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In the High Court of the Republic of Singapore
[1995] SGHC 13
Suit 1537/1992
Between
Marine Accomm Pte Ltd
… Plaintiff
And
Western Tug & Barge Company Pty Ltd
… Defendant
grounds of decision

This judgment is subject to final editorial corrections approved by the court and/or redaction pursuant to the publisher’s duty in compliance with the law, for publication in LawNet and/or the Singapore Law Reports.
Marine Accomm Pte Ltd v Western Tug & Barge Company Pty Ltd
[1995] SGHC 13
Suit 1537/1992
Lim Teong Qwee JC
19 January 1995
1 
Judgment:
2 Coram: Lim Teong Qwee JC
3 GROUNDS OF JUDGMENT
4 
5 "2. On or around 26 December 1991 the Defendants

requested the Plaintiffs to enter into an agreement with < SKS

> to .
6 Particulars
7 The Defendants through their representatives, one Koh Chye

Heng and one Vinod K Shah, entered into an oral agreement with

the Plaintiffs (hereinafter referred to as the `Owner's

Agreement'), that in consideration of the Plaintiffs entering

into the abovestated agreement with < SKS > , the

Defendants would pay or otherwise indemnify the Plaintiffs in

respect of the contract sums relating to the said agreement with

< SKS > .
8 3. In consequence and in furtherance of the Owner's Agreement

with the Defendants, and in consideration of the Defendants'

promise to pay such contract sums that would be due and/or owing

by < SKS > , the Plaintiffs entered into an agreement with

< SKS > on or about 2 January 1992 (hereinafter referred to

as the `Shipyard Agreement') for a contract sum of $460,000.00.

...."
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13 The oral agreement
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18 Tan said in his affidavit that on or about 26 December 1991 he

went to the shipyard of SKS to see Toh and together they saw Koh

at the owner's representative's office at the shipyard. He went

on to say that he voiced his concern as to the financial

condition of SKS and that "the only reason that we had

quoted for the job was the assurance that the Defendants would be

responsible for payments". He said Koh told him that

"the Defendants would pay for the works done or otherwise

indemnify the Plaintiff company for works done, if it entered

into the contract with SKS". He then said that "in

consequence of and further to Koh's assurances and request to

take on the job" the plaintiff entered into the carpentry

contract with SKS on 2 January 1992. Under cross-examination he

said the meeting he and Toh had with Koh took place after all the

quotations had been submitted and before Christmas and that as

regards what in his affidavit he said Koh had told him his exact

words were "Timothy. You don't have to worry. We will pay

you directly for all works being carried out on this

project." "Timothy" is a reference to Tan. Toh

said in his affidavit that he and Tan were in the owner's

representative's office at the shipyard when Koh "assured

him < Tan > that the Defendants would be responsible for

and make all payments in respect of the sub-contract, and that

the Plaintiffs had no cause for concern". When he was asked

what Koh actually said his answer was "Can't really

recall."
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24 Authority of Koh Chye Heng
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26 " Executive Action Plan
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30 ....
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33 3. ....
34 4. ....
35 5. ....
36 
37 6(a).....
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39 8. ....
40 For and on behalf of WESTERN TUG & BARGE CO PTY LTD
41 Signed NIGEL DALTON General Manager
42 Date: 16th Dec 1991 "
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Lim Teong Qwee JC
N Sreenivasan and Chua Swee Leen for plaintiff
Leong Kah Wah and Eric Tan for defendant
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This judgment text has undergone conversion so that it is mobile and web-friendly. This may have created formatting or alignment issues. Please refer to the PDF copy for a print-friendly version.

Version No 1: 11 Sep 2026 (01:05 hrs)