JUDGMENT

Wong Kian Kheong JCA:

A. Introduction

[1] The above two appeals (2 Appeals) discuss, among others, a novel question, namely, after an employer of a construction project (Employer) has entered into a consent judgment with the project's main contractor (Main Contractor) regarding their dispute concerning the works in the project, can the Employer lawfully issue to the Main Contractor a "variation order" in respect of the same works?

B. Background

[2] For ease of reference, we shall refer to parties as they were before the High Court.

[3] By way of a "Letter of Award" dated 6 May 2003 with the title "Cadangan Kerja-Kerja Penanaman dan Penyelenggaraan Spesies Pokok Hutan Termasuk Kerja-Kerja Infrastruktur dan Landskap untuk Taman Rimba Alam di Presint 14 & 15, Wilayah Persekutuan Putrajaya Untuk Perbadanan Putrajaya" (LA), the defendant (Defendant) accepted the tender from the plaintiff company (Plaintiff) to perform certain works (Works) in a project (Project) at a price of RM58,757,209.25 (Tender). According to the LA, among others -