Ng Chee Weng v Lim Jit Ming Bryan: Striking Out 'Without Prejudice' Communications in Trust Dispute

In Ng Chee Weng v Lim Jit Ming Bryan, the Singapore High Court addressed the defendants' application to strike out portions of the plaintiff's Statement of Claim and supporting affidavits, arguing they disclosed 'without prejudice' communications made during settlement negotiations. The plaintiff claimed beneficial ownership of shares held by the first defendant and sought dividends. The court granted the defendants' application, finding that the disputed paragraphs indeed revealed communications protected by the 'without prejudice' rule, as they pertained to settlement discussions aimed at resolving the dispute and avoiding litigation.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Applications granted; offending paragraphs in the Statement of Claim and affidavits struck out.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

High Court strikes out paragraphs in plaintiff's claim and affidavits disclosing 'without prejudice' settlement communications in a dispute over a trust.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Ng Chee WengPlaintiffIndividualParagraphs in Statement of Claim and affidavit struck outLost
Lim Jit Ming BryanDefendantIndividualApplication grantedWon
Josephine Teo Soo GeokDefendantIndividualApplication grantedWon

3. Judges

Judge NameTitleDelivered Judgment
Belinda Ang Saw EanJudgeYes

4. Counsels

4. Facts

  1. Plaintiff claimed beneficial ownership of 50% of shares in SinCo Technologies Pte Ltd.
  2. Plaintiff alleged the shares were held on trust for him by the first defendant.
  3. Plaintiff claimed unpaid dividends from 2003 to 2007, totaling $8.8 million.
  4. Defendants applied to strike out paragraphs in the Statement of Claim and affidavits.
  5. The disputed paragraphs referred to settlement negotiations between the parties.
  6. A mediator, Roy Ng, was present during some of the settlement negotiations.
  7. The first defendant made offers to settle the plaintiff's claim for dividends.

5. Formal Citations

  1. Ng Chee Weng v Lim Jit Ming Bryan and Another, Suit No 453 of 2009, Summons No 2957 of 2009/H and Summons No 2966/J, [2010] SGHC 35

6. Timeline

DateEvent
Plaintiff filed supporting affidavit for Mareva injunction application.
Writ of Summons issued and served.
Court struck out offending paragraphs in the Statement of Claim and affidavits.
Decision date.

7. Legal Issues

  1. Admissibility of 'Without Prejudice' Communications
    • Outcome: The court held that the paragraphs in question disclosed communications falling within the ambit of the 'without prejudice' rule and were therefore inadmissible.
    • Category: Procedural
    • Sub-Issues:
      • Disclosure of settlement negotiations
      • Implied agreement of confidentiality
  2. Existence of a Dispute
    • Outcome: The court found that a dispute existed between the parties, as the defendant had not unequivocally admitted liability.
    • Category: Substantive
    • Sub-Issues:
      • Admission of liability
      • Equivocal conduct

8. Remedies Sought

  1. Monetary damages (dividends totaling $8.8 million)

9. Cause of Actions

  • Breach of Trust

10. Practice Areas

  • Civil Litigation

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Quek Kheng Leong Nicky v Teo Beng NgohHigh CourtYes[2009] 4 SLR(R) 181SingaporeCited for the general rule that communications made on a 'without prejudice' basis during settlement negotiations are inadmissible in evidence.
Rush & Tompkins Ltd v Greater London CouncilHouse of LordsYes[1989] 1 AC 1280United KingdomCited for the principle that the 'without prejudice' rule applies even without the express use of the phrase, if the circumstances indicate an attempt to compromise a dispute.
Greenline-Onyx Envirotech Phils Inc v Otto Systems Singapore Pte LtdHigh CourtYes[2007] 3 SLR(R) 40SingaporeFollowed Rush & Tompkins Ltd v Greater London Council regarding the application of the 'without prejudice' rule.
Muller v Linsley & MortimerCourt of AppealYes[1996] PNLR 74England and WalesCited for the two justifications for the 'without prejudice' rule: public policy and implied agreement.
Mariwu Industrial Co (S) Pte Ltd v Dextra Asia Co Ltd & AnorCourt of AppealYes[2006] 4 SLR(R) 807SingaporeCited for the Court of Appeal's approval of Hoffmann LJ's explanation in Muller v Linsley & Mortimer and the interpretation of Section 23 of the Evidence Act.
Bradford & Bingley plc v RashidCourt of AppealYes[2006] 1 WLR 2006England and WalesCited in Mariwu Industrial Co (S) Pte Ltd v Dextra Asia Co Ltd & Anor for the principle that a statement made in the course of negotiations to settle a dispute is made without prejudice even if not expressly stated.
Sin Lian Heng Construction Pte Ltd v Singapore Telecommunications LtdHigh CourtYes[2007] 2 SLR(R) 433SingaporeCited for the principle that the 'without prejudice' rule applies only when a dispute exists between the parties.
Cytec Industries Pte Ltd v APP Chemicals International (Mau) LtdHigh CourtYes[2009] 4 SLR(R) 769SingaporeCited for the principle that the 'without prejudice' rule applies only when a dispute exists between the parties.
Lim Tjoen Kong v A-B Chew Investments Pte LtdHigh CourtYes[1991] 2 SLR(R) 168SingaporeCited for the principle that an offer to settle a dispute, without more, does not amount to an admission of legal liability.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Evidence Act (Cap 97, 1997 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Without prejudice
  • Settlement negotiations
  • Trust
  • Dividends
  • Mareva injunction
  • Striking out
  • Mediation

15.2 Keywords

  • without prejudice
  • settlement
  • trust
  • dividends
  • injunction
  • Singapore
  • High Court

17. Areas of Law

Area NameRelevance Score
Evidence80
Civil Procedure70
Contract Law30
Estoppel20

16. Subjects

  • Civil Procedure
  • Evidence
  • Trusts