Telekom Malaysia Berhad (TM) wishes to announce that TM has today received a Writ of Summons and Statement of Claim (Claim) dated 18 March 2019 from Malaysian Football League LLP (MFL) seeking for the following reliefs from TM:

1. A Declaration that the Term Sheet dated 29 January 2018 (Term Sheet) had not expired on 31 October 2018 and is subsisting beyond 31 October 2018;
2. A Declaration that TM had breached the Term Sheet;
3. A Declaration that MFL had lawfully terminated the Term Sheet by way of its Notice of Termination dated 16 March 2019;
4. An Order that TM is liable to pay MFL the amount of RM186,844.00 being the amount due for Season 2018 within seven (7) days of the date of this Judgment;
5. An Order that TM is liable to pay MFL the costs incurred by MFL for the removal of all TM’s unifi marks and/or references to TM from all of MFL’s property and merchandise for the year 2019 within seven (7) days of this Judgment;
6. An Order compelling TM to remove, take down and delete all references of TM as a sponsor or Official Telecommunication and Broadcast Partner of MFL in all TM's materials published or issued by TM or TM’s directors, partners, officers, employees, representatives or agents within forty eight (48) hours from the date of this Judgment;
7. Pre-judgment interest at the rate of 5% p.a. on the amount in prayer (4) and (5) above from 18 March 2019 until the date of the judgment in accordance with section 11 of the Civil Law Act 1956;
8. An Order that TM is liable to pay MFL the amount of RM25,850,000.00 being Payment 1 for the Sponsorship and Broadcast Consideration for year 2019 within seven (7) days of the date of this Judgment;
9. Pre-judgment interest at the rate of 5% p.a. on the amount in prayer (8) above from 2 January 2019 until the date of the judgment in accordance with section 11 of the Civil Law Act 1956;
10. An Order that TM is liable to pay MFL the amount of RM25,850,000.00 being Payment 2 for the Sponsorship and Broadcast Consideration for 2019 on or before 2 June 2019;
11. An Order that TM is liable to MFL the amount of RM376,600,000.00 being the remaining Sponsorship and Broadcast Consideration for years 2020, 2021, 2022, 2023, 2024, and 2025 within seven (7) days of the date of this Judgment;
12. Damages for breach of contract to be assessed by Senior Assistant Registrar;
13. Alternatively, an Order that TM is liable to pay MFL the difference between the total amount of Sponsorship and Broadcast Considerations MFL is entitled to receive from TM under the Term Sheet and any other amount MFL secures in place of the Sponsorship and Broadcast Considerations for years 2020, 2021, 2022, 2023, 2024, and 2025;
14. Post-judgment interest at the rate of 5% p.a. on the judgment sum in prayers (4), (5), (8), (11), (12) and (13) above from the date of Judgment until the date of full and final satisfaction of the Judgment;
15. Costs; and
16. Any further reliefs and/or other Order that the Honourable Court deems fit and proper.

The Claim is not expected to have any operational impact to TM Group. The financial impact, if any, cannot be ascertained at this juncture as it will depend on the outcome of the legal proceedings of the Claim.

TM has instructed its solicitors to take the necessary steps to defend the Claim.

TM shall make further announcement if there are any material developments in respect of this matter.

This announcement is dated 21 March 2019.

Announcement Info