DNeX SOLUTIONS SDN BHD I DATA CENTRE SOLUTIONS SDN BHD

DNeX SOLUTIONS SDN BHD I DATA CENTRE SOLUTIONS SDN BHD

The contract was frustrated by MAMPU’s 30-8-2021 decision to change the site and suspend the project indefinitely, an event not provided for in the contract and not caused by the parties, which made performance radically different; therefore the contract was discharged by operation of law and the Plaintiff was entitled to restitution of RM5,789,878.95; the Defendant failed to prove and particularise expenditures or value conferred to offset the Refund Sum, so the counterclaim was dismissed and costs awarded to the Plaintiff.

Citation
BA-22NCvC-16-01/2023 (Mahkamah Tinggi)
Parties
Plaintiff: DNeX SOLUTIONS SDN BHD; Defendant: I DATA SOLUTIONS SDN BHD
Court
High Court
Jurisdiction
Malaysia
Judgment Date
22 August 2025
Case Number
BA-22NCvC-16-01/2023 (Mahkamah Tinggi)
Procedural Posture
Civil Claim for Restitution Under Contract / Final Judgment
Outcome
Plaintiff's claim allowed; Defendant's counterclaim dismissed.
Legal Topics
Frustration, Rescission, Total Failure of Consideration, Restitution, Sections 57, 66, 71 Contracts Act 1950
Source Language
Malay/English
Contract Law Restitution / Unjust Enrichment Civil Procedure Frustration Rescission Total Failure of Consideration Restitution Sections 57,66,71 Contracts Act 1950

Case Brief

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Parties

DNeX SOLUTIONS SDN BHD

Plaintiff

I DATA SOLUTIONS SDN BHD

Defendant

Procedural Posture

Civil Claim for Restitution Under Contract / Final Judgment

Legal Issues

  1. 1 Whether the contract was frustrated by supervening events (change of site and indefinite suspension)
  2. 2 Whether the Plaintiff could rescind for repudiatory breach or total failure of consideration
  3. 3 Whether Plaintiff is entitled to restitution of RM5,789,878.95 under Contracts Act 1950

Ratio Decidendi

The contract was frustrated by MAMPU’s 30-8-2021 decision to change the site and suspend the project indefinitely, an event not provided for in the contract and not caused by the parties, which made performance radically different; therefore the contract was discharged by operation of law and the Plaintiff was entitled to restitution of RM5,789,878.95; the Defendant failed to prove and particularise expenditures or value conferred to offset the Refund Sum, so the counterclaim was dismissed and costs awarded to the Plaintiff.

Court Disposition

Plaintiff's claim allowed; Defendant's counterclaim dismissed.

Orders

  • Judgment for Plaintiff: restitution RM5,789,878.95
  • Defendant's counterclaim dismissed