GIGA ENGINEERING & CONSTRUCTION SDN. BHD. HERCULES STRUCTURAL SYSTEM SDN. BHD.

GIGA ENGINEERING & CONSTRUCTION SDN. BHD. HERCULES STRUCTURAL SYSTEM SDN. BHD.

On the affidavit evidence the Court found no triable issues: progress claims and statement of account manifested the 1.5% per month late payment term, the Plaintiff acquiesced by failing to object and by making part payments, the sum sought was simple interest as evidenced by the exhibited calculation, and prior...

Source-derived case information.

Citation
WA-22C-17-02/2020 (Mahkamah Tinggi)
Parties
Plaintiff: Giga Engineering & Construction Sdn. Bhd.; Defendant: Hercules Structural System Sdn. Bhd.
Court
High Court
Jurisdiction
Malaysia
Judgment Date
1 October 2020
Case Number
WA-22C-17-02/2020 (Mahkamah Tinggi)
Procedural Posture
Construction Contract Dispute (sub Contract) / Application for Summary Judgment Under Order 14 Ro C 2012 (leave Granted)
Outcome
Defendant's application for leave to enter summary judgment allowed
Legal Topics
Late Payment Interest, Estoppel by Conduct, Summary Judgment, Legality of Compound Interest, Enforcement of Adjudication
Contract Construction Law Civil Procedure Adjudication Remedies (interest) Late Payment Interest Estoppel by Conduct Summary Judgment +2 more

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Parties

Giga Engineering & Construction Sdn. Bhd.

Plaintiff

Hercules Structural System Sdn. Bhd.

Defendant

Procedural Posture

Construction Contract Dispute (sub Contract) / Application for Summary Judgment Under Order 14 Ro C 2012 (leave Granted)

Legal Issues

  1. 1 Whether Defendant is entitled to interest at 1.5% per month on undisputed sum
  2. 2 Whether progress claims/invoices constituted agreement to interest term
  3. 3 Whether Defendant charged compound interest contrary to s 11 Civil Law Act 1956 and whether that raises a triable issue

Ratio Decidendi

On the affidavit evidence the Court found no triable issues: progress claims and statement of account manifested the 1.5% per month late payment term, the Plaintiff acquiesced by failing to object and by making part payments, the sum sought was simple interest as evidenced by the exhibited calculation, and prior adjudications or settlements did not determine the current application; accordingly summary judgment was allowed for RM211,368.27 with costs RM5,000 (subject to allocator).

Court Disposition

Defendant's application for leave to enter summary judgment allowed

Orders

  • Leave to enter summary judgment for RM211,368.27 awarded to Defendant as interest on RM381,187.21 from 15.12.2016 to 13.1.2020
  • Costs of RM5,000.00 to be paid by Plaintiff to Defendant, subject to allocator