WCS Engineering v Glaziers Engineering: SOPA Adjudication Dispute & Natural Justice
In WCS Engineering Construction Pte Ltd v Glaziers Engineering Pte Ltd, the Singapore High Court addressed an application to set aside an adjudication determination under the Building and Construction Industry Security of Payment Act. WCS Engineering, the plaintiff, sought to set aside the determination in favor of Glaziers Engineering, the defendant, arguing that the adjudicator breached the principles of natural justice by applying an incorrect standard of proof without hearing from the parties. The High Court, presided over by Justice Vinodh Coomaraswamy, set aside the adjudication determination, finding that the adjudicator's breach was material and caused prejudice to the plaintiff.
1. Case Overview
1.1 Court
High Court of the Republic of Singapore1.2 Outcome
Adjudication determination set aside.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Singapore High Court case involving WCS Engineering and Glaziers Engineering concerning a dispute over an adjudication determination under the Building and Construction Industry Security of Payment Act.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| WCS Engineering Construction Pte Ltd | Plaintiff | Corporation | Adjudication determination set aside | Won | |
| Glaziers Engineering Pte Ltd | Defendant | Corporation | Adjudication determination set aside | Lost |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Vinodh Coomaraswamy | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| David Ong | David Ong & Co. |
| Magdalene Ong | David Ong & Co. |
| Crystal Phuar | Michael Por Law Corporation |
4. Facts
- Plaintiff was the main contractor for a residential development.
- Defendant was the aluminium, stainless steel, and glazing subcontractor.
- Sliding glass doors in shower frames shattered in multiple units.
- Plaintiff sought to back charge defendant for costs incurred due to shattering.
- Adjudicator determined plaintiff had to prove liability beyond reasonable doubt.
- Adjudicator allowed defendant's claim in full.
5. Formal Citations
- WCS Engineering Construction Pte Ltd v Glaziers Engineering Pte Ltd, Originating Summons No 662 of 2017, [2018] SGHC 28
6. Timeline
| Date | Event |
|---|---|
| Construction of The Hillford commenced. | |
| Plaintiff appointed the defendant as its subcontractor. | |
| Defendant commenced work. | |
| Defendant completed work. | |
| Defendant issued Progress Claim No. 8. | |
| Meetings and discussions held to find cause of shattering glass doors. | |
| Plaintiff put defendant on notice for damages due to negligent installation. | |
| Defendant sent letter denying defects. | |
| Defendant's solicitors responded to plaintiff's solicitors. | |
| Plaintiff's solicitors responded to defendant's solicitors. | |
| Developer's architect informed plaintiff of root causes for shattering glass doors. | |
| Defendant served a payment claim on the plaintiff. | |
| Plaintiff served a payment response. | |
| Defendant applied to have its claim adjudicated. | |
| Singapore Mediation Centre referred the adjudication to the adjudicator. | |
| Adjudicator formally accepted the reference. | |
| Plaintiff lodged its adjudication response. | |
| Plaintiff voluntarily revised its computation. | |
| Adjudication conference held. | |
| Adjudicator released written adjudication determination. | |
| Certified Transcript. | |
| Certified Transcript. | |
| Judgment Date |
7. Legal Issues
- Breach of Natural Justice
- Outcome: The court found that the adjudicator breached the rules of natural justice.
- Category: Procedural
- Sub-Issues:
- Failure to provide opportunity to address standard of persuasion
- Failure to provide opportunity to address relevance of BCA Code
- Standard of Persuasion in Adjudication
- Outcome: The court held that the adjudicator applied the wrong standard of persuasion.
- Category: Procedural
- Sub-Issues:
- Prima facie case vs. beyond reasonable doubt
8. Remedies Sought
- Setting aside of adjudication determination
- Costs
9. Cause of Actions
- Breach of Subcontract
- Negligence
10. Practice Areas
- Construction Law
- Commercial Litigation
- Adjudication
11. Industries
- Construction
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| AMZ v AXX | High Court | Yes | [2016] 1 SLR 549 | Singapore | Cited as authority for the proposition that an arbitral tribunal does not breach the rules of natural justice if it does not refer every issue which falls for decision to the parties for submissions. |
| Bulfracht (Cyprus) Ltd v Boneset Shipping Company Ltd | High Court of Justice | Yes | [2002] EWHC 2292 | England and Wales | Cited to suggest that the adjudicator in this case did not breach the rules of natural justice because he had no duty to forewarn the parties of his intended holdings. |
| L W Infrastructure Pte Ltd v Lim Chin San Contractors Pte Ltd | Court of Appeal | Yes | [2013] 1 SLR 125 | Singapore | Cited to paraphrase that the plaintiff will have suffered prejudice arising from this breach of the rules of natural justice if it can show that compliance with the rules of natural justice could reasonably have made a difference to the outcome of the adjudication. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Building and Construction Industry Security of Payment Act (Cap 30B) | Singapore |
| RULES OF COURT (Cap 322, Rule 5) | Singapore |
| Evidence Act (Cap 97, 1997 Rev Ed) | Singapore |
| International Arbitration Act (Cap 143A, 2002 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Adjudication
- Natural Justice
- Standard of Persuasion
- Building and Construction Industry Security of Payment Act
- SOPA
- Back Charge
- Shattering Glass Doors
- Prima Facie Case
- Beyond Reasonable Doubt
15.2 Keywords
- Adjudication
- Natural Justice
- Construction Law
- Singapore
- Building and Construction Industry Security of Payment Act
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Building and Construction Industry Security of Payment Act | 95 |
| Natural justice | 90 |
| Adjudication | 80 |
| Construction Law | 75 |
| Arbitration | 30 |
| Civil Procedure | 20 |
16. Subjects
- Construction Dispute
- Adjudication
- Contract Law
- Civil Procedure