CYW v CYX: Setting Aside Arbitration Award - Costs Assessment in SICC
In the Singapore International Commercial Court, CYW applied to set aside an arbitration award against it, claiming denial of natural justice. The court dismissed CYW's application and ordered CYW to pay CYX's costs. This judgment addresses the quantum of costs, considering pre- and post-transfer costs to the SICC, the complexity of the case, and a contractual indemnity for costs. The court ordered CYW to pay CYX costs of S$174,734.41 inclusive of Goods and Services Tax and disbursements.
1. Case Overview
1.1 Court
Singapore International Commercial Court1.2 Outcome
CYW is ordered to pay CYX costs of S$174,734.41 inclusive of Goods and Services Tax and disbursements.
1.3 Case Type
Civil
1.4 Judgment Type
Judgment
1.5 Jurisdiction
Singapore
1.6 Description
The Singapore International Commercial Court assessed costs after dismissing CYW's application to set aside an arbitration award, addressing proportionality and reasonableness under SICC Rules.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| CYW | Applicant | Corporation | Application Dismissed | Lost | Suhaimi bin Lazim, Mohamed Hashim H Sirajudeen, Abdul Rohim bin Sarip |
| CYX | Respondent | Corporation | Costs Awarded | Won | Herman Jeremiah, Aw Sze Min, Lee Qiu Li, Tan Yi Xi Joie |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Thomas Bathurst | International Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Suhaimi bin Lazim | Mirandah Law LLP |
| Mohamed Hashim H Sirajudeen | Mirandah Law LLP |
| Abdul Rohim bin Sarip | A. Rohim Noor Lila LLP |
| Herman Jeremiah | Dentons Rodyk & Davidson LLP |
| Aw Sze Min | Dentons Rodyk & Davidson LLP |
| Lee Qiu Li | Dentons Rodyk & Davidson LLP |
| Tan Yi Xi Joie | Dentons Rodyk & Davidson LLP |
4. Facts
- CYW claimed it was not liable on certain bills of exchange accepted by it.
- CYW claimed a security deed between it and CYX was invalid.
- CYW claimed consequential damages arising from CYX’s alleged failure to practise prudential banking or conduct due diligence as required by Indonesian law.
- CYX counterclaimed to enforce the Security Deed.
- CYX counterclaimed for the amount unpaid on the accepted Bills.
- CYW sought to set aside the arbitration award on the ground that it was denied natural justice.
- The arbitral tribunal refused to grant extensions of time to file expert evidence and provide translations of Indonesian documents.
5. Formal Citations
- CYW v CYX, Originating Application No 3 of 2022, [2023] SGHC(I) 17
6. Timeline
| Date | Event |
|---|---|
| Originating Application No 3 of 2022 filed | |
| Proceedings transferred to the Singapore International Commercial Court | |
| Case management conference | |
| Hearing of Originating Application No 3 of 2022 | |
| Judgment reserved | |
| Judgment issued |
7. Legal Issues
- Costs Assessment
- Outcome: The court assessed the costs payable by CYW to CYX, considering pre- and post-transfer costs to the SICC, the complexity of the case, and a contractual indemnity for costs.
- Category: Procedural
- Setting Aside Arbitration Award
- Outcome: The court dismissed CYW's application to set aside the arbitration award.
- Category: Substantive
- Breach of Natural Justice
- Outcome: The court found no breach of natural justice.
- Category: Substantive
8. Remedies Sought
- Order to set aside the arbitration award
9. Cause of Actions
- Setting Aside of Arbitral Award
10. Practice Areas
- Commercial Litigation
- Arbitration
11. Industries
- No industries specified
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| CYW v CYX | High Court | Yes | [2023] SGHC (1) 10 | Singapore | Summarised the facts giving rise to the arbitration. |
| Senda International Capital Ltd v Kiri Industries Ltd | Court of Appeal | Yes | [2023] 1 SLR 96 | Singapore | Explained the manner in which the provisions of assessing costs are to be applied. |
| CBX and another v CBZ and others | High Court | Yes | [2022] 1 SLR 88 | Singapore | Stated that in respect of cases transferred to the SICC from the General Division, pre-transfer costs should be assessed in accordance with O 59 of the Rules of Court (2014 Rev Ed) then in force and Appendix G. |
| Sheila Kazzaz and another v Standard Chartered Bank and others | High Court | Yes | [2021] 3 SLR 1 | Singapore | Concluded that Appendix G continued to be relevant for pre-transfer costs, its relevance was outweighed by various complexities, including the presence of a contractual term entitling the defendants to costs on a full indemnity basis and the fact that the transactions in question in Sheila Kazzaz involved several jurisdictions. |
| Kiri Industries Ltd v Senda International Capital Ltd and another | High Court | Yes | [2022] 3 SLR 174 | Singapore | The court has a wide discretion in assessing what are reasonable costs and there is no rule that it must apply Appendix G in relation to those costs. |
13. Applicable Rules
| Rule Name |
|---|
| Rules of Court 2021 O 21 r 2(1) |
| Rules of Court 2021 O 21 r 2(2) |
| Singapore International Commercial Court Rules 2021 O 22 r 2(2)(a) |
| Singapore International Commercial Court Rules 2021 O 22 r 3 |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| International Arbitration Act 1994 (2020 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Arbitration
- Setting Aside
- Costs
- Singapore International Commercial Court
- Security Deed
- Natural Justice
- International Arbitration Act
- UNCITAL Model Law
- Bills of Exchange
- Indemnity Costs
15.2 Keywords
- arbitration
- costs
- SICC
- setting aside
- natural justice
16. Subjects
- Arbitration
- Civil Procedure
- Costs
17. Areas of Law
- Civil Procedure
- Arbitration Law
- International Arbitration