Vim Engineering v Deluge Fire Protection: Variation Claims & Written Instructions

In a suit between Vim Engineering Pte Ltd (Plaintiff) and Deluge Fire Protection (SEA) Pte Ltd (Defendant), the General Division of the High Court of Singapore, presided over by Judicial Commissioner Andre Maniam, ruled in favor of Deluge. Vim Engineering claimed $1,155,903.43 for balance payment and variation works under a subcontract agreement. Deluge counterclaimed for costs incurred in completing Vim's works and back-charges. The court dismissed Vim's variation claims due to the absence of written instructions as stipulated in the contract and allowed Deluge's counterclaims, resulting in a net judgment in favor of Deluge.

1. Case Overview

1.1 Court

General Division of the High Court

1.2 Outcome

Judgment for Defendant

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Singapore court rules against Vim Engineering's variation claims due to lack of written instructions, as required by contract with Deluge Fire Protection.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Vim Engineering Pte LtdPlaintiffCorporationClaims DismissedLost
Deluge Fire Protection (S.E.A.) Pte LtdDefendantCorporationJudgment for DefendantWon

3. Judges

Judge NameTitleDelivered Judgment
Andre ManiamJudicial CommissionerYes

4. Counsels

4. Facts

  1. Vim Engineering was subcontracted by Deluge for plumbing and sanitary works.
  2. The Subcontract sum was $1,750,000 for the original scope of works.
  3. Vim claimed a balance payment of $458,772.85 for the main works and $697,130.58 for variation works.
  4. Clause 16 of the Subcontract required written instructions from Deluge's project manager for any variation work.
  5. Vim did not have written instructions for the alleged variation works.
  6. Deluge counterclaimed for costs incurred in completing Vim's works and back-charges.
  7. Vim left the project site before the main works were completed and before the end of the defects liability period.

5. Formal Citations

  1. Vim Engineering Pte Ltd v Deluge Fire Protection (SEA) Pte Ltd, Suit No 1298 of 2018, [2021] SGHC 63

6. Timeline

DateEvent
Subcontract signed
Deluge sent payment certificate 10 with back-charges
Vim emailed first six variation invoices to Deluge
Vim sent variation claim invoices with progress claim 19
Deluge sent payment certificate 17 with back-charges
Temporary occupation permit obtained
Vim left the project site
Alleged meeting where Mr. AK Tan promised payment
Vim sent revised final progress claim to Deluge
Alleged meeting where Mr. AK Tan promised payment
Vim's lawyers sent letter of demand
Vim sued Deluge
Trial began
Trial continued
Trial continued
Trial continued
Trial continued
Trial continued
Trial continued
Hearing date
Judgment date

7. Legal Issues

  1. Breach of Contract
    • Outcome: The court held that Vim Engineering breached the contract by carrying out variation works without written instructions from Deluge's project manager, as required by the subcontract.
    • Category: Substantive
    • Sub-Issues:
      • Failure to comply with contractual conditions for variation claims
      • Lack of written instructions for variation works
    • Related Cases:
      • [2017] 5 SLR 203
  2. Admissibility of Evidence
    • Outcome: The court held that certain documents, including site memoranda and toolbox meeting records, were admissible as business records under the Evidence Act.
    • Category: Procedural
    • Sub-Issues:
      • Hearsay evidence
      • Business records exception

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Contract
  • Quantum Meruit

10. Practice Areas

  • Construction Contracts
  • Commercial Litigation

11. Industries

  • Construction

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Mansource Interior Pte Ltd v CSG Group Pte LtdHigh CourtYes[2017] 5 SLR 203SingaporeCited to emphasize the need to comply with contractual conditions for variation claims, specifically the requirement for written authorization.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Building and Construction Industry Security of Payment Act (Chapter 30B, 2006 Rev Ed)Singapore
Evidence Act (Cap 97, 1997 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Variation Works
  • Written Instructions
  • Back-Charges
  • Subcontract
  • Defects Liability Period
  • Quantum Meruit

15.2 Keywords

  • construction law
  • variation claims
  • written instructions
  • back-charges
  • Singapore High Court
  • contract law

17. Areas of Law

16. Subjects

  • Building and Construction Contracts
  • Variation Claims
  • Contractual Interpretation
  • Evidence Law