xiv TABLE OF CONTENT
CHAPTER
TITLE
PAGE
TITLE
i
DECLARATION
ii
DEDICATION iii
ACKNOWLEDGEMENTS
iv
ASTRAK v
ABSTRACT vi
TABLE OF CONTENTS
LIST OF CASEDS
1
vii
xiv
LIST OF TABLES
xix
LIST OF FIGURES
xx
INTRODUCTION
Error! Bookmark not defined. 1.1 Background of ResearchError! Bookmark not defined. 1.2 Problem Statement
Error! Bookmark not defined. 1.3 Objective of Research
Error! Bookmark not defined. 1.4 Scope of Research
Error! Bookmark not defined. 1.5 Significance of ResearchError! Bookmark not defined. 1.6 Research Process and Method of ApproachError! Bookmark
not defined. 1.6.1 Stage 1: Identifying The Research IssueError! Bookmark
not defined. xv 1.6.2 Stage two: Initial studyError! Bookmark not defined. 1.6.3 Stage three: Data collectionError! Bookmark not
defined. 1.6.4 Stage four: Data analysisError! Bookmark not defined. 1.6.5 Stage Five: Writing and CompletionError! Bookmark
not defined. 1.7 Organization of the chaptersError! Bookmark not defined. 1.7.1 Chapter 1: IntroductionError! Bookmark not defined. 1.7.2 Chapter 2: Principles of discharge of contractError!
Bookmark not defined. 1.7.3 Chapter 3: Termination of contract in PWD 203A (Rev.
2010) of Malaysia and GTC of Iran.Error! Bookmark
not defined. 1.7.4 Chapter 4: Analysis and discussionError! Bookmark not
defined. 1.7.5 Chapter 5: Conclusion and RecommendationsError!
Bookmark not defined. 2
PRINCIPLES OF DISCHARGE OF CONTRACTSError! Bookmark
not defined. 2.1. Introduction
Error! Bookmark not defined. 2.2. Contract
Error! Bookmark not defined. 2.2.1Contract law
Error! Bookmark not defined. 2.2.2Construction ContractError! Bookmark not defined. 2.3. Standard forms of contractError! Bookmark not defined. 2.3.2 Common types of standard form building contracts in Iran
Error! Bookmark not defined. 2.4. Determination of Contract in MalaysiaError! Bookmark not
defined. 2.4.1Determination at Common LawError! Bookmark not
defined. 2.4.1.1.Discharged by PerformanceError!
not defined. Bookmark
xvi 2.4.1.2.Discharged by FrustrationError! Bookmark not
defined. 2.4.1.3.Discharged by RepudiationError! Bookmark not
defined. 2.4.1.4.Discharged by AgreementError! Bookmark not
defined. 2.4.2Determination at Contract Act 1950Error! Bookmark not
defined. 2.4.2.1.Discharged by PerformanceError!
Bookmark
not defined. 2.4.2.2.Discharged by AgreemenError! Bookmark not
defined. 2.4.2.3.Discharged by Impossibility of Performance
Error! Bookmark not defined. 2.4.2.4.Discharged by BreachError!
Bookmark
not
defined. 2.5. Determination of contract at Legal System of Iran Error!
Bookmark not defined. 2.5.1 Termination of contract at Civil Law Code in IranError!
Bookmark not defined. 2.5.1.1.Refusing by the guilty party to perform his
obligations Error! Bookmark not defined. 2.5.1.2.Non-payment or delay in payment in the sale of
goods
Error! Bookmark not defined. 2.5.1.3.Non-payment in the event of bankruptcy of the
purchaser Error! Bookmark not defined. 2.5.1.4.Refusing to give the possession of the property by
Landlord to TenantError! Bookmark not defined. 2.5.1.5.Non-performance of duties in farming contracts
Error! Bookmark not defined. 2.6. Summary
Error! Bookmark not defined. xvii 3 DETERMINATION OF CONTRACT BY EMPLOYER IN
CONSTRUCTION UNDER PWD 203A IN MALAYSIA AND GTC
STANDARD FORMS OF CONTRACT IN IRANError! Bookmark
not defined. 3.1. Introduction
A. Error! Bookmark not defined. PWD Standard Form of Contract: Error! Bookmark not
defined. 3.2. Determination of Contract under PWD 203A (Rev. 2010)
Standard Form of ContractError! Bookmark not defined. 3.2.1. Breach of condition of contract by employerError!
Bookmark not defined. 3.2.2. Breach of condition of contract by contractorError!
Bookmark not defined. (i) Fail to commence the worksError! Bookmark not
defined. (ii) Suspension of WorkError! Bookmark not defined. (iii) Failure to Proceed Regularly and DiligentlyError!
