Chee Yin Meh v Sim Guan Seng: Common Intention Constructive Trust, Proprietary Estoppel & Residential Property Act
Chee Yin Meh sued Sim Guan Seng, Khor Boon Hong, and Goh Yeow Kiang Victor in the General Division of the High Court of Singapore, seeking a declaration of a 50% beneficial interest in a property based on a common intention constructive trust or proprietary estoppel. The court, presided over by Justice Vinodh Coomaraswamy, dismissed the plaintiff's action, holding that the Residential Property Act prohibited the plaintiff, a foreign person at the time of the property's conveyance, from acquiring any interest in the property. The court found that even if the plaintiff's claims were valid, they would fail due to the Act and her attempt to circumvent it.
1. Case Overview
1.1 Court
General Division of the High Court1.2 Outcome
Plaintiff's action dismissed.
1.3 Case Type
Civil
1.4 Judgment Type
Judgment
1.5 Jurisdiction
Singapore
1.6 Description
Plaintiff seeks beneficial interest in property based on constructive trust/estoppel. Claim dismissed due to Residential Property Act restrictions on foreign persons.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Chee Yin Meh | Plaintiff | Individual | Action Dismissed | Lost | |
| Khor Boon Hong | Defendant | Individual | Judgment for Defendant | Won | |
| Goh Yeow Kiang Victor | Defendant | Individual | Judgment for Defendant | Won | |
| Sim Guan Seng | Defendant | Individual | Judgment for Defendant | Won |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Vinodh Coomaraswamy | Judge of the High Court | Yes |
4. Counsels
4. Facts
- A bankruptcy order was made against Fan Kow Hin on 30 March 2017.
- The defendants were appointed as Fan Kow Hin's trustees in bankruptcy.
- The plaintiff is Fan Kow Hin's wife, married in 1981.
- Fan Kow Hin is the sole registered owner of the property at 62 Sunrise Drive, Singapore.
- The property was purchased in August 2011.
- The plaintiff was a Malaysian citizen until December 2011, when she became a Singapore citizen.
- The plaintiff claims a 50% beneficial interest in the property based on a common intention constructive trust or proprietary estoppel.
5. Formal Citations
- Chee Yin Meh v Sim Guan Seng and others, Suit No 350 of 2019, [2022] SGHC 195
6. Timeline
| Date | Event |
|---|---|
| Property purchased in Bankrupt's sole name. | |
| Vendor granted the Bankrupt and the plaintiff jointly an option to purchase the property. | |
| Bankrupt exercised the option in his sole name. | |
| Plaintiff applied for Singapore citizenship. | |
| Plaintiff became a Singapore citizen. | |
| Renovations were complete and the Bankrupt and the plaintiff began residing in the Property. | |
| Bankruptcy order made against Fan Kow Hin. | |
| Defendants sold the Property. | |
| Plaintiff's solicitors wrote to the Trustees claiming a beneficial interest in 50% of the Property. | |
| Plaintiff commenced this action. | |
| Hearing commenced. | |
| Judgment reserved. |
7. Legal Issues
- Common Intention Constructive Trust
- Outcome: The court held that the common intention constructive trust pleaded by the plaintiff was void under the Residential Property Act.
- Category: Substantive
- Proprietary Estoppel
- Outcome: The court held that the Residential Property Act rendered void any proprietary estoppel that would give the plaintiff a beneficial interest in the property.
- Category: Substantive
- Circumvention of the Residential Property Act
- Outcome: The court found that the plaintiff acted with intent to circumvent the Residential Property Act, disentitling her to equitable relief.
- Category: Substantive
8. Remedies Sought
- Declaration of beneficial interest in property
9. Cause of Actions
- Common Intention Constructive Trust
- Proprietary Estoppel
10. Practice Areas
- Trust Litigation
- Property Litigation
11. Industries
- Real Estate
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Public Prosecutor v Intra Group (Holdings) Co Inc | N/A | Yes | [1999] 1 SLR(R) 154 | Singapore | Cited to distinguish the case where a constructive trust arises from a transfer of a person’s property against his wishes, and which therefore arises to reverse a detriment which that person has suffered. |
| Joshua Steven v Joshua Deborah Steven | N/A | Yes | [2004] 4 SLR(R) 403 | Singapore | Cited for the principle that the prohibitions in the Residential Property Act apply to a beneficial interest arising from a proprietary estoppel in the same way it applies to a beneficial interest arising from a trust. |
| Tan Poh Soon v Phua Sin Yin | N/A | Yes | [1995] 2 SLR(R) 583 | Singapore | Cited to show that under the HDB Act, an implied trust may arise in favour of a beneficiary if that beneficiary is eligible at the time the implied trust arises to own an interest in an HDB flat. |
| V Nithia v Buthmanaban s/o Vaithilingam and another | N/A | Yes | [2015] 5 SLR 1422 | Singapore | Cited to show that the case law on the Residential Property Act and the HDB Act has diverged. |
| Lim Kieuh Huat v Lim Teck Leng and another | N/A | Yes | [2021] 1 SLR 1328 | Singapore | Cited to show that even on the case law under the HDB Act, a common intention constructive trust which arises from the express intention of the parties is not invariably recognised. |
| Tan Cheow Gek and another v Gimly Holdings Pte Ltd | N/A | Yes | [1992] 2 SLR(R) 240 | Singapore | Cited for the policy of the Act to prevent foreign persons speculating in a particular class of residential property in Singapore, ie, landed property, and thereby causing the prices of that class of property to rise. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Bankruptcy Act (Cap 20, 2009 Rev Ed) | Singapore |
| Residential Property Act (Cap 274, 2009 Rev Ed) | Singapore |
| s 2(1) of the Residential Property Act | Singapore |
| s 3(1)(b) of the Residential Property Act | Singapore |
| s 3(2)(b) of the Residential Property Act | Singapore |
| s 36 of the Residential Property Act | Singapore |
| s 23(1) of the Residential Property Act | Singapore |
| s 23(2) of the Residential Property Act | Singapore |
| s 23(4) of the Residential Property Act | Singapore |
| s 25(2) of the Residential Property Act | Singapore |
| Housing and Development Act (Cap 129, 2004 Rev Ed) | Singapore |
| s 51 of the Housing and Development Act (Cap 129, 2004 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Common intention constructive trust
- Proprietary estoppel
- Residential Property Act
- Beneficial interest
- Trustees in bankruptcy
- Foreign person
- Singapore citizen
15.2 Keywords
- Constructive trust
- Proprietary estoppel
- Residential Property Act
- Singapore
- Land
- Property
- Equity
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Residential Property Act | 95 |
| Common Intention Constructive Trust | 90 |
| Trust Law | 85 |
| Chancery and Equity | 80 |
| Proprietary Estoppel | 80 |
| Property Law | 75 |
| Estoppel | 70 |
| Bankruptcy | 60 |
| Administrative Law | 30 |
| Contract Law | 20 |
16. Subjects
- Trusts
- Equity
- Land Law
- Real Property
- Singapore Law
- Bankruptcy