JUDGMENT

BACKGROUND

By a Building Contract (hereinafter referred to as the Contract) entered between the plaintiff and the 3rd defendant on the 22.11.96, the plaintiff appointed the 3rd defendant, as the contractor to carry out and to complete the construction of the proposed 15 storey condominium project at Lot 2855 Muara Tebas Land District, Ulu Sg. Stutong, Kuching.

Works came to a halt on the site around the end of August 1999. The 3rd defendant purportedly determined its obligations under the Contract on 19.8.99, alleging non-payment by the plaintiff. The plaintiff, rejected that determination and then gave its own termination notice to the 3rd defendant vide its letter dated 10.9.99 based, inter-alia , on the breaches of the Contract by the 3rd defendant pursuant to clause 25(1) therein, for failing to remedy the default specified by the architect.

Clause 34 of the Contract stipulates that all disputes or differences arising thereunder or in connection with the Contract shall be referred to arbitration.

On 7.10.99, the 3rd defendant wrote to the plaintiff giving notice of intention to refer the disputes to arbitration and proposed two names that could be appointed as arbitrators.