“REMEDY”means a right that can be claimed by a party to a

contract that experience losses coz of the other party to the contract was in breach.

Types of remedies:-1. RESCISSION OF CONTRACT2. DAMAGES3. QUANTUM MERUIT4. SPECIFIC PERFORMANCE5. INJUNCTION

• If a party breaches his promise, the party not in breach has the right to rescind the contract.

• Section 40• Illustration (a)• Section 65 and 66• MURALIDHAR CHATTERJEE’s case

RESCISSION OF CONTRACT

DEFINITION-The court’s estimated compensation in money

for detriment or injury sustained by the plaintiff in contract/tort

Is granted to a party as compensation for damage, loss or injury suffered due to a breach of the contract.

DAMAGES

• Section 76 – party not in default if rescinds contract, also entitled to compensation for damages sustained because of non-fulfillment of the contract

• Illustration (a) section 40• Cases:• YONG MOK HIN v UNITED MALAY SUGAR

INDUSTRIES

TYPES OF DAMAGES• SECTION 74• Common law rule : Hadley v. Baxendale • the court decided that damages may only be

awarded in respect of loss which either:-

a. arises naturally- • accord. to usual course of things for the

breach. Illustration (f) and (g)• BEE CHUAN RUBBER SDN BHD v LOO SAM MOI

b) Special damages for any special losses • Compensation where the party knew when

they made the contract, to be likely to result from the breach of it must not too remote

• PF must prove that the Df knew at the time of making the contract, the special lost is likely to result from the breach

• PF also must prove that the DF could foresee the lost at the time of making contract

Tham Cheow Toh v. Associated Metal Smelters Ltd Held: a failure to sent a smelter that could burnt up to f’2600

is a breach of contract. Dft can expect the losses that might incurred from that breach.

Such compensation is not to be given for any remote and indirect loss or damages sustained as a result of the breach.

c) Liquidated damages section 75The amount of damages to be paid in case of breach of

the contract has been stated in the contract.

• Maximum limit of compensation• Cannot claim more than fixed amount even

though losses is greater

Damages of unspecific amount are divided into 3:

1. Substantial – a reward given is to put plaintiff in a place that he should if

defendant perform the contractual obligation.

2. Nominal – a small reward to plaintiff after he shows that there is a breach of contract, even though there is no real losses incurred.

3. Exemplary – a reward given is far higher than the losses incurred.

DEFINITIONIt is the decree or the court directing that

the contract shall be performed specifically, that, according to it’s term.

• Given at the court’s discretion• Section 21 Specific Relief Act (“SRA”)

SPECIFIC PERFORMANCE

WHEN SP CAN BE

GRANTED

WHEN SP CAN BE

GRANTED

s.11(1)(a)Act to be

doneis a trust

s.11(1)(a)Act to be

doneis a trust

s.11(1)(b)Actual loss cannot be

made certain

s.11(1)(b)Actual loss cannot be

made certain

s.11(1)(c) Money is not

suitable compensatio

n

s.11(1)(c) Money is not

suitable compensatio

ns.11(1)(d)Money

compensation cannot be obtained

s.11(1)(d)Money

compensation cannot be obtained

s.11(2)Cnt involve immovable

property

s.11(2)Cnt involve immovable

property

• Breach can be compensated by money• Contract too many details• Contract of employment• Contract which court must supervise• Terms of contract are not certain• Contract is revocable in nature• Contract made by trustee which exceed

power / breach of trust

When SP cannot be granted – s.20

• Contract by those representing corporation exceeding its power

• Where performance of contract more than 3 years

• When subject matter of contract no longer exist

Ct discreations not to enforce SP

• Section 21(2)• A) Contract is made are such as to give the PF

an unfair advantage over the DF• B) contrcat involved hardship on the DF

DEFINITIONA decree by the court ordering a person not

to do a certain act. It is an equitable remedy given at the discretion of the court.

• In the Specific Relief Act 1950, the injunction is a remedy classed in Part III as the “Preventive Relief”.

INJUNCTION

TYPES OF INJUNCTION

TEMPORARY /INTERLOCUTORY

PERMANENT /PERPETUAL

AT ANY PERIODOF THE SUIT.TO PRESEVE STATUS QUOSection 51 (1)

GRANTED AFTERFULL TRIAL.PROHIBIT PERMANENTLYSection 51 (2)

WHEN INJUNCTION CANNOT BE GRANTED

• s.54(f) = if SP cannot be granted, injunction also cannot be granted

• EXCEPTION !!!• s.55 – Where there is an affirmative & negative

agreement e.g. contract of employment• LUMLEY v WAGNER• PERTAMA CABARET NITE CLUB v ROMAN TAM• BROOME RUBBER PLANTATIONS V WHITNEY

• Payment for work done / services rendered• Where a party refuses to perform contract• PLANCHE v COLBURN• Where work has been performed under a void

contract• CRAVEN-ELLIS v CANONS LTD

QUANTUM MERUIT