Amy owns a large house near the site of the 2006 Commonwealth Games athlete's village being built in Bukit Jalil. Amy has been approached by an American Television Network to lease her house for RM40, 000 for the duration of the games and agrees to give them access to the house from the 1st March. She decides to redecorate her house and obtains several quotations. Amongst the detailed instructions was that the work must be finished by 28th February 2006. Amy awards the redecorating contract to Pick-a-Colour Ltd who looked on the job as a renovation for Amys personal satisfaction. Amy does not tell them the real reason for the redecoration or the importance of the finishing date. She is afraid that other large householders may persuade the TV Company to rent their house instead. Pick-a-Colour badly underestimates the time to complete the works, finishing in April, 2006 resulting in Amy losing the RM40, 000 lease contracts with the American Television Network.

Amy consults you for advice. Can she successfully sue Pick-a-Colour for her RM40, 000 losses due to their breach of contract? Advise Amy.

(Corporate Business Law )