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Breach of Scholarship Contract

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asked on Aug 2, 2013 at 20:45
by   DoneOrToast
I entered a scholarship contract in the year 1995, and one of the terms of the contract was that I had to serve my sponsor in a suitable position for seven years upon graduation. In 1999, I graduated and obtained an assistant scholarship from the university I attended. I was granted, in three occasions, contract extension by my sponsored until I graduated with a PhD. in engineering in 2004.

I attended an interview by my sponsor after graduation and was offered a job as an executive in training with a monthly salary of RM1900. I could not accept that position because I thought it did not match my qualification, and I was already 27 years old then--it was too hard for me to take such position at such an age. Therefore, I called up the HR of the company to discuss my case, but the HR personnel, whose name I had forgotten, asked me to breach the contract if I did not agree with the offer. Subsequently, I did not report for duty.

In 2006, they wrote to me asking for compensation, alleging that I had breached the contract. I did not admit to the liability, but had offered to pay up, because there were no other options for me. I was afraid of being dragged to court, so I asked if I could made payment in installment and they agreed with the arrangement. It would be foolish if I thought I could sue them into giving me an appropriate job.

The total amount I owed them was over RM100k, and till now I had paid more than half of that amount. I had been very dutiful the first few years in my payments, but the demands of life (the need to get married, having a family, owning a house, etc.) soon made it quite impossible to pay duly.

A few months ago, they decided to issue a writ for claim of interest on the amount I still owe them. I called them up and told them not to drag me to court as I would be willing to pay what I had (I actually paid them RM13k after they issued the writ). But they insisted on seeing me in court.

So, I drafted the Statement of Defence myself. The triable issues are two folds: 1) the plaintiff did not offer me a suitable position, and 2) the plaintiff committed misrepresentation because the contract was worded in such a way that it was not explicit if the plaintiff shall consider the FINAL qualification attained by the scholarship recipient, and had drafted one letter of contract extension that sounded like they would. They served me an answer. The court fixed a date for hearing (Sept 12) and asked the plaintiff to prepare the document bundle (by Sept 5). I believed, although I was not too sure, that the court had asked us to "swap" documents--I believe she wanted us to inspect all documents before filing them in a single bundle and agreed on their classifications (A, B and C).

This is where I am. So, I prepared a list of relevant documents (with title, description, makers and date) and emailed them. They replied that they were in the process of applying for Summary Judgment (O14).

My questions are:
1) Do I wait for their filing of application before I could do anything about the document bundle? All my documents are ready. I don't know if I shall wait for their application for O14.
2) I know that I need to write an affidavit in reply when I receive their application notice and their affidavit. But I don't know the sequence of event. Do I file my affidavit in reply immediately after receipt? Is there going to be an O14 hearing? I understand the court can reject their application. But how am I supposed to know that?

Thank you for your kind help. I have no one to turn to.
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7 Answers

answered on Aug 3, 2013 at 16:27
by   notalawyer
1) Do I wait for their filing of application before I could do anything about the document bundle?
The document bundle is for the full trial.
But since the plaintiffs want to avoid full trial by going for Summary Judgement, the document bundle is not so important anymore.  You can ask the Judge to set a new date to file the document bundle after you manage to kill their application for summary judgement.

All my documents are ready. I don't know if I shall wait for their application for O14.
Wait for their application for Order 14.

2) I know that I need to write an affidavit in reply when I receive their application notice and their affidavit. But I don't know the sequence of event. Do I file my affidavit in reply immediately after receipt?
Yes, within 14 days of receiving their application and affidavit, preferable earlier.

Is there going to be an O14 hearing?
Yes.

I understand the court can reject their application. But how am I supposed to know that?
The court will only reject their application if you manage to show ( in your affidavit ) either that
a. there is a need to go to full trial ( with witnesses ) or
b. your chances of winning at full trial is very high
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answered on Sep 11, 2013 at 14:25
by   DoneOrToast
Thank you lawyerment.

I am a bit confused now. I sent in an affidavit in reply, and was called to the court on Aug 29. I was told that it was supposed to be a Hearing. But at that "Hearing", I did not see the judge, but the Jurubahasa told the Plaintiff to send an affidavit in reply to my affidavit by Sept 5, and I could then send in a further affidavit in reply to the Plaintiff's reply.

