UDL Marine v Jurong Town Corp: Proprietary Estoppel & Lease Renewal Dispute

UDL Marine (Singapore) Pte Ltd sued Jurong Town Corporation in the High Court of Singapore, with Zhuo Wenzhao AR presiding, concerning the refusal to renew a lease. UDL Marine claimed proprietary estoppel and sought a declaration that the refusal to renew the lease was wrongful. The court rejected Jurong Town Corporation's application to strike out UDL Marine's Statement of Claim and allowed UDL Marine's application to amend the same.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Defendant’s application to strike out the Plaintiff’s Statement of Claim is rejected, and the Plaintiff’s application to amend the same is allowed.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

UDL Marine sues Jurong Town Corp over lease renewal refusal, claiming proprietary estoppel. The court allowed UDL Marine to amend its claim.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
UDL Marine (Singapore) Pte LtdPlaintiffCorporationApplication to amend Statement of Claim AllowedPartialAng Wee Tiong, Olivia Low
Jurong Town CorpDefendantStatutory BoardApplication to strike out Statement of Claim DismissedLostDinesh Dhillon, Felicia Tan

3. Judges

Judge NameTitleDelivered Judgment
Zhuo WenzhaoAssistant RegistrarYes

4. Counsels

Counsel NameOrganization
Ang Wee TiongTSMP Law Corporation
Olivia LowTSMP Law Corporation
Dinesh DhillonAllen and Gledhill LLP
Felicia TanAllen and Gledhill LLP

4. Facts

  1. UDL Marine had a lease over premises owned by Jurong Town Corporation that was due to expire on 31 December 2010.
  2. In 2004, UDL Marine sought to dispose of its remaining interest in the Lease.
  3. The Economic Development Board of Singapore contacted UDL Marine in early 2005 to persuade UDL Marine to reconsider its decision.
  4. EDB made representations that JTC would consider granting extensions of 20 years leases and would grant a renewal of UDL Marine’s Lease if UDL Marine had a good business plan supported by EDB.
  5. UDL Marine submitted a business plan to JTC and made formal applications for the renewal of the Lease in 2008 and 2009.
  6. In November 2009, JTC informed UDL Marine that JTC would not renew the Lease.
  7. In January 2010, UDL Marine received confirmation from EDB that UDL Marine’s business plan was good and compatible with the needs of the marine industry.
  8. On 19 May 2010, JTC wrote to UDL Marine stating that JTC and the EDB had “jointly evaluated” UDL Marine’s business plan and was unable to support UDL Marine’s application for a new lease for the Premises.

5. Formal Citations

  1. UDL Marine (Singapore) Pte Ltd v Jurong Town Corp, , [2011] SGHC 2

6. Timeline

DateEvent
Decision Date
Hearing of applications
Plaintiff commenced suit against the Defendant
Defendant wrote to the Plaintiff stating that the Defendant and the EDB had “jointly evaluated” the Plaintiff’s business plan and was unable to support the Plaintiff’s application for a new lease for the Premises
Plaintiff received confirmation from EDB that the Plaintiff’s business plan was good and compatible with the needs of the marine industry
Defendant informed the Plaintiff that the Defendant would not renew the Lease
Plaintiff made formal applications for the renewal of the Lease
Plaintiff made formal applications for the renewal of the Lease
Telephone conversation between Leung and the Defendant’s Mr Ernest Tay
The Economic Development Board of Singapore (“EDB”) contacted the Plaintiff in early 2005 to persuade the Plaintiff to reconsider this decision
Plaintiff sought to dispose of its remaining interest in the Lease and seek an alternative location for its business
Lease was due to expire
Leave Application was heard and dismissed by Justice Lai Siu Chu

7. Legal Issues

  1. Proprietary Estoppel
    • Outcome: The court held that the Plaintiff’s SOC reveals a reasonable cause of action.
    • Category: Substantive
    • Related Cases:
      • [2007] 1 SLR(R) 292
  2. Judicial Review
    • Outcome: The court held that the Plaintiff’s proposed addition of the judicial review claim in its SOC does not constitute an abuse of process.
    • Category: Procedural
  3. Res Judicata
    • Outcome: The court held that the previous proceedings in the plaintiff’s Leave Application do not have a res judicata effect on the current proceedings.
    • Category: Procedural
  4. Abuse of Process
    • Outcome: The court found that the Plaintiff’s proposed addition of the judicial review claim in its SOC does not constitute an abuse of process.
    • Category: Procedural

