Seraya Energy v Denka Advantech: Costs & Disbursements in Electricity Contract Dispute

In a supplementary judgment, the High Court of Singapore heard arguments regarding the costs and disbursements in the case of Seraya Energy Pte Ltd v Denka Advantech Pte Ltd. The court awarded 90% of the costs of the action to Denka Advantech on a standard basis from the date of their offer to settle, as well as disbursements from that date. The court considered the complexity of the liquidated damages issue and the potential liability of Denka Advantech.

1. Case Overview

1.1 Court

High Court of Singapore

1.2 Outcome

Costs awarded to the defendant, Denka Advantech Private Limited.

1.3 Case Type

Civil

1.4 Judgment Type

Supplementary Judgment on Costs and Disbursements

1.5 Jurisdiction

Singapore

1.6 Description

Supplementary judgment on costs and disbursements in a dispute over electricity contracts. The court awarded costs to Denka Advantech.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Seraya Energy Pte LtdPlaintiff, Defendant in CounterclaimCorporationCosts to be paid to DefendantLost
Denka Advantech Private LimitedDefendant, Plaintiff in CounterclaimCorporationCosts AwardedWon
Denka Singapore Private LimitedDefendant, Plaintiff in CounterclaimCorporationCosts AwardedWon
YTL PowerSeraya Pte LimitedThird PartyCorporationNeutralNeutral

3. Judges

Judge NameTitleDelivered Judgment
Woo Bih LiJudgeYes

4. Counsels

Counsel NameOrganization
Chan Kah Keen MelvinTSMP Law Corporation
Koh Li QunTSMP Law Corporation
Kelvin (Xu Liqun)TSMP Law Corporation
Nguyen Vu LanTSMP Law Corporation
Yip Li MingRajah & Tann Singapore LLP
Tay Twan Lip PhilipRajah & Tann Singapore LLP

4. Facts

  1. Seraya Energy sued Denka Advantech and Denka Singapore in two separate suits.
  2. Denka made an offer to settle on 31 October 2016, which remained open for five months.
  3. The offer to settle was withdrawn on 31 March 2017.
  4. The trial commenced on 7 November 2017.
  5. The court initially decided each party was to bear its own costs.
  6. Seraya Energy was entitled to $1,850,000 from bank guarantees and $77,911.72 from DAPL.
  7. Seraya Energy was liable to pay DSPL $1,097.72.
  8. Under the offer to settle, Seraya Energy would have been entitled to $1,850,000 and $792,450.
  9. The difference between the principal amounts offered and awarded was $715,636.

5. Formal Citations

  1. Seraya Energy Pte Ltd v Denka Advantech Pte Ltd and another suit, Suit Nos 1328 and 1329 of 2014, [2019] SGHC 100

6. Timeline

DateEvent
Consolidation of suits pursuant to Order of Court
First Judgment issued
Second Judgment issued
Denka made an offer to settle
Offer to settle withdrawn
Trial began
Initial decision that each party bear its own costs
Writ was filed
Judgment reserved

7. Legal Issues

  1. Costs
    • Outcome: The court awarded 90% of the costs of the action to Denka Advantech on a standard basis from the date of their offer to settle.
    • Category: Procedural

8. Remedies Sought

  1. No remedies sought

9. Cause of Actions

  • No cause of actions

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Energy

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Seraya Energy Pte Ltd v Denka Advantech Pte Ltd and another suit (YTL PowerSeraya Pte Ltd, third party)High CourtYes[2019] SGHC 02SingaporeCited for the background to the action.
Seraya Energy Pte Ltd v Denka Advantech Pte Ltd and another suit (YTL PowerSeraya Pte Ltd, third party)High CourtYes[2019] SGHC 18SingaporeCited for the determination of the extent of liability and quantum.

13. Applicable Rules

Rule Name
O 22A r 9(3) of the Rules of Court
O 22A r 9(5) of the Rules of Court

14. Applicable Statutes

Statute NameJurisdiction
Rules of Court (Cap 322, R 5, 2014 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Costs
  • Disbursements
  • Offer to Settle
  • Indemnity Basis
  • Standard Basis
  • Liquidated Damages
  • Electricity Contracts

15.2 Keywords

  • costs
  • disbursements
  • offer to settle
  • electricity contracts
  • Singapore High Court

17. Areas of Law

Area NameRelevance Score
Costs95
Disbursements80
Civil Practice75
Offer to Settle70
Contract Law65
Damages50
Summary Judgement30

16. Subjects

  • Civil Procedure
  • Contract Law
  • Costs and Disbursements