is obligated to restore or
compensate the person from whom he received the bene t.
Contracts Act 1950.
In JR Joint Resources Holdings Sdn Bhd v Norhana Bt Sharkhan,
181
[2021] MLJU 1652.
182 4
the plaintiff claimed that the defendant used illegitimate means to exert undue
pressure and coerce the plaintiff into transferring shares in the companies that
4 4
developed the software to the defendant. The defendant threatened to
interfere with the plaintiff's negotiations and contracts with the Government of
4
Malaysia, based on the defendant's close relationship and in uence with
in uential persons within the Government. The plaintiff is seeking restitution
183 4
and unjust enrichment for their shares that were transferred to the defendant
4
or his nominee. As part of its counterclaims, the defendant is seeking
declarations that the termination of these agreements was improper, that the
agreements are valid, enforceable and that the pro t guarantee due thereunder
has been paid.
4 3
The counterclaim of the defendant is dismissed. The court ruled that the Share
Sale Agreement and the Variation Agreement are null and void against JR Joint
4
Resources Sdn Bhd. The defendant shall refund and transfer the said 2,450,000
ordinaries fully paid-up share in Bestinet Sdn Bhd to JR Joint Resources Sdn
Bhd as soon as possible.
In this case, rescission is a remedy accessible to the plaintiff in a case involving
4,184
undue in uence on the part of the defendant. The purpose of rescinding equity
185
is to put the parties back in their position before contracting.

5.3 Remedies for Misrepresentation and Fraud

The primary remedies for misrepresentation and fraud are rescission and
af rmation. The misled party can choose between this option, either rescind or
af rm the contract once an election is unequivocally made, so the matter
186
comes to an end forever. Moreover, the misled party cannot change his
decision.
5.3.1 Rescission
Rescission means revocation or cancellation. Section 19(1) of the Contracts Act
1950 makes a contract induced by misrepresentation or fraud voidable, and the
misled party may declare the contract is void. The misled party may elect to
rescind the contract, and he may exercise his right by giving notice to the other
party of his intention to rescind the contract within a reasonable time. It is
187
because Section 67 provides that the rescission of a voidable contract may be
communicated or revoked in the same manner and subject to the same – rules
188
as apply to the communication or revocation of a proposal.
Contracts Act 1950
190
The rationale behind this provision is to enable the representator to know the
191
exact position about the contract because the representator is entitled to treat
189
the contract as subsisting unless he is duly informed of its termination.
192
If the representator rejected the misled party's notice of rescission or the
3
contract had already been performed, the misled party may apply to the court
under section 34(1)(a) of the Speci c Relief Act 1950 to have the contract
3
rescinded by the court. As section 34(1)(a) provides that Any party to a written
contract may seek to have it annulled by a court if the contract is voidable or
193
can be terminated by the plaintiff.

However, it must be noted that a misled party cannot rescind a contract in part
194
only. He cannot avoid one part of the contract and af rm another. He must
repudiate it altogether unless the parts are so severable as to be independent
195
contracts.
In the case of Sim Thong Realty Sdn Bhd v The Kim Dar,
[2003] 3 MLJ 460
4
The defendant sought rescission of the contract for the purchase of land,
refund of the RM254,204 deposit paid by the plaintiff, interest on the deposit,
and damages. The Court of Appeal reiterated that the misled party might claim
196 3
for rescission and restitution but not for damages. As the court phrased, a
victim of misrepresentation should not be put in the same position as if the
representation had never been made. Hence, only damages would be awarded.
It is suf cient to restore the representee's position only regarding the rights
4
and responsibilities created by the contract. The defendant was only entitled to
rescission and a return of the deposit. These two items would return the
4 4
defendant in its position. The defendant was not entitled to interest of the
4
deposit because by awarding interest, the defendant was said to be
compensated for the loss of the use of his money while it was in the plaintiff's
197
hand, and it would amount to an award of damages.
It is critical of the facts of the case; the above decision is questionable in the
light of the provisions in section 66 of the Contracts Act 1950. The said section
provides that 'any person who has received any advantage under the
agreement or contract is bound to restore it or compensate for it to the person
198 199
from whom he received it. The plaintiff has clearly received an 'advantage', that
200
is, the use of the deposit money whilst in his hands. Moreover, the Court of
201
Appeal's judgement did not reveal the date of the sale and purchase

4
agreement, that is, the date when the defendant paid the deposit. It could have
taken years before the case came before the Court of Appeal.
4
It would have been different if the facts were that the defendant had
contracted to sell the said land at a pro t to a third party. Due to the plaintiff's
misrepresentation and the rescission of the contract, he could not now sell the
202
land to the third party and claims against the plaintiff for the pro ts lost. This
9
is a claim for damages that section 66 of the Act also does not allow the
4 203
defendant to claim for misrepresentation.
In a nutshell, a misled party has the right to rescind the contract that comes
along with misrepresentation, protected under Contracts Act 1950 and the
Speci c Relief Act 1950. He also may obtain indemnity from the guilty party for
204
any expenses incurred as a result of the contract in some areas. However, if the
misled party does not comply with some rules and regulations mentioned
above, he has lost his right to rescind the contract.
205
In fraud case, Victor Cham v Loh Bee Tuan,
[2006] 5 MLJ 359
the rst appellant defrauded the respondent by convincing her to purchase a
shop-house unit in Kota Kinabalu while falsely asserting that the land was free
of encumbrances. The land was charged to Sabah Bank Bhd. The bank then
3
foreclosed on the property and sold it. The high court awarded the respondent
damages for fraud, which included the refund of the purchase price, legal fees,
and stamp duty incurred by the respondent, as well as interest paid on loan
acquired to purchase the shop-house unit.
3
The court of appeal upheld the awards except for the interest on the loan. The
judge concluded that, while the respondent incurred these interest payments,
she had occupied the said property rent-free during the relevant period. So,
this item should be set off against the claimed bene t.

