Mahawaduge Priyanga Lakshitha Prasad Perera vs. China National Technical Import and Export Corporation – SC APPEAL 25/2021-2024

In the case between Mahawaduge Priyanga Lakshitha Prasad Perera (sole proprietor, “Trading Engineering and Manufacturing Company”) and China National Technical Import and Export Corporation, the Supreme Court addressed the validity of a disputed sub-contract (“P2”), with central issues concerning the appellant’s contractual capacity as a sole proprietor, the effect of a misdescription in the contract, the presence of mutual consent, and the application of res judicata from a prior arbitral award. The holding affirmed that, due to lack of proper capacity and the absence of consensus ad idem, the sub-contract was void ab initio, and further action was precluded by the finality attached to the arbitral tribunal’s earlier decision. The decision was grounded on core contract law doctrines and s