JUDGMENTBY: SYED AGIL BARAKBAH J

(delivering the Judgment of the Court): This is an appeal against the decision of Mohamed Yusoff, J. in the High Court, Kuching, delivered on June 7, 1983 giving judgment for the Respondents/Plaintiffs for loss of money lent and awarding damages in the sum of $ 136,898.12 made up of $ 66,900/- being principal sum lent plus interest at 8% per mensem as from September 30, 1977, interest on $ 66,900/- at 8% per mensem from October 1, 1977, and from date of judgment to date of settlement and costs.

The Appellants are a firm of Advocates and Solicitors having their registered office in Kuching and the Respondents are a finance corporation having their registered office in the same town.

The Respondents claim in the court below was for damages for loss and expenses caused by the negligence and breach of contract of the Appellants as the Respondents solicitors/advocates in failing to act in accordance with the assurance given by the Appellants to the Respondents in a letter dated August 15, 1966. (AB12).

Facts

It is common ground that in the latter part of 1966, Penghulu Francis Umpau (the Purchaser) wanted to build a dwelling house and decided to b