Singapore legislation
Clause 31
Clause 31
Disability of persons in default
(1)
Subsection (2) applies where a person (the defaulter) who is required to be registered —
carries on business under a business name without being registered under this Act in respect of that business name;
carries on business under a business name —
after the person’s registration in respect of the business name has been cancelled and has not been restored under section 24; or
after the person’s registration in respect of the business name has ceased and has not been restored under section 24; or
fails to lodge any notice required under section 19(1) or 20(1) or (3).
(2)
Subject to subsections (3) and (4), the defaulter may not enforce by action or other legal proceeding (whether in the business name or otherwise) any right under or arising out of any contract in relation to the business carried on by the defaulter under the business name if the contract was made or entered into by or on behalf of the defaulter at a time when —
the defaulter was not registered as carrying on business under the business name;
the defaulter’s registration under the business name had been cancelled or had ceased, and has not been restored under section 24; or
the defaulter was, in respect of the defaulter’s registration under the business name, in breach of section 19(1) or 20(1) or (3).
(3)
A defaulter under subsection (2)(b) is not prevented from enforcing any right referred to in subsection (2) if the defaulter’s registration under the business name is restored under section 24.
(4)
The defaulter may apply to the court for relief against the disability imposed by this section.
(5)
The court, on being satisfied —
that the default was accidental or due to inadvertence or some other sufficient reason; or
that on other grounds it is just and equitable to grant relief,may grant such relief either generally, or as respects any particular contract, on such conditions (if any) as the court may impose.
(6)
This section does not prejudice the rights of any other party as against the defaulter in respect of a contract mentioned in subsection (2).
(7)
If any action or proceedings is commenced by any party against the defaulter to enforce the rights of the party in respect of a contract referred to in subsection (2), this section does not prevent the defaulter from enforcing in that action or proceedings, by way of counter-claim, set-off or otherwise, such rights as the defaulter may have against that party in respect of that contract.
(8)
In this section, “court” means any court before which proceedings to enforce a contract referred to in subsection (2) are commenced or before which an issue relating to subsection (2) arises.