206
In this case, the respondent is entitled to the rescission and also the damages
recoverable. The judge's decision in excluding the claim for the interest
payment of the appellant is reasonable since she had occupied the land.
Unless the property was not occupied, then the appellant might be entitled to
the interest payments that she had incurred as the contract does not bene t
207
her at all.
5.3.2 Af rmation
Instead of rescinding the contract, the misled party may af rm the contract
208,20
and claim compensation. Section 19(2) of the Contracts Act 1950 provides if a
party to a contract agreed to it because of fraud or misrepresentation, he can
ask that the contract be made and that he be put in the same position he would
210 211
have been in if the representation was true .
212
Where the victim chooses to af rm the contract, he may compel the other party
to execute. Thus, the deceived party may elect to continue with the contract
and sue the offender for damages by compelling him to place him in the
position he would have been in if the representation made was true.
In the case of Admiral Cove Development Sdn Bhd v. Balakrishnan Devaraj &
Anor,
[2011] 9 CLJ 133
the purchasers of an apartment unit developed by the appellant sued the latter
for deception. Four years later, the respondents noti ed the appellant that they
were rescinding the agreement. The respondents claim that at the project's
launching, the rst respondent was shown a tiny model and a printed brochure
depicting a sandy beachfront where they could swim instantly after leaving
213
their home. When the respondents rst visited the property, they discovered
the representations were untrue. A declaration that the respondents had

214
properly cancelled the agreement was sought, along with damages and costs.
There was a denial of any deception by the appellant. Appellant claims that the
respondents had no authority to rescind because the project had been nished.
3 215
The court held that the conduct of the respondents established on their part an
election to af rm the agreement. The appellant was not trying to induce the
respondents into the contract. There could be no rescission of an executed
contract for innocent misrepresentation. The respondents had elected to af rm
216
the agreement. The innocent misrepresentation was related to the physical
state of the property, namely, its accessibility directly to the beach. There could
not be a rescission of an executed contract where the misrepresentation
related to the physical state. The conversation between the sales staff of the
appellant and the rst respondent did not amount to a misrepresentation
3
inducing the contract. After hearing from the parties, the court ordered the
respondents to pay costs in the sum of RM50,000 and the deposit be refunded
217
to the appellant. The appellant won.
Based on this case, this remedy provides the appellant with the right to insist
218
that he shall be put in the position which he would have been in if the
representations made had been con rmed.
In the fraud case, Lee Soo Eng & Ors V Majlis Perbandaran Manjung & Anor,
[2015] MLJU 1997
the defendants agreed to the development of a housing project in Daerah
Manjung. The completed units were to be sold to the general public. The
plaintiffs then bought the properties from the defendants in separate sales
agreements. The plaintiffs suddenly discovered the defendants had sold the
houses to other buyers. A loan assignment from Public Bank was used by other
219
purchasers to nance their purchase. The defendants consented to the

assignment and agreed to turn over the title documents to the Public Bank
220
upon issuance.
On these facts, it is clear that the fraud was perpetrated by the second
4 221
defendant . He had complete control of the development and gave the
particulars of the properties to the plaintiffs to prepare the agreements. He
222
also dealt with the plaintiffs at all times and induced them to enter into the
agreements. Plus, the evidence shows that the plaintiff did not know of the
223
double selling at the time they signed the agreements.
Because fraud had happened, the plaintiffs sought damages under section
225
19(2) of the Contracts Act 1950, the refund of the purchase price and the loss of
224 3
the value of the appreciation of the properties. The court concluded that the
plaintiffs are not entitled to claim loss in the appreciation of the properties in
light of the decision of the Court of Appeal, which set aside the agreements
226
between the plaintiffs and the defendants. It is because, under section 19(2) of
the Contracts Act, an innocent party is entitled to claim for damages where he
af rms a contract induced by fraud or fraudulent misrepresentation. However,
when the agreement is rescinded, the only damages he can recover are the
227
refund of the monies and the expenditure reasonably and properly incurred in
228
consequence of and owing directly from the fraudulent misrepresentation.
Contract Act 1950
3
Hence, the court allowed the contract to be put in the same position they would
3
have been in if the representation was accurate. So, the court ordered the
defendants to pay back RM30,000.00 to the plaintiffs.
5.4 Remedies for Mistake

1
Mistake in law means if both parties to an agreement entered into it with some
1
degree of misunderstanding or misapprehension, the law permits them to

claim that the contract is invalid because they would not have entered into the
contract if the parties knew of the facts.
229 230
AG Guest, Anson's Law of Contract, 26 edn, at p 252.
This statement is the most fundamental issue that emerges while discussing
mistakes. Both parties to an agreement, or only one, may commit an error.
According to Section 21 of the Act, 'when both parties to an agreement make a
major factual mistake, the agreement is void.' A void agreement will be
1
unenforceable in the eyes of the law. The lack of free consent between parties
serves as the basis for declaring agreements invalid and unenforceable under
section 21.
Contracts Act 1950
5.4.1.1 Restitution
Although section 21 of the Contracts Act speci es that an operation that
results in a mistake renders an agreement invalid and ineffective, section 66
allows for reimbursement to the parties to a voidable contract. The mentioned
provision provided that when an agreement or contract is invalid, any person
who acquired an advantage under the contractual arrangement is obligated to
return it or compensate the person from whom he obtained it.
Thus, any party who has bene ted from the invalid agreement must return the
231
bene t to the party from whom he obtained it. If the customer has already
made a product payment seller must refund the money.
5.4.1.2 Recti cation of a written contract

