PEPS-JV (MELAKA) SDN. BHD. v VMG TRANSPORT (M) SDN. BHD.

m-02ncvcw-1810-10-2024 Court of Appeal (Mahkamah Rayuan) 21 January 2026 • M-02(NCvC)(W)-1810-10/2024 • 18 min read

7 cases cited (0 SG, 7 foreign)

Catchwords

Contract Law – Breach of contract – Repudiatory breach – Suspension of services for non-payment – Whether suspension amounts to repudiation – Suspension held to be lawful response – Wrongful termination by other party Contract Law – Damages – Expectation losses / Loss of future earnings – Contract with termination clause (six months’ notice) – Not a fixed-term contract – Claim for entire remaining revenue not allowed – True measure is lost profits – Failure to prove costs incurred – Claim rightly dismissed Contract Law – Invoices – Contractual provision for disputing invoices (60 days) – Failure to dispute or issue debit notes within stipulated period – Effect – Invoices deemed accepted – Estoppel Evidence Law – Adverse inference – Section 114(g) Evidence Act 1950 – Withholding or suppression of evidence – Distinction from mere failure to adduce evidence – No adverse inference drawn where material documents already disclosed and other sufficient evidence exists Damages – Nominal damages – Wrongful termination – Award of RM30,000.00 – No proof of substantial loss Damages – Special damages – Causation – Damage to lorries – Plaintiff parked lorries on defendant’s loading bay – No independent evidence (e.g., adjuster’s report) – No receipts – Failure to prove causal link – Claim dismissed Counterclaim – Overpayment – Failure to issue debit notes within contractual period – Lack of credibility – Dismissed Counterclaim – Damages arising from own breach – Claim for alternative transportation costs – Not recoverable where claimant is the contract-breake

Practice Areas

Damages

Judges (3)

Ahmad Shahrir b. Mohd Salleh Coram Azizul Azmi bin Adnan Coram Shahnaz binti Sulaiman Delivered

Counsel (6)

Arnold Andrew & Co Firm Wee Choo Keong & Faaiz Firm Dalveena Jit Kaur Korotana a/p Malkit Singh Counsel Respondent Sarrenya a/p Santhakumar Counsel Respondent Wee Choo Keong Counsel Appellant Yeo Wei Min Counsel Appellant

Parties (2)

PEPS-JV Sdn Bhd Appellant VMG TRANSPORT Sdn Bhd Respondent

Statutes Cited

Evidence Act 1950 (Cap 56)

s 114(g)

Evidence Ordinance

s 114

Cases Cited (7)

UK (1)

[1961] 3 WLR 450

MY (6)

[1962] 1 MLJ 230 [1987] 1 CLJ 250 [2015] 2 CLJ 1062 [2016] 2 MLJ 428 [2016] 3 MLJ 122 [2020] 10 CLJ 1

Judgment

Read the full judgment on the official Malaysia Courts portal.

Read on eJudgment

Source: eJudgment (m-02ncvcw-1810-10-2024)