Commercial Litigation

Do not ignore it. A letter of demand is not a court document, but if it goes unanswered the sender may start a court claim. Note the deadline, gather your documents, and decide with advice whether to pay, negotiate or dispute the claim.

Under the Limitation Act, most claims in contract and tort must be brought within 6 years. Personal injury claims generally have 3 years. If the time limit passes, the other side can rely on it as a complete defence, however strong the claim.

Often, yes. In mediation, a neutral mediator helps the parties negotiate their own settlement in a confidential setting. Nothing is binding until a settlement agreement is signed, and some settlements can then be recorded as a court order.

Arbitration is only available if the parties have agreed to it, usually in their contract. It is private and gives the parties more say over the process, and awards can be enforced in many countries. Court litigation is public, allows appeals and makes it easier to bring in other parties.

It depends mainly on the amount claimed. Certain claims up to S$20,000 can go to the Small Claims Tribunals, claims up to S$60,000 to the Magistrate's Court, claims up to S$250,000 to the District Court, and larger claims to the High Court. Some kinds of dispute go to specialist tribunals.

Most claims start with an Originating Claim and a Statement of Claim. The defendant must respond within short deadlines, the court then manages the case through case conferences, and the parties exchange documents and witness statements before trial. Many cases settle or end early.

The court does not collect the money for you, but you can apply for enforcement. Options include having the debtor examined on oath about their assets, seizing and selling their property, redirecting money owed to them such as a bank balance, and bankruptcy or winding up.

A statutory demand is a formal written demand for a debt of S$15,000 or more. If the debtor does not pay, secure or settle it within 21 days, the debtor is presumed unable to pay, and the creditor can apply to make an individual bankrupt or to wind up a company.

Section 216 of the Companies Act 1967 lets a shareholder ask the High Court for relief where the company's affairs are run oppressively or in a way that unfairly prejudices or discriminates against them. The court has wide powers, and the most common remedy is an order that one side buy out the other at a fair price.