Abani Trading v PT Delta Karina: Inducement of Breach & Conversion in Charterparty Dispute
In Suit 587/2000, Abani Trading Pte Ltd sued PT Delta Karina Mandiri and Poh Fang Pte Ltd in the High Court of Singapore, alleging inducement of breach of contract and conversion of goods. Abani claimed Poh Fang induced Delta to breach a voyage charterparty for cement shipment to Madagascar. Justice Kan Ting Chiu found Poh Fang liable for inducing the breach and conversion, as they interfered with Abani's contract by providing funds for a refund and taking over the vessel. Damages are to be assessed by the Registrar. The court ruled in favor of Abani.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Claim allowed.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Abani Trading sues Poh Fang for inducing a breach of contract and conversion of goods in a charterparty agreement. The court found in favor of Abani.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Abani Trading Pte Ltd | Plaintiff | Corporation | Claim allowed | Won | |
| Poh Fang Pte Ltd | Defendant | Corporation | Claim allowed | Lost | |
| PT Delta Karina Mandiri | Defendant | Corporation | No action taken | Neutral |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Kan Ting Chiu | Judge | Yes |
4. Counsels
4. Facts
- Abani entered into a voyage charterparty with Delta to ship cement to Madagascar.
- Poh Fang was unhappy that Abani did not buy cement from them.
- Delta sought Abani's assistance to pay US$145,875 due to the head owners of the Jordan II.
- Delta refunded US$126,825 to Abani, with funds provided by Poh Fang.
- Poh Fang wrote to various parties claiming to be the charterer of the vessel.
- PT Semen Tonasa stopped loading cement onto the Jordan II for Abani.
- Vonny Poernomo expressed Poh Fang's determination to keep Abani out of the Madagascar market.
5. Formal Citations
- Abani Trading Pte Ltd v PT Delta Karina Mandiri and Another, Suit 587/2000, [2001] SGHC 307
6. Timeline
| Date | Event |
|---|---|
| Abani purchased cement from Indo Energy Pte Ltd. | |
| Abani entered into a contract of sale with Tranombarotra Mpangalana. | |
| Voyage charterparty executed between Abani and Delta. | |
| Poh Fang allegedly entered into an agreement with PT Semen Tonasa. | |
| Poh Fang allegedly entered into a charterparty with Delta. | |
| Notice of readiness issued for Jordan II. | |
| Delta sought Abani’s assistance to pay US$145,875. | |
| Abani paid US$126,825 on behalf of Delta. | |
| Shoreline reported 2,543 metric tons loaded. | |
| Shoreline demanded payment of US$110,000 from Abani. | |
| US$126,825 credited back to Abani. | |
| Delta requested Abani to pay freight. | |
| Delta informed Abani that the charterparty was cancelled. | |
| Poh Fang wrote to various parties claiming to be the charterer. | |
| PT Semen Tonasa stopped loading onto the Jordan II. | |
| Shoreline wrote to Indo Energy and Poh Fang asserting the charterparty was still in force. | |
| PT Semen Tonasa sent a letter to Poh Fang regarding the L/C. | |
| PT Semen Tonasa faxed a letter to Poh Fang. | |
| Decision Date |
7. Legal Issues
- Inducement of Breach of Contract
- Outcome: The court found that Poh Fang induced Delta's breach of the charterparty.
- Category: Substantive
- Related Cases:
- [2000] 3 SLR 405
- Conversion
- Outcome: The court found that Poh Fang converted the cement when it took over the cement on 23 July.
- Category: Substantive
- Related Cases:
- [1986] AC 337
- Damages Assessment
- Outcome: The court ordered damages to be assessed by the Registrar due to insufficient evidence to determine the proper amount.
- Category: Procedural
8. Remedies Sought
- Damages
9. Cause of Actions
- Inducement of Breach of Contract
- Conversion
10. Practice Areas
- Commercial Litigation
- Shipping Law
11. Industries
- Trading
- Shipping
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Tribune Investment Trust Inc v Soosan Trading Co | Court of Appeal | Yes | [2000] 3 SLR 405 | Singapore | Cited for the elements of the tort of inducing a breach of contract, specifically the requirements of knowledge and intent to interfere with the contract's performance. |
| The Jag Shakti | Privy Council | Yes | [1986] AC 337 | United Kingdom | Cited for the principle that damages for conversion of cargo are the full market value of the cargo at the time and place of conversion. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Sale of Goods Act (Cap 393, 1999 Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Charterparty
- Conversion
- Inducement
- Breach of Contract
- Voyage Charterparty
- Notice of Readiness
- fob terms
15.2 Keywords
- charterparty
- breach of contract
- conversion
- cement
- Madagascar
- inducement
- Abani Trading
- Poh Fang
- Delta Karina
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Inducement of Breach of Contract | 85 |
| Conversion | 80 |
| Breach of Contract | 75 |
| Contract Law | 70 |
| Voyage Charterparty | 70 |
| Shipping Law | 65 |
| Damages | 60 |
| Evidence | 40 |
| Collections | 30 |
16. Subjects
- Contract Law
- Tort Law
- Shipping Law
- Commercial Dispute