Azimah Omar JCA:

Introduction

[1] The appeal before us is a case of breach of contract and it is essentially concerning a miscomprehension of the tenets or workings of a 'contingent' or 'conditional' contract under ss 32 and 36 of the Contracts Act 1950 where the validity or continuity of a contract was contingent or conditional upon the respondent upholding its end of the bargain within a contractually agreed time.

[2] Before us, a contract is entered between the appellant and the respondent which contractually requires the respondent to perform a certain obligation within a set contractual time period. The respondent was unable to perform the said obligation within the prescribed contract period.

[3] At the outset, it is our view that the learned High Court Judge ("learned judge") had misread ss 32 and 36 of the Contracts Act 1950 and had incorrectly held that when the parties agreed to the said time contingency or time condition, it was incumbent upon the parties to elect to continue with the contract so long as the contingency or condition was 'possible to be performed' (albeit out of contractual time). The reading of the provisions by the learned judge in such manner