PEMIUTANG PENGHAKIMAN RHB INVESTMENT BANK BERHAD PENGHUTANG PENGHAKIMAN AHMAD AKMAL BIN HAMZAH

Parties

Procedural Posture

Bankruptcy Appeal / Decision on Consolidated Appeals (grounds of Judgment)

Legal Issues

1. 1 Whether the consent order constituted a final judgment for purposes of issuing a Bankruptcy Notice under IA s.3(1)(i)
2. 2 Whether the Settlement Agreement and Supplemental Settlement Agreement varied or discharged guarantors' liability under the Guarantee and Contracts Act ss.87/88/92/94
3. 3 Whether the Bankruptcy Notice was defective or ambiguous (particularisation of interest and computation)

Ratio Decidendi

The consent order constituted a final and enforceable judgment for purposes of issuing a Bankruptcy Notice; the Settlement Agreement and Supplemental Settlement Agreement did not vary or discharge the guarantors because the Guarantee contained express clauses contracting out of ss.87/88/92/94 of the Contracts Act and the JC consistently reserved rights against guarantors; the BN was sufficiently particularised and any minimal excess interest allegedly beyond limitation did not reduce the claim below statutory threshold; and s.5(4) required exhaustion of execution against the principal debtor only and there were no further modes to exhaust, so the creditor was entitled to proceed and leave...

Court Disposition

Appeals by the judgment creditor allowed; prior SAR decision set aside.

Orders

• Appeals in Encls 37 and 38 in Bankruptcy 1069 allowed with costs
• Similar orders in Bankruptcy 1070 (Encls 41 and 42) allowed with costs