In a statement today, Lee panned Selangor infrastructure and agriculture committee chairman Izham Hashim for his announcement that the project, cancelled in April, might be back on the agenda.
“I am shocked that the PJD Link, together with six other highways, is now again under consideration by the state government.
“It contravenes the federal government’s decision on April 17 that the concession be discontinued,” he said.
In April, communications minister Fahmi Fadzil said the Cabinet had decided not to continue discussions with the PJD Link developer after it failed to fulfil certain conditions to enable the concession agreement to take effect.
Lee recently asked in Parliament whether the government would be required to pay compensation for cancelling the project.
In a written reply yesterday, works minister Alexander Nanta Linggi said the Attorney-General’s Chambers was of the opinion that the government may not be able to stop the concessionaire from submitting a claim under Section 71 of the Conracts Act 1950 based on the quantum meruit principle.
Under Section 71 of the Act, a person may be liable to compensate another for work done for his benefit.
In law, the “quantum meruit” principle allows a person to claim a reasonable sum of money as compensation for work done and services rendered if the amount payable is not stipulated in a contract.
However, Lee argued that the developer has no basis to make any such claim.
“When a party does not fulfil conditions precedent to the contract through its own inability to comply after several extensions, there is no obligation to pay any quantum meruit,” he said.
In the interests of transparency, Lee urged the government to declassify part of the agreement to allow for an assessment of the legal and financial impact of the project’s discontinuance on the government.
Meanwhile, Muda urged the government to hold a town hall meeting with residents and stakeholders before making a final decision on the PJD Link.
Muda central executive committee member VKK Raja also called for the social, environmental and traffic impact assessment reports to be made public.
The documents are presently classified under the Official Secrets Act.
In July 2023, the Kuala Lumpur High Court granted four Petaling Jaya residents leave to pursue a legal challenge to obtain the documents.
“Muda reiterates its stern opposition towards the PJD Link project and urges the government to prioritise the concerns of residents over the interests of developers,” Raja added in a statement.