EESB Equipment Sdn Bhd P.B.H. Trading & Construction Sdn Bhd PIHAK TERKILAN Y&S Ilham Jaya Sdn. Bhd.

EESB Equipment Sdn Bhd P.B.H. Trading & Construction Sdn Bhd PIHAK TERKILAN Y&S Ilham Jaya Sdn. Bhd.

Court held that on the facts and documents the hire was for the TPP3 project and an implied term should be read into the hire contract under the officious bystander and business efficacy tests making the hirer (PBH) liable to pay repair costs; the defendant's email amounted to an acknowledgement relevant to liability; claims for indemnity against Y&S Ilham Jaya failed because the indemnity relationship was between PBH and PBH Engineering (PBHE) and PBHE was not a party to the suit, therefore PK3 was not liable.

Citation
JA-12BNCvC-1-02/2022 (Mahkamah Tinggi)
Parties
Appellant/plaintiff: ESSB Equipment Sdn Bhd; Appellant/defendant: P.B.H. Trading & Construction Sdn Bhd; Respondent/third Party: Y&S Ilham Jaya Sdn Bhd
Court
High Court
Jurisdiction
Malaysia
Judgment Date
13 December 2023
Case Number
JA-12BNCvC-1-02/2022 (Mahkamah Tinggi)
Procedural Posture
Civil Appeal / Appellate Judgment
Outcome
Plaintiff's appeal allowed; Defendant's appeal dismissed
Legal Topics
Implied Terms, Indemnity, Negligence, Damages, Costs
Source Language
Malay/English
Contract Law Tort Law Evidence Civil Procedure Implied Terms Indemnity Negligence Damages +1 more

Case Brief

Summary, issues, holding and outcome

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Parties

ESSB Equipment Sdn Bhd

Appellant/plaintiff

P.B.H. Trading & Construction Sdn Bhd

Appellant/defendant

Y&S Ilham Jaya Sdn Bhd

Respondent/third Party

Procedural Posture

Civil Appeal / Appellate Judgment

Legal Issues

  1. 1 Whether an implied term existed in the hire contract obliging the hirer to pay repair costs
  2. 2 Whether the defendant's email constituted an acknowledgement of liability
  3. 3 Whether negligence issues should determine liability or contractual implied terms

Ratio Decidendi

Court held that on the facts and documents the hire was for the TPP3 project and an implied term should be read into the hire contract under the officious bystander and business efficacy tests making the hirer (PBH) liable to pay repair costs; the defendant's email amounted to an acknowledgement relevant to liability; claims for indemnity against Y&S Ilham Jaya failed because the indemnity relationship was between PBH and PBH Engineering (PBHE) and PBHE was not a party to the suit, therefore PK3 was not liable.

Court Disposition

Plaintiff's appeal allowed; Defendant's appeal dismissed

Orders

  • Plaintiff's appeal JA-12BNCVC-1-02/2022 allowed with costs RM3,000.00 (subject to allocators)
  • Defendant's appeal JA-A52NCVC-270-09/2019 dismissed with costs RM3,000.00 (subject to allocators)