Both parties were also instructed to do the written submission by Sept 12. I have already sent in mine (and my further affidavit in reply). In fact, the Plaintiff requested a copy of my further affidavit in reply, and I had sent them via email.

At the court on Aug 29, the jurubahasa told me that if their application for Summary Judgment was successful, we would meet in the court on Sept 19. Otherwise, we would meet on Oct. 10.

Anyway, I have a few questions on the document bundle.
1) If the court sets the document bundle filing date on 05.09.2013, jointly filed by the Plaintiff and the Defendants (but Plaintiff is to do the filing in the court), can the Plaintiff show their pile of documents to the Defendants only on the 04.09.2013 afternoon? That was what happened to me.
2) If the Plaintiff missed out on the Defendants’ documents, and also some of the documents useful for the Defendants’ in their own pile during the filing, what are the proper action of complaint from the Defense? What is the Kaedah Mahkamah for such complaint? The Defense can prove that those documents have been well-received by the Plaintiff way in advance of the document bundle filing date. And the document pile from Plaintiff was revealed to the Defense half a day before filing.
3)  Per item 2, if the Defense would like to add those documents (both from the Defense pile and from the Plaintiff pile) into the document bundle (whose deadline is over), will it open up the opportunity for the Plaintiff to add documents? This is because the Defense does not want to let the Plaintiff add any more documents undisclosed before the filing dates, but only want those documents disclosed by the filing date to be included.
4) The Plaintiff had asked the defense to consider adding an extra bundle. Can the defense say no, and on what ground?
I think there is something very wrong with the way the Plaintiff lawyer is handling the case. And I don't know if I have to write an affidavit, or just a letter of complaint to the court.

Thank you again for your advice.
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answered on Sep 11, 2013 at 21:37
by   DoneOrToast
This is what the Plaintiff lawyer told me via email.

We can file the Witness Statement and Additional Common Bundle after the decision of Summary Judgment (19.9.2013). She (the interpreter) said we can do so as the date for full trial is on 10.10.2013, and it will not affect the defense or fair and proper trial. In addition, the Court will give priority to the interlocutory application first.

So, do I need to go to court on 19.9.2013? I feel so stupid, because I need to ask the Plaintiff lawyer about this

One more question: The Plaintiff has cited three cases in their written summary:
a) United Malaysan Banking Corporation Berhad vs. Vegetable Oils (M) Sdn. Bhd. & Ors: for Summary Judgment on clear cases
b) Orix Factoring Malaysia Sdn. Bhd. vs. E-Furnishings International Sdn. Bhd. & Ors: for justifying their claim because I did not object to their "account statement" which they served me only twice so far, within the last 7 years (started payment in 2006). That my payment is an estoppel to my right to deny their claim.
c) Bank Negara Malaysia v. Mohd. Ismail Ali Johor & Ors: For having admitted his liability (I have read this case before. I have said that I owed them money, but I have never said that I was the cause to the breach of contract. I never said I was responsible for the breach. What I said to the Plaintiff was, in essence, since you do not want to give me a proper job, I will pay up to avoid going to court with you.)

Thank you.
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answered on Sep 13, 2013 at 17:11
by   DoneOrToast
I left my question hanging, didn't I?

I think I would like to hear an honest answer to whether I will have a chance in the case (I will know it on 19.09.2013), and whether there are cases you know which can help support the Defense.

If brief snapshots of written summaries by both Plaintiff and Defense will help, and if there is a NotALawyer here who can help, I will put more info on this thread.

I think this Forum is awesome. It has helped me to come this far. Even if I lose, I thank everyone here for posting your samples of affidavit and written summary. Without these, I would have lost the case very early on.

Thank you again.
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answered on Feb 22, 2014 at 00:18
by   voisbornn
Generally, We can follow the rules as per the breach of scholarship contract. But, You have already paid half of the amount, So You may have a chance to come out of the job and joined in a new job as per your qualifications and pay the amount to the sponsor in instalments.
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answered on Feb 24, 2014 at 20:09
by   bretttrembly
A breach of contract occurs when one party fails to perform any term of a contract without a legitimate legal excuse. Because a legitimate legal excuse can negate a party’s obligation to perform under a contract, it is important to assess responsibility carefully, before filing a lawsuit for breach of contract.
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answered on Oct 1, 2014 at 05:15
by   Jack
Do u win the court case in the end.
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