Answer Happy

On 1st January 2019, the government awarded a construction work
for upgrading the sport facilities in Nusajaya Sport Complex (the
project) to ABC Sdn. Bhd via a letter of award dated 1st January
2015. ABC Sdn Bhd appointed AXX Sdn Bhd to become a sub-contractor
to that project. In consideration of that, ABC Sdn Bhd agreed to
pay AXX Sdn Bhd an agreed profit of RM500,000-00 together with the
money which had been advanced by AXX Sdn Bhd to complete the
project. Looking at the good relation between the directors of AXX
Sdn Bhd and ABC Sdn Bhd, both of the companies decided not to
reduce the arrangement into a formal contract. Both parties agreed
to follow all terms and conditions in the letter of award dated 1st
January 2015. However, AXX Sdn Bhd would keep all receipt payment
and locate all its officers and workers to the site of the project
until the project completed. The project successfully completed on
31st December 2019. ABC Sdn Bhd refused to pay a single cent to AXX
Sdn Bhd.
Construct a legal advice to the board of directors of AXX Sdn
Bhd pertaining issues below:
i) The validity of the oral agreement between the parties.

(ii) The possibility of AXX Sdn Bhd to success in claiming the
profit on the project from ABC Sdn Bhd.

(iii) The possibility of AXX Sdn Bhd to success in claiming the
money which has been advanced to complete the project.