CBX v CBZ: Costs Dispute After Dismissal of Application to Set Aside Arbitration Awards

In CBX and another v CBZ and others, the Singapore International Commercial Court addressed the issue of costs following the dismissal of the Plaintiffs’ application to set aside two Phase II Partial Awards and the whole of a Costs Award. The court ruled that the Plaintiffs are to pay the Defendants’ costs of S$150,000, with simple interest at 5.33% per annum from the date of the judgment until payment.

1. Case Overview

1.1 Court

Singapore International Commercial Court

1.2 Outcome

Plaintiffs to pay the Defendants’ costs of S$150,000 (all-in).

1.3 Case Type

Civil

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

Plaintiffs' application to set aside arbitration awards was dismissed. The court addressed the costs, ruling the plaintiffs must pay the defendants' costs of S$150,000.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
CBXPlaintiffCorporationCosts to be paid to DefendantsLost
CBYPlaintiffCorporationCosts to be paid to DefendantsLost
CBZDefendantCorporationCosts awardedWon
CCADefendantCorporationCosts awardedWon
CCBDefendantCorporationCosts awardedWon

3. Judges

Judge NameTitleDelivered Judgment
Anselmo ReyesInternational JudgeYes

4. Counsels

Counsel NameOrganization
Lin Weiqi WendyWongPartnership LLP
Chong Wan Yee MonicaWongPartnership LLP
Alvin YeoWongPartnership LLP
Huang Meizhen MargaretWongPartnership LLP
Kara Quek Tze-MinWongPartnership LLP
Disa SimRajah & Tann LLP
David Isidore Tan Huang LoongRajah & Tann LLP
Kristin NgRajah & Tann LLP
Francis XavierRajah & Tann LLP

4. Facts

  1. Plaintiffs applied to set aside two Phase II Partial Awards and the whole of a Costs Award.
  2. The case was transferred from the High Court to the Singapore International Commercial Court.
  3. The Deputy Registrar reserved for the SICC’s determination the question of whether the costs guidelines in Appendix G of the Supreme Court Practice Directions should apply.
  4. The Defendants claimed S$150,000 as their reasonable costs.
  5. The Plaintiffs argued that the Defendants should be entitled to no more than S$35,000 or S$45,000.
  6. The Plaintiffs also contended that the costs awarded to the Defendants should be discounted by 20% due to an alleged breach of a High Court order.
  7. The Defendants’ lawyers had not previously been involved in the underlying arbitrations.
  8. The Plaintiffs filed six affidavits in support of their setting aside application, one of which ran to 3,135 pages.

5. Formal Citations

  1. CBX and another v CBZ and others, Originating Summons No 1 of 2020, [2020] SGHC(I) 21

6. Timeline

DateEvent
High Court order issued (HC/ORC 559/202)
Defendants sought security for costs from the Plaintiffs
Pre-trial conference held
Case transferred from the High Court to the Singapore International Commercial Court
Defendants rejected the Plaintiffs’ proposed amount as “insufficient security”
Plaintiffs countered with S$40,000
Defendants accepted the offer of S$40,000
Judgment issued dismissing the Plaintiffs’ application to set aside two Phase II Partial Awards and the whole of a Costs Award
Judgment reserved
Judgment issued

7. Legal Issues

  1. Costs
    • Outcome: The court ruled that the Plaintiffs are to pay the Defendants’ costs of S$150,000 (all-in).
    • Category: Procedural
  2. Applicability of Appendix G of the Supreme Court Practice Directions
    • Outcome: The court determined that Appendix G did not serve as a useful guide on the level of reasonable costs in this case.
    • Category: Procedural

8. Remedies Sought

  1. No remedies sought

9. Cause of Actions

  • No cause of actions

10. Practice Areas

  • Commercial Litigation
  • Arbitration

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
CBX and another v CBZ and othersSingapore International Commercial CourtYes[2020] SGHC(I) 17SingaporeRefers to the previous judgment where the Plaintiffs’ application to set aside two Phase II Partial Awards and the whole of a Costs Award was dismissed.
BYL and another v BYNSingapore International Commercial CourtYes[2020] SGHC(I) 12SingaporeCompared to the present case regarding the interpretation of the Deputy Registrar’s order on whether Appendix G of the Supreme Court Practice Directions should apply to the assessment of costs.
BXS v BXTSingapore High CourtYes[2019] 5 SLR 48SingaporeDiscussed in relation to whether there was an understanding or concern among the parties that there should be no difference in the way that costs are taxed as a result of the transfer.
Sheila Kazzaz and another v Standard Chartered Bank and othersSingapore International Commercial CourtYes[2020] SGHC(I) 19SingaporeCited as an example where the registrar unambiguously directed that Appendix G shall continue to be relevant to the assessment of costs in respect of all proceedings in and arising from this suit after its transfer to the SICC.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Rules of Court (Cap 322, R 5, 2014 Rev Ed)Singapore
Supreme Court of Judicature Act (Cap 322, 2007 Rev Ed) s 18D(2)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Costs
  • Appendix G
  • Singapore International Commercial Court
  • Setting aside application
  • Reasonable costs
  • Transfer order
  • Security for costs
  • Arbitration award

15.2 Keywords

  • costs
  • arbitration
  • singapore international commercial court
  • SICC
  • appendix G
  • setting aside
  • transfer
  • security for costs

17. Areas of Law

Area NameRelevance Score
Costs95
Civil Practice75
Civil Procedure75
Arbitration60
International Arbitration50
Appeal30

16. Subjects

  • Civil Procedure
  • Arbitration
  • Costs