QUESTION 1 (25 MARKS)

a.

Mr. Coconut and Mr. Papaya are best friends. Both of them involved in business of supplying glass materials. In order to protect themselves, they entered into an agreement to share profit and loss in their business. The word used in the agreement was 'group' as both of them are responsible to one another and act as an agent for their business.

After five years together under the business name known as Brotherhood Glass Group, Mr. Coconut decided to sell glass materials all by himself and solely gain profit by his own. Mr. Papaya disagreed as he claimed that their agreement is considered as a partnership agreement. Thus, both of them are bound to the agreement as a partner.

On the other hand, Mr. Melon who worked as a lorry driver claimed that he is a part of the business and should be considered as a partner. Mr. Melon in the opinion that his salary amounted of RM1,000 per month is not enough, thus he should be entitled to obtain profit gain by Brotherhood Glass Group.

Advise Mr. Coconut, Mr. Papaya and Mr. Melon as to their status in Brotherhood Glass Group. In the course of your answer, advise the party the correct method to dissolve the partnership agreement (if any). Support your answer with the provisions in Partnership Act 1961 and decided cases (if any).

b.

Harry owns a book store named Ulat Buku Enterprise where he supplies revision books to schools and tuition centers. As a precaution, he took an insurance policy protecting his store against fire with Panas Insurance Company. In his application for the fire insurance, Harry stated that the store is used as a florist shop. One day, a fire broke out in Harry's shop. The investigation found out that the fire was caused by an explosion of fifty huge gas cylinders which were stored in the shop.

Advise whether Panas Insurance Company is liable to pay compensation under the insurance policy. In the course of your answer, explain the nature of a contract of insurance. Support your answer with the provisions in Financial Services Act 2013 and decided cases (if any).

QUESTION 2 (20 MARKS)

On 15th June 2021, Nobita, a fresh graduate from UNISEL plans to set up his own online business via social media platforms. He would like to have a small office at home where he can handle his customer orders efficiently. Thus, he agreed to buy from Giant a photocopy machine which Nobita had not seen and solely based on Giant descriptions. Giant told him that the photocopy machine was new the previous year and was represented to have only been used for two months

As Nobita wants to use the photocopy machine urgently, both of them agreed that the photocopy machine must be delivered to Nobita's house on 20th June 2021. Unfortunately, Giant forgot the delivery date and only be able to deliver the photocopy machine to Nobita's house on 22nd June 2021. Nobita is very disappointed when he received the photocopy machine as it is very old and have some cracks on it. He plans to return back the photocopy machine to Giant.

On the other hand, in order to ensure that his office is complete to function, Nobita goes to a furniture shop owned by Suneo to buy an office table for the price of RM500. After paying for the table, Nobita asked Suneo to keep the table in his shop since he needs to attend a meeting with his potential client. One hour after that, Shizuka dropped by at the shop and interested to buy the table that Nobita had bought. Suneo sold the table to Shizuka for RM600. Shizuka claimed that she received a good tittle over the table because she does not have any idea that Suneo does not have a tittle over the table.

Based on the situation above:

a.

Advise Nobita whether he can repudiate his contract with Giant and suggest the suitable remedies that can be claimed by Nobita in this situation. Support your answer with Sale of Goods Act 1957 and decided cases (if any). (15 marks)

b.

Advise Nobita whether he can transfer a good tittle of the office table to Shizuka. Support your answer with Sale of Goods Act 1957 and decided cases (if any). (10 marks)

QUESTION 3 (25 MARKS)

a.

Anna, a 16 years old brilliant student was awarded a full scholarship by Frozen Company to pursue her bachelor degree at Universiti Selangor. In the scholarship agreement, it stated that Anna needs to complete her degree on time and works with Frozen Company for 2 years upon graduation.

During her final year, Anna faces financial difficulty where she needs to work as a part time promoter in order to pay for her study fees. In the employment agreement with her employer, Anna represented herself as 21 years old.

Due to her work commitment, Anna failed to attend many classes and was barred from sitting for final examinations. She been advised by the university to extend her study for two semesters. As Anna fails to graduate on time, Frozen Company plans to sue Anna for a breach of the scholarship agreement. A few months later, Anna's employer terminated her service and claimed that the employment agreement was void as Anna was still a minor.

Advise Anna on the validity of her scholarship and tenancy agreement. Support your answer with Contracts Act 1950 and decided cases (if any). (15 marks)

b. Mr. Didi is the owner of Rich Development, a developer company. He appointed Mr. Jojo by express appointment as his agent to find a suitable land for his latest housing development project. It was agreed between the parties that Mr. Didi will pay RM10,000 to Mr. Jojo as commission upon completion of the transaction.

Later on, Mr. Jojo met Miss Nana who owned a piece of land at Kuala Selangor. Mr. Jojo entered into a contract with Miss Nana on behalf of Mr. Didi to purchase the land with the price of RM800,000.

Recently, Mr. Didi found out that the market price for a piece of land around that area is just RM600,000. He also found out that Mr. Jojo had received secret commission amounted to RM50,000 from Miss Nana while negotiating the contract on his behalf. As a result, Mr. Didi suffered a loss.

Explain to Mr. Didi as to his rights and duties arising from his contract with Mr. Jojo. In the course of your answer, advise Mr. Didi whether he can sue Mr. Jojo for a breach of contract. Support your answer with Contracts Act 1950 and decided cases (if any). (10 marks)

QUESTION 4 (25 MARKS)

KUALA LUMPUR: Young people will strengthen democracy in Malaysia with their energy and intellect when they are given the opportunity, space and voice to join hands in shaping the nation through elections, Tun Dr Mahathir Mohamad said today.

The Prime Minister said that it is for this reason that the government proposes for Malaysia to lower to 18 years the age of eligibility to vote and to be an electoral candidate. He was tabling the Constitution (Amendment) Bill 2019 for second reading in the Dewan Rakyat. Dr Mahathir said that, in general, the political awareness among youths has increased, with their looking forward in terms of thinking and maturity in line with the progress of the country.

"These people are exposed to extensive information, mass media influence and advancement of information technology, which make them smart, mature in their thinking, self-reliant and more informed.

"The government now believes they can balance the need to acquire knowledge and skills with political awareness and responsibility to carve a brighter future for the country," he said, adding that this is in line with the government's desire to create responsible citizens.

Besides reducing the voting age and age limit for election candidates to 18 years, the amendments to the Federal Constitution also proposed that they be automatically registered as voters by the Election Commission (EC).

The Prime Minister said that since the transition of government in May last year, the country continued to be peaceful and stable enabling the amendment and abolition of oppressing laws to be implemented.

"I urge that we ensure the approval of the amendments by giving the majority support or more than two-thirds and create a new Malaysian history," said Dr Mahathir who appealed for the support of the 222 MPs.

The Constitution (Amendment) Bill 2019 to lower the age of eligibility to vote and to be an electoral candidate to 18 years was tabled for the first time on July 4 before withdrawing it on July 10 to insert the amendment concerning the automatic registration of voters and reducing the age limit for electoral candidates.

Retrieved from The Sun Online: Published on Tuesday July 16, 2019

a.

From the above newspaper cutting, discuss the authority bodies that practised by Malaysian government as to ensure the parliamentary democracy within Malaysian legal system. In the course of your answer, give your opinion as to the proposal made by the government in the above situation. (15 marks)

b. Explain the necessary steps that need to be observed by the government in order to enforce the proposal to become a legislation. (10 marks)