HIGH COURT MALAYA SHAH ALAM
HANSON QUARRY PRODUCTS SDN BHD – Appellant
Versus
CHONG BOON HENG & ORS – Respondent
[Civil Suit No: BA-22C-41-11-2021]
| Table of Content |
|---|
| 1. the basis of the lawsuit regarding the summary judgment against the first defendant. (Para 1 , 2 , 3 , 4 , 5) |
| 2. determining rely on earlier cases and procedural law concerning stay applications. (Para 9 , 10 , 11) |
A. Introduction
[1] This judgment concerns the following two applications (2 Applications):
(1) in court enclosure no 21 (encl 21), the plaintiff company (Plaintiff) has applied for summary judgment against the first defendant (1st Defendant) for, among others, a sum of RM3,254,012.75 (Claim Sum), pursuant to a "Letter of Guarantee and Indemnity" dated 4 March 2002 [Guarantee/Indemnity (1st and 2nd Defendants)] which had been signed by the 1st Defendant and second defendant (2nd Defendant); and
(2) the 1st Defendant has filed an application in court enclosure no 35 (encl 35) for, among others, an order to stay this suit filed by the Plaintiff against three defendants (This Suit) pending the disposal of Shah Alam High court's Originating Summons (OS) No BA-24NCvC-975-06/2022 which has been instituted by the 1st Defendant against the Plaintiff (Suit 975).
B. Background
[2] The 1st and 2nd Defendants were directors of Generasi Nirwana Sdn Bhd (GN) while the third defendant (3rd Defendant) was GN's "Project Director" [according to para 4 of the Amended Statement of Claim in This Suit (ASOC)].
[3] The Plaintiff had supplied construction materials to GN [Plaintiff's Supplies (GN)] based on:
(1) Guarantee/Indemnity (1st and 2nd Defendants); and
(2) a "Letter of Guarantee and Indemnity" which had been executed by the 3rd Defendant [Guarantee/Indemnity (3rd Defendant)].
[4] GN did not pay for the Plaintiff's Supplies (GN). Hence, the Plaintiff's solicitors sent, among others, a demand dated 15 November 2021 for the 1st Defendant [Plaintiff's Demand (1st Defendant)] to pay, among others, the Claim Sum to the Plaintiff within 10 days from the date of the Plaintiff's Demand (1st Defendant).
C. Legal Proceedings
C(1). This Suit
[5] In This Suit:
(1) the Plaintiff has obtained a judgment in default of appearance against the 2nd and 3rd Defendants with regard to, among others, the Claim Sum [Default Judgment (2nd and 3rd Defendants)];
(2) the Plaintiff has applied for, among others, the following relief in encl 21 against the 1st Defendant:
(a) summary judgment with regard to the Claim Sum; and
(b) interest at the rate of 1.5% per month on the Claim Sum from 1 November 2021 until full payment of the Claim Sum by the 1st Defendant to the Plaintiff; and
(3) in encl 35, the 1st Defendant has sought for, among others, the following orders from this court:
(a) leave of court for encl 35 to be filed by the 1st Defendant [1st Prayer (encl 35)]; and
(b) a stay of This Suit until the disposal of Suit 975 or any period of time which is deemed just and appropriate by this court [2nd Prayer (encl 35)].
[6] Suit 975 has been filed by the 1st Defendant against the Plaintiff for the following orders, among others:
(1) the Plaintiff shall hand over to the 1st Defendant the original copy of Guarantee/Indemnity (1st and 2nd Defendants) within 48 hours from the date of the order of the court in Suit 975 [1st Prayer (Suit 975)];
(2) the original copy of Guarantee/Indemnity (1st and 2nd Defendants) shall be sent to the Malaysian Chemistry Department (MCD) for a forensic examination (Forensic Examination) to decide whether the alleged signature of the 1st Defendant on the Guarantee/Indemnity (1st and 2nd Defendants) [Alleged 1st Defendant's Signature (Guarantee/Indemnity)] was genuine or not [2nd Prayer (Suit 975)]. The 2nd Prayer (Suit 975) also applies for the cost of the Forensic Examination to be borne by the Plaintiff; and
(3) the result of the Forensic Examination shall bind the Plaintiff and 1st Defendant [3rd Prayer (Suit 975)].
[7] Notwithstanding the fact that encl 21 has been filed prior to the filing of encl 35, in the interest of justice, I will decide encl 35 before encl 21. This is because if encl 21 is decided first and if t
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