Kejuruteraan Bintai Kindenko Sdn Bhd v Nam Fatt Construction Sdn Bhd [2011]

Kejuruteraan Bintai Kindenko Sdn Bhd v Nam Fatt Construction Sdn Bhd [2011]

The Appeal Court held that the High Court had acted correctly in the granting of an injunction preventing the call on a demand as the plaintiff had demonstrated unconscionability.

The Important points to note are:

The Injunction application can only be successful against the party calling on the bond and not the bank or financial institution preventing them from paying out on a demand.

That the Court held that the actions of the party calling on the bond clearlydemonstrated a lack of faith which amounts to unconsionable conduct.

Kejuruteraan Bintai Kindenko Sdn Bhd v Nam Fatt Construction Sdn Bhd [2011]