Suffian bin Abdul Jalil Nas Aryadi bin Nasrah

Suffian bin Abdul Jalil Nas Aryadi bin Nasrah

Court affirmed Sessions Court: where partners operated a partnership without written agreement, Partnership Act 1961 applies; sale proceeds of the partnership business and assets are partnership property and should have been applied to repay partnership debts, entitling the Plaintiff to half the proceeds; appeal dismissed.

Citation
JA-12BNCvC-20-09/2019 (Mahkamah Tinggi)
Parties
Perayu/defendan (appellant/defendant): Suffian bin Abdul Jalil; Responden/plaintif (respondent/plaintiff): Nas Aryadi bin Nasrah
Court
High Court
Jurisdiction
Malaysia
Judgment Date
29 June 2020
Case Number
JA-12BNCvC-20-09/2019 (Mahkamah Tinggi)
Procedural Posture
Civil Appeal (high Court) / Judgment on Appeal From Sessions Court Decision
Outcome
Appeal dismissed
Legal Topics
Partnership Act 1961, Liability of Partners for Partnership Debts, Sale of Partnership Assets, Distribution of Sale Proceeds, Costs
Source Language
Malay/English
Partnership Law Contract Law Equity Civil Procedure Partnership Act 1961 Liability of Partners for Partnership Debts Sale of Partnership Assets Distribution of Sale Proceeds +1 more

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Parties

Suffian bin Abdul Jalil

Perayu/defendan (appellant/defendant)

Nas Aryadi bin Nasrah

Responden/plaintif (respondent/plaintiff)

Procedural Posture

Civil Appeal (high Court) / Judgment on Appeal From Sessions Court Decision

Legal Issues

  1. 1 Whether proceeds from sale of the partnership business and assets constituted partnership property
  2. 2 Whether partners remained jointly liable for the PUNB loan after one partner ceased active participation
  3. 3 Whether sale proceeds should have been applied to pay partnership loan and whether plaintiff was entitled to half of proceeds

Ratio Decidendi

Court affirmed Sessions Court: where partners operated a partnership without written agreement, Partnership Act 1961 applies; sale proceeds of the partnership business and assets are partnership property and should have been applied to repay partnership debts, entitling the Plaintiff to half the proceeds; appeal dismissed.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed and Sessions Court judgment affirmed
  • Perayu/Defendan to pay Responden/Plaintif costs of RM5,000.00 (subject to taxation)