Suriyadi Halim Omar J:

The plaintiff is a bank. For purposes of this case, it granted certain overdraft and trust receipt facilities to the 1st defendant, a company owned by the other two defendants who are husband and wife. The offer of the facilities were made vide a letter dated 21 January 1983. (pp. 1-2 Bundle A).

Pursuant to those facilities, the 2nd defendant charged two pieces of property in favour of the plaintiff, namely Lot No 208 Geran No 2769 Kawasan Bandar XXXI and Pajakan Negeri No Pendaftaran 1243 Lot No 176 Pekan Tanjong Kling Section 3. Apart from these two pieces of land charged, the 2nd and 3rd defendants also executed two Continuing Guarantee And Indemnity documents dated 7 November 1983, for the overdraft and the trust receipt facilities respectively. Due to the default in payments by the 1st defendant of both the facilities, and at the request of the 2nd defendant, and also by the subsequent acts of the plaintiff, the charged properties were foreclosed. Later this suit ensued as payments were not forthcoming in resolving the balance of the debts.

Four main points were aired by both parties during the hearing namely:-

1. the issue of demand on the defendant