Hyflux Ltd v KPMG LLP: Appeal on Particulars in Negligence, Breach of Contract, and Statutory Duty Claims

Hyflux Ltd (in compulsory liquidation), Hydrochem (S) Pte Ltd (in compulsory liquidation), and Tuaspring Pte Ltd (under receivership) sued KPMG LLP in the General Division of the High Court of Singapore, alleging breach of contract, breach of statutory duties, misrepresentation, and negligence. KPMG appealed against the assistant registrar’s refusal to order further and better particulars. Choo Han Teck J dismissed the appeal, agreeing with the assistant registrar that the requests were for evidence, not particulars of the cause of action.

1. Case Overview

1.1 Court

General Division of the High Court of the Republic of Singapore

1.2 Outcome

Appeal dismissed.

1.3 Case Type

Civil

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

Appeal concerning KPMG's request for particulars in a case involving negligence, breach of contract, and statutory duty claims against them. The court dismissed the appeal.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Hyflux Ltd (in compulsory liquidation)PlaintiffCorporationAppeal dismissedLostKenneth Tan, Eddee Ng Ka Luon, Leong Qianyu, Gitta Priska Adelya
Hydrochem (S) Pte Ltd (in compulsory liquidation)PlaintiffCorporationAppeal dismissedLostKenneth Tan, Eddee Ng Ka Luon, Leong Qianyu, Gitta Priska Adelya
Tuaspring Pte Ltd (under receivership)PlaintiffCorporationAppeal dismissedLostKenneth Tan, Eddee Ng Ka Luon, Leong Qianyu, Gitta Priska Adelya
KPMG LLPDefendant, AppellantPartnershipAppeal dismissedLostThio Shen Yi, Joshua Phang Shih Ern, Juliana Lake

3. Judges

Judge NameTitleDelivered Judgment
Choo Han TeckJudge of the High CourtYes

4. Counsels

Counsel NameOrganization
Thio Shen YiTSMP Law Corporation
Joshua Phang Shih ErnTSMP Law Corporation
Juliana LakeTSMP Law Corporation
Kenneth TanKenneth Tan Partnership
Eddee Ng Ka LuonTan Kok Quan Partnership
Leong QianyuTan Kok Quan Partnership
Gitta Priska AdelyaTan Kok Quan Partnership

4. Facts

  1. Hyflux Ltd was the holding company of Hydrochem (S) Pte Ltd and Tuaspring Pte Ltd.
  2. Hyflux Ltd was liquidated on 2021-07-21.
  3. KPMG LLP was engaged to audit the plaintiffs’ financial statements.
  4. The plaintiffs filed a Statement of Claim alleging breach of contract, breach of statutory duties, misrepresentation, and negligence.
  5. KPMG requested further and better particulars of four requests.
  6. The assistant registrar refused the requests on the ground that they were requests for evidence.
  7. KPMG appealed against the assistant registrar’s decision.

5. Formal Citations

  1. Hyflux Ltd (in compulsory liquidation) and others v KPMG LLP, Suit No 268 of 2022(Registrar’s Appeal No 181 of 2023), [2023] SGHC 270

6. Timeline

DateEvent
Hyflux Ltd liquidated.
Suit No 268 of 2022 filed.
Hearing date.
Hearing date.
Judgment reserved.
Judgment issued.

7. Legal Issues

  1. Request for Further and Better Particulars
    • Outcome: The court held that the requests were indeed requests for evidence and dismissed the appeal.
    • Category: Procedural
    • Sub-Issues:
      • Requests for evidence
      • Clarity of pleadings
  2. Negligence
    • Outcome: The court did not make a ruling on the negligence claim itself, but commented on the need for clear pleadings regarding the particulars of negligence.
    • Category: Substantive
    • Sub-Issues:
      • Duty of care
      • Breach of duty
      • Causation
      • Loss and damage
  3. Breach of Contract
    • Outcome: The court noted the lack of clear pleading of the contract and its terms, but did not make a ruling on the breach of contract claim itself.
    • Category: Substantive
    • Sub-Issues:
      • Terms of contract
      • Breach of terms
  4. Breach of Statutory Duties
    • Outcome: The court did not make a ruling on the breach of statutory duties claim itself, but commented on the need for clear pleadings.
    • Category: Substantive

8. Remedies Sought

  1. No remedies sought

9. Cause of Actions

  • Breach of Contract
  • Breach of Statutory Duties
  • Misrepresentation
  • Negligence

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Accounting
  • Finance

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Quinn Insurance Ltd (under administration) v PricewaterhouseCoopers (a firm)Supreme Court of IrelandYes[2019] IESC 13IrelandCited to illustrate the issue of pleading evidence and the importance of clarity in pleadings.

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

  • Further and better particulars
  • Pleadings
  • Statement of Claim
  • Letters of engagement
  • Duty of care
  • Negligence
  • Breach of contract
  • Breach of statutory duties
  • Misrepresentation
  • Audit
  • Financial statements
  • Tuaspring project
  • Going concern basis

15.2 Keywords

  • Hyflux
  • KPMG
  • Pleadings
  • Particulars
  • Negligence
  • Breach of Contract
  • Auditing
  • Singapore High Court

16. Subjects

  • Civil Procedure
  • Auditing
  • Accounting
  • Contract Law
  • Tort Law

17. Areas of Law

  • Civil Procedure
  • Pleadings
  • Auditing
  • Accounting