Liquidated Damages – Post-Termination And Gaymark

In Diamond Glass Enterprise Pte Ltd v Zhong Kai Construction Co Pte Ltd and another appeal [2022] SGHC(A) 44, the Appellate Division of the High Court had the opportunity to address, among others, the position of the law on liquidated damages in Singapore. In this article, we set out two key points of the decision in respect of the same.

This decision concerns two cross-appeals arising out of the decision of the High Court judge (the "Judge") in Zhong Kai Construction Co Pte Ltd v Diamond Glass Enterprise Pte Ltd [2021] SGHC 277 (the "Judgment") (at [1]).

In the interests of brevity, we will not reiterate the facts, and will focus on the findings of the Appellate Division of the High Court on the sub-issue of liquidated damages ("LD"), as one of the main issues before the Court was whether the LD awarded to ZK was correctly ascertained (at [38(a)]).