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SCL(S) Annual Construction Law Update 2024 (30 Jan 2024)
Introduction
The Event
Mr Melvin Chan shared insights on significant Singapore cases such as Vim Engineering Pte Ltd v Deluge Fire Protection (SEA) Pte Ltd [2023] SGHC(A) 2. This case demonstrated the court’s anxiety to avoid injustice to contractors caused by strict wording requiring an order in writing. Another case of interest was Diamond Glass Enterprise Pte Ltd v Zhong Kai Construction Co Pte Ltd and another appeal [2023] 1 SLR 1451. This case addressed the question of the consequences of termination on liquidated damages.
Mr Simon Hughes KC enlightened us with his talk on English cases, especially Compound Photonics Group Ltd; Faulkner v. Vollin Holdings Ltd [2022] EWCA Civ 1371 where the court emphasised that the interpretation of a “good faith” clause should not be overly broad and must adhere to ordinary principles of contractual interpretation. The court clarified that while the core meaning of good faith is honesty, the duty can extend beyond this depending on the context and agreement terms, and may include conduct considered commercially unacceptable, even if not necessarily dishonest.
The PowerPoint slides from the event containing the full update can be obtained from the resources section of the SCL(S) website.
Click HERE to view more Seminar photos.
Contributed by:
Karthik B - Associate, Pinsent Masons MPillay