Case Update: Long Kim Wing v LTX-Credence Singapore Pte Ltd [2017] SGHC 312 – offer to settle and costs

Significance: Singapore High Court considered that an Offer to Settle (“OTS”) was not validly accepted when it was purportedly accepted by the other party after judgment was given.

The Court also considered whether indemnity costs ought to be ordered in the light of the OTS. The Court thought that the OTS was not a genuine offer to settle all the claims and counterclaims, despite the OTS offer being higher than the actual judgment sum (after taking into account claims and counterclaims). Because this analysis was to be with reference to the claim amount not the actual judgment sum.

The Court then found that on a standard basis, 100% of the costs of the action (for a 7-day trial) was $113,000. The Court then ordered 80% costs to the Defendant. It should be noted that this amount was based on the Appendix G Fee Guidelines on Party and Party Costs. Party and Party Costs are what the court orders. It is different from Solicitor and Client Costs, which are what the client actually pays their solicitors, which is usually much more than the Party and Party Costs.

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