Recti cation is another option available in the event of a mistake. Recti cation
occurs in contract law when a court orders a contract to be modi ed to re ect
what the contract should initially. If a written contract does not adequately

3
commune the parties' express agreement, the court may opt to alter it. This
written contract entails substituting to revise any language for the original to
re ect the parties' intended agreement.
Section 30 provides that if a court determines that there has been fraud or
mistake in phrasing the measure and ascertains the parties' true intention in
3
executing it, the court may rectify the agreement.
When a written contract is requested to be corrected based on mutual mistake,
the test under sections 30 to 32 is whether the objective test to identify the
4
parties' purpose is the objective test of recti cation, not the defendant's
subjective denial.
Menta Construction Sdn Bhd v Lestari Puchong Sdn Bhd [2015] 6 MLJ 633
In the case of Menta Construction Sdn Bhd v Lestari Puchong Sdn Bhd,
[2015] 6 MLJ 633
the Talam group of enterprises entered into a global settlement agreement
232
(GSA) with the appellant, which the latter agreed to pay the former RM56
million in the complete and nal payment of its obligation. Based on those
required, the respondent needed to surrender to the appellant three plots of
land belonging to two of its entities, one of which was held by the respondent.
The respondent noti ed the appellant that the appellant was liable for
redeeming the charge according to section 2 (2) of the SPA. A redemption fee of
RM7 million was due to Danaharta and Malayan Banking Sdn Bhd. The
appellant quickly answered that this was a mistake since it did not represent
the parties' purpose when performing the GSA. The Court of Appeal con rmed
the High Court's determination that the preamble was not misleading.
3
Furthermore, the court explained that when a written agreement was sought to
3
be recti ed, the court adopted the objective approach to ascertain the real

intention of the parties. To rectify an instrument, the plaintiff had to show the
instrument did not truly express the intended meaning of the antecedent
agreement or 'continuing common intention' up to the point of execution of the
formal instrument. There could be no recti cation, but only construction, if the
3
plaintiff could not show the party's real intention. The court could, in its
discretion, rectify the instrument to express that real intention without
prejudice to the rights acquired by third parties in good faith and for value.
The Court of Appeal concluded in Zakaria Daud v Siti Hussain
[2004] 1 CLJ 844
that evidence adduced in support of a standard error must be irrefragable.
According to Gopa Sri Ram JCA, the evidence must be convincing and reach a
very high standard of proof. The party requesting correction has the burden of
evidence. He must establish that the document to be corrected was
inconsistent with the parties' actual intentions at the time of execution and
that the agreement in its proposed form is consistent with their objectives.
5.4.1.3. Rescission of a Contract

Rescission may be a preferable solution for an innocent person in the event of a
mistake. In contrast to other remedies, such as contract termination for
violation, an innocent party rescinding a contract may result in the return of the
valuable property, as opposed to a purely nancial remedy, such as damages.
1
Furthermore, rescission of a contract is allowed under the law of mistake for
causes of action based on the condition of events underlying the basis. The
contract may not be like one or more parties believed it was; namely, one or
both parties committed a mutual legal mistake. This issue is the remedy that
nulli es the contract.

1
Under section 35 of the Speci c Relief Act 1950, Malaysian law rescues a
mistake. The provision stated that rescission of a contract in writing could not
be adjudged for a mere mistake unless the party against whom it is adjudged
can be restored to substantially the same position as if the contract had not
been made. The High Court nds that the parties involved can be restored to
substantially the same position as if the contract had not been made.
Rescission and recti cation may not have been mutually exclusive. These two
remedies may not depend on the facts in dispute between the parties if
recti cation of the written agreement to its proper form results in rescission
and whether the right to rescission was ever sought as part of the action.
'Rescission: Contract Law Remedy | Misrepresentation, Mistake, Fraud'
<https://hallellis.co.uk/rescission-contract-law-meaning/> accessed 03
8
December 2021
5.4.2 Pleadings
For instance, a party seeking to annul an agreement under section 14 of the
Contract Act 1950 due to deception, fraud, or mistake must expressly claim
this in his statement of defense. He would be required to do so under Order 18
of the Rules Of Court 2012, rules 8 and 12 that stated, failure to do so would
exclude him from relying on any of these remedies.
233
[2009] MLJU 498, CA.
6.0 Alternatives for Claimant to have Dispute Settlement Mechanism

3
Despite obtaining remedy from breach of contract from the court, there is
another platform for claimants to claim remedies. One of the contributing

factors to the negative perception of claimants is the nature of court litigation

that exists in order for them to obtain their rights and remedies.
3
Firstly, the delay in the process in court. The failure of the courts to deal with
the problem of existing pending cases has given rise to discouragement by
3
claimants to start their claims in court—secondly, the nancial cost and time
of the user. Claimants perceive court litigation as requiring high costs. It is
undeniable that from the beginning of the ling of the case until the moment to
3 234
receive the court's decision, and claimants have to bear the nancial costs that
3
are not huge. For nancial costs, the claimant has to pay a fee set by the court
for the case to be led, and then if the case requires legal services, the
claimant has to pay the costs of the lawyer who handles the case. Thirdly, the
complexity. In keeping with the 'vulnerable' nature of consumers, complex and
3
formal court procedures are intimidating to those who rst set foot in court
235 236
when wanting to le a case. This is even more felt when the day comes where
consumer cases are heard either in open court or judge's chambers. Using legal
jargon during a trial session that is so foreign to the consumer can cause the
consumer to feel uncomfortable.
3
So, in this area, we will discuss that, despite at court, other platform
suggestions can come as alternatives for the claimant to get remedy and their
rights.
6.1 The arbitration agreement in Contract Law

