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Lam Hwa Engineering & Trading Pte Ltd v Yang Qiang [2013] SGHC 42

In Lam Hwa Engineering & Trading Pte Ltd v Yang Qiang, the High Court of the Republic of Singapore addressed issues of Civil Procedure — Costs.

Case Details

  • Citation: [2013] SGHC 42
  • Title: Lam Hwa Engineering & Trading Pte Ltd v Yang Qiang
  • Court: High Court of the Republic of Singapore
  • Date of Decision: 20 February 2013
  • Judge: Lai Siu Chiu J
  • Coram: Lai Siu Chiu J
  • Case Number: Registrar's Appeal from Subordinate Courts No 32 of 2012
  • Lower Court: District Judge (review of taxation by Deputy Registrar)
  • District Court Case: Yang Qiang v Lam Hwa Engineering & Trading Pte Ltd [2012] SGDC 31 (“the GD”)
  • Parties: Lam Hwa Engineering & Trading Pte Ltd (Appellant) v Yang Qiang (Respondent)
  • Procedural Posture: Appeal against the District Judge’s reversal of the Deputy Registrar’s disallowance of certain travel expenses in the standard bill of costs
  • Legal Area: Civil Procedure — Costs
  • Issue Framed by the High Court: Whether a successful litigant’s travel expenses to attend trial in Singapore are claimable as disbursements in a standard bill of costs
  • Key Statutory/Rules Framework: Order 59 r 27(2) and related provisions in the Rules of Court (Cap 322, R 5, 2006 Rev Ed)
  • Statutes Referenced: Legal Aid and Advice Act 1949 (and Third Schedule to the Act) (as listed in metadata)
  • Counsel for Appellant: Niru Pillai (Global Law Alliance LLC)
  • Counsel for Respondent: Belinder Kaur Nijar (Hoh Law Corporation)
  • Judgment Length: 10 pages, 5,816 words

Summary

Lam Hwa Engineering & Trading Pte Ltd v Yang Qiang concerned the taxation of costs following a personal injury claim that settled on the first day of trial. The only issue on appeal to the High Court was whether the travel expenses of a successful litigant (including return air tickets and expenses incurred in China to travel to and from the airport) could be recovered as part of disbursements in a standard bill of costs.

The High Court (Lai Siu Chiu J) held that the respondent was not prohibited from claiming his travel expenses as “costs reasonably incurred” under Order 59 rule 27(2) of the Rules of Court. The court rejected the appellant’s argument that Singapore’s procedural rules distinguish between witnesses and litigants in a way that bars litigants from claiming travel expenses, and it also rejected the appellant’s reliance on Rajabali Jumabhoy and Others v Ameerali R Jumabhoy and Others [1998] 2 SLR(R) 576 (“Jumabhoy”) as controlling the disbursement issue.

What Were the Facts of This Case?

The respondent, Yang Qiang, was a foreign Chinese worker who commenced a personal injury action against the appellant, Lam Hwa Engineering & Trading Pte Ltd. The claim proceeded to trial, but on the first day of the trial the parties settled. A final judgment was entered against the appellant by consent on 25 July 2011.

After settlement, the respondent filed a bill of costs on 21 October 2011 for taxation by a Deputy Registrar of the Subordinate Courts on a standard basis. On 18 November 2011, the Deputy Registrar certified that the bill had been taxed and that section 3 of the bill was disallowed. Section 3 contained the respondent’s claimed disbursements, including (a) return air tickets to Shanghai totalling $1,113.00 and (b) expenses incurred in China to travel to and from Pudong International Airport in Shanghai totalling $95.00.

Unhappy with the disallowance, the respondent sought a review before the District Judge. Both parties were represented by counsel at the proceedings below. The District Judge reversed the Deputy Registrar’s decision on 6 February 2012 and allowed the travel expenses, reasoning that the respondent was entitled to recover travel expenses within China and also airfares to and from Singapore for the trial.

On further appeal, the appellant did not challenge the fact that the respondent had incurred the travel expenses. Instead, it argued that such expenses were not recoverable as disbursements in a standard bill of costs for a litigant, relying on the structure of the Rules of Court and on the Court of Appeal’s decision in Jumabhoy.

The High Court identified a single, focused issue: whether the travel expenses of a successful litigant for trial in Singapore are claimable as part of disbursements in a standard bill of costs. This required the court to interpret the costs regime under the Rules of Court, particularly the standard basis taxation provisions in Order 59.