Bookmark not defined. (iv) “Fails to execute the works in accordance with the
contract”;
Error! Bookmark not defined. (v) “Persistently neglects to carry out his obligations
under the contractError! Bookmark not defined. (vi) Neglect to remove defective workError! Bookmark
not defined. (vii) Subletting the contract without ConsentError!
Bookmark not defined. (viii)Fails to comply with any terms and conditions of this
contract
Error! Bookmark not defined. 3.2.2.1Termination procedureError!
Bookmark
not
defined. 3.2.3. Termination of contract by employer due to non – breach
reasons
Error! Bookmark not defined. (i) Bankruptcy, Insolvency of the ContractorError!
Bookmark not defined. xviii (ii) National interestError! Bookmark not defined. (iii) Corruption, unlawful or illegal activitiesError!
Bookmark not defined. (iv) Force majeure eventError! Bookmark not defined. 3.2.4 Effects of Determination of Contractor’s Employment
Error! Bookmark not defined. 3.3 Termination in General Term of Contract of Iran (Clause 46)
Error! Bookmark not defined. 3.3.1 Clause 46 of General Terms of Contract (GTC)Error!
Bookmark not defined. 3.3.1.1Termination of contacts by employer due to breach
of conditions of contracts by contractorError!
Bookmark not defined. (i) Delay in taking over the siteError! Bookmark not
defined. (ii) Delay in submission of work programError!
Bookmark not defined. (iii) Delay in mobilization of the siteError!
Bookmark
not defined. (iv) Delay to commence the projectError!
Bookmark
not defined. (v) Delay in completion of each part of work based on
Plan
Error! Bookmark not defined. (vi) Delay in completion of work more than ¼Error!
Bookmark not defined. (vii) Supervision of the site or suspension of the work
Error! Bookmark not defined. (viii)Non-performance
of
consultant
obligations in removing defectives
engineer’s
Error!
Bookmark not defined. (ix) Delay in paymentError! Bookmark not defined. (x) Bribe or giving giftError! Bookmark not defined. (xi) Sublet the contract to the third party Error!
Bookmark not defined. xix 3.3.1.2.Termination of contacts by employer due to non breach reasonsError! Bookmark not defined. (i) Non-performance of the work after eliminating the
“Event of Force Majeure”Error!
Bookmark
not
defined. (ii) Insolvency of the contractor’s companyError!
Bookmark not defined. (iii) The contractor’s bankruptcyError! Bookmark not
defined. (iv) Formal and official prohibition of contractorError!
Bookmark not defined. (v) Employer’s self interest and convenienceError!
Bookmark not defined. 3.3.2. Procedure of termination of contract under GTC of Iran
Error! Bookmark not defined. 3.3.3. Effects of termination of contract under GTC of Iran
Error! Bookmark not defined. 4
DISCUSSION AND ANALYSISError! Bookmark not defined. 4.1. Introduction
Error! Bookmark not defined. 4.2. Similar termination clauses in GTC of Iran and PWD 203A of
Error! Bookmark not defined. Malaysia
4.2.1. Fail to commence the workError! Bookmark not
defined. 4.2.1.1Review of the Disputes Caused by fail to
commence the worksError!
Bookmark
not
defined. 4.2.2. Suspension of WorksError! Bookmark not defined. 4.2.2.1Review of the Disputes Caused by Suspension of
Works
Error! Bookmark not defined. 4.2.3. Failure to Proceed Regularly and DiligentlyError!
Bookmark not defined. xx 4.2.3.1.Review of the Disputes Caused by Failure to
Proceed Regularly and DiligentlyError! Bookmark
not defined. 4.2.4. Failure to Remove Defective WorkError! Bookmark not
defined. 4.2.4.1.Review of the Disputes Caused by Failure to
Remove Defective WorksError! Bookmark not
defined. 4.2.5. The contractor bankruptcyError! Bookmark not defined. 4.2.5.1.Review of the Disputes Caused by The contractor
bankruptcy Error! Bookmark not defined. 4.2.6. Assignment or Sub-letting without Consent, Corruption,
unlawful or illegal activitiesError! Bookmark not
defined. 4.3. Different termination clauses between GTC of Iran and PWD
203A (Rev.2010) of MalaysiaError! Bookmark not defined. A. PWD 203A (Rev.2010) of MalaysiaError! Bookmark not defined. 4.3.1. Others dispute caused the termination of contract by
employer
B. Error! Bookmark not defined. Error! Bookmark not defined. GTC of Iran
4.3.2. Delay in payment Error! Bookmark not defined. 4.3.2.1.Review of the disputes caused by delay in
payment
Error! Bookmark not defined. 4.3.3. Delay in mobilization of the siteError! Bookmark not
defined. 4.3.3.1.Review of the Disputes Caused by delay in
mobilization of siteError! Bookmark not defined. 4.3.4. Delay in completion of work more than ¼ Error!
