Lim Kieuh Huat v Lim Teck Leng: Beneficial Ownership of HDB Flat Dispute

Lim Kieuh Huat and Leong Ah Chue, the parents, appealed to the Court of Appeal of Singapore, against Lim Teck Leng, their son, and Zhang Hong Hong, the son's ex-wife, regarding the beneficial ownership of a Housing and Development Board (HDB) flat. The parents claimed a beneficial interest in the flat, which was registered under the son's name. The court dismissed the appeals, holding that the Housing and Development Act (HDA) precluded the parents' claim.

1. Case Overview

1.1 Court

Court of Appeal of the Republic of Singapore

1.2 Outcome

Appeals Dismissed

1.3 Case Type

Civil

1.4 Judgment Type

Ex Tempore Judgment

1.5 Jurisdiction

Singapore

1.6 Description

The parents' claim to beneficial ownership of an HDB flat registered under their son's name was dismissed due to HDB Act prohibitions.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Lim Kieuh HuatAppellantIndividualAppeal DismissedLost
Leong Ah ChueAppellantIndividualAppeal DismissedLost
Lim Teck Leng (Lin Delong)RespondentIndividualAppeal DismissedWon
Zhang Hong HongRespondentIndividualAppeal DismissedWon

3. Judges

Judge NameTitleDelivered Judgment
Sundaresh MenonChief JusticeYes
Tay Yong KwangJustice of the Court of AppealNo
Quentin LohJudge of the Appellate DivisionNo

4. Counsels

Counsel NameOrganization
Mohammad Shafiq bin Haja MaideenAbdul Rahman Law Corporation
Lai Ying Ling JennyJenny Lai & Co
Lai Ying Mei JenniferJenny Lai & Co
Hannah CheangFocus Law Asia LLC

4. Facts

  1. Parents purchased an HDB flat in Choa Chu Kang in 1994 in their joint names.
  2. In 2007, the CCK Flat was sold.
  3. Son purchased a flat in Silat Walk in 2007 in his sole name.
  4. The Silat Flat was compulsorily acquired by the Government in 2012 under SERS.
  5. Kim Tian Flat was purchased in 2011 by the Son in his sole name.
  6. The SERS Contra was applied towards the initial payment of the Kim Tian Flat.
  7. Son married the Wife in 2010 and they divorced in 2016.

5. Formal Citations

  1. Lim Kieuh Huat v Lim Teck Leng and another and another appeal, Civil Appeals Nos 154 and 156 of 2020, [2021] SGCA 28

6. Timeline

DateEvent
Parents purchased an HDB flat in Choa Chu Kang.
Discussion surrounding the purchase of a flat in Silat Walk and the sale of the CCK Flat.
CCK Flat was sold.
Son obtained HDB’s approval to purchase the Silat Flat.
Son married the Wife.
Kim Tian Flat was purchased by the Son.
Silat Flat was compulsorily acquired by the Government under the Selective En bloc Redevelopment Scheme.
Son and Wife divorced.
Final judgment granted for divorce.
Parents commenced action regarding beneficial ownership of Kim Tian Flat.
High Court dismissed the Parents’ claim to any beneficial interest in the Kim Tian Flat.
Appeals dismissed.

7. Legal Issues

  1. Beneficial Ownership of Property
    • Outcome: The court held that the parents were precluded from claiming beneficial ownership due to prohibitions in the Housing and Development Act.
    • Category: Substantive
    • Sub-Issues:
      • Common intention constructive trust
      • Resulting trust
    • Related Cases:
      • [2020] SGHC 181
      • [2007] 1 SLR(R) 265
      • [2011] 3 SLR 125
  2. Applicability of Housing and Development Act
    • Outcome: The court found that the HDA precluded the parents' claim due to the absence of prior written approval from the HDB and their ineligibility to acquire the flat.
    • Category: Statutory Interpretation
    • Sub-Issues:
      • Interpretation of s 51(8) to (10) of the HDA
      • Definition of protected property under s 51(11) of the HDA
      • Eligibility to acquire an HDB flat

8. Remedies Sought

  1. Declaration of Beneficial Ownership

9. Cause of Actions

  • Constructive Trust
  • Resulting Trust

10. Practice Areas

  • Civil Litigation
  • Trusts
  • Property Law

11. Industries

  • Real Estate

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Lim Kieuh Huat and another v Lim Teck Leng and anotherHigh CourtYes[2020] SGHC 181SingaporeCited for the High Court's decision dismissing the Parents' claim to any beneficial interest in the Kim Tian Flat.
JWR Pte Ltd v Edmond Pereira Law Corporation and anotherCourt of AppealYes[2020] 2 SLR 744SingaporeCited for principles concerning when leave should be granted to raise new arguments on appeal.
Grace Electrical Engineering Pte Ltd v Te Deum Engineering Pte LtdCourt of AppealYes[2018] 1 SLR 76SingaporeCited for principles concerning when leave should be granted to raise new arguments on appeal.
Cheong Yoke Kuen and others v Cheong Kwok KiongCourt of AppealYes[1999] 1 SLR(R) 1126SingaporeCited for the principle that no trust which enables parties to evade the HDB’s policy can be upheld.
Tan Chui Lian v Neo Liew EngHigh CourtYes[2007] 1 SLR(R) 265SingaporeCited for the principle that s 51(10) of the HDA prevents a person who is ineligible to acquire an HDB flat from obtaining an interest in such a flat by way of a resulting or constructive trust.
Koh Cheong Heng v Ho Yee FongHigh CourtYes[2011] 3 SLR 125SingaporeCited for the principle that s 51(10) of the HDA prevents a person who is ineligible to acquire an HDB flat from obtaining an interest in such a flat by way of a resulting or constructive trust.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Housing and Development Act (Cap 129, 2004 Rev Ed)Singapore
Legal Aid and Advice Act (Cap 160, 2014 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • HDB Flat
  • Beneficial Ownership
  • Constructive Trust
  • Resulting Trust
  • Housing and Development Act
  • Resale Levy
  • SERS Contra
  • Protected Property
  • Ineligible Owners
  • Nominee Arrangement

15.2 Keywords

  • HDB
  • Trust
  • Property
  • Singapore
  • Housing
  • Beneficial Ownership

17. Areas of Law

Area NameRelevance Score
Trust Law75
Resulting Trust70
Constructive Trust70
Housing Law60
Property Law50
Corporate Law20
Family Law15
Administrative Law10

16. Subjects

  • Trusts
  • Property Law
  • Housing Law