Michael Vaz Lorrain v Singapore Rifle Association: Offer to Settle & Discontinuance After Judgment
In Michael Vaz Lorrain v Singapore Rifle Association, the Court of Appeal of Singapore addressed whether an offer to settle containing a term requiring discontinuance of an action can be validly accepted after a judgment on the merits. The Singapore Rifle Association (SRA) sued Michael Vaz Lorrain for breach of a mediation agreement and/or a duty of confidence. After interlocutory judgment was entered against Mr. Vaz, he made an offer to settle (OTS) that included a discontinuance term. The High Court awarded damages to SRA. Subsequently, SRA purported to accept the OTS after Mr. Vaz appealed. The Court of Appeal held that the OTS could not be validly accepted after judgment, as an action can only be discontinued before judgment. Therefore, SRA's acceptance of the OTS was invalid.
1. Case Overview
1.1 Court
Court of Appeal of the Republic of Singapore1.2 Outcome
SRA's acceptance of the OTS on 5 May 2020 was not valid.
1.3 Case Type
Civil
1.4 Judgment Type
Judgment
1.5 Jurisdiction
Singapore
1.6 Description
Appeal regarding an offer to settle. The court held that an offer to settle requiring discontinuance of an action cannot be validly accepted after judgment.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Michael Vaz Lorrain | Appellant, Defendant | Individual | Appeal allowed | Won | |
| Singapore Rifle Association | Respondent, Plaintiff | Association | Appeal denied | Lost |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Andrew Phang Boon Leong | Judge of Appeal | No |
| Belinda Ang Saw Ean | Judge | Yes |
4. Counsels
4. Facts
- SRA sued Mr. Vaz for breach of a mediation agreement and/or a duty of confidence.
- Interlocutory judgment was entered against Mr. Vaz.
- Mr. Vaz made an offer to settle (OTS) that included a discontinuance term.
- The High Court awarded damages to SRA.
- Mr. Vaz appealed against the damages and costs assessed by the Judge.
- SRA purported to accept the OTS after Mr. Vaz appealed.
- The OTS contained a term requiring SRA to file a Notice of Discontinuance of Claim.
5. Formal Citations
- Michael Vaz Lorrain v Singapore Rifle Association, Civil Appeal No 60 of 2019, [2020] SGCA 72
6. Timeline
| Date | Event |
|---|---|
| SRA commenced Suit 109 against Mr Vaz. | |
| Mr Vaz made an offer to settle (OTS). | |
| Interlocutory judgment for damages to be assessed was entered against Mr Vaz. | |
| The High Court judge awarded damages in favour of SRA in the sum of $8,100 along with interest and costs. | |
| Mr Vaz appealed against the damages and costs assessed by the Judge. | |
| SRA purportedly accepted the OTS. | |
| Judgment reserved. |
7. Legal Issues
- Validity of Offer to Settle
- Outcome: The court held that an offer to settle that contains a term requiring the discontinuance of an action cannot be validly accepted after a judgment on the merits.