Bookmark not defined. 4.3.4.1.Review of the Disputes Caused by delay in
completion of work more than ¼ of contract time
Error! Bookmark not defined. 4.3.5. Non-performance of the work after eliminating the “Event
of Force Majeure”Error! Bookmark not defined. xxi 4.3.5.1.Review of the Disputes Caused by Nonperformance of the work after eliminating the
“Event of Force Majeure”Error! Bookmark not
defined. 4.3.6. Review of the disputes caused by delay in submission of
Work Program
Error! Bookmark not defined. 4.3.7. Review of the Disputes Caused by Delay in taking over the
Error! Bookmark not defined. site
4.3.8. Review of the Disputes Caused by Bribe or giving gift
Error! Bookmark not defined. 4.4. General strength and weaknesses of PWD 203A of Malaysia and
Error! Bookmark not defined. GTC of Iran
4.4.1. General strengths and weaknesses of PWD 203A (Rev.
2010) of MalaysiaError! Bookmark not defined. 4.4.2. General strengths and weaknesses of GTC of IranError!
Bookmark not defined. 4.4.2.1.WeaknessesError! Bookmark not defined. 4.4.2.2.Strength Error! Bookmark not defined. 4.5. Conclusion
5
Error! Bookmark not defined. CONCLUSION AND RECOMMENDATIONError! Bookmark not
defined. 5.1. Introduction
Error! Bookmark not defined. 5.2. Contractors’ rights to terminate the contractsError! Bookmark
not defined. 5.2.1. Employer’s Refusal to be boundError! Bookmark not
defined. 5.2.2 Preventing Execution of WorksError! Bookmark not
defined. 5.2.2.1.Failure to Supply PlansError!
Bookmark
not
defined. 5.2.3 Failure to Give Possession of the SiteError! Bookmark
not defined. xxii 5.2.4 Failure to Make Interim PaymentError! Bookmark not
defined. 5.2.5 Under-Certification of PaymentsError! Bookmark not
defined. 5.2.6 Interference or Influence of CertifierError! Bookmark
not defined. 5.3 REFERENCES
Recommendations
Error! Bookmark not defined. Error! Bookmark not defined. TABLE OF CASES
Acrow (Automation) Ltd. v. Rex Chainbelt Inc. (1971) 1 WLR
123
1676
Arkitek Tenggara v. Mid Valley [2007] 5 MLJ 697
55
Avery v Bowden [1855] 26 Law Journal Queen’s Bench 3
31
Azad Talashgaran Yaran Khorasan Co v Investment Industrial
99, 111
Sakhteman Niru Co
Ban Hong Joo Mines Ltd v. Chen & Yap Ltd [1969] 2 MLJ 83
125
Black Lake Pipe Line Co. v. Union Construction Co, 538 S.W.2d
52
80 (Tex. 1976)
Brani Readymixed v. Yee Hong [1995] 1 SLR 205 (CA)
125
Carr v. J.A. Berriman (1953) 89 CLR 327
124
Choo Yin Loo v Visuvalingam Pillay (1930) 7 FMSLR 135
37
xxiii Chunna Mal Ram Nath v Mool Chand [1928] 55 IA 154
Cort v Ambergate, Nottingham, Boston and Eastern Junction
35
122, 123
Railway (1851) 17 QB 127
Cory Ltd v. City of London Corp [1951] 2 KB 476 (CA
123
Davis Contractors Ltd. v. Fareham Urban Council (1956)
28
[1956] AC 696
Dawber Williamson (Roofing) Ltd v Humberside Country
58
Council[1979] 14 BLR 70
Dunlop Pneumatic Tyre Co Ltd v Selfridge & Co Ltd [1915] AC
18
847 at 855
Earth & General Contractors Ltd v
124
Farley v Housing & Commercial Devlopments Ltd (1984) 26
102
BLR 66
Felton v. Wharrie (1906) HBC (4th ed.), Vol. 2, P.398 (CA)
124
Foruz Razi zadeh v Mohammad Kamereii
86
Freeth v. Burr (1873-74), 9 CP 208
125
Ganayes Co v Road and Transportation ministry [1992]145,66
109
HGH Co v the office of road and transportation of Zahedan City
107
[2007]63210
Highceed Corp Sdn Bhd v Warisan Harta Sabah Sdn Bhd &
