Techking v JFE & EBS: Sub-Bailee's Duty of Care for Stolen Goods

Techking Enterprise Ltd and PT Aneka Infokom Tekindo sued JFE Consolidators Pte Ltd and Enterprise Bros Services Pte Ltd in the High Court of Singapore on April 13, 2005, for the loss of a cargo of Toshiba personal computers. Techking and JFE settled their dispute before trial, and PT Aneka withdrew from the action. The trial concerned Techking's claim against EBS, alleging breach of duty as a sub-bailee to care for the cargo. The court found EBS liable for the loss due to negligence in leaving the cargo unattended outside JFE's warehouse, allowing Techking's claim.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Claim allowed.

1.3 Case Type

Civil

1.4 Judgment Type

Judgment reserved.

1.5 Jurisdiction

Singapore

1.6 Description

Techking sued JFE and EBS for cargo loss. Court found EBS, as sub-bailee, liable for breach of duty of care by leaving cargo unattended, resulting in theft.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Techking Enterprise LtdPlaintiffCorporationClaim allowedWon
PT Aneka Infokom TekindoPlaintiffCorporationWithdrew from actionWithdrawn
JFE Consolidators Pte LtdDefendantCorporationDispute settledSettled
Enterprise Bros Services Pte LtdDefendantCorporationClaim allowedLost

3. Judges

Judge NameTitleDelivered Judgment
Tan Lee MengJudgeYes

4. Counsels

4. Facts

  1. Techking appointed JFE as a freight forwarder for a cargo of Toshiba personal computers.
  2. JFE subcontracted EBS to clear and deliver the cargo to its warehouse without Techking's knowledge.
  3. EBS left the cargo unattended outside JFE's locked warehouse in the early hours of February 1, 2003.
  4. JFE's warehouse was closed for several days due to the Chinese New Year holidays.
  5. 146 sets of personal computers were stolen from outside the warehouse on February 5, 2003.
  6. EBS was paid a small sum of approximately $53 for clearing, loading, and unloading the cargo.

5. Formal Citations

  1. Techking Enterprise Ltd and Another v JFE Consolidators Pte Ltd and Another, Suit 1066/2003, [2005] SGHC 70

6. Timeline

DateEvent
Cargo flown from Japan to Singapore.
EBS collected cargo from Singapore Changi Airport.
Cargo left outside JFE’s warehouse.
Theft of 146 sets of Toshiba personal computers.
Suit 1066/2003 filed.
Judgment reserved.

7. Legal Issues

  1. Breach of Duty of Care
    • Outcome: The court held that EBS breached its duty of care as a sub-bailee by leaving the cargo unguarded outside JFE’s warehouse.
    • Category: Substantive
    • Sub-Issues:
      • Failure to safeguard goods
      • Leaving goods unattended
    • Related Cases:
      • [2001] 1 SLR 521
      • [1968] 1 All ER 811
      • [1966] 2 Lloyd’s Rep 142
      • [1972] 2 Lloyd’s Rep 535

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Duty of Care
  • Negligence

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Logistics
  • Freight Forwarding

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Seah Ting Soon v Indonesian Tractors Co Pte LtdCourt of AppealYes[2001] 1 SLR 521SingaporeCited for the principle that the burden rests on the bailee to show they discharged their duty of care when goods on bailment are lost or destroyed.
British Road Services, Ltd v Arthur V Crutchley & Co, LtdN/AYes[1968] 1 All ER 811N/AEndorsed for the explanation of imposing the burden of proof on the bailee.
Learoyd Bros & Co v Pope & Sons (Dock Carriers), LtdN/AYes[1966] 2 Lloyd’s Rep 142N/ACited as an example where a sub-bailee was held liable for the loss of the bailor’s goods.
James Buchanan & Co Ltd v Hay’s Transport Services LtdN/AYes[1972] 2 Lloyd’s Rep 535N/ACited for the principle that even if the sub-bailment was gratuitous, the standard of care expected of the sub-bailee would still be that which a reasonable man would apply to his own goods.

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

  • Bailment
  • Sub-bailment
  • Duty of care
  • Freight forwarder
  • Free trade zone
  • CCTV surveillance
  • Cargo theft

15.2 Keywords

  • bailment
  • sub-bailee
  • duty of care
  • cargo theft
  • negligence
  • freight forwarding

17. Areas of Law

Area NameRelevance Score
Bailment90
Contract Law60
Causation30
Damages30

16. Subjects

  • Bailment Law
  • Commercial Disputes
  • Freight Forwarding
  • Negligence