Toh Ah Leng v Four Sea Circuit Board Ltd: Commission Dispute over PCB Sales

In a suit before the High Court of Singapore on 14 April 2010, Toh Ah Leng, the plaintiff, claimed against Four Sea Circuit Board Ltd, the defendant, for unpaid commission arising from the introduction of customers for the sale of printed circuit boards (PCBs). The plaintiff alleged breach of contract and failure to account for purchase orders. Justice Lai Siu Chiu dismissed the plaintiff's claim, finding that the defendant had paid all due commissions and that there was no basis for the claim of damages related to defective PCBs.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Plaintiff's claim dismissed with costs to the defendant.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Toh Ah Leng sued Four Sea Circuit Board Ltd for unpaid commission from customer introductions for PCB sales. The court dismissed the claim, finding no outstanding commission.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Toh Ah LengPlaintiffIndividualClaim DismissedLost
Four Sea Circuit Board LtdDefendantCorporationJudgment for DefendantWon

3. Judges

Judge NameTitleDelivered Judgment
Lai Siu ChiuJudgeYes

4. Counsels

4. Facts

  1. The plaintiff claimed commission for introducing customers to the defendant for PCB sales.
  2. The parties entered into a First Agreement, a Supplemental Agreement, and an addendum to regulate commission payments.
  3. The defendant terminated the plaintiff's services in July 2005.
  4. The plaintiff alleged the defendant failed to account for purchase orders and supplied defective PCBs to MKI.
  5. The defendant contended it paid all due commissions and owed no duty to the plaintiff regarding PCB quality to MKI.
  6. The plaintiff claimed entitlement to commission from sales to Casio, even after ceasing to manage the account.
  7. The defendant engaged KPMG to verify commission payments, which showed overpayment to the plaintiff.

5. Formal Citations

  1. Toh Ah Leng v Four Sea Circuit Board Ltd, Suit No 405 of 2006, [2010] SGHC 113

6. Timeline

DateEvent
Plaintiff introduced to defendant's marketing manager.
Plaintiff left employment.
First Agreement signed.
Addendum to First Agreement signed.
Supplemental Agreement entered into.
Defendant agreed to increase plaintiff’s commission for orders placed by Creative.
Danniel sent email to plaintiff confirming commission rate.
Danniel sent email to plaintiff recording agreement reached.
Defendant ceased paying plaintiff commission from Casio Singapore.
Danniel sent email to confirm commission agreement.
MKI encountered problems with PCBs supplied by the defendant.
Report on corrective action prepared.
Plaintiff's services terminated.
Plaintiff demanded accounting of purchase orders.
Plaintiff demanded opening of bank account.
Plaintiff commenced suit.
Judgment reserved

7. Legal Issues

  1. Breach of Contract
    • Outcome: The court found no breach of contract, as the defendant had paid all due commissions and there was no implied term in the agreement requiring the defendant to ensure the quality of goods supplied to the plaintiff's customers.
    • Category: Substantive
    • Sub-Issues:
      • Failure to pay commission
      • Breach of implied term of merchantable quality
  2. Entitlement to Commission
    • Outcome: The court held that the plaintiff was not entitled to further commission, as the defendant had already paid all commissions due under the agreements.
    • Category: Substantive

8. Remedies Sought

  1. Account of all purchase orders
  2. Payment of outstanding commission
  3. Order to open a local bank account
  4. Damages for defective goods supplied to MKI

9. Cause of Actions

  • Breach of Contract
  • Failure to render account

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Electronics
  • Manufacturing

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
No cited cases

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

  • Commission
  • Printed Circuit Boards
  • PCB
  • First Agreement
  • Supplemental Agreement
  • Termination Letter
  • Purchase Orders
  • Defective PCBs
  • Merchantable Quality
  • MKI
  • Creative
  • Casio

15.2 Keywords

  • commission
  • PCB
  • contract
  • Singapore
  • electronics
  • manufacturing

17. Areas of Law

16. Subjects

  • Contract Dispute
  • Commission Dispute
  • Agency