104
Anor [1986] 2 MLJ 241
Hochster case, (1853) 2 E&B 678
122
xxiv Hounslow
Borough
Council
v
Twickenham
Garden
55
Developments Ltd [1979] 7 BLR 81
Islamic Azad University of Bojnord v Beton Shargh Co
92, 110
Kingdom v. Cox (1848) 5 CB 522
122, 123
Kokomewah Sdn Bhd v Desa Hatchery Sdn Bhd [1995] 1 MLJ
93, 100
214
Lim Chon Beng v Pulau Kembar Sdn Bhd [2005] 7 MLJ 180
87
Loke Hong Kee (S) PTE Limited v United Overseas Land
94
Limited [1982] 2 MLJ 83
Ludenham Fidelities v. South Pembrokeshire District Council
125
(1986) 33 BLR 39 (CA)
Majlis Perbandaran Seremban v Maraputra Sdn Bhd [2004] 5
88
MLJ 469
Malayan Flour Mills Sdn Bhd v Raja Lope & Tan Co & Anor
95
[1998] 6 MLJ 377
Maskan e Mehr Co v Almaskaran Co
92, 99,
107
Mersey Steel & Iron Co (1884) 9 App. Cas. 434
30, 122,
124,
125
Metropolitan Water Board v Dick, Kerr & Co. Ltd [1918] AC
29
119
Moschi v Lep Air Services Ltd [1973] AC 331 at 346
18
Mvita Construction Co Ltd v Tanzanian Harbours Authority
49
xxv [1988] 46 BLR 19
Official Assignee v Chartered Industries of Singapore Ltd
96
Pan Ah Ba & Anor v Nanyang Construction Sdn Bhd [1969] 2
35
MLJ 181
Panamena, etc. v. Frederick Leyland & Co. Ltd [1947] AC 428
125
Perini Corporation v. Commonwealth of Australia
(1969) 12
125
Petowa Jaya Sdn Bhd v Binaan Nasional Sdn Bhd [1988] 2 MLJ
96
BLR 82
261
Ramli bin Zakaria & Ors v Government of Malaysia [1982] 2
37
MLJ 257
Rees v. Lines (1837) 8 C&P 126
124
Road and Transportation Ministry v Kofraran Morison Co
112
[1998]29815575
Roberts v. Bury Commissioners (1870) LR4CP 755
Rothmans of Paul Mall (NZ) Ltd v Attorney-General [1991] 2
123, 124
19
NZLR 523 at 328
Salleh Abas F.J. in Sim Chio Huat v Wong Ted Fui [1983] 1
33
MLJ 151
Shahab Afrooz Pooya Co v North Gas Co [2006]89600235
85
Siaphiatoon v Lim Siew Hui [1965] MLJ 305
49
Sir Lindsay Parkinson & Co. Ltd v Commissioners of Works and
29
Public Buildings [1950] 1 ALL ER 208
xxvi Southern Foundaries v. Shirlaw [1940] AC 701
123
Steel & Iron Co. Ltd case, (1884) 9 App. Cas. 434
122
Stirling v. Maitland (1864) 5 B&S 840, 852
123
Suisse Atlantique Societe d’ Armement Maritime SA v NV
31
Rotterdamsche Kolen Central [1966] 2 All ER 61
Sutcliffe v. Thackrah [1974] AC 727
125
Tai Wah Construction Co v Government of Malaysia (Jabatan
97
Kerja Raya Sarawak)[2005] 2 MLJ 442
Thamesa Designs Sdn Bhd v Kuching Hotels Sdn Bhd & 3 Ors
60
[1993] 2 AMR 2083
The office of Roads and Transportation of Ilam v Gardan Pey
101
Co [2000]23/6/10049
Thomas Feather & Co (Bradford) Ltd v Keighley Corporation
26, 103
[1953] 52 Local Government Reports 30
Usaha Damai Sdn Bhd v Kerajaan Negeri Selangor[1995] 5
MLJ 601
West Faulkner Associates v London Borough of Newham [1994]
49, 51,
89
52
71 BLR 1
White & Carter (Councils) Ltd v McGregor [1961] 3 All ER
31
1178
Willment Brothers Ltd v North-West Thames Regional Helth
102
Authority (1984) 26 BLR 51
Yeoh Kim Pong (Realty) Ltd v Ng Kim Pong [1962] MLJ 118
33
xxvii LIST OF TABELS
TABLE NO.
TITLE
3.1
Classification of PWD Forms of Contract
3.2
Termination Clauses in PWD 203A of Malaysia
PAGE
47
48
3.3
General causes of termination in PWD 203A of Malaysia
4.1
Termination clause in GTC of Iran and PWD 203A of Malaysia
49
83
xxviii LIST OF FIGURES
TABLE NO.
TITLE
3.1
Termination process of contracts in GTC of Iran
5.1
Party that committed the breach
PAGE
81
122