JUDGMENT

Anantham Kasinather JCA:

Background Facts

[1] The parties hereto executed a tenancy agreement on 3 January 2011 for the lease by the appellant of premises described as Administration Building 1, 2 and 3 and factory 2 (hereinafter described as 'the said demised premises').

[2] The said tenancy agreement was for a period of three years commencing 3 January 2011 at a monthly rental in the aggregate of RM1,486,070.40. In addition to the rental, the appellant tenant was required to pay the sum of RM278,638.20 per month by way of service charges. Another term of the tenancy agreement provided for the respondent landlord to be entitled to vacant possession of the said demised premises and to forfeit the deposit of RM4,480,211.20 by way of liquidated and ascertained damages upon the tenancy agreement being terminated by the respondent landlord arising from any breach of the agreement by the appellant tenant.

[3] The tenancy agreement also incorporated a provision for the appellant tenant to indemnify the respondent landlord for any damage, loss etc occasioned to the said demised premises in the following form:

"The Tenant shall be responsible for and indemnify the Landlord against all d