Chai Cher Watt v SDL Technologies: Refund of Deposits & Damages for Breach of Drilling & Lathe Machine Contracts

Chai Cher Watt, trading as Chuang Aik Engineering Works, sued SDL Technologies Pte Ltd in the High Court of Singapore on 29 November 2010, seeking a refund of deposits and damages for breach of two contracts for the supply of a drilling machine and a lathe machine. Chai Cher Watt claimed that SDL Technologies breached the contracts by delivering a non-new drilling machine, delivering the lathe machine late, and failing to arrange for inspection of the lathe machine. The court dismissed Chai Cher Watt's claim and ordered costs to SDL Technologies.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Plaintiff's claim dismissed with costs.

1.3 Case Type

Civil

1.4 Judgment Type

Judgment reserved.

1.5 Jurisdiction

Singapore

1.6 Description

Chai Cher Watt sues SDL Technologies for refund of deposits and damages due to alleged breaches of contracts for drilling and lathe machines. The court dismissed the claim.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Chai Cher Watt (trading as Chuang Aik Engineering Works)PlaintiffIndividualClaim DismissedLost
SDL Technologies Pte LtdDefendantCorporationJudgment for DefendantWon

3. Judges

Judge NameTitleDelivered Judgment
Philip PillaiJudgeYes

4. Counsels

Counsel NameOrganization
Gopal PerumalK Ravi Law Corporation
Tan Siew Gek SuzanneK Ravi Law Corporation
Chooi Yue Wai KennyYeo-Leong and Peh LLC
Fong Kai Tong KelvinYeo-Leong and Peh LLC
Kong Tai Wai DavidYeo-Leong and Peh LLC

4. Facts

  1. Plaintiff entered into a contract with the defendant for the supply of a drilling machine.
  2. Plaintiff entered into a contract with the defendant for the supply of a lathe machine.
  3. The drilling machine was delivered to the plaintiff but rejected.
  4. Plaintiff claimed the drilling machine was not new but refurbished.
  5. Plaintiff claimed the drilling machine was not the correct length.
  6. Plaintiff claimed the drilling machine had the wrong model number.
  7. Plaintiff claimed the lathe machine was delivered late.
  8. Plaintiff claimed the defendant failed to arrange for inspection of the lathe machine.

5. Formal Citations

  1. Chai Cher Watt (trading as Chuang Aik Engineering Works) v SDL Technologies Pte Ltd, Suit No 439 of 2009, [2010] SGHC 348

6. Timeline

DateEvent
Drill Contract signed
Lathe Contract signed
Drilling Machine delivered to plaintiff
Lathe machine arrived in Singapore
Judgment reserved

7. Legal Issues

  1. Breach of Contract
    • Outcome: The court found that the defendant did not breach the contract in a way that entitled the plaintiff to repudiate it.
    • Category: Substantive
    • Sub-Issues:
      • Late delivery
      • Failure to provide inspection
      • Delivery of non-conforming goods
  2. Repudiation of Contract
    • Outcome: The court held that the plaintiff was not entitled to repudiate either the Drill Contract or the Lathe Contract.
    • Category: Substantive

8. Remedies Sought

  1. Refund of deposits
  2. Monetary Damages

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Engineering

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Chuan Hiap Seng (1979) Pte Ltd v Progress Manufacturing Pte LtdHigh CourtYes[1995] 1 SLR(R) 122SingaporeCited to support the proposition that contracts containing specifications are contracts of sale by description within the meaning of s 13 of the Sale of Goods Act.
Arcos Ltd v E A Ronaasen & SonHouse of LordsYes[1933] AC 470United KingdomCited for the principle that minor discrepancies between delivered goods and their description may entitle the purchaser to reject the goods.
Andrew Bros Ltd v Singer & Co LtdKing's Bench DivisionYes[1934] 1 KB 17United KingdomCited as an example where the delivery of a second-hand model did not satisfy a contract for a new car.
Varley v WhippQueen's Bench DivisionYes[1900] 1 QB 513United KingdomCited as an example where a very old machine did not perform a contract for a one-year-old second-hand reaping machine.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Sale of Goods Act (Cap 393, 1999 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Drilling Machine
  • Lathe Machine
  • Drill Contract
  • Lathe Contract
  • Repudiatory Breach
  • Sale of Goods Act
  • Refurbished
  • Model Number
  • Delivery Time
  • Warranty

15.2 Keywords

  • contract
  • sale of goods
  • drilling machine
  • lathe machine
  • breach of contract
  • refund
  • damages

17. Areas of Law

Area NameRelevance Score
Contract Law90
Sale of Goods80
Damages50
Drilling Machine30
Lathe Machine30

16. Subjects

  • Contract Dispute
  • Sale of Goods