The Johor Bahru High Court ruled that the subcontractor’s failure to pay for sand extracted from the plantation was a fundamental breach warranting termination. (Wikimedia Commons pic)PETALING JAYA: A sand-mining subcontractor lost RM3.5 million in deposits after the Johor Bahru High Court ruled that its failure to pay for sand extracted from a Felda plantation amounted to a fundamental breach of contract.
Judicial Commissioner Noradura Hamzah dismissed Power KK Resources Sdn Bhd’s claim against main contractor Pearl Amrin Sdn Bhd, its director Hamdan Dali and his sole proprietorship, Pearl Amrin Enterprise.
Noradura also ordered Power KK to pay Pearl Amrin RM190,204.80 in outstanding extraction payments, with 5% interest, and RM150,000 in costs.
