Read the full judgment text of HCCT97/2003 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 24 September 2008 before Hon Burrell J.
Contract Law — Verbal Contract — Assurance to Pay for Additional Work — Construction Dispute — Sub-Contractor Repair Claims — Consideration and Intention — Quantum Meruit Alternative. The plaintiff, BSC, a nominated sub-contractor in a large residential development, claimed payment from defendant Shinta, the developer, for repair work to kitchen installations damaged due to poor site conditions and mismanagement by the main contractor. The court found on balance of probabilities that Shinta's representatives gave verbal assurances in 1998 and meetings in 1999 that BSC would be reimbursed for repair costs, constituting a verbal contract. Consideration was satisfied as repair works were additional to the original contract, and the parties intended to create legal relations to ensure project continuity. In the alternative, restitution on a quantum meruit basis would apply. The court evaluated expert evidence on quantum, adopting figures between those proffered by both parties, and directed parties to agree final quantum and interest. Judgment was entered for the plaintiff with costs order nisi. The case illustrates judicial approach to verbal assurances in construction claims and the interplay between contract and restitution principles.
Legal issues: Existence of verbal contract by assurances · Consideration supporting the verbal assurances · Intention to create legal relations in the assurances · Quantum meruit claim as alternative basis for reimbursement
Outcome: Judgment for the plaintiff; court finds verbal contract exists and directs parties to agree final quantum and interest with costs order nisi for the plaintiff.