Arunachalam Kasi, Effects of Arbitration Agreement under Different Head of
Law, 2013
Arbitration is a reasonable solution for resolving a disagreement between
parties. Arbitration is a method of binding dispute resolution based on a
contract. It means that the right of a party to refer a dispute to arbitration is

237
based on the existence of an agreement between them. The parties must
3
submit their disputes for resolution by arbitration rather than court. If a party
takes legal action in breach of the agreement, the aggrieved party has the right
to ask for a stay of the court proceedings, which is usually required under the
Arbitration Act 2005. A stay of arbitral proceedings happens when an arbitral
tribunal chooses to temporarily halt an arbitration, usually because of other
3
processes, either in court or in another arbitration.
1
However, there is also another relief available under other heads of the law
238 239
such as in Contracts Act 1950.
Contract Act 1950
According to Section 29 of the Contracts Act, an agreement that prohibits a
party from pursuing his rights under or in respect of any contract by normal
legal processes in ordinary tribunals is invalid. However, there are exceptions
for arbitration agreements, which allowed the Arbitration Act 2005
Arbitration Act 2005
to include speci c requirements to reinforce the regulation of arbitration
agreements.
Since the Contract Act applies to arbitration agreements, the remedy for
240 241
breach of contract provided, should be taken into consideration. Section 74 of
the Act stated, if a party fails to keep a promise, the aggrieved party is entitled
to damages. This provision, without a doubt, applies to any breach of an
arbitration agreement. The amount of loss sustained by the aggrieved party due
to the breach is considered the quantum of damages. When the aggrieved party
242
does not experience a loss as a result of the breach, his damages are restricted
to nominal damages.
It is hard to justify the losses suffered by the aggrieved party when the
arbitration agreement is breached. The only consequence of the breach is that

3
the dispute resolution mode is changed from arbitration to court. Both of these
options incur the cost of litigation in the various tribunals, which typically
includes the hiring of lawyers. In fact, in the case of arbitration, there is an
3
additional cost of the arbitrator's fee. In the case of court, there is the
possibility of an appeal and the resulting time delay. Nevertheless, it is dif cult
to justify or quantify the harm caused by the mere potential of an appeal and
the subsequent delay.
As a result, if a claim for damages for breach of an arbitration agreement is
brought, only nominal damages are suitable to be awarded. Thus, while
available to the aggrieved party, this remedy will be unappealing to any
claimant and unlikely to be used.
6.2 Tribunal for Consumer Claims

243
Azimon Abdul Aziz, Problems in Consumer Dispute Settlement Mechanism:
Impact on Consumer Obtaining Justice, Chapter 11, (2011)
Tribunal For Consumer Claims (Tribunal Tuntutan Pengguna) is an independent
8
body established on 15 November 1999 under Section 85 of the Consumer
Protection Act 1999. It is one of the consumer justice mechanisms similar to
the court system in terms of case ling, which differs in terms of procedure,
and its formality is more straightforward, more accessible, and more user-
friendly.
It only focuses on dispute resolution in cases involving consumers, in which the
amount of the claim must not exceed RM50,000 (amendment). Its
establishment aims to provide an alternative channel or facility to consumers
of claims for damages and compensation from a supplier or manufacturer in a
simple, cheap and fast manner.

244
This tribunal is reserved for consumers only, so only consumers can claim in
244
this tribunal. The consumer has been de ned under the Consumer Protection
Act 1999 as a person who gains or uses goods or services of a type obtained for
his own, household, or household purposes.
6.2.1 Advantages of Tribunal For Consumer Claims

244
The case hearing process in the tribunal is much simpler and faster than the
3 245
process in court. Before a case is heard, the President will rst assist both
parties in negotiating to nd a solution to the claim. If both parties have
reached an agreement, the award with consent will be recorded by the
245 246 247
President of the Tribunal. If the agreement is not reached, then the case will be
called for a case hearing. Both disputing parties were asked to present their
248
claims without being represented by counsel during the hearing. The party was
also asked to submit the relevant documents to prove his claim.
Although the presence of counsel is not permitted, the disputing parties may,
249
however, bring their witnesses to testify of the claim put forward. In addition,
245
the President of the Tribunal will also assist both parties in handling their
claims, such as how to submit evidence, forms, and documents required as
250
well as the arguments to be voiced.
244
The advantage of this tribunal over a court is its simple procedure where
assurance is given that a case must be settled within 60 days from the rst day
244 245
the case is heard before the tribunal's president. The Chairman, Deputy
Chairman, and any member elected by the Chairman who will sit alone will
issue the decision. Every decision made is deemed an order and can be
enforced by any party in the same way as proceedings made in the Magistrate's
244
Court. The tribunal's decision is also nal and binding on the disputing parties.
245
Any appeal of the case against the decision made by the President of the

251
Tribunal is not allowed at all. However, judicial review is allowed where the
244
judicial review system displays the weaknesses of the tribunal because it is
244 252
backed by the trader to avoid responding to the award given by the tribunal .
245
The decision made by the President of the Tribunal is known as the award. Each
award made must be complied with within 14 days from the date the award is
made. If there is a party who fails to comply with the award within the
stipulated time, the party is committing a criminal offense where if convicted
for the rst offense, can be ned not more than RM5,000 or imprisonment not
exceeding two years or both. When the hearing is to be started, it is found that
the user who made a claim did not present himself.
244 244
Without the leave of the Tribunal, then the Tribunal may quash the claim of the
plaintiff if the opposing party submits no counterclaim. If the opposing party
245
submits a counterclaim, the President will hear the counterclaim before
making the appropriate award.

