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ARTICLE · 07 SEPTEMBER 2022

A Refresher On Damages For Defects

In Thio Keng Thay v Sandy Island Pte Ltd [2022] SGHC 69, the General Division of the High Court dealt with a range of issues concerning claims for damages for defects.

SingaporeReal Estate and Construction

In Thio Keng Thay v Sandy Island Pte Ltd [2022] SGHC 69, the General Division of the High Court dealt with a range of issues concerning claims for damages for defects.

This decision arose out of the earlier case of Thio Keng Thay v Sandy Island Pte Ltd [2019] SGHC 175, where the Court gave its decision on the issue of liability. The appeal against the Court's decision on liability was dismissed in Sandy Island Pte Ltd v Thio Keng Thay [2020] SGCA 86, and the present decision is the decision on quantum of damages. While the present decision does not raise new law, it nonetheless serves as a useful refresher on some of the common issues surrounding claims for damages for defects.

Mitigation and Defects Liability Clause. At [6] – [9], the Court held that if a plaintiff fails to mitigate its loss by availing itself of the defects liability clause in the contract between the plaintiff and the defendant, then the plaintiff cannot recover more than what it would have cost

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