Exim v Fintex: Breach of Contract Claim over Defective Screws & Electroplating Services
Exim & Manufacturing Holdings Pte Ltd sued Fintex Industries Pte Ltd in the High Court of Singapore, alleging breach of contract for defective screws that Fintex had treated with electroplating services. Exim claimed damages and sought indemnity against claims from its customers. Lee Seiu Kin J dismissed Exim's claims, finding that Fintex had fulfilled its contractual obligations regarding the baking process of the screws. The court also gave judgment for Fintex on its counterclaim for unpaid services.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Plaintiff's claims dismissed; judgment for Defendant on counterclaim.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Exim sued Fintex for breach of contract due to defective screws. The court dismissed Exim's claim, finding Fintex fulfilled its obligations.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Exim & Manufacturing Holdings Pte Ltd | Plaintiff | Corporation | Claim Dismissed | Lost | |
| Fintex Industries Pte Ltd | Defendant | Corporation | Judgment for Defendant on Counterclaim | Won |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Lee Seiu Kin | Judge | Yes |
4. Counsels
4. Facts
- Exim contracted with Fintex to strip and re-plate screws from hexavalent chromium to trivalent chromium.
- The Purchase Orders specified baking the screws at 190° ± 10°C for four hours.
- Exim's customers rejected some screws due to breakage or fracture after assembly.
- Exim claimed the screws were not properly baked, leading to hydrogen embrittlement.
- Fintex presented baking records and evidence of temperature checks.
- Exim's quality assurance manager admitted they did not test the screws for strength before or after processing.
- Fintex's liability was limited to the amount paid for the services.
5. Formal Citations
- Exim & Manufacturing Holdings Pte Ltd v Fintex Industries Pte Ltd, Suit 57/2006, [2007] SGHC 220
6. Timeline
| Date | Event |
|---|---|
| Fintex submitted quotation to Exim. | |
| Fintex submitted another quotation to Exim. | |
| Exim issued ten Purchase Orders to Fintex between January and May 2005. | |
| Fintex issued another quotation to Exim. | |
| Interest on counterclaim calculated from this date. | |
| Court dismissed plaintiff’s claims and gave judgment on the defendant’s counterclaim. | |
| Judgment reserved. |
7. Legal Issues
- Breach of Contract
- Outcome: The court held that the defendant had fulfilled its obligations under the contract and therefore there was no breach.
- Category: Substantive
- Implied Term
- Outcome: The court found that the limitation of liability term was an implied term of the contract.
- Category: Substantive
8. Remedies Sought
- Damages for breach of contract
- Indemnity against claims from Exim's customers
9. Cause of Actions
- Breach of Contract
10. Practice Areas
- Commercial Litigation
11. Industries
- Manufacturing
- Electronics
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| No cited cases | |||||
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Directive 2002/95/EC of the European Parliament and of the Council of 27 January 2003 | European Union |
15. Key Terms and Keywords
15.1 Key Terms
- Hydrogen embrittlement
- Trivalent chromium
- Hexavalent chromium
- Electroplating
- Baking
- Purchase order
- Limitation of liability
15.2 Keywords
- contract
- electroplating
- screws
- hydrogen embrittlement
- baking
- trivalent chromium
- hexavalent chromium
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Breach of Contract | 90 |
| Contract Law | 80 |
| Commercial Law | 50 |
| Summary Judgement | 30 |
16. Subjects
- Contract Dispute
- Electroplating
- Manufacturing