Guarantors

Question 1

Under Section 20A of the HPA,

Answer 1

an owner may require a hirer to prove a guarantor(s) to guarantee the performance of the hirer’s obligations under the HPA.

Question 2

A guarantee is void and of no effect unless it is executed by the guarantor in the presence of a…

Answer 2

Magistrate, Commissioner for Oaths or a Notary Public under Section 22 of the HPA.

Question 3

What was established in the case of Su Chii Leong v Orix Credit Malaysia?

Answer 3

The purpose of executing a guarantee in the presence of so and so is to ensure that the guarantor understands the true purport and effect of the agreement.

Question 4

Rights of the guarantor against the owner is provided under…

Answer 4

Sections 23(1) and 23(2) of the HPA.

Question 5

Rights of the guarantor against the hirer is provided under…

Answer 5

Sections 24(1) and 24(2) of the HPA.

Question 6

Section 25 states that…

Answer 6

the guarantor is prohibited from seizing goods unless the owner has assigned the right of repossession to the guarantor.