Best Contractual Disputes Lawyers in Georgetown (2026)
Compare contractual disputes law firms in Georgetown. Every firm below is listed on the Malaysian Bar's legal directory.
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Contractual Disputes law in Georgetown
Contractual disputes cover breach of contract claims — unpaid invoices, failure to deliver, defective performance, and disputed liquidated-damages clauses. Malaysian contract law is codified in the Contracts Act 1950: section 74 sets what loss is recoverable, and section 75 governs damages clauses. The firms below handle contractual disputes in Georgetown, Penang.
Common questions
What compensation can I claim for a breach of contract in Malaysia?
Section 74 of the Contracts Act 1950 allows compensation for loss that naturally arose from the breach, or that both parties knew was likely when they made the contract. Loss that is too remote or indirect cannot be claimed.
Is a liquidated-damages clause enforceable in Malaysia?
Yes. Unlike English law, Malaysia does not distinguish between a 'penalty' and 'liquidated damages' — section 75 of the Contracts Act 1950 lets the court award reasonable compensation not exceeding the amount named in the contract. Following the Federal Court's 2019 Cubic Electronics decision, the party seeking to enforce the clause does not always need to prove actual loss; the burden shifts to the defaulting party to show the sum is unreasonable.
What is the deadline to sue for breach of contract in Penang?
Six years from the date of the breach, under section 6(1)(a) of the Limitation Act 1953 — the same national limitation period that applies in every state, including at the courts based in Georgetown.