JUDGMENT

Gan Techiong JC:

Introduction

[1] The Plaintiff and the Defendant had, on 29 July 2020, entered into a contract which they called a Teaming Agreement ("the Teaming Agreement") - which is to remain effective for a period of five years (subject to renewal) from the date of the Teaming Agreement, ie until 28 July 2025.

[2] The spirit of the Teaming Agreement was for the Plaintiff to assist the Defendant in bidding for government projects, with the Defendant promising to appoint the Plaintiff as its main subcontractor if the Defendant is successful in its bid.

[3] In mid-2021, with the technical support given by the Defendant, the Plaintiff did succeed in securing a government contract with a contractual value of approximately RM13,500,000.00. The Defendant did keep its promise to appoint the Plaintiff as its subcontractor. It was undisputed that the Plaintiff did not breach the contract. Unfortunately for both parties, the main contract had to be cancelled and the Defendant was to make a claim from the National Cyber Security Agency ("NACSA") and to pay the Plaintiff accordingly. The long and the short of it is that that the Defendant did not pay the Plaintiff - which led to the filing of this civil suit by the Plaintiff.

[4] After a full trial, hearing the evidence of witnesses, I find that the Plaintiff has, on a balance of probabilities, succeeded in proving its claim. Thus, I decided that this court ought to allow the Plaintiff's claim against the Defendant. The details and my reasons are as explained below.

Background Facts

[5] The Plaintiff is a private limited company involved in the development of software, offering software solutions and tools for design and development, integration, data warehouse, reporting and analysis, and business intelligence system.

[6] The Defendant is a private limited company in the business of providing services related to information, communication and technology.

[7] As mentioned above, the parties entered into the Teaming Agreement on 29 July 2020. In 2021, the Defendant wanted to bid for a government project known as 'Perkhidmatan Membekal, Menghantar, Memasang, Mereka bentuk, Membangun, Menguji dan Mentauliah Perkakasn, Perisian dan Sistem Aplikasi Serta Menyelenggara (dalam Tempoh Waranti) untuk Projek Cybercrime Integrated Management System (CIMS), Agensi Keselamatan Siber Negara, Majlis Keselamatan Negara, Jabatan Perdana Menteri' ("the CIMS Project").

[8] The Defendant invited the Plaintiff to provide the support to prepare the Proposal related for the CIMS Project. The scope of work of the Plaintiff was as follows:

No. Scope of Work and Analytics Solution

1. Software License

2. Development and Implementation Services

3. Consulting Services

4. Training and Certification

5. Annual Maintenance and Support

6. Hardware (Optional)

[9] As mentioned above, the Defendant represented to the Plaintiff that pursuant to the terms of the Teaming Agreement, in the event of the Defendant being successful in the tender for the CIMS Project, the Defendant would appoint the Plaintiff as the main subcontractor for the CIMS Project.

[10] The Defendant was successful in securing the contract for the CIMS Project from the National Cyber Security Agency ("NACSA"), the contract price of which was approximately RM13,500,000.00.

[11] At the request of the Defendant, pursuant to cl 11 of the Teaming Agreement, the Plaintiff submitted its quotation dated 9 July 2021 for the Products and Services under the CIMS Project which was to be subcontracted to the Plaintiff ("the Plaintiff's Quotation") in the total sum of RM6,350,000.00.

[12] Even though the Defendant did not sign on the Plaintiff's Quotation to signify acceptance, it issued the Plaintiff a Purchase Order No PO-202100013 dated 11 July 2021 for the same sum quoted by the Plaintiff, ie RM6,350,000.00, which was duly accepted by the Plaintiff ("the CIMS Subcontract").

[13] It was undisputed that the Plaintiff did not breach the CIMS Subcontract and it was NACSA that indi