Koh Lian Chye v Koh Ah Leng: Resulting & Constructive Trusts in Property Dispute

This case involves cross-appeals between brothers Koh Lian Chye and Koh Ah Leng regarding the beneficial ownership of a Housing and Development Board (HDB) shophouse unit. The Court of Appeal of Singapore dismissed both appeals, upholding the High Court's decision. The court found that Lian Chye was beneficially entitled to 14.3% of the property under a purchase price resulting trust, with the remaining 85.7% belonging to their late father, Mr. Koh, which was then gifted jointly to Lian Chye and Ah Leng. Ultimately, the beneficial interest in the Property was held by Lian Chye and Ah Leng under a tenancy-in-common in equity in the ratio of 57.15:42.85.

1. Case Overview

1.1 Court

Court of Appeal of the Republic of Singapore

1.2 Outcome

Appeals dismissed; decision of the High Court upheld.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Cross-appeals over a property dispute between two brothers. The court determined beneficial interests based on resulting trust and presumption of advancement.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Koh Lian ChyeAppellant, RespondentIndividualAppeal DismissedLost
Koh Lian Chye (Administrator of the Estate of Koh Cheng Kang, deceased)Appellant, RespondentIndividualAppeal DismissedLost
Koh Ah LengRespondent, AppellantIndividualAppeal DismissedLost
Koh Seng HinRespondent, AppellantPartnershipAppeal DismissedLost

3. Judges

Judge NameTitleDelivered Judgment
Judith PrakashJustice of the Court of AppealNo
Belinda Ang Saw EanJudge of the Appellate DivisionYes
Quentin LohJudge of the Appellate DivisionNo

4. Counsels

4. Facts

  1. The Property was registered in the names of Mr Koh, Lian Chye and Ah Leng as joint tenants.
  2. Lian Chye contributed $76,800 towards the mortgage payments using his CPF monies.
  3. Ah Leng did not contribute financially to the purchase of the Property.
  4. Mr Koh prepared a will that did not mention the Property.
  5. Mr Koh was diagnosed with mild dementia of the mixed type.
  6. Mr Koh, Ah Leng and Lian Chye visited ILA to discuss the discharge of the Mortgage and the possibility of the Property being owned by Mr Koh alone.

5. Formal Citations

  1. Koh Lian Chye and another v Koh Ah Leng and another, Civil Appeal No 120 of 2020, [2021] SGCA 69
  2. Koh Ah Leng and another v Koh Lian Chye and another, Civil Appeal No 122 of 2020, [2021] SGCA 69
  3. Koh Lian Chye and another v Koh Ah Leng and another, , [2020] SGHC 131

6. Timeline

DateEvent
Koh Seng Hin started as a sole proprietorship.
Koh Seng Hin was converted into a partnership.
Koh Seng Hin relocated to the Property.
HDB offered the Property for sale.
Lian Chye applied $76,800 of CPF monies towards payment of the Mortgage instalments between 1997 and 2001.
Mr Koh prepared his last will and testament.
Mr Koh, Ah Leng and Lian Chye went to ILA to discuss procuring the discharge of the Mortgage and the possibility of the Property being owned by Mr Koh alone.
Mortgage was discharged.
Discussion between Mr Koh and Bee Hoon was recorded in two videos.
Mr Koh consulted Dr Nagaendran Kandiah.
Mr Koh consulted Dr Nagaendran Kandiah.
Dr Kandiah noted that Mr Koh continued to have deficits in memory.
Mr Koh passed away.
Koh Chee Keong was added as a partner of Koh Seng Hin.
Appeals dismissed.
Grounds of Decision released.

7. Legal Issues

  1. Purchase Price Resulting Trust
    • Outcome: The court found that Lian Chye was beneficially entitled to 14.3% of the Property under a purchase price resulting trust, with Mr Koh being beneficially entitled to the remaining 85.7%.
    • Category: Substantive
  2. Presumption of Advancement
    • Outcome: The court applied the presumption of advancement to Mr Koh's 85.7% share, deeming it a gift to Lian Chye and Ah Leng.
    • Category: Substantive
  3. Common Intention Constructive Trust
    • Outcome: The court found that there was no common intention constructive trust.
    • Category: Substantive

8. Remedies Sought

  1. Declaration of sole beneficial ownership
  2. Sale of property and apportionment of proceeds

9. Cause of Actions

  • Declaration of beneficial ownership of property
  • Trust

10. Practice Areas

  • Commercial Litigation
  • Trust Litigation
  • Property Disputes

11. Industries

  • Real Estate

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Koh Lian Chye and another v Koh Ah Leng and anotherHigh CourtYes[2020] SGHC 131SingaporeThe decision of the High Court was appealed against in the present case.
Estate of Yang Chun (Mrs) née Sun Hui Min, deceased v Yang Chia-YinCourt of AppealYes[2019] 5 SLR 593SingaporeCited for the principle that the right of survivorship operates only on the legal interest and not the beneficial interest.
Low Yin Ni and another v Tay Yuan Wei Jaycie (formerly known as Tay Yeng Choo Jessy) and anotherCourt of AppealYes[2020] SGCA 58SingaporeCited for the principle of presumption of advancement.
Chan Yuen Lan v See Fong MunHigh CourtYes[2014] 3 SLR 1048SingaporeCited for the principles relating to presumption of advancement and common intention constructive trust.
Lau Siew Kim v Yeo Guan Chye Terence and anotherHigh CourtYes[2008] 2 SLR(R) 108SingaporeCited for the principle that the burden is on the person who is challenging the claim of the transferee to rebut the presumption of advancement.
Sakthivel Punithavathi v Public ProsecutorHigh CourtYes[2007] 2 SLR(R) 983SingaporeCited for the principle that an appellate court will be slow to criticise a trial court’s findings on expert evidence.
Ng Chee Chuan v Ng Ai Tee (administratrix of the estate of Yap Yoon Moi, deceased)High CourtYes[2009] 2 SLR(R) 918SingaporeCited for the principle that an appellate court will not overturn a trial judge’s findings of fact unless they can be shown to be plainly wrong or against the weight of the evidence.
Neo Hui Ling v Ang Ah SewHigh CourtYes[2012] 2 SLR 831SingaporeCited for the principle that the presumption of advancement applies even in a relationship between a parent and an adult child.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
No applicable statutes

15. Key Terms and Keywords

15.1 Key Terms

  • Resulting trust
  • Constructive trust
  • Presumption of advancement
  • Joint tenancy
  • Tenancy-in-common
  • Beneficial interest
  • Mortgage
  • CPF monies

15.2 Keywords

  • trusts
  • property
  • resulting trust
  • constructive trust
  • presumption of advancement
  • Singapore
  • Koh Lian Chye
  • Koh Ah Leng

17. Areas of Law

16. Subjects

  • Trusts
  • Property
  • Equity