Wan Hamzah SCJ:

The respondent in this appeal (to whom we shall refer as the plaintiff company) was running an insurance business and appointed the First appellant (to whom we shall refer as the First defendant) as an agent in the insurance business under the terms and conditions contained in an agency agreement which they executed on 13 November 1979. In January 1981 the plaintiff company brought an action in the Sessions Court against the First defendant claiming a sum of RM18,708.60 being outstanding premium, particulars of which had allegedly been given to the First defendant. The Second appellant (to whom we shall refer as the second defendant) was joined as a co-defendant on the premise that he was the guarantor for the First defendant. Both defendants contest the claim and in their Statement of Defence they contend as follows:

(a) the First defendant had not been supplied with the particulars of the claim;

(b) upon a proper construction of the relevant agreement entered into by the First defendant with the plaintiff company the claim was without basis;

(c) the alleged guarantee by the Second defendant is illegal, inoperative and of no effect.

As regards (b) no facts