WorksheetsHire purchase
Total questions: 15
Worksheet time: 1hrs 6mins
An owner can repossess the goods from the hirer if:
if the hirer pays two days late
the hirer fails to pay the first payment
the hirer fails to pay two successive installmenmts
upon the hirer's death, the personal representative fails to pay two successive installments
Before the owner can repossess the hire purchase goods from the hirer, the owner must
serve a 4th schedule notice after the default of the last installments
serve a 4th schedule notice after 2 successive defaults of the monthly installment
serve a 2nd schedule notice after 2 successive defaults of the monthly installments
serve a 4th schedule notice after 3 successive defaults of the monthly installments
For goods not listed in the First Schedule of the Hire-Purchase Act 1967, the law which applies is:
special law
common law
rules of equity
customary law
constitutional law
Under the Hire-Purchase ACt 1967, which one of the following is not one of the hirer's rights?
To appropriate payment
To determine the hiring
To be supplied with the relevant documents and information
To assign his right, title and interest without the owner's consent
Which of these statements is NOT TRUE regarding a hirer's right to early completion under a hire purchase agreement?
The hirer has a right to early completion by service of written notice to the owner
The hirer may apply to the High Court if the owner refused to give consent for early completion
The hirer can exercise the right to early completion after the owner has repossessed the goods
The right to early completion can be exercised at any time during the continuance of the hire purchase agreement
Under section 16(1) of the Hire Purchase ACt 1967, the owner may repossess goods
after the service of the fifth schedule notice
after the service of the third schedule notice
after the service fourth schedule notice
after the service of the second schedule notice
A hire purchase agreement consists of the following elements EXCEPT
deferred payment
full payment in cash
scheduled payment
payment by installments
The parties to a hire purchase agreement are____________
the owner and the hirer
the buyer and the seller
the owner and the seller
the buyer and the agent
What is the effect of a hire purchase agreement which is made verbally?
Void
Valid
Voidable
Enforceable
When entering into a hire purchase agreement, the owner must do the following EXCEPT
prepare the agreement in writing
ask the hirer to sign a complete document
include mandatory provisions in the agreement
serve on the hirer the form set out in the Fifth Schedule
Before the formation of a hire purchase agreement, the owner is under a duty to serve to the hirer_______________.
Part I of the First Schedule Notice
Part II of the First Schedule Notice
Part I of the Second Schedule Notice
Part II of the Second Schedule Notice
State the various types of goods covered by the Hire-Purchase Act 1967. (8 marks)
What are the rights and liabilities of a guarantor under a hire-purchase agreement? (8 marks)
Determine the legal position in the following situations with reference to the Hire Purchase Act 1967:
Nazri bought a sofa from Elegant Furniture under a hire purchase agreement for RM7,000 and payable in 24 m,onth installments. A year later, Nazri's father passed away and left him RM10,000. Nazri decided to settle the balance under the hire purchase agreement and informed ELegant Furniture about it. However, Elegant Furniture demanded that Nazri pay a penalty of RM500 for doing so. (7 marks)
Determine the legal position in the following situations to the Hire Purchase Act 1967:
Ah Lan entered into a hire-purchase agreement with Easy Pay Finance for the purchase of a television set at the price of RM3,800. The agreement was made in the chinese language and printed with blue coloured ink. (8 marks)