1. Law; law Text inconsistencies Correctness
2. There are a few types of remedies that Unclear sentences Clarity

can be applied in each issue; therefore,
we will explain further in this paper.
3. court; court's; Court Text inconsistencies Correctness
4. defendant; defendant's; Defendant Text inconsistencies Correctness
5. Normal → Average, Ordinary, Typical Word choice Engagement
6. special → Word choice Engagement

certain, particular, amazing, unusual
7. special → Word choice Engagement

extraordinary, notable, particular,
remarkable
8. December 13; 14 October; 25 October; Text inconsistencies Correctness

October 25; September 19; 9 July; 27
November; 03 December; 6 August; 6
May; 7 November; 15 November
9. Act; act Text inconsistencies Correctness
10. favour → favor Mixed dialects of English Correctness
11. When the plaintiff requested Unclear sentences Clarity

reimbursement from the defendant for
breach of contract under section 74 (1) of
the Act, the court ruled in favour of the
plaintiff.
12. normal → average, ordinary, typical Word choice Engagement
13. But → However,, Nevertheless, Inappropriate colloquialisms Delivery
14. amount → number Misuse of quanti ers Correctness
15. damages. Closing punctuation Correctness
16. gantangs → gangs Misspelled words Correctness

17. gantangs → gangs Misspelled words Correctness
18. he Word choice Engagement
19. licence → license Mixed dialects of English Correctness
20. jewellery → jewelry Mixed dialects of English Correctness
21. normally → typically, usually Word choice Engagement
22. explicitly proved Word choice Engagement
23. It is also the → The Wordy sentences Clarity
24. The plaintiff was the registered owner of Unclear sentences Clarity
a property in Kuala Lumpur, and the
defendants were working on the building
of 40 condominium apartments on land
adjacent to the plaintiff's property.
25. unambiguous → speci c Word choice Engagement
26. emphasised → emphasized Mixed dialects of English Correctness
27. properly → adequately Word choice Engagement
28. full → whole, entire Word choice Engagement
29. It applies the equitable rule in all cases Intricate text Clarity
regardless of whether the sum generated
in the contract was in substance a
penalty or a genuine pre-estimate of the
losses that might be suffered.
30. breached, Punctuation in Correctness

compound/complex
sentences
31. It was said that when a contract is Intricate text Clarity

breached, if the amount to be paid in the
event of such a breach is set out in the
agreement, or if the contract has a
penalty clause, the party who is being

sued can get money from the party who

broke the contract, even if there was no
actual damage or loss.
32. to not exceed → not to exceed Inappropriate colloquialisms Delivery
33. When a contract is breached, the party Intricate text Clarity

that suffers loss or damage due to the
violation is entitled to compensation.
34. The parties agreed to an extension of Intricate text Clarity

time, but the plaintiffs failed to settle the
payments upon the expiry of the
extended period.
35. recognised → recognized Mixed dialects of English Correctness
36. behaviour → behavior Mixed dialects of English Correctness
37. analyse → analyze Mixed dialects of English Correctness
38. quantity → number Misuse of quanti ers Correctness
39. damages, Punctuation in Correctness

compound/complex
sentences
40. is unable to → cannot Wordy sentences Clarity
41. Dr. Comma misuse within Correctness

clauses
42. edn → and Misspelled words Correctness
43. where the → The Wordy sentences Clarity
44. large → signi cant Word choice Engagement
45. Exemplary damages are granted by the Unclear sentences Clarity

court on the premise to punish the
defendant and also as a deterrent for the
defendants' acts in the future.
46. The following three considerations will be Unclear sentences Clarity

considered by the court when awarding

exemplary damages.
47. To begin with Misplaced words or phrases Correctness
48. who was Wordy sentences Clarity
49. behaviour → behavior Mixed dialects of English Correctness
50. Apart from that, it should be used with Intricate text Clarity
caution, and the court may be obliged to
set an upper deadline on such awards.
51. Last but → ¶ Last but Intricate text Clarity
52. that they Wordy sentences Clarity
53. , but Punctuation in Correctness

compound/complex
sentences
54. Exemplary damages were not awarded by Passive voice misuse Clarity
the court with breach of contract but in
the case Choy Ching Wan @ Chua Cheng
Wan v Land Development Specialist Sdn
Bhd,
55. , and Punctuation in Correctness

compound/complex
sentences
56. The plaintiff and the defendant had Unclear sentences Clarity
entered into a contract wherein Clause 12
of the contract agreed to set aside the
claim of exemplary damages in advance if
there is a breach of contract by the
parties.
57. , in Comma misuse within Correctness

clauses
58. thereto → to it, to that Outdated language Clarity
59. "Every agreement, by which any party Intricate text Clarity

thereto is restricted absolutely from

enforcing his rights under or in respect of
any contract, by the usual legal
proceedings in the ordinary tribunals, or
which limits the time within which he may
thus enforce his rights is void to that
extent."

