Sincastle Enterprises v Sulzer Chemtech & Power-Vac: Contractual Obligation for Goods & Services
In a suit before the High Court of Singapore on 16 September 2011, Sincastle Enterprises Pte Ltd sued Sulzer Chemtech Pty Ltd and Power-Vac Technology Pte Ltd for $191,692.27, claiming Sulzer was liable under a service agreement and Power-Vac under an oral contract. Sulzer argued it had paid Power-Vac, while Power-Vac admitted holding part of the sum. The court, presided over by Justice Philip Pillai, found Sulzer liable to Sincastle under the service agreement. Sincastle's claim against Power-Vac was dismissed, as was Power-Vac's claim for $7000, while Power-Vac's counterclaim for $14,084 was allowed.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Judgment for Plaintiff against the first defendant, Sulzer Chemtech Pty Ltd.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Sincastle sued Sulzer and Power-Vac for payment of goods/services. The court found Sulzer liable under the Service Agreement, dismissing Sincastle's claim against Power-Vac.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Sincastle Enterprises Pte Ltd | Plaintiff | Corporation | Judgment for Plaintiff | Won | Wong Tze Roy |
| Sulzer Chemtech Pty Ltd (formerly known as Towertech Pty Ltd) | Defendant | Corporation | Claim against Defendant Allowed | Lost | Malathi d/o das |
| Power-Vac Technology Pte Ltd | Defendant | Corporation | Claim against Defendant Dismissed, Counterclaim Allowed in Part, Counterclaim Dismissed in Part | Dismissed, Partial, Dismissed | Lim Joo Toon |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Philip Pillai | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Wong Tze Roy | Goh JP & Wong |
| Malathi d/o das | Joyce A Tan & Partners |
| Lim Joo Toon | Joo Toon & Co |
4. Facts
- Sincastle and Sulzer entered into a Service Agreement on 15 April 2009.
- Sincastle provided manpower and equipment to Sulzer for the Exxon SPA-X project.
- The Service Agreement stipulated that invoices should be billed to Power-Vac Technology Pte Ltd.
- Sulzer had a separate agreement with Power-Vac to consolidate and pay invoices.
- Sulzer remitted funds exceeding the agreed sum to Power-Vac.
- Power-Vac did not remit the full agreed sum to Sincastle.
- Sincastle sued Sulzer and Power-Vac for the outstanding amount of $191,692.27.
5. Formal Citations
- Sincastle Enterprises Pte Ltd v Sulzer Chemtech Pty Ltd (formerly known as Towertech Pty Ltd) and another, Suit No 1063 of 2009, [2011] SGHC 206
6. Timeline
| Date | Event |
|---|---|
| Service Agreement signed | |
| Power-Vac issued invoices PV049/09 and PV048/09 to Sincastle | |
| Lawsuit filed | |
| Sincastle conceded liability to Power-Vac's claim for $14,084.00 | |
| Second Defendant’s closing submissions (Power-Vac) | |
| Judgment reserved |
7. Legal Issues
- Breach of Contract
- Outcome: The court found that Sulzer breached its contract with Sincastle by failing to ensure payment for the services rendered.
- Category: Substantive
- Liability for Payment
- Outcome: The court held that Sulzer remained liable to Sincastle for the agreed sum, despite payments made to Power-Vac.
- Category: Substantive
8. Remedies Sought
- Monetary Damages
9. Cause of Actions
- Breach of Contract
10. Practice Areas
- Commercial Litigation
11. Industries
- Construction
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Irvine v Watson | Queen's Bench Division | Yes | (1879) 5 QBD 102 | England and Wales | Cited for the principle that a principal remains liable to the seller when the agent fails to pass the money on to the creditor. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| No applicable statutes | |
15. Key Terms and Keywords
15.1 Key Terms
- Service Agreement
- Terms of Payment Clause
- Jurong Island Project
- Payment Mechanism
- Consolidation of Invoices
- Administrative Fee
15.2 Keywords
- contract
- payment
- construction
- agreement
- liability
16. Subjects
- Contract Dispute
- Payment Dispute
17. Areas of Law
- Contract Law
- Agency Law
- Construction Law