Fu Loong v Mok: Invalidating MCST Chairperson Rulings on Motions at General Meeting

In Fu Loong Lithographer Pte Ltd and others v Mok Wai Hoe and another, the High Court of Singapore addressed an application by Fu Loong Lithographer Pte Ltd and others to invalidate rulings made by Mok Wai Hoe, the chairperson of Management Corporation Strata Title Plan No 1024, regarding motions at an Extraordinary General Meeting. The court invalidated some of the chairperson's rulings, specifically concerning the appointment of legal representatives and contractors, but validated rulings on other motions related to past resolutions and late payment interest charges. The court also addressed the rejection of certain votes and ultimately granted the application in part.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Application allowed in part; some of the chairperson's rulings were invalidated.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

High Court decision regarding the validity of rulings made by the chairperson of a Management Corporation Strata Title. The court invalidated some rulings.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Fu Loong Lithographer Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
In-Lite Enterprise (S) Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
Caldecott Direct Marketing (Pte) LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
Poh Kim Video Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
CKT Thomas Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
Hock Guan Cheong Builder Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
LCE Electrical Engineering Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
KDT Holdings Pte LtdPlaintiffCorporationApplication allowed in partPartialLeo Cheng Suan, Teh Ee-von
Mok Wai HoeDefendantIndividualApplication dismissed in partDismissedLee Peng Khoon Edwin, Poonam Bai d/o Ramakrishnan Gnanasekaran
Management Corporation Strata Title Plan No 1024DefendantCorporationApplication dismissed in partDismissedTan Tian Luh, Lin Zixian

3. Judges

Judge NameTitleDelivered Judgment
Chan Seng OnnJudgeYes

4. Counsels

Counsel NameOrganization
Leo Cheng SuanInfinitus Law Corporation
Teh Ee-vonInfinitus Law Corporation
Lee Peng Khoon EdwinEldan Law LLP
Poonam Bai d/o Ramakrishnan GnanasekaranEldan Law LLP
Tan Tian LuhChancery Law Corporation
Lin ZixianChancery Law Corporation

4. Facts

  1. Plaintiffs sought to invalidate rulings made by the 1st Defendant as chairperson of the 2nd Defendant.
  2. The rulings concerned motions submitted by the Plaintiffs at an Extraordinary General Meeting.
  3. The Plaintiffs alleged that MWC had wrongfully used the funds of the 2nd Defendant.
  4. The 1st Defendant ruled that certain motions were out of order for various reasons.
  5. The Plaintiffs were dissatisfied with the rulings and filed this application.
  6. The 1st Defendant sought legal advice before making the rulings.

5. Formal Citations

  1. Fu Loong Lithographer Pte Ltd and others v Mok Wai Hoe and another, Originating Summons No 569 of 2013, [2013] SGHC 226

6. Timeline

DateEvent
Plaintiffs requisitioned an Extraordinary General Meeting to call for a vote of no confidence in MWC as chairperson.
Council meeting held; MWC resigned as chairperson, and the 1st Defendant was elected as the new chairperson.
Plaintiffs convened an Extraordinary General Meeting; the 1st Defendant closed the meeting.
Council convened an Annual General Meeting; Plaintiffs convened their own AGM.
Plaintiffs filed S 311/2012 against MWC.
The 2nd Defendant and other individuals were added as third parties to S 311/2012.
Plaintiffs requisitioned an Extraordinary General Meeting to consider and pass various motions.
Architect's report obtained regarding subdivision of lots.
Extraordinary General Meeting held; the 1st Defendant ruled certain motions out of order.
Plaintiffs filed this application.
Decision Date

7. Legal Issues

  1. Validity of Chairperson's Rulings
    • Outcome: The court invalidated the chairperson's rulings on Motions 1(b) and 1(e) but validated the rulings on Motions 3(a), 3(b), 8, and 9.
    • Category: Substantive
    • Sub-Issues:
      • Conflict with Building Maintenance and Strata Management Act
      • Unenforceability of motions
  2. Voting Rights of Subsidiary Proprietors
    • Outcome: The court validated the chairperson's decision to reject the Plaintiffs' votes on Motion 2.
    • Category: Substantive
    • Sub-Issues:
      • Conflict of interest
      • Rejection of votes
  3. Jurisdiction of High Court vs Strata Titles Board
    • Outcome: The court held that it had jurisdiction to hear the dispute, as the BMSMA does not oust the jurisdiction of the courts.
    • Category: Jurisdictional
    • Related Cases:
      • [2008] SGHC 232

8. Remedies Sought

  1. Invalidation of Rulings
  2. Injunction

9. Cause of Actions

  • Breach of Duty
  • Improper Exercise of Power

10. Practice Areas

  • Strata Management Disputes
  • Civil Litigation

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Teo Kim Hui and Another v Kwok Wai HonHigh CourtYes[2008] SGHC 232SingaporeCited to support the proposition that the Strata Titles Board is merely an alternative tribunal and does not oust the jurisdiction of the subordinate courts.
Kwok Wai Hon v Teo Kim Hui and AnotherDistrict CourtYes[2008] SGMC 4SingaporeCited for the reasoning that the BMSMA does not provide for the exclusive jurisdiction of the Strata Titles Board.
Ting Sing Ning (alias Malcolm Ding) v Ting Chek Swee (alias Ting Chik Sui) and othersCourt of AppealYes[2008] 1 SLR(R) 197SingaporeCited for the statement of the rule in Foss v Harbottle and the exceptions thereto.
Foss v HarbottleN/AYes(1843) 2 Hare 461; 67 ER 189England and WalesCited as the origin of the proper plaintiff rule.
Prudential Assurance Co Ltd v Newman Industries Ltd (No 2)English Court of AppealYes[1982] Ch 204England and WalesCited for the classic statement of the principle in Foss v Harbottle and the exceptions thereto.
Revenue and Customs Commissioners v Total Network SLN/ANo[2008] 1 AC 1174England and WalesCited to define the word 'unlawful'.
R v ClarenceN/ANo(1888) 22 QBD 23England and WalesCited to define the word 'unlawfully'.
Allen v FloodN/ANo[1898] AC 1England and WalesCited in relation to the definition of 'unlawfully'.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Building Maintenance and Strata Management Act (Cap 30C, 2008 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Management Corporation
  • Subsidiary Proprietors
  • Extraordinary General Meeting
  • Motions
  • Chairperson
  • Strata Titles Board
  • Building Maintenance and Strata Management Act
  • Council
  • Share Value
  • Management Fund
  • Sinking Fund

15.2 Keywords

  • Management Corporation
  • Strata Title
  • Motions
  • Chairperson
  • Rulings
  • Singapore
  • High Court

16. Subjects

  • Strata Management
  • Civil Procedure

17. Areas of Law

  • Strata Title Law
  • Civil Procedure