compound/complex
sentences
61. and/or → and, or Inappropriate colloquialisms Delivery
62. ibid → Ibid Improper formatting Correctness
63. So in this case, it shows that exemplary Intricate text Clarity

damage can be set aside in advance from
being claimed if it is put in the clause of
the contract and whenever there is a
breach of contract, the plaintiff will not
be entitled to the exemplary damages.
64. , in Punctuation in Correctness

compound/complex
sentences

compound/complex
sentences
66. Nominal damages are a type of damages Unclear sentences Clarity

that handles the issue of a trivial sum of
money that is to be rewarded to the
plaintiff whose legal right has been
violated.
67. that there was Wordy sentences Clarity
68. For the court to grant nominal damages, Intricate text Clarity
it is suf cient for the plaintiff to show
that there is a declaration of an end of an
agreement or contract by the court.
69. Therefore, when there is a breach of Intricate text Clarity

contract, the party who has caused the

breach is liable to pay for damages.
70. A total of Wordy sentences Clarity
71. has been Wordy sentences Clarity
72. for Wordy sentences Clarity
73. However, suppose there was no evidence Unclear sentences Clarity

of damages, whether oral or
documentary, to support the claimed
amount.
74. , as Punctuation in Correctness

compound/complex
sentences
75. The court will only allow for nominal Unclear sentences Clarity
damages as illustrated in the case above.
76. provides → provided Faulty tense sequence Correctness
77. , often Punctuation in Correctness

compound/complex
sentences
78. which will be Wordy sentences Clarity
79. The contract was made where the Passive voice misuse Clarity
plaintiff provides the rental service often
used storage containers, a forklift, and a
crane which will be operated by the
plaintiff's workers.
80. as well as → and Wordy sentences Clarity
81. Registrar; Registrar's; registrar Text inconsistencies Correctness
82. the date of Wordy sentences Clarity
83. court's discretion Wordy sentences Clarity

85. basic → essential Word choice Engagement
86. , which Punctuation in Correctness

compound/complex
sentences
87. But in our assignment, we are focusing on Unclear sentences Clarity

three basic equitable remedies which are
speci c performance, injunction, and
rescission.
88. concerned; → concerned, Punctuation in Correctness

compound/complex
sentences
89. purchase Wordy sentences Clarity
90. by the appellant Misplaced words or phrases Correctness
91. the plaintiff Determiner use Correctness

(a/an/the/this, etc.)
92. plaintiff, Punctuation in Correctness

compound/complex
sentences
93. To nance the purchase, the plaintiff Unclear sentences Clarity

obtained a joint loan with her mother-in-
law from Citibank Bhd.
94. However, the sale and purchase of the Intricate text Clarity
subject property could not be completed
due to a caveat that the rst defendant
had entered on the said property on
12.12.2013.
95. On the issue of the prayer speci c Hard-to-read text Clarity

performance of the terms and conditions
of the Sale and Purchase Agreement, the
governing law is section 11 of the Speci c
Relief Act 1950, of which subsection 11
(1) (c) which is relevant and applicable to
the instant facts provides that it is clear
that the co…

96. If the defendant does not do so, then the Unclear sentences Clarity
court will assume that when there is a
case of breach of contract regarding
immovable property, compensation in
money is not enough.
97. the remedy of Wordy sentences Clarity
98. required, Punctuation in Correctness

compound/complex
sentences
99. Based on the facts of the instant case, Intricate text Clarity
the court held that the above statutory
presumption applies in this instance and
may be invoked in favor of the plaintiff, as
the defendants had not attempted to
rebut the presumption.
100. This Intricate text Clarity
101. right, Punctuation in Correctness

compound/complex
sentences
102. it is Wordy sentences Clarity
103. Where the → The Wordy sentences Clarity
104. the injunction → it Wordy sentences Clarity
105. would enforce → enforced Conditional sentences Correctness
106. personal service contract Wordy sentences Clarity
107. injunction order Wordy sentences Clarity
108. 3 → three Improper formatting Correctness
109. 8 → eight Improper formatting Correctness
110. Meanwhile, a perpetual injunction can Intricate text Clarity

only be granted by the decree made at

the hearing and upon the merits of the

suit.
111. that has been Wordy sentences Clarity
112. then Wordy sentences Clarity
113. injunction. Closing punctuation Correctness

compound/complex
sentences
115. full → complete, total Word choice Engagement
116. full → complete, total Word choice Engagement
117. at the time → when Wordy sentences Clarity
118. where a subsidiary of Swee Joo Bhd, the Unclear sentences Clarity
plaintiff, was tied to other Swee Joo Bhd
subsidiaries ('associated rms').
119. which were Wordy sentences Clarity
120. reschedule → rescheduled Faulty tense sequence Correctness
121. associated entity Wordy sentences Clarity
122. With the court's permission, the Unclear sentences Clarity

liquidator leased Lot No. 31 to the renter.
123. 20 4, Punctuation in Correctness

compound/complex
sentences
124. which enables → enabling Wordy sentences Clarity
125. as Wrong or missing prepositions Correctness

compound/complex
sentences

127. This case shows that the injunction was Unclear sentences Clarity
granted according to what the issue
arises from each circumstance and it is
made within the discretion of the court.
128. In the same section above, sub-clause Intricate text Clarity

(2), the purchaser or lessee of the subject
matter is obligated to pay the seller or
lessor the rents and pro ts, if any, that he
obtained as possessor.
129. a typical Determiner use Correctness

130. are typical Wordy sentences Clarity
131. Consequently, it is accessible only in Unclear sentences Clarity

cases when doing so is genuinely
practicable.
132. Having been forced to terminate or Intricate text Clarity

rescind the agreement contract as a
consequence, the plaintiff led an
application with the court seeking a
declaration that the defendant is
obligated to pay the amount of RM4.8
million.
133. integrum Unknown words Correctness
134. That being said, this part of the Intricate text Clarity
rescission is merely a brie ng on the
nature of the stated equitable remedy.
135. further Wordy sentences Clarity
136. However, the court ordered the payment Intricate text Clarity
of compensation by way of damages, if
any, to be assessed by the registrar.
138. there is a Wordy sentences Clarity

