Print
    17 May 2012| last updated at 10:22PM

    High Court orders UUM to pay KIC Management RM3.7 million



    0 comments

    ALOR SETAR: Universiti Utara Malaysia (UUM) was ordered by the High Court here today to pay about RM3.7 million to KIC Management Sdn Bhd (KIC) for breach of agreement.

     

    Justice Datuk Mohd Azman Husin, in his ruling, also ordered KIC to pay UUM RM200,000 in a counter-claim filed by the university for the company's failure to pay the necessary fees as agreed in a memorandum of agreement, dated Sept 1,2008. KIC Management, in its statement of claim, stated that UUM had cancelled a joint agreement with it to run a Master of Business Administration (MBA) programme, starting June 1, 2009.
     
    The company claimed that under the agreement, signed on Sept 1, 2008, UUM had agreed to outsource the MBA programme to KIC, while KIC was to provide the infrastructure and participants at a faculty owned and provided by the company or its agents in Kulim.
     
    The programme was for five years, from Sept 1, 2008 to Aug 31, 2013.
     
    However, UUM, in a letter dated May 18, 2009, cancelled the agreement, which KIC claimed, was a breach of the agreement which required the party wanting to terminate the contract to give six months written notice and after the students from the last intake had completed the programme.
     
    As a result of that, KIC claimed that it suffered losses of RM424,860 inbalance of study fees still owed by students who had not completed the programme and  RM3.27 million in profit or earning for the duration of the agreement from June 1, 2009 to Aug 31, 2013.
     
    KIC Management was represented by counsel C.V. Devan while UUM was represented by counsel Nadzarin Nordin. -- BERNAMA

    Leave Your Comment


    Leave Your Comment:

    New Straits Times reserves the right not to publish offensive or abusive comments and those of hate speech, harassment, commercial promos and invasion of privacy. Your IP will be logged and may be used to prevent further submission.The views expressed here are that of the members of the public and unless specifically stated are not those of NST.