1. ) KEMENTERIAN PERTAHANAN MALAYSIA 2. ) KERAJAAN MALAYSIA v SME ORDNANCE SDN BHD

w-01ncvcw-598-11-2023 Court of Appeal (Mahkamah Rayuan) 20 April 2025 • W-01(NCvC)(W)-598-11/2023 • 2 min read

Catchwords

Contract — Procurement of missiles — Delay in delivery — Breach of contract — Liquidated ascertained damages (LAD) — Whether time was of the essence — Whether LAD amount of 24.5% of contract value excessive — Whether actual loss must be proven — Section 75 Contracts Act 1950 — Burden of proof under Cubic Electronics Sdn Bhd (in liquidation) v Mars Telecommunications Sdn Bhd [2019] 2 CLJ 723 — Application of Tekun Nasional v Plenitude Drive (M) Sdn Bhd & Another Appeal [2021] 10 CLJ 206 — Whether High Court erred in finding LAD excessive — Whether High Court erred in ordering full refund of LAD

Practice Areas

Contract

Judges (3)

Hashim bin Hamzah Coram Ismail bin Brahim Delivered Mohamed Zaini bin Mazlan Coram

Parties (3)

KEMENTERIAN PERTAHANAN MALAYSIA Appellant Kerajaan Malaysia Appellant SME ORDNANCE Sdn Bhd Respondent

Case Significance

1. ) KEMENTERIAN PERTAHANAN MALAYSIA 2. ) KERAJAAN MALAYSIA v SME ORDNANCE SD... is a Court of Appeal (Mahkamah Rayuan) decision dated April 20, 2025 (citation: w-01ncvcw-598-11-2023). The panel comprised Hashim bin Hamzah, Ismail bin Brahim and Mohamed Zaini bin Mazlan, with Ismail bin Brahim delivering the judgment.

What was the outcome of 1. ) KEMENTERIAN PERTAHANAN MALAYSIA 2. ) KERAJAAN MALAYSIA v SME ORDNANCE SD...?

1. ) KEMENTERIAN PERTAHANAN MALAYSIA 2. ) KERAJAAN MALAYSIA v SME ORDNANCE SD... is a Court of Appeal decision dated April 20, 2025. The case was heard by Hashim bin Hamzah. See the full judgment for details.