Mary Lim JC:

[1] The defendant was the main contractor to the plaintiff in a project relating to "Cadangan Meroboh Bangunan 2 Tingkat Sedia ada dan Membina Semula Bangunan 6 Tingkat yang mengandungi kedai di tingkat bawah, Pejabat di tingkat mezzanine, dan hotel budget di tingkat 1, 2, 3 dan 4 di atas lot 28 & 29, 1 & 3 Jalan Petaling, Seksyen 21, Kuala Lumpur" (said project). The contract signed between the parties was based on Standard PAM Conditions of Contract.

[2] The plaintiff's claim is for the return of a sum of RM445,372.74 being monies purportedly overpaid or paid mistakenly or in error to the defendant. This sum was paid under Interim Certificates No. 12 to 15. At that time the sum involved was RM564,204.02. Upon realizing its mistake the plaintiff deducted the sum of RM118,831.28 payable under Interim Certificates No. 16 and 17 leaving the current sum outstanding and as claimed. Despite several attempts, the plaintiff was unsuccessful in reclaiming the sum. This action was then filed.

[3] The defendant filed an Unconditional Appearance. Although the memorandum of appearance and the cover letter from the defendant's solicitors' letter serving the memorandum were