139. a fraud Determiner use Correctness

140. etc Inappropriate colloquialisms Delivery
141. But in quantum meruit, it refers to a Intricate text Clarity

claim that can be led in an alternative of
a damages action for breach of contract
on all or part of his portion of the bargain
before the other party's breach.
143. It enables a person who supplied goods or Intricate text Clarity

rendered some service to claim for
compensation from the person who
enjoyed the bene t of the supply made or
of the services intended to do so
gratuitously, to claim for compensation
from the person who wanted the use of
the supply made or of the services …
145. As the parties had not agreed on a price, Intricate text Clarity
the defendant's liability would be paid on
a quantum meruit for the plaintiff in the
sum of RM1,337,199.16 with interest at
5% per annum from 6 May 2019 until full
realization and costs of RM85,000.00
subject to the usual allocator.
146. Since the plaintiff had commenced the Incomplete sentences Correctness
preliminary works with the knowledge,
though the defendant was liable to the
plaintiff.
147. A claimed compensation against B for Incomplete sentences Correctness

work done on a quantum meruit basis.
148. The deal was calculated according to the Intricate text Clarity
amount paid by B to A during the nal or
fth year of the original contract, i.e.,
about RM9.5m per month as charged in
A's invoices to B.

149. the plaintiff had completed most of the Unclear sentences Clarity
work under a contract as the project
management consultant to build the
pipeline from LINDE – Pasir Gudang to
Lotte Chemical Titan SDN BHD.
150. The defendant terminated the contract Intricate text Clarity

because he claimed that the plaintiff had
failed to complete the project within the
contractual period, which was
determined on 28.2.2019.
151. However, the plaintiff contended that the Intricate text Clarity
contractual period de ned under the
Letter of Award had been extended to
31.8.2019 given the Extension of Time
(EOT) granted by Linde Malaysia Sdn Bhd
to the defendant for the completion of the
Projects under the Letter of Awards.
152. The court held that by the express terms Intricate text Clarity
of the Letter of Award, the plaintiff was
entitled to the EOT as the delay of
completion of the project.
153. There must be an implied contract on the Unclear sentences Clarity

defendant's part to pay for the work
done.
154. respondent, Punctuation in Correctness

compound/complex
sentences
155. the appellant appointed the respondent, Unclear sentences Clarity

to carry out the development of a portion
of the project - Penempatan Semula
Setinggan Bukit Botak, Selangor.
157. Based on this case, it was submitted that Intricate text Clarity
the respondent was prevented from
completing its obligation by the appellant
in the rst place.
158. As its purpose is to put the respondent in Intricate text Clarity

the situation, he would have been in if the

contract had been ful lled by paying the
amount merited for what had been done
up until that point.
159. situation, Punctuation in Correctness

compound/complex
sentences
160. a voidable → avoidable Confused words Correctness
161. a voidable → avoidable Confused words Correctness
162. The respondent had each entered into a Intricate text Clarity
Sale and Purchase agreement to buy a
house each at RM29,500 to be developed
by the appellant.
163. to do so Wordy sentences Clarity
164. cancelled → canceled Mixed dialects of English Correctness
165. to cause Wordy sentences Clarity
166. enter into an agreement → Wordy sentences Clarity

agree
167. According to section 19(1), when the Intricate text Clarity

consent for an agreement is gained
through coercion, the agreement
becomes a voidable contract where the
victim has the right to rescind the
contract according to their choice.
168. the contract Determiner use Correctness

169. According to section 76, which resulted Intricate text Clarity

from the rescission of the contract by the
victim, he is also entitled to
compensation for any damage he
suffered from the unfair agreement.
170. .. → ., ... Closing punctuation Correctness

171. The court held that the plaintiff Intricate text Clarity
succeeded in his claim and was entitled
to RM 5,390,000 of compensation,
including 5% per annum from the date of
writ and the cost of legal proceedings.
172. that is Wordy sentences Clarity
173. it is Incomplete sentences Correctness
175. their → its Pronoun use Correctness
176. If a court determines that a contract was Intricate text Clarity

formed due to undue in uence, the
contract may be set aside or modi ed to
lessen the disadvantage.
177. due to it Wordy sentences Clarity
178. If he chooses to rescind the contract, he Intricate text Clarity

can do so by notifying the other party of
his intent to do so or by applying to the
court under section 34(1)(a) to have the
contract rescinded by the court.
179. he received Wordy sentences Clarity
180. Any such contract may be set aside in its Intricate text Clarity
entirety or if the party entitled to avoid it
has obtained any bene t from it, on the
terms and conditions that the court
deems just.
181. MLJU → MJ Misspelled words Correctness
182. the plaintiff → The plaintiff Improper formatting Correctness
183. that were Wordy sentences Clarity
184. defendant's part Wordy sentences Clarity
185. The purpose of rescinding equity is to put Unclear sentences Clarity

the parties back in their position before

contracting.
186. his Intricate text Clarity
187. It is because Wordy sentences Clarity
188. apply → applying Incorrect verb forms Correctness
189. The rationale behind this provision is to Intricate text Clarity

enable the representator to know the
exact position about the contract
because the representator is entitled to
treat the contract as subsisting unless he
is duly informed of its termination.
190. representator → Misspelled words Correctness

representation, representative


193. As section 34(1)(a) provides that Any Unclear sentences Clarity

party to a written contract may seek to
have it annulled by a court if the contract
is voidable or can be terminated by the
plaintiff.
194. He Intricate text Clarity
195. He must repudiate it altogether unless Unclear sentences Clarity

the parts are so severable as to be
independent contracts.
196. The Court of Appeal reiterated that the Unclear sentences Clarity
misled party might claim for rescission
and restitution but not for damages.
197. The defendant was not entitled to Intricate text Clarity

interest of the deposit because by
awarding interest, the defendant was
said to be compensated for the loss of the

use of his money while it was in the

plaintiff's hand, and it would amount to
an award of damages.
198. clearly Wordy sentences Clarity
199. ', → ,' Misuse of semicolons, Correctness

quotation marks, etc.
200. whilst → while Outdated language Clarity
201. judgement → judgment Mixed dialects of English Correctness
203. for Wordy sentences Clarity
204. as a result of → due to Wordy sentences Clarity
205. a fraud Determiner use Correctness

206. also Wordy sentences Clarity
207. Unless the property was not occupied, Unclear sentences Clarity
then the appellant might be entitled to
the interest payments that she had
incurred as the contract does not bene t
her at all.
208. that if Inappropriate colloquialisms Delivery
209. that if Inappropriate colloquialisms Delivery
210. true → accurate Word choice Engagement
211. Section 19(2) of the Contracts Act 1950 Unclear sentences Clarity
provides if a party to a contract agreed to
it because of fraud or misrepresentation,
he can ask that the contract be made and
that he be put in the same position he
would have been in if the representation
was true.

