Yee Hong Pte Ltd v Tan Chye Hee Andrew: Stay of Proceedings and Arbitration in Construction Dispute

In Yee Hong Pte Ltd v Tan Chye Hee Andrew, the High Court of Singapore addressed an application by Ho Bee Development Pte Ltd (Third Party) to stay court proceedings and refer the matter to arbitration. The Plaintiff, Yee Hong Pte Ltd, sued the Defendant, Tan Chye Hee Andrew, an architect, for allegedly wrongfully issuing a delay certificate. The Third Party sought a stay of proceedings, arguing that the disputes should be resolved through arbitration, given existing arbitration agreements with both the Plaintiff and the Defendant. The court allowed the appeal, staying the proceedings and referring them to arbitration, emphasizing the need to avoid multiple proceedings and inconsistent findings.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Proceedings stayed and referred to arbitration.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Stay of court proceedings ordered, referring parties to arbitration despite no direct arbitration agreement between Plaintiff and Defendant.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Yee Hong Pte LtdPlaintiffCorporationProceedings StayedStayedEdwin Lee
Tan Chye Hee AndrewDefendantIndividualProceedings StayedStayedEngelin Teh, Thomas Sim
Ho Bee Development Pte LtdThird PartyCorporationAppeal AllowedWonPaul Sandosham

3. Judges

Judge NameTitleDelivered Judgment
Lai Siu ChiuJudgeYes

4. Counsels

Counsel NameOrganization
Edwin LeeRajah and Tann
Engelin TehEngelin Teh Practice LLC
Thomas SimEngelin Teh Practice LLC
Paul SandoshamWong Partnership

4. Facts

  1. Yee Hong was the main contractor for Ho Bee's condominium project.
  2. Andrew Tan was the architect appointed by Ho Bee for the project.
  3. The main contract contained an arbitration clause.
  4. Tan issued a delay certificate, leading to liquidated damages being withheld.
  5. Yee Hong sued Tan for wrongfully issuing the delay certificate.
  6. Ho Bee applied for a stay of proceedings, seeking arbitration.
  7. The earlier suit concerned the main contract between the Plaintiff and the Third Party in which there was an arbitration clause.

5. Formal Citations

  1. Yee Hong Pte Ltd v Tan Chye Hee Andrew, Suit 814/2003, [2005] SGHC 163

6. Timeline

DateEvent
Main contract commencement date.
Main contract agreement signed.
Revised completion date of project.
Defendant recommended extension of time to Third Party.
Defendant recommended extension of time to Third Party.
Defendant certified project completion.
Defendant recommended extension of time to Third Party.
Completion certificate issued.
Delay certificate issued.
Earlier suit stayed by assistant registrar.
Plaintiff's appeal against stay order dismissed.
Final certificate issued.
Earlier suit discontinued.
Defendant joined Third Party to the action.
Third Party applied for stay of proceedings.
Notice of arbitration issued by Third Party to Plaintiff.
Application dismissed with costs by assistant registrar.
Plaintiff requested further arguments.
Appeal allowed; proceedings stayed and referred to arbitration.

7. Legal Issues

  1. Stay of Court Proceedings
    • Outcome: The court ordered a stay of proceedings, referring the matter to arbitration.
    • Category: Procedural
  2. Jurisdiction to Order Arbitration
    • Outcome: The court held it had jurisdiction under s 6(5) of the Arbitration Act to order the parties to arbitrate.
    • Category: Jurisdictional

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Duty of Care
  • Breach of Contract

10. Practice Areas

  • Arbitration
  • Construction Law
  • Commercial Litigation

11. Industries

  • Construction

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Hong Huat Development Co (Pte) Ltd v Hiap Hong & Co Pte LtdHigh CourtYes[2000] SGHC 131SingaporeCited regarding the duty of care of an architect/certifier to the owner and contractor to avoid pure economic loss.
Hiap Hong & Co Pte Ltd v Hong Huat Development Co (Pte) LtdCourt of AppealYes[2001] 2 SLR 458SingaporeCited regarding the duties of an architect in their certifying functions under the SIA Conditions.
Man B&W Diesel S E Asia Ltd v PT Bumi International TankersCourt of AppealYes[2004] 2 SLR 300SingaporeCited regarding whether an architect owes a duty of care to the Plaintiff with whom he had no contractual relationship.
RSP Architects Planners & Engineers v Ocean Front Pte LtdCourt of AppealYes[1996] 1 SLR 113SingaporeCited regarding the degree of proximity between developers and the management corporation to give rise to a duty of care.
RSP Architects Planners & Engineers v MCST Plan No 1075Court of AppealYes[1999] 2 SLR 449SingaporeCited regarding the degree of proximity in the relationship between the MC and the architects as would give rise to a duty on the part of the architects to avoid the loss sustained by the MC.
Taunton-Collins v CromieN/AYes[1964] 2 All ER 332N/ACited regarding stay of proceedings where there are multiple parties and an arbitration clause.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Arbitration Act (Cap 10, 2002 Rev Ed)Singapore
Supreme Court of Judicature Act (Cap 322, 1999 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Arbitration
  • Stay of Proceedings
  • Delay Certificate
  • Main Contract
  • Liquidated Damages
  • Architect
  • Third Party Proceedings

15.2 Keywords

  • arbitration
  • stay of proceedings
  • construction
  • delay certificate
  • architect
  • singapore

16. Subjects

  • Arbitration
  • Construction Dispute

17. Areas of Law

  • Arbitration Law
  • Construction Law
  • Civil Procedure