Nam Hong Construction v Kori Construction: Building Control Act & Licensing for Specialist Building Works

In Nam Hong Construction & Engineering Pte Ltd v Kori Construction (S) Pte Ltd, the Singapore Court of Appeal addressed whether a subcontractor, Nam Hong, required a specialist builder's license under the Building Control Act to recover fees for specialist building works. The court held that while Nam Hong performed specialist building works, the licensing regime in Part VA of the Act does not apply to subcontractors. The court allowed Nam Hong's appeal, finding that its claim was not precluded by section 29B(4) of the Act.

1. Case Overview

1.1 Court

Court of Appeal of the Republic of Singapore

1.2 Outcome

Appeal Allowed

1.3 Case Type

Civil

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

Singapore Court of Appeal case concerning licensing requirements under the Building Control Act for specialist building works performed by subcontractors.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Kori Construction (S) Pte LtdRespondentCorporationAppeal DismissedLost
Nam Hong Construction & Engineering Pte LtdAppellantCorporationAppeal AllowedWon

3. Judges

Judge NameTitleDelivered Judgment
Sundaresh MenonChief JusticeYes
Andrew Phang Boon LeongJudge of AppealNo
Steven ChongJudgeNo

4. Counsels

Counsel NameOrganization
Twang Kern ZernCentral Chambers Law Corporation
Andrew John HanamAndrew LLC

4. Facts

  1. Kori Construction was a subcontractor for the MRT Downtown Line project.
  2. Kori Construction engaged Nam Hong Construction to perform part of the works.
  3. Nam Hong's scope of work included fabrication, loading, and unloading of steel strutting works.
  4. Nam Hong did not possess a specialist builder's license.
  5. Kori Construction did not pay Nam Hong $147,538.39 for the final invoice.
  6. Nam Hong commenced District Court Suit No 3508 of 2014 to recover the sum.
  7. Kori argued that Nam Hong carried out 'structural steelwork' without a license, barring the claim under s 29B(4).

5. Formal Citations

  1. Nam Hong Construction & Engineering Pte Ltd v Kori Construction (S) Pte Ltd, Civil Appeal No 44 of 2015, [2016] SGCA 42

6. Timeline

DateEvent
Works carried out between February and August 2013
Works carried out between February and August 2013
District Court Suit No 3508 of 2014 commenced
Civil Appeal No 44 of 2015 filed
Hearing date
Judgment reserved
Judgment delivered

7. Legal Issues

  1. Interpretation of 'specialist building works' under the Building Control Act
    • Outcome: The court held that 'specialist building works' should be interpreted disjunctively.
    • Category: Substantive
    • Sub-Issues:
      • Conjunctive vs. disjunctive interpretation of s 2(1)(d) of the Building Control Act
    • Related Cases:
      • [2015] 2 SLR 616
  2. Applicability of the Building Control Act's licensing regime to subcontractors
    • Outcome: The court held that the licensing regime in Part VA of the Building Control Act does not apply to subcontractors.
    • Category: Substantive
    • Sub-Issues:
      • Whether subcontractors are considered 'builders' under the Act
      • Whether the licensing requirements extend to subcontractors performing specialist building works

8. Remedies Sought

  1. Recovery of fees
  2. Monetary Damages

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Construction Litigation
  • Commercial Litigation

11. Industries

  • Construction

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Kori Construction (S) Pte Ltd v Nam Hong Construction & Engineering Pte LtdHigh CourtYes[2015] 2 SLR 616SingaporeThe Judicial Commissioner's decision was appealed. The Court of Appeal disagreed with the JC's interpretation of the Building Control Act.
Public Prosecutor v Low Kok HengHigh CourtYes[2007] 4 SLR(R) 183SingaporeCited for the principle against doubtful penalisation and the purposive approach to statutory interpretation.
Regina v OakesEnglish Court of Criminal AppealYes[1959] 2 QB 350England and WalesCited regarding the interpretation of 'and' as 'or' in statutes.
Kok Chong Weng and others v Wiener Robert Lorenz and others (Ankerite Pte Ltd, intervener)Court of AppealYes[2009] 2 SLR(R) 709SingaporeCited for the test for adopting a rectifying construction of a statute.
Wentworth Securities Ltd v JonesHouse of LordsYes[1980] AC 74United KingdomCited for the test for adopting a rectifying construction of a statute.
Inco Europe and others v First Choice Distribution (a firm) and othersUnspecifiedYes[2000] 1 WLR 586UnspecifiedCited for the test for adopting a rectifying construction of a statute.

13. Applicable Rules

Rule Name
Rules of Court (Cap 322, R 5, 2014 Rev Ed) O 33 r 5

14. Applicable Statutes

Statute NameJurisdiction
Building Control Act (Cap 29, 1999 Rev Ed) s 2(1)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29B(4)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29B(2)(c)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29A(2)(b)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29A(2)(a)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29C(1)Singapore
Building Control Act (Cap 29, 1999 Rev Ed) s 29A(1)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Specialist building works
  • Licensing regime
  • Subcontractor
  • Structural steelwork
  • Building Control Act
  • Conjunctive interpretation
  • Disjunctive interpretation
  • Geotechnical works

15.2 Keywords

  • Building Control Act
  • Licensing
  • Specialist builder
  • Subcontractor
  • Construction
  • Singapore
  • Structural steelwork

17. Areas of Law

Area NameRelevance Score
Building and Construction Law80
Construction Law75
Licensing Regime65
Statutory Interpretation60
Contract Law50
Breach of Contract30

16. Subjects

  • Construction Law
  • Contract Law
  • Statutory Interpretation