In relation to the right to impose liquidated damages (“LDs”) for a terminated contract, the UK Supreme Court endorsed the “orthodox analysis” in the case of Triple Point Technology, Inc v PTT Public Company Ltd [2021] UKSC 29. The relevant contractual provision stipulates the contractor’s liability for liquidated damages “from …
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Court of Appeal clarifies applicability of s.17(2A) of the SOP Act to liquidated damages (or does it)?
In Range Construction Pte Ltd v Goldbell Engineering Pte Ltd [2021] SGCA 34, the Court of Appeal dismissed the Appellant’s appeal against the decision of the High Court and upheld the Judge’s finding, inter alia, that the Adjudicator had not acted in excess of jurisdiction by considering Goldbell’s claim for …
Continue readingUniversal 122 days EOT in Phased Contracts
Section 39B of the COVID-19 (Temporary Measures) Act 2020 extends the completion date for construction work provided by the construction contract by 122 days from and including the completion date. “completion date” in Section 39B is defined as the “date by which the construction works must be certified in accordance …
Continue readingEnforceability of Liquidated Damages Clause Not Conditional on Actual Loss
In Comfort Management Pte Ltd v OGSP Engineering Pte Ltd and another (No. 2) [2020] SGHC 165, a sub-subcontractor resisted the imposition of liquidated damages on the ground that the sub-subcontract was “back-to-back” with the upstream subcontract and the main contractor had not imposed any liquidated damages on the subcontractor. …
Continue readingDoes Section 17(2A) of the SOP Act apply to liquidated damages?
In Range Construction Pte Ltd v Goldbell Engineering Pte Ltd [2020] SGHC 191, Justice Lee Seiu Kin had opined that he “did not consider the introduction of s 17(2A) of the SOP Act to be any signal of parliamentary disapproval of adjudicators considering liquidated damage claims under the SOP regime”. …
Continue readingIf It Isn’t Broken, Don’t Fix It
The test for whether liquidated damages is unenforceable as a penalty remains as set out in the 1915 case of Dunlop Pneumatic Tyre v New Garage and Motor Co [1915] AC 79. In Denka Avantech Pte Ltd v Seraya Energy Pte Ltd [2020] SGCA 119, the Singapore Court of Appeal …
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