Associated Development Pte Ltd v Loong Sie Kiong: Summary Judgment & Limitation Act

Associated Development Pte Ltd, Lee Tung Company (Private) Limited, and Chow Cho Poon (Private) Limited sued Loong Sie Kiong Gerald, administrator of the estate of Chow Cho Poon, deceased, in the High Court of Singapore, seeking to recover sums owed by the deceased's estate. The plaintiffs applied for summary judgment, which was initially dismissed by the Assistant Registrar. Judith Prakash J allowed the plaintiffs' appeals, granting summary judgment for the amounts claimed, except for certain small amounts not proven. The court held that the debts were secured by liens and were not time-barred under the Limitation Act.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Appeals of the plaintiffs allowed. Judgment entered for the plaintiffs for the amounts claimed, less $90.90 in the case of Lee Tung and $4,118.98 in the case of CCPL.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Summary judgment granted to plaintiffs. The court held that the debts were secured by a lien and the claims were not time-barred.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Associated Development Pte LtdPlaintiffCorporationJudgment for PlaintiffWonAng Cheng Hock, Jacqueline Lee
Lee Tung Company (Private) LimitedPlaintiffCorporationJudgment for PlaintiffWonAng Cheng Hock, Jacqueline Lee
Chow Cho Poon (Private) LimitedPlaintiffCorporationJudgment for PlaintiffWonAng Cheng Hock, Jacqueline Lee
Loong Sie Kiong GeraldDefendantIndividualAppeal Dismissed, Leave to defend, Leave to defendLost, Partial, PartialTPB Menon, Khoo Boo Jin

3. Judges

Judge NameTitleDelivered Judgment
Judith PrakashJudgeYes

4. Counsels

Counsel NameOrganization
Ang Cheng HockAllen & Gledhill LLP
Jacqueline LeeAllen & Gledhill LLP
TPB MenonWee Swee Teow & Co
Khoo Boo JinWee Swee Teow & Co

4. Facts

  1. Associated Development Pte Ltd, Lee Tung Company (Private) Limited, and Chow Cho Poon (Private) Limited were established by the late Mr Chow Cho Poon.
  2. The defendant was sued in his capacity as the Administrator of the Estate of Chow Cho Poon, deceased.
  3. The plaintiffs sought declarations and orders for the Estate to pay sums owed to them.
  4. The Estate's trustees confirmed the Estate's indebtedness to the plaintiffs.
  5. The companies claimed a lien over the Estate’s shares in them.
  6. The defendant obtained a court order which set aside all the share transfers.
  7. The companies' audited accounts stated that the loans were unsecured.

5. Formal Citations

  1. Associated Development Pte Ltd v Loong Sie Kiong Gerald (administrator of the estate of Chow Cho Poon, deceased) and Other Suits, Suit 722/2007, 723/2007, 724/2007, RA 473/2008, 474/2008, [2009] SGHC 165

6. Timeline

DateEvent
Will of Chow Cho Poon dated
Chow Cho Poon died
Mrs. Grace Chow died
Chi, Chuen and Ching appointed as co-trustees of the Estate
Mr. Lee ceased to be an executor and trustee of the Estate
Loong Sie Kiong Gerald appointed by the High Court to administer the Estate
Court order set aside all the share transfers
Chuen granted leave of court to commence legal proceedings
Suits commenced
Suits consolidated
Chuen should have conduct of the consolidated suits until determination of the companies’ applications for summary judgment
Judgment reserved

7. Legal Issues

  1. Summary Judgment
    • Outcome: The court determined that summary judgment should be entered for the plaintiffs.
    • Category: Procedural
    • Sub-Issues:
      • Test to determine whether summary judgment should be entered
    • Related Cases:
      • [2003] 3 SLR 32
  2. Limitation of Actions
    • Outcome: The court held that the claims were not time-barred because the debts were secured by liens and there were acknowledgements of the debts.
    • Category: Substantive
  3. Secured vs Unsecured Loans
    • Outcome: The court determined that the loans were secured by liens due to the articles of association of the companies.
    • Category: Substantive
    • Related Cases:
      • [1898] 2 Ch 629
      • [1932] MLJ 134
  4. Validity of Acknowledgements
    • Outcome: The court held that the Loan Confirmations were valid acknowledgements of the loans for the purpose of extending the limitation period.
    • Category: Substantive
    • Related Cases:
      • [2003] 2 SLR 205
      • [1958] 1 WLR 822

8. Remedies Sought

  1. Declaration that the Estate owes the plaintiffs certain sums
  2. Order that the Estate pays the plaintiffs certain sums

9. Cause of Actions

  • Recovery of Debt

10. Practice Areas

  • Commercial Litigation

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Goh Chok Tong v Chee Soon JuanCourt of AppealYes[2003] 3 SLR 32SingaporeCited for the test to obtain judgment, a plaintiff has first to show that he has a prima facie case for judgment.
In re National Bank of Wales, LimitedCourt of AppealYes[1898] 2 Ch 629England and WalesCited as authority for the proposition that the absence of possession of share certificates does not deprive the lien-holder of the lien over shares.
Re Tan Keng Tin and Re Chop Soon BeeHigh CourtYes[1932] MLJ 134MalaysiaAccepted In Re National Bank of Wales, Limited as authority for the proposition that the absence of possession of share certificates does not deprive the lien-holder of the lien over shares.
Beattie v E & F Beattie LtdHigh Court of JusticeYes[1938] Ch 708England and WalesCited to support the argument that the articles do not constitute a contract or agreement between the company and its director in his capacity as director, even though he is also a member of the company.
Chuan & Company Pte Ltd v Ong Soon HuatCourt of AppealYes[2003] 2 SLR 205SingaporeCited to support the argument that the affidavit did not constitute an acknowledgement under s 27(2) because it was not sufficiently addressed to the company or its agent.
In re Transplanters (Holding Company) LtdHigh Court of JusticeYes[1958] 1 WLR 822England and WalesCited to support the argument that the applicant, in making the acknowledgement of indebtedness was acting against the interests of the company and in breach of his fiduciary duties to the company since the debt acknowledged was a debt due from the company to the applicant.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Limitation Act (Cap 163, 1996 Rev Ed)Singapore
Section 21(1) Limitation Act (Cap 163, 1996 Rev Ed)Singapore
Section 26(2) Limitation Act (Cap 163, 1996 Rev Ed)Singapore
Section 27(2) Limitation ActSingapore
Companies Act (Cap 50, 2006 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Summary Judgment
  • Limitation Act
  • Lien
  • Secured Loan
  • Unsecured Loan
  • Acknowledgement of Debt
  • Articles of Association
  • Audited Accounts
  • Estate
  • Administrator

15.2 Keywords

  • Summary Judgment
  • Limitation Act
  • Secured Loan
  • Unsecured Loan
  • Acknowledgement of Debt
  • Singapore

16. Subjects

  • Civil Procedure
  • Contract Law
  • Limitation of Actions
  • Company Law

17. Areas of Law

  • Civil Procedure
  • Limitation of Actions
  • Contract Law
  • Company Law