Intercontinental Specialty Fats Berhad v Bandung Shipping: Admissibility of Hearsay Evidence in Damages Assessment

In Intercontinental Specialty Fats Berhad v Bandung Shipping Pte Ltd, the High Court of Singapore heard an appeal regarding the admissibility of certain evidence in a hearing to assess damages caused by the defendant's breach of contract for the wrongful delivery of RBD Palm Olein. The plaintiff, Intercontinental Specialty Fats Berhad, claimed damages based on the market price of the oil at Kandla, India. The court, presided over by Assistant Registrar Tai Wei Shyong, admitted evidence relating to prices in Kandla but disallowed evidence related to prices in Chennai, based on the hearsay rule. The appeal was dismissed.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Appeal dismissed.

1.3 Case Type

Admiralty

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Appeal regarding the admissibility of evidence in assessing damages for breach of contract involving wrongful delivery of RBD Palm Olein. The court allowed evidence of Kandla prices but disallowed Chennai prices.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Intercontinental Specialty Fats BerhadPlaintiffCorporationAppeal dismissedLost
Bandung Shipping Pte LtdDefendantCorporationSuccessful defenseWon
Shweta International Pte LtdDefendantCorporationNeutral
Lanyard Foods LtdDefendantCorporationNeutral

3. Judges

Judge NameTitleDelivered Judgment
Tai Wei ShyongAssistant RegistrarYes

4. Counsels

4. Facts

  1. Intercontinental Specialty Fats Berhad sued Bandung Shipping for breach of contract.
  2. The breach involved wrongful delivery of RBD Palm Olein.
  3. The cargo was delivered without original bills of lading.
  4. The cargo was delivered at Mangalore instead of Kandla.
  5. The plaintiff sought damages based on the market price at Kandla.
  6. The defendant objected to the admissibility of certain evidence as hearsay.
  7. The court admitted evidence of Kandla prices but disallowed Chennai prices.

5. Formal Citations

  1. Intercontinental Specialty Fats Berhad v Bandung Shipping Pte Ltd and Others, Adm in Rem 485/2000, [2004] SGHC 1

6. Timeline

DateEvent
Date cargo should have been delivered
Date cargo should have been delivered
Admiralty in Rem case filed
Mr Tay Thian Ser affidavit of evidence-in-chief
Decision Date

7. Legal Issues

  1. Admissibility of Hearsay Evidence
    • Outcome: The court admitted evidence relating to prices in Kandla but disallowed evidence related to prices in Chennai, based on the hearsay rule.
    • Category: Procedural
    • Sub-Issues:
      • Repeating out-of-court statements for their truth
      • Admissibility of market reports without the maker present
    • Related Cases:
      • [1995] 1 SLR 739
      • [1994] 4 SLR 197
      • [1973] 1 Ch 415

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Commercial Litigation
  • Shipping Law

11. Industries

  • Shipping
  • Food Industry

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Saga Foodstuffs Manufacturing (Pte) Ltd v Best Food Pte LtdHigh CourtYes[1995] 1 SLR 739SingaporeCited regarding the admissibility of market survey results and the rule against hearsay.
The ShravanHigh CourtYes[1994] 4 SLR 197SingaporeCited regarding the application of the rule against hearsay in assessing losses based on diminution in market value.
English Exporters (London) Ltd v Eldonwall LtdChancery DivisionYes[1973] 1 Ch 415England and WalesCited regarding the distinction between opinion evidence and factual evidence in valuation cases and the admissibility of hearsay.

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

  • RBD Palm Olein
  • Wrongful Delivery
  • Hearsay Evidence
  • Market Price
  • Bills of Lading
  • Admissibility of Evidence

15.2 Keywords

  • breach of contract
  • hearsay
  • admiralty
  • shipping
  • palm olein
  • evidence
  • damages

17. Areas of Law

16. Subjects

  • Shipping
  • Breach of Contract
  • Evidence