- Category: Substantive
- Sub-Issues:
- Discontinuance Term
- Acceptance after Judgment
8. Remedies Sought
- Damages
- Restraint from disclosing and/or using any Confidential Information
9. Cause of Actions
- Breach of Mediation Agreement
- Breach of Duty of Confidence
10. Practice Areas
- Commercial Litigation
11. Industries
- No industries specified
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| NTUC Foodfare Co-operative Ltd v SIA Engineering Co Ltd and another | Court of Appeal | Yes | [2018] 2 SLR 1043 | Singapore | Distinguished because the court did not squarely address the issue of whether an offer to settle with a discontinuance term can be validly accepted after judgment. |
| Ong & Ong Pte Ltd v Fairview Developments Pte Ltd | Court of Appeal | Yes | [2015] 2 SLR 470 | Singapore | Distinguished because the court did not squarely address the issue of whether an offer to settle with a discontinuance term can be validly accepted after judgment. |
| Norwest Holdings Pte Ltd (in liquidation) v Newport Mining Ltd | High Court | Yes | [2010] 3 SLR 956 | Singapore | Cited for the principle that the law should focus on the intentions of the offeror as determined objectively when construing an offer to settle. |
| Chiam Heng Hsien (on his own behalf and as partner of Mitre Hotel Proprietors) v Chiam Heng Chow (executor of the estate of Chiam Toh Say, deceased) and others | Court of Appeal | Yes | [2015] 4 SLR 180 | Singapore | Cited for the doctrine of merger, which states that once a judgment has been given on a cause of action, the cause of action merges with the judgment of the court and ceases to exist as an independent entity. |
| Salijah bte Ab Latef v Mohd Irwan bin Abdullah Teo | High Court | Yes | [1995] 3 SLR(R) 233 | Singapore | Cited for the doctrine of merger, which states that any cause of action which results in a judgment of a judicial tribunal, whereby relief is granted to the plaintiff, is in contemplation of law merged in the judgment. |
| Salijah bte Ab Latef v Mohd Irwan bin Abdullah Teo | Court of Appeal | Yes | [1996] 2 SLR(R) 80 | Singapore | Endorsed the High Court’s application of the doctrine of merger. |
| Karaha Bodas Co LLC v Negara | Court of Appeal of Alberta | Yes | [2011] AJ No 1064 | Canada | Cited as a Canadian authority that has taken the position that an action cannot be discontinued after judgment. |
| Stahlschmidt v Walford | Queen's Bench Division | Yes | (1879) 4 QBD 217 | England and Wales | Cited as an authority that does not suggest that an action can be discontinued after judgment. |
| Tan Kim Seng v Ibrahim Victor Adam | Court of Appeal | Yes | [2004] 1 SLR(R) 181 | Singapore | Considered whether O 21 r 2(6) applied to interlocutory judgments and held that it would apply to any case where steps are still required to be taken to obtain a judgment which is enforceable. |
| Man B&W Diesel S E Asia Pte Ltd v PT Bumi International Tankers | Court of Appeal | Yes | [2004] 3 SLR(R) 267 | Singapore | Cited for the principle that for the purposes of O 22A r 9(3)(a), ‘the disposal of the claim’ refers to the final disposal of the claim on appeal if an appeal is filed. |
| Ram Das V N P v SIA Engineering Co Ltd | Court of Appeal | Yes | [2015] 3 SLR 267 | Singapore | Cited for the principle that for the purposes of O 22A r 9(3)(a), ‘the disposal of the claim’ refers to the final disposal of the claim on appeal if an appeal is filed. |
| Grass (Litigation guardian of) v Women’s College Hospital | Ontario Superior Court of Justice | Yes | [2004] OJ No 1519 | Canada | Cited as a case from Ontario where the court observed that both parties had agreed that the offer to settle was not open for acceptance after the first trial judge rendered judgment. |
| Singapore Airlines Ltd v Tan Shwu Leng | Court of Appeal | Yes | [2001] 3 SLR(R) 439 | Singapore | Cited for the principle that the whole object of O 22A is to spur the parties to bring litigation to an expeditious end without judgment, and thus to save costs and judicial time. |
13. Applicable Rules
| Rule Name |
|---|
| Rules of Civil Procedure O Reg 575/07, s 6(1) Rule 49.04(4) |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Rules of Court (Cap 322, R 5, 2014 Rev Ed) O 22A r 9(3) | Singapore |
| Rules of Court (Cap 322, R 5, 2014 Rev Ed) O 22A r 9(2) | Singapore |
| Rules of Court O 57 r 11(3)(a) | Singapore |
| Rules of Court O 22A r 3(5) | Singapore |
| Rules of Court O 1 r 4(2) | Singapore |
| Rules of Court O 3 r 4 | Singapore |
| Rules of Court O 64 r 1 | Singapore |
| Rules of Court O 69 r 8 | Singapore |
| Rules of Court O 21 r 4 | Singapore |
| Rules of Court O 21 r 2(6) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Offer to Settle
- Discontinuance Term
- Judgment on the Merits
- Doctrine of Merger
- Automatic Discontinuance
15.2 Keywords
- offer to settle
- discontinuance
- judgment
- civil procedure
- contract law
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Offer to Settle | 85 |
| Civil Procedure | 75 |
| Judgments and Orders | 60 |
| Damages | 30 |
| Principles | 20 |
| Contract Law | 15 |
16. Subjects
- Civil Procedure
- Contract Law
- Offer to Settle
- Discontinuance of Action