8. Remedies Sought

  1. Declaration that the Defendant’s refusal to renew the Lease was wrongful
  2. Declaration that the Defendant is estopped from refusing the renewal of the Lease or refusing the grant of a new lease for the Premises
  3. Order that the Defendant renew the Lease or grant a new lease for the Premises or, in the alternative, grant the Plaintiff equitable compensation in satisfaction of the Defendant’s refusal to renew the lease or grant a new lease for the Premises

9. Cause of Actions

  • Proprietary Estoppel
  • Breach of Contract

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Marine Industry

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Hong Leong Singapore Finance Ltd v United Overseas BankHigh CourtYes[2007] 1 SLR(R) 292SingaporeCited for the main elements required to sustain a claim based on proprietary estoppel.
Buttes Gas and Oil Co v Hammer (No 3)House of LordsYes[1982] AC 888United KingdomCited regarding whether leave applications have res judicata effect.
Bachoo Mohan Singh v PPCourt of AppealYes[2010] 1 SLR 966SingaporeCited regarding whether leave applications have res judicata effect.
Goh Nellie v Goh Lian Teck and othersHigh CourtYes[2007] 1 SLR(R) 453SingaporeCited regarding identity of subject matter between the plaintiff’s Leave Application and the present proceedings for the doctrine to apply.
Hoystead v Commissioner of TaxationN/AYes[1926] AC 155N/ACited regarding whether a determination of the merits of the Plaintiff’s current action was fundamental to the earlier decision dismissing the Plaintiff’s Leave Application.
Serrao v NoelCourt of AppealYes(1885) 15 QBD 549United KingdomCited regarding a plaintiff who wishes to seek different remedies for a single cause of action must do so in the same proceedings.
O’Reilly v MackmanHouse of LordsYes[1983] 2 A.C. 237United KingdomCited regarding the proper avenue of redress for a plaintiff complaining of a public authority's infringement of his public law rights is through the O53 process, and not the normal OS process.
Yip Kok Seng v Traditional Chinese Medicine Practitioners BoardHigh CourtYes[2010] SGHC 226SingaporeCited regarding the prerogative remedies for a judicial review action have to be sought under the procedure prescribed in O53, while the remedy of declaration can only be obtained under the normal originating summons process.
Re Application by Dow Jones (Asia) Inc.N/AYes[1987] SLR 505SingaporeCited regarding a court cannot grant prerogative remedies in an ordinary originating summons, and neither can it give a declaration in the O53 summons.
Poh Kiong Kok v Management Corp strata title 581N/AYes[1990] SLR 634SingaporeCited regarding a court cannot grant prerogative remedies in an ordinary originating summons, and neither can it give a declaration in the O53 summons.
Gregory v Camden L.B.C.N/AYes[1966] 1 WLR 899N/ACited regarding the substantive requirements for the grant of prerogative remedies differ from those relating to the grant of a declaration.
Punton v Ministry of Pensions and National Insurance (No.2)N/AYes[1964] 1 WLR 226N/ACited regarding the substantive requirements for the grant of prerogative remedies differ from those relating to the grant of a declaration.

13. Applicable Rules

Rule Name
O18 r 19 of the Rules of Court
O53 of the Rules of Court

14. Applicable Statutes

Statute NameJurisdiction
Rules of CourtSingapore
Supreme Court of Judicature ActSingapore

15. Key Terms and Keywords

15.1 Key Terms

  • Proprietary Estoppel
  • Lease Renewal
  • Statement of Claim
  • Economic Development Board
  • Business Plan
  • Judicial Review
  • Res Judicata
  • Abuse of Process

15.2 Keywords

  • lease
  • renewal
  • proprietary estoppel
  • Singapore
  • UDL Marine
  • Jurong Town Corp
  • JTC
  • EDB

16. Subjects

  • Land Law
  • Leases
  • Civil Procedure
  • Contract Law
  • Administrative Law

17. Areas of Law

  • Proprietary Estoppel
  • Administrative Law
  • Civil Procedure
  • Land Law
  • Contract Law