Issue:
Can Theresa sue AirMalaysia for her damages because of the flight cancelled?
Law and Application: On the fact Theresa booked the ticket from Kuala Lumpur fly to Melbourne on 1st December 2009 the flight was confirmed and paid, so Theresa was enter into contract with AirMalaysia, but on 1st December 2009 AirMalaysia cancelled the flight and the airline can’t give alternative flight to Theresa, according to contract act 1950 section 40 when a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirely, the promisee may put an end to the contract, unless he has signified, by words or conduct, his acquiescence in its continuance. For example, a singer A enter into a contract with B, the manager of a theatre, to sing at his theatre two night in every week during the next two months, B engage to pay her RM100 for each night’s performance. On the sixth night A wilfully absents herself from the theatre. B is at liberty to put an end to the contract. (Travelsight (M) Sdn Bhd & Anor v Atlas Corp Sdn Bhd - Pursuant to a sale and purchase agreement dated 15 March 1996, the first plaintiff agreed to purchase from the defendant a piece of property known as suite no: 1202, Tower No: B, Wisma Pantai, Kuala Lumpur (hereinafter referred to as the said "property") for the purchase price of