The Finance Company (Pvt) Ltd vs Warnakulasooriya Kalugamage Francis Salis Fernando – CA NO. 922/96 F-2011

In the case between The Finance Company (Pvt) Ltd (plaintiff) and Warnakulasooriya Leo Herbert Ranjith Fernando (defendant-appellant) and others, the issue concerned the liability of the 2nd defendant, as guarantor under a hire purchase agreement, for sums due to the plaintiff. The findings established that the agreement was validly executed and the statutory requirements were met. The defence of lack of consideration and allegations regarding improper explanation of the agreement were found to be unsupported by evidence. The court reaffirmed that failure by a guarantor to present evidence or challenge the validity of an agreement at trial precludes reliance on such defences at the appellate level, applying relevant statutory provisions regulating hire purchase agreements and principles of