-  SGHC 162
- Singapore High Court
- Lim Chin San Contractors PTE Ltd v LW Infrastructure PTE Ltd
CONSTRUCTION CONTRACT - BETWEEN SINGAPOREAN COMPANIES - REFERENCE TO UNIDROIT PRINCIPLES TO INTERPRET OR SUPPLEMENT APPLICABLE DOMESTIC LAW ( SINGAPOREAN LAW)
FAILURE OF SUBCONTRACTOR TO COMPLETE THE WORKS WITHIN AGREED TIME - MAIN CONTRACTOR´S REQUEST FOR DAMAGES - QUESTION AS TO WHETHER TIME OF COMPLETION WAS SET AT LARGE - REFERENCE TO ARTICLE 7.1.2 UNIDROIT PRINCIPLES
"A construction subcontract was entered into between a main contractor and subcontractor. Under the contract, the subcontractor was obliged to complete its works by a certain date. Three months before the completion date, both parties agreed to a three-month extension to be given to the subcontractor.
After the extended completion date had passed, the main contractor terminated the subcontract on the basis of the subcontractor’s failure to proceed with its contractual obligations, and engaged other subcontractors to complete the project. The main contractor brought a claim against the subcontractor in arbitration, and among other issues, the arbitrator found that time for completion of the subcontract works was not set at large.
The main contractor appealed to the national court on three questions of law, one of which was whether, for time to be set at large, it was necessary for there to be delay in completion. In the court’s consideration on this issue, reference was made to Article 7.1.2 of the UNIDROIT Principles."
(cf. S. Y. Koh in "Perspectives in Practice of the UNIDROIT Principles 2016", IBA Publication 2019, p. 263)