Singapore legislation
Clause 17
Clause 17
Disability of persons in default
(1)
Where a person required to be registered under this Act —
carries on business without a valid certificate of registration; or
fails to furnish any information required under section 12,then the rights of such defaulter under or arising out of any contract, in relation to the business carried on by such defaulter in respect of which no valid certificate of registration is in force or there is non-compliance with the provisions of section 12, made or entered into by or on behalf of such defaulter at any time while he is in default shall, subject to the provisions of subsection (2), not be enforceable by action or other legal proceedings either in the business name or otherwise.
(2)
A defaulter referred to in subsection (1) may apply to the court for relief against the disability imposed by this section and the court, on being satisfied that the default was accidental or due to inadvertence or some other sufficient cause, 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 condition of the costs of the application being paid by the defaulter, unless the court otherwise orders, and on such other conditions, if any, as the court may impose; but such relief shall not be granted except on such service and publication of notice of the application as the court may order, nor shall relief be given in respect of any contract if any party to the contract proves to the satisfaction of the court that, if the provisions of this Act had been complied with, he would not have entered into the contract.
(3)
The provisions of this section shall not prejudice the rights of any other party as against the defaulter referred to in subsection (1) in respect of such contract as aforesaid.
(4)
If any action or proceedings shall be commenced by any other party against the defaulter referred to in subsection (1) to enforce the rights of such party in respect of such contract the provisions of this section shall not preclude the defaulter from enforcing in that action or proceedings, by way of counterclaim, set-off or otherwise, such rights as he may have against that party in respect of such contract.
(5)
In this section the expression “court” means the High Court or a Judge thereof.
(6)
Without prejudice to the powers of the court to grant the relief referred to in subsection (2), if any proceedings to enforce any contract is commenced by a defaulter referred to in subsection (1) in a District or Magistrate’s Court, the District or Magistrate’s Court may, as regards that contract, grant such relief as aforesaid.