Viking Airtech v Foo Teow Keng: Breach of Fiduciary Duty & Damages Assessment

In Viking Airtech Pte Ltd v Foo Teow Keng and JL Marine & Engineering Pte Ltd, the Singapore High Court addressed the assessment of damages arising from Foo Teow Keng's breach of fiduciary duty to Viking Airtech. Foo, while a director at Viking Airtech, diverted contracts to JL Marine, a company he owned. The court had previously found Foo liable for diverting two contracts and converting company assets. The High Court partially allowed Viking Airtech's appeal, adjusting the damages awarded for diverted contracts and setting the interest accrual date to March 1, 2006.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Appeal allowed in part.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

High Court case regarding breach of fiduciary duty by Foo Teow Keng, who diverted contracts to his own company. The court assessed damages payable to Viking Airtech.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Viking Airtech Pte LtdPlaintiff, RespondentCorporationAppeal allowed in partPartialLawrence Lee
Foo Teow KengDefendant, AppellantIndividualAppeal failed in partPartialMimi Oh
JL Marine & Engineering Pte Ltd (formerly known as Viking HVAC & Automation Pte LtdDefendant, AppellantCorporationAppeal failed in partPartialMimi Oh

3. Judges

Judge NameTitleDelivered Judgment
Judith PrakashJudgeYes

4. Counsels

Counsel NameOrganization
Lawrence LeeAptus Law Corporation
Mimi OhMimi Oh & Associates

4. Facts

  1. Mr. Foo was a director and general manager of Viking Airtech until November 2003.
  2. Mr. Foo established JL Marine & Engineering Pte Ltd while still employed by Viking Airtech.
  3. Mr. Foo diverted two contracts from Viking Airtech to JL Marine.
  4. The diverted contracts were for the sale, delivery, and installation of air-conditioning systems in oil tankers.
  5. Mr. Foo caused Viking Airtech to fail to deliver equipment for the vessel “Pelindo II”.
  6. The defendants converted Viking Airtech’s assets located in Shanghai.

5. Formal Citations

  1. Viking Airtech Pte Ltd v Foo Teow Keng and Another, Suit 111/2006, RA 380/2008, 405/2008, [2009] SGHC 169

6. Timeline

DateEvent
Foo Teow Keng ceased being a director and general manager of Viking Airtech Pte Ltd
Lawsuit filed
Trial of liability took place; court found in favor of the plaintiff
Judgment in the suit was issued
Assessment of damages took place before Assistant Registrar Teo Guan Siew
Judgment reserved

7. Legal Issues

  1. Breach of Fiduciary Duty
    • Outcome: The court found that Mr. Foo breached his fiduciary duty by diverting contracts from Viking Airtech to JL Marine.
    • Category: Substantive
    • Related Cases:
      • [1994] 2 SLR 576
  2. Assessment of Damages
    • Outcome: The court assessed the damages payable by the defendants for the diverted contracts and conversion of assets.
    • Category: Procedural

8. Remedies Sought

  1. Damages

9. Cause of Actions

  • Breach of Fiduciary Duty
  • Conversion

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Manufacturing
  • Shipping

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Ohm Pacific Sdn Bhd v Ng Hwee Cheng DoreenHigh CourtYes[1994] 2 SLR 576SingaporeCited for the principle that the plaintiff must prove the causal connection between the breach of fiduciary duty and the loss suffered.

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

  • Fiduciary Duty
  • Diverted Contracts
  • Assessment of Damages
  • Conversion
  • Overheads
  • Cost of Sales

15.2 Keywords

  • breach of fiduciary duty
  • damages
  • contract
  • air conditioning
  • viking airtech
  • foo teow keng

16. Subjects

  • Breach of Fiduciary Duty
  • Damages
  • Contract Law

17. Areas of Law

  • Breach of Fiduciary Duty
  • Damages Assessment
  • Contract Law