Resolve Contractual Disputes in Singapore

All companies in Singapore are subject to several requirements imposed by the Companies Act which regulates their incorporation and by the Contract Law which enables them to carry out their operations with other companies. Singapore businesses can conclude different types of contracts, among which the commercial and the services ones are the most frequently met. Companies will also enter into contractual agreements with their employees. In certain cases, litigation related to contracts can arise from various causes.

Our Singapore lawyers can assist with the resolution of contractual disputes.

Breaching a contract in Singapore

One of the main reasons leading to litigation over contractual clauses, or over the contract itself is the breach of the agreement. The most dealt with causes contractual disputes arise in Singapore are:

• -          not respecting contractual provisions;
• -          delaying the term for fulfilling contractual terms;
• -          not respecting employment terms, in the case of employment agreements.

While some agreements contain arbitration clauses which allows litigant parties to handle the contract-related dispute out of a Singapore court, some contracts must be tried by a local court of law.

Settling contractual litigation in a Singapore court

There are two main ways of resolving contractual disputes in Singapore:

• -          court proceedings;
• -          out-of-court procedures, which imply arbitration and mediation.

Even if arbitration and mediation are currently two of the main practices employed to settle contractual disputes, court procedures are still used on a large scale in Singapore. Court proceedings in a dispute over contractual matters imply the following steps:

• -          filing a complaint;
• -          submitting all relevant evidence;
• -          trying the case;
• -          issuing a ruling;
• -          enforcement of the judge’s decision.

Commercial contract disputes in Singapore are tried by the Small Claims Court.

Alternative dispute resolution in contractual disputes in Singapore

The Singapore International Arbitration Centre (SIAC) is recognized worldwide for the modern methods used to settle litigation. Most of the cases handled by SIAC are contractual disputes. Arbitration in litigation cases related to contracts implies an arbitrator who will verify all evidence brought by the litigants and issue a decision on the matter.

Mediation is also an alternative dispute resolution method which implies the resolution of the contractual litigation by a mediator who will propose a reasonable solution that satisfies the requirements of both parties.

For complete information about settling contractual disputes, you can contact our Singapore law firm.