Contractors can serve payment claims for work done prior to termination of construction contract

07 Nov 2019

In Stargood Construction Pte Ltd v Shimizu Corporation [2019] SGHC 261, the High Court clarified that the application of the Court of Appeal’s holding in Far East Square on the architect being functus officio is limited to a situation where the construction works under the contract had been completed and the architect had already issued the final certificate for the project. The High Court held that a contractor who has performed works under a construction contract prior to termination can serve payment claims under the Building and Construction Industry Security of Payment Act (Cap 30B, 2006 Rev Ed) for such works as the contractor has an accrued statutory entitlement to payment which survives termination. The High Court therefore allowed a setting aside application by Stargood Construction Pte Ltd in relation to two adjudication determinations by two different adjudicators.
 
Director Christopher Chong and Associate Chen Zhihui successfully represented Stargood in this case.
 
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