PT Hutan Domas Raya v Yue Xiu Enterprises: Forum Non Conveniens & Stay of Proceedings
In PT Hutan Domas Raya v Yue Xiu Enterprises (Holdings) Limited and Another, the Singapore Court of Appeal addressed the issue of forum non conveniens in a debt recovery action. Yue Xiu Enterprises and Linkeen Industries Ltd, Hong Kong-based companies, sued PT Hutan Domas Raya, an Indonesian company, and Kho Teng Kwee, an Indonesian citizen with Singapore permanent resident status, for outstanding debts. PT Hutan applied for a stay of action, arguing Indonesia was a more appropriate forum. The Court of Appeal dismissed the appeal, citing the potential for conflicting judgments and the convenience of trying the related actions against PT Hutan and Kho in Singapore.
1. Case Overview
1.1 Court
Court of Appeal1.2 Outcome
Appeal dismissed.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Singapore Court of Appeal addresses forum non conveniens in a debt recovery action, focusing on conflicting judgments and convenience.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| PT Hutan Domas Raya | Appellant | Corporation | Appeal dismissed | Lost | Lai Tze Chang Stanley, Koh Oi Leen Melissa |
| Yue Xiu Enterprises (Holdings) Limited | Respondent | Corporation | Appeal dismissed | Won | Koh Kok Wah, Chua Ju Lee Felicia |
| Linkeen Industries Ltd | Respondent | Corporation | Appeal dismissed | Won | Koh Kok Wah, Chua Ju Lee Felicia |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Chao Hick Tin | Justice of Appeal | Yes |
| L P Thean | Justice of Appeal | No |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Lai Tze Chang Stanley | Lee & Lee |
| Koh Oi Leen Melissa | Lee & Lee |
| Koh Kok Wah | Wong & Leow |
| Chua Ju Lee Felicia | Wong & Leow |
4. Facts
- PT Hutan acknowledged indebtedness to Yue Xiu for US$9.23m in 1992.
- PT Hutan agreed to pay Linkeen US$68,750 per month for logging equipment.
- Kho executed personal guarantees in favor of Yue Xiu and Linkeen.
- PT Hutan made only partial payments under the memoranda.
- Yue Xiu and Linkeen instituted action to recover outstanding debts.
- PT Hutan applied for a stay of action based on forum non conveniens.
5. Formal Citations
- PT Hutan Domas Raya v Yue Xiu Enterprises (Holdings) Limited and Another, CA 64/2000, [2001] SGCA 4
6. Timeline
| Date | Event |
|---|---|
| Linkeen began supplying logging equipment to PT Hutan. | |
| PT Hutan acknowledged debt to Yue Xiu and agreed to payment terms. | |
| Yue Xiu and Linkeen claimed PT Hutan was in breach of payment obligations. | |
| Yue Xiu and Linkeen instituted action against PT Hutan and Kho. | |
| Yue Xiu and Linkeen re-served the writ on PT Hutan in Indonesia. | |
| Court of Appeal dismissed the appeal. |
7. Legal Issues
- Forum Non Conveniens
- Outcome: The court held that the judge had not erred in principle in refusing a stay of proceedings.
- Category: Procedural
- Sub-Issues:
- Availability of witnesses
- Convenience and expense of trial
- Governing law of transaction
- Place of residence/business of parties
- Prospect of conflicting decisions
- Related Cases:
- [1986] AC 460
- [1987] AC 461
8. Remedies Sought
- Recovery of Debt
- Monetary Damages
9. Cause of Actions
- Breach of Contract
- Debt Recovery
10. Practice Areas
- Litigation
- Forum Non Conveniens
11. Industries
- Timber
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Spiliada Maritime Corp v Cansulex | House of Lords | Yes | [1986] AC 460 | England and Wales | Cited as the authority which enunciated the principles governing a stay on the ground of forum non conveniens. |
| Brinkerhoff Maritime Drilling Corp & Anor v PT Airfast Services Indonesia & Anor | Court of Appeal | Yes | [1992] 2 SLR 776 | Singapore | Cited as a case where the court examined The Spiliada authority and affirmed the principles declared therein. |
| Eng Liat Kiang v Eng Bak Hern | Court of Appeal | Yes | [1995] 3 SLR 97 | Singapore | Cited as a case where the court examined The Spiliada authority and affirmed the principles declared therein. |
| Oriental Insurance Co Ltd v Bhavani Stores Pte Ltd | Court of Appeal | Yes | [1998] 1 SLR 253 | Singapore | Cited as a case where the court examined The Spiliada authority and affirmed the principles declared therein. |
| Charm Maritime Inc v Kyriakou | N/A | No | [1987] 1 Lloyd`s Rep 433 | N/A | Cited regarding the process contemplated by Lord Goff in The Spiliada. |
| The Spiliada | House of Lords | Yes | [1987] AC 461 | England and Wales | Cited as the authority which enunciated the principles governing a stay on the ground of forum non conveniens. |
| The El Amria | N/A | Yes | [1981] 2 Lloyd`s Rep 119 | N/A | Cited regarding the undesirability of two actions raising common issues being tried in two jurisdictions. |
| Itochu Steel Asia Pte Ltd v CV Wira Mustika Indah & Ors | N/A | No | [2001] 1 SLR 98 | Singapore | Cited to contend that there should similarly be a stay. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| No applicable statutes | |
15. Key Terms and Keywords
15.1 Key Terms
- Forum Non Conveniens
- Stay of Proceedings
- Memoranda
- Guarantees
- Connecting Factors
- Conflict of Decisions
- Personal or Juridical Advantage
15.2 Keywords
- Forum Non Conveniens
- Stay of Proceedings
- Conflict of Laws
- Singapore Court of Appeal
- Debt Recovery
- PT Hutan Domas Raya
- Yue Xiu Enterprises
16. Subjects
- Civil Litigation
- Conflict of Laws
- Forum Non Conveniens
17. Areas of Law
- Conflict of Laws
- Civil Procedure