BDC v BDD and BDE: Stay of Court Proceedings in Favor of Arbitration
In BDC v BDD and BDE, the High Court of Singapore addressed the plaintiff's appeal against the decision to stay proceedings against the second defendant, BDE, in favor of arbitration. The plaintiff sued both defendants for losses incurred due to a design error in alteration works on a property. The court dismissed the appeal and ordered a partial stay of proceedings, referring the issue of whether BDE breached its duty to the plaintiff to arbitration, while the remaining issues of causation and quantum of damages would be determined by the court.
1. Case Overview
1.1 Court
High Court of the Republic of Singapore1.2 Outcome
Appeal dismissed; proceedings stayed in part in favour of arbitration.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
The plaintiff, BDC, sued BDD and BDE for losses due to a design error. The court considered staying proceedings against BDE in favor of arbitration.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| BDC | Plaintiff | Corporation | Appeal dismissed; proceedings stayed in part | Partial | Lim Yee Ming, Lim Yu Jia |
| BDD | Defendant | Corporation | Neutral | Neutral | |
| BDE | Defendant | Corporation | Proceedings stayed in part | Partial | Chan Kah Keen Melvin, Kishan Pillay s/o Rajagopal Pillay |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Lee Seiu Kin | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Lim Yee Ming | Kelvin Chia Partnership |
| Lim Yu Jia | Kelvin Chia Partnership |
| Chan Kah Keen Melvin | TSMP Law Corporation |
| Kishan Pillay s/o Rajagopal Pillay | TSMP Law Corporation |
4. Facts
- The plaintiff engaged the second defendant as architects for addition and alteration works on a property.
- The plaintiff engaged the first defendant to carry out a survey of the property and produce drawings.
- The second defendant used the drawings from the first defendant to prepare architectural design drawings.
- The design was based on a wrong dimension obtained by the second defendant from the drawings by means of scaling.
- The design, based on the erroneous dimension, was submitted to the relevant authorities for approval and was granted.
- The error was discovered after a contractor was engaged, causing delays to the works.
- The plaintiff claimed to have incurred losses as a result of the delay.
5. Formal Citations
- BDCvBDD and another, Suit No 218 of 2015 (Registrar’s Appeal No 278 of 2016), [2016] SGHC 202
6. Timeline
| Date | Event |
|---|---|
| Suit No 218 of 2015 filed | |
| Hearing date | |
| Judgment date |
7. Legal Issues
- Stay of Court Proceedings in Favor of Arbitration
- Outcome: The court ordered a partial stay of proceedings in favor of arbitration for the issue of whether the second defendant breached its duty to the plaintiff.
- Category: Procedural
- Related Cases:
- [1964] 1 WLR 633
- [1958] 2 Lloyd’s Rep 146
- [2016] 1 SLR 373
- [2016] 3 SLR 431
8. Remedies Sought
- Monetary Damages
9. Cause of Actions
- Breach of Contract
- Negligence
10. Practice Areas
- Arbitration
- Construction Law
- Commercial Litigation
11. Industries
- Construction
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Taunton-Collins v Cromie and Others | English Court of Appeal | Yes | [1964] 1 WLR 633 | England and Wales | Cited regarding the undesirability of two separate tribunals deciding the same questions of fact, which could result in inconsistent findings. |
| Halifax Overseas Freighters Ltd. v Rasno Export; Technoprominport; and Polskie Linie Oceaniczne P.P.W. (The “Pine Hill.”) | N/A | Yes | [1958] 2 Lloyd’s Rep 146 | N/A | Cited regarding the risk of judicial procedure being brought into disrepute should there be conflicting decisions of different tribunals. |
| Tomolugen Holdings Ltd and another v Silica Investors Ltd and other appeals | Court of Appeal | Yes | [2016] 1 SLR 373 | Singapore | Cited for the principle of granting a stay of proceedings in favor of arbitration while balancing the efficient disposition of the dispute. |
| Maybank Kim Eng Securities Pte Ltd v Lim Keng Yong and another | High Court | Yes | [2016] 3 SLR 431 | Singapore | Cited for the applicability of the principles enunciated in Tomolugen in cases involving arbitrations under the Arbitration Act. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Companies Act (Cap 50, 2006 Rev Ed) s 216 | Singapore |
| International Arbitration Act (Cap 143A, 2002 Rev Ed) s 6(1) | Singapore |
| International Arbitration Act (Cap 143A, 2002 Rev Ed) s 6(2) | Singapore |
| Arbitration Act (Cap 10, 2002 Rev Ed) s 6 | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Arbitration
- Stay of Proceedings
- Scaling
- Dimension
- Architectural Design
- Breach of Duty
15.2 Keywords
- Arbitration
- Stay of Proceedings
- Construction
- Singapore
- High Court
16. Subjects
- Arbitration
- Construction Dispute
- Civil Litigation
17. Areas of Law
- Arbitration Law
- Civil Procedure
- Construction Law