Navigator Aries v Leo Perdana: Apportionment of Liability & Costs After Marine Collision

The Court of Appeal heard an appeal by the owner of the vessel "Navigator Aries" against the owner of the vessel "Leo Perdana" regarding the apportionment of liability for a collision in the Surabaya Strait. The High Court had apportioned liability 70:30 in favor of Leo Perdana. The Court of Appeal allowed the appeal in part, apportioning liability 50:50 and addressing the impact of a pre-trial offer to settle and a Calderbank offer on the costs orders. The court also considered the costs of the appellant's application to transfer the appeal from the Appellate Division to the Court of Appeal.

1. Case Overview

1.1 Court

Court of Appeal of the Republic of Singapore

1.2 Outcome

Appeal allowed in part.

1.3 Case Type

Admiralty

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

Appeal regarding liability apportionment after a collision between Navigator Aries and Leo Perdana. The court addressed the impact of settlement offers on costs.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Owner of the vessel “NAVIGATOR ARIES”Appellant, Plaintiff, DefendantCorporationAppeal allowed in partPartial
Owner of the vessel “LEO PERDANA”Respondent, Defendant, PlaintiffCorporationAppeal dismissed in partLost

3. Judges

Judge NameTitleDelivered Judgment
Judith PrakashJustice of the Court of AppealNo
Steven ChongJustice of the Court of AppealYes
Belinda Ang Saw EanJustice of the Court of AppealNo

4. Counsels

4. Facts

  1. A collision occurred in the Surabaya Strait between the Navigator Aries and the Leo Perdana on 28 June 2015.
  2. Both vessels commenced admiralty actions in the High Court, which were consolidated on 11 November 2016.
  3. The respondent served an offer to settle on 16 May 2018, proposing a 60:40 liability apportionment in its favor.
  4. The High Court apportioned liability 70:30 in the respondent's favor on 13 September 2021.
  5. The appellant served a Calderbank offer on 10 August 2022, proposing a 50:50 liability apportionment.
  6. The Court of Appeal apportioned liability 50:50 on 7 July 2023.

5. Formal Citations

  1. The “Navigator Aries”, Civil Appeal No 45 of 2022, [2023] SGCA 26

6. Timeline

DateEvent
Collision occurred between Navigator Aries and Leo Perdana
Owner of Navigator Aries commenced admiralty action in the High Court
Owner of Leo Perdana commenced admiralty action in the High Court
Admiralty actions were consolidated
Owner of Leo Perdana served an offer to settle
High Court delivered oral judgment apportioning liability 70:30 in favor of Leo Perdana
Judge made costs orders
Owner of Navigator Aries filed appeal against the Judge’s decision
Owner of Navigator Aries served a Calderbank offer
Owner of Navigator Aries applied to transfer the appeal from the Appellate Division to the Court of Appeal
Application to transfer the appeal was granted
Owner of Leo Perdana withdrew its offer to settle
Appeal was heard
Owner of Navigator Aries revoked its Calderbank offer
Court of Appeal decided the appeal, apportioning liability 50:50
Costs submissions were made
Judgment reserved

7. Legal Issues

  1. Apportionment of Liability
    • Outcome: Liability was apportioned at 50:50.
    • Category: Substantive
  2. Costs
    • Outcome: The Court addressed the impact of a pre-trial offer to settle and a Calderbank offer on the costs orders.
    • Category: Procedural
  3. Calderbank Offer
    • Outcome: The court considered the weight to be given to a Calderbank offer in determining costs, even when the judgment obtained is only as favorable as the offer.
    • Category: Procedural

8. Remedies Sought

  1. Apportionment of Liability
  2. Monetary Damages
  3. Costs

9. Cause of Actions

  • Negligence
  • Apportionment of Liability for Collision

10. Practice Areas

  • Admiralty Litigation
  • Commercial Litigation

11. Industries

  • Maritime

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
The “Navigator Aries”Court of AppealYes[2023] SGCA 20SingaporeSets out the background facts for the dispute.
The “Osprey”Not AvailableYes[1967] 1 Lloyd’s Rep 76Not AvailableIdentifies three possible approaches to awarding costs in a collision action.
SBS Transit Ltd (formerly known as Singapore Bus Services Limited) v Koh Swee AnnNot AvailableYes[2004] 3 SLR(R) 365SingaporeCalderbank letters are useful tools for encouraging settlement and are complementary to the offer to settle regime under the Rules of Court.
Ong & Ong Pte Ltd v Fairview Developments Pte LtdNot AvailableYes[2014] 2 SLR 1285SingaporeThe court is not bound to award costs in any particular manner in the face of a Calderbank offer, and may treat the offer as one factor to be considered in exercising its wide discretion as to costs.
Zhang Jinwei v Tradsurance Agency Pte Ltd and anotherSingapore Magistrate CourtYes[2022] SGMC 58SingaporeDiscusses the weight to be given to a Calderbank offer and factors to be considered.
Calderbank v CalderbankNot AvailableYes[1976] Fam 93Not AvailableDiscusses how litigants might be able to conduct negotiations without prejudice as to the merits of a matter, while reserving the possibility of referring to those negotiations should the question of costs come before the court.
Resorts World at Sentosa Pte Ltd v Goel Adesh Kumar and another appealNot AvailableYes[2018] 2 SLR 1070SingaporeElement of compromise reflects a genuine and reasonable attempt to settle.
Man B&W Diesel S E Asia Pte Ltd and another v PT Bumi International Tankers and another appealNot AvailableYes[2004] 3 SLR(R) 267SingaporeElement of compromise reflects a genuine and reasonable attempt to settle.
CKR Contract Services Pte Ltd v Asplenium Land Pte LtdHigh CourtYes[2020] SGHC 81SingaporeIf the Calderbank offer’s precise ambit was uncertain, the offeree in that case ought to have sought clarification.
HLB Kidsons (a firm) v Lloyds UnderwritersNot AvailableYes[2008] 3 Costs LR 427Not AvailableIn any litigation, particularly complex litigation, it is to be expected that the winning party will likely fail on one or more issues.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Rules of Court (Cap 322, R 5, 2014 Rev Ed)Singapore
International Regulations for Preventing Collisions at Sea 1972N/A
Supreme Court of Judicature Act 1969 (2020 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Collision
  • Apportionment of Liability
  • Offer to Settle
  • Calderbank Offer
  • Costs
  • Admiralty
  • Inevitable Accident
  • Bow Cushion Effect
  • Underkeel Clearance
  • Passage Planning
  • Dredged Channel
  • Navigation Track

15.2 Keywords

  • Admiralty
  • Collision
  • Shipping
  • Costs
  • Apportionment
  • Calderbank
  • Settlement

17. Areas of Law

16. Subjects

  • Admiralty
  • Shipping
  • Civil Procedure
  • Costs
  • Marine Collision