212. Where the → The Wordy sentences Clarity
213. The respondents claim that at the Unclear sentences Clarity

project's launching, the rst respondent
was shown a tiny model and a printed
brochure depicting a sandy beachfront
where they could swim instantly after
leaving their home.
214. cancelled → canceled Mixed dialects of English Correctness
215. respondents' conduct Wordy sentences Clarity
216. The appellant was not trying to induce Monotonous sentences Engagement
the respondents into the contract. There
could be no rescission of an executed
contract for innocent misrepresentation.
The respondents had elected to af rm
the agreement.
217. After hearing from the parties, the court Intricate text Clarity
ordered the respondents to pay costs in
the sum of RM50,000 and the deposit be
refunded to the appellant.
218. which Wordy sentences Clarity
219. A loan assignment from Public Bank was Passive voice misuse Clarity
used by other purchasers to nance their
purchase.
220. The defendants consented to the Unclear sentences Clarity

assignment and agreed to turn over the
title documents to the Public Bank upon
issuance.
221. On these facts, it is clear that the fraud Passive voice misuse Clarity
was perpetrated by the second
defendant.
222. at all times Wordy sentences Clarity
223. at the time → when Wordy sentences Clarity
224. Because fraud had happened, the Intricate text Clarity

plaintiffs sought damages under section

19(2) of the Contracts Act 1950, the
refund of the purchase price and the loss
of the value of the appreciation of the
properties.
225. , and Comma misuse within Correctness

clauses
226. The court concluded that the plaintiffs Intricate text Clarity
are not entitled to claim loss in the
appreciation of the properties in light of
the decision of the Court of Appeal, which
set aside the agreements between the
plaintiffs and the defendants.
227. properly → appropriately Word choice Engagement
228. in consequence of → Wordy sentences Clarity

due to
229. edn → and, in, end Misspelled words Correctness
230. AG Guest, Anson's Law of Contract, 26 Incomplete sentences Correctness

edn, at p 252.
231. from whom Wordy sentences Clarity
232. in which Wrong or missing prepositions Correctness
233. MLJU → MJ, MAJU Misspelled words Correctness
234. and Wordy sentences Clarity
235. In keeping with the 'vulnerable' nature of Unclear sentences Clarity

consumers, complex and formal court
procedures are intimidating to those who
rst set foot in court when wanting to le
a case.
237. It means that the right of a party to refer Intricate text Clarity
a dispute to arbitration is based on the

existence of an agreement between

them.
238. , such Punctuation in Correctness

compound/complex
sentences
239. the Contracts Determiner use Correctness

240. provided, Comma misuse within Correctness

clauses
241. considered Wordy sentences Clarity
242. as a result of → due to Wordy sentences Clarity
243. Azimon → Azimo Misspelled words Correctness
244. tribunal; tribunal's; Tribunal Text inconsistencies Correctness
245. President; president Text inconsistencies Correctness
246. If both parties have reached an Intricate text Clarity

agreement, the award with consent will
be recorded by the President of the
Tribunal.
247. then Wordy sentences Clarity
248. being represented by Wordy sentences Clarity
249. Although the presence of counsel is not Unclear sentences Clarity

permitted, the disputing parties may,
however, bring their witnesses to testify
of the claim put forward.
251. Any appeal of the case against the Intricate text Clarity
decision made by the President of the
Tribunal is not allowed at all.
252. However, judicial review is allowed where Passive voice misuse Clarity

the judicial review system displays the

weaknesses of the tribunal because it is
backed by the trader to avoid responding
to the award given by the tribunal.

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REMEDIES FOR CONTRACT

REMEDIES FOR CONTRACT

Score Writing Issues

This text scores better than 98%

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Unique Words 13%

Rare Words 47%

Word Length 4.8

Sentence Length 18.9

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REMEDIES FOR CONTRACT

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dispute settlement mechanisms which are by arbitration and by bringing the

2.0 Damages - The Court's Two Principles for Awarding Damages

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compensation that the other party is entitled to receive should be following

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Second - The Measure of Damages

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plaintiff's conduct and lifestyle. In light of these circumstances, it is

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claimant to plead; meanwhile, unliquidated damages are not.

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2.4 Exemplary Damages

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2.4.1 Application of exemplary damages in Malaysian contract cases

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2.4.2 Exclusion of claiming exemplary damages under contract case in

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3.0 Equitable Remedies

3.1 Speci c Performance

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3. In exceptional circumstances where damages would not be an adequate

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3.2.1 Injunction Under Malaysian Law

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Besides this injunction, Section 53 further explains the mandatory injunction

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3.3.1 Provisions in Malaysia Law

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the same regulations as a contract. Avoidable contract revocation is not

3.3.2 Outcome of Rescission

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defense of laches to defeat the common law remedy of damages.

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4.0 Quantum Meruit

4.1 Application of Quantum Meruit in Contracts Act 1950

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