Fire-Stop Marketing v Mae Engineering: Construction Contract Dispute over Fire-Rated Board Cladding Payment
In Fire-Stop Marketing Services Pte Ltd v Mae Engineering Ltd, the High Court of Singapore, on 31 May 2004, addressed a dispute over the construction of a sub-contract for the installation of fire-rated board claddings. Fire-Stop Marketing Services Pte Ltd (Plaintiff) sued Mae Engineering Ltd (Defendant) to determine whether payment should be based on the area of the cladded or uncladded ACMV duct. The court ruled in favor of the Plaintiff, determining that payment should be based on the area of the cladded ACMV duct. The defendant's counterclaim was dismissed.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Judgment for Plaintiff
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Dispute over payment for fire-rated board cladding installation. The court ruled payment should be based on the area of the cladded ACMV duct.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Fire-Stop Marketing Services Pte Ltd | Plaintiff | Corporation | Claim allowed with costs | Won | John Chung |
| Mae Engineering Ltd | Defendant | Corporation | Counterclaim dismissed with costs | Lost | Karam S Parmar, Dawn Chew |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Lai Kew Chai | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| John Chung | Kelvin Chia Partnership |
| Karam S Parmar | Tan Kok Quan Partnership |
| Dawn Chew | Tan Kok Quan Partnership |
4. Facts
- Fire-Stop Marketing Services was contracted to supply and install fire-rated board claddings.
- Mae Engineering was the ACMV sub-contractor for The Esplanade project.
- The sub-contract price was initially a lump sum of $400,000 for 5000m² of ACMV ductwork.
- Agreed rates for variations beyond 5000m² were $80 per m² for 2-hour and $165 per m² for 4-hour fire-rated cladding.
- The sub-contract was silent on the mode of measurement of work done.
- The value of the cladded ACMV, for materials supplied and work done, was $1,028,576.22.
- The value of the cladded ACMV duct area was agreed at $529,610.00.
5. Formal Citations
- Fire-Stop Marketing Services Pte Ltd v Mae Engineering Ltd, Suit 287/2003, [2004] SGHC 116
6. Timeline
| Date | Event |
|---|---|
| Sub-contract agreement signed | |
| Work progressed | |
| Work progressed | |
| Judgment reserved |
7. Legal Issues
- Construction of Contract Terms
- Outcome: The court determined that payment should be based on the area of the cladded ACMV duct.
- Category: Substantive
8. Remedies Sought
- Monetary Damages
9. Cause of Actions
- Breach of Contract
10. Practice Areas
- Construction Law
- Commercial Litigation
11. Industries
- Construction
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| No cited cases | |||||
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
- Fire-rated board cladding
- ACMV ductwork
- Lump sum
- Sub-contract
- Cladded ACMV duct
- Uncladded ACMV duct
- Progress payments
15.2 Keywords
- Fire-Stop Marketing
- Mae Engineering
- Construction contract
- Fire-rated cladding
- Payment dispute
- Singapore High Court
16. Subjects
- Construction Dispute
- Contract Law
17. Areas of Law
- Building and Construction Law
- Contract Law