Healthy Living Marketing v Jeanrich Marketing: Breach of Contract & Termination of Sole Agency for Bionaire Fans

Healthy Living Marketing Pte Ltd, the plaintiff, sued Jeanrich Marketing Pte Ltd, the defendant, in the High Court of Singapore before Lee Seiu Kin JC, for breach of contract following the termination of a sole agency agreement for Bionaire air circulators. Healthy Living Marketing terminated the agreement due to Jeanrich Marketing's conduct of undermining their position with the principal, Bionaire International BV. The court found that Healthy Living Marketing had validly terminated the agreement and that Jeanrich Marketing had breached an implied term to return unsold goods and a non-competition clause. The court ordered Jeanrich Marketing to provide an account of profits, pay nominal damages, and cover the plaintiff's costs.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Judgment for Plaintiff

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Healthy Living Marketing sued Jeanrich Marketing for breach of contract after terminating their sole agency agreement for Bionaire fans. The court ruled in favor of Healthy Living.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Healthy Living Marketing Pte LtdPlaintiffCorporationJudgment for PlaintiffWon
Jeanrich Marketing Pte LtdDefendantCorporationAccount of Profits Ordered, Damages AwardedLost

3. Judges

Judge NameTitleDelivered Judgment
Lee Seiu KinJudicial CommissionerYes

4. Counsels

Counsel NameOrganization
Ramesh AppooBrij Rai & RA Anthony
Nagaraja S ManiamBrij Rai & RA Anthony
Leonard Loo Peng CheeLeonard Loo & Co
Edwin LooLeonard Loo & Co

4. Facts

  1. Healthy Living Marketing was the sole distributor of Bionaire fans in Singapore.
  2. Jeanrich Marketing entered into a sole agency agreement with Healthy Living Marketing to sell Bionaire fans.
  3. Jeanrich Marketing placed an order for 320 units of Bionaire fans and paid a deposit.
  4. PSB approval was required to sell the fans in Singapore, but was delayed.
  5. Jeanrich Marketing wrote a letter to Bionaire International BV, undermining Healthy Living Marketing.
  6. Healthy Living Marketing terminated the agreement due to Jeanrich Marketing's conduct.
  7. Jeanrich Marketing sold the remaining fans after the termination.

5. Formal Citations

  1. Healthy Living Marketing Pte Ltd v Jeanrich Marketing Pte Ltd, Suit 600014/2001, [2002] SGHC 239

6. Timeline

DateEvent
BIBV received inquiry about agency rights for Bionaire fans.
Sole agency agreement signed between Healthy Living Marketing and Jeanrich Marketing.
Jeanrich Marketing placed order for 320 units of Bionaire fans and paid deposit.
Shipment of Bionaire fans arrived; Jeanrich Marketing paid balance sum.
Richard Tay, on behalf of Jeanrich Marketing, wrote letter to BIBV.
Johannes Van Lent faxed copy of Tay's letter to Chong.
Healthy Living Marketing terminated the contract with Jeanrich Marketing.
Healthy Living Marketing's solicitors demanded return of Bionaire fans.
Lawsuit filed (Suit 600014/2001).
Judgment issued.

7. Legal Issues

  1. Breach of Contract
    • Outcome: The court found that the defendant breached the implied term to return unsold goods and the non-competition clause.
    • Category: Substantive
    • Sub-Issues:
      • Breach of implied term to return unsold goods
      • Breach of non-competition clause
  2. Termination of Contract
    • Outcome: The court found that the plaintiff had validly terminated the agreement bona fide.
    • Category: Substantive

8. Remedies Sought

  1. Account of Profits
  2. Damages
  3. Costs

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Trading
  • Marketing

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
No cited cases

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
No applicable statutes

15. Key Terms and Keywords

15.1 Key Terms

  • Sole Agency Agreement
  • Bionaire Fans
  • PSB Approval
  • Termination
  • Non-Competition Clause
  • Distributorship

15.2 Keywords

  • breach of contract
  • sole agency
  • termination
  • Bionaire
  • air circulators

17. Areas of Law

Area NameRelevance Score
Breach of Contract90
Contract Law80
Agency Law70
Commercial Disputes60
Distribution Agreement50

16. Subjects

  • Contract Dispute
  • Agency Agreement
  • Distribution Agreement