Two subsidiary questions drove the dispute. First, the appellant contended that the Rules, read together, allow travel expenses only for witnesses (for example, under Order 38 rule 22) and not for litigants. Second, the appellant argued that the Court of Appeal’s reasoning in Jumabhoy supported the same conclusion, because Jumabhoy allegedly stood for the proposition that “costs for attendance” are not recoverable for litigants.

Accordingly, the High Court had to decide whether (i) the procedural rules governing attendance and witness expenses implicitly barred litigants from claiming their own travel expenses, and (ii) whether Jumabhoy should be extended beyond its facts to govern the specific disbursement category at issue.

How Did the Court Analyse the Issues?

The High Court began by framing its task as one of legal interpretation rather than discretion. The court accepted that there was no direct authority in Singapore addressing the precise question whether a litigant’s travel expenses to attend trial in Singapore are recoverable as disbursements in a standard bill of costs. Nevertheless, the court considered the relevant provisions in the Rules of Court and the logic of the costs taxation framework.

On the appellant’s first ground, the court rejected the proposition that Order 35 rule 1 compels a litigant to travel to court in person such that travel expenses become non-recoverable. The appellant’s argument was that if a litigant does not attend personally, the action risks dismissal (or other adverse outcomes), and therefore the litigant’s attendance is treated as an obligation that should not generate recoverable costs. The High Court disagreed, noting that Order 35 rule 1 does not mandate personal attendance because a litigant may appear by counsel. The court emphasised that, in Singapore practice, counsel can present the case and call witnesses where appropriate, and the court cannot simply dismiss the action if counsel is present even if the litigant is absent.

In other words, the premise that the respondent was “obliged” to travel personally to avoid procedural consequences was not correct. Even if personal attendance were required in some circumstances, the court held that it does not logically follow that the resulting travel expenses are non-recoverable. The recoverability of disbursements depends on the costs taxation rules, not merely on whether attendance is procedurally relevant.

On the appellant’s second ground, the High Court addressed Order 38 rule 22. That provision deals with witnesses: it states that a witness shall not be compelled to attend on a subpoena unless a reasonable sum to cover the witness’s expenses of going to, remaining at, and returning from court is extended. The appellant attempted to use this as a basis to draw a distinction between witnesses and litigants. The High Court rejected that approach. It reasoned that Order 38 rule 22 is a provision governing the rights and obligations between a litigant and a subpoenaed witness, and it forms part of the broader rules on how evidence is led. It does not stipulate who, among the parties, is entitled to claim disbursements in a bill of costs. The litigant who subpoenas a witness must pay the witness’s expenses, but whether the litigant can then recover those expenses through taxation is a separate question governed by Order 59.

Turning to Jumabhoy, the High Court rejected the appellant’s attempt to treat Jumabhoy as establishing a general rule that litigants cannot recover “costs for attendance” and therefore cannot recover travel expenses. The court explained that in Jumabhoy, the Court of Appeal had held that a particular party (the fourth respondent) could not claim costs for attendance before the appellate court. The High Court noted that the Court of Appeal’s reasoning could be understood by reference to the general rule that only solicitors are entitled to claim professional costs for time spent attending court proceedings. Jumabhoy, on this analysis, was concerned with attendance costs of a different nature—professional time and representation—rather than with disbursements actually incurred and paid out by a litigant.

Crucially, the High Court drew a conceptual distinction between (i) “costs for attendance” in the sense of professional costs for time spent by solicitors and (ii) disbursements comprising expenses actually incurred and paid out by a litigant. The court relied on the clarification in Ong Jane Rebecca v Lim Lie Hoa and others [2008] 3 SLR(R) 189 that disbursements refer to expenses actually incurred and paid out. This supported the conclusion that travel expenses, being actual out-of-pocket expenses incurred by the litigant in order to attend trial, fall within the disbursement concept relevant to Order 59 taxation.

Having rejected the appellant’s interpretive arguments, the High Court concluded that the respondent was not prohibited from claiming his travel expenses as part of “costs reasonably incurred” under Order 59 rule 27(2). The court also underscored the structure of Order 59: “costs” in that provision includes disbursements, and disbursements must be set out in the bill of costs. This meant that the travel expenses, if reasonably incurred and properly particularised, could be claimed within the standard basis taxation framework.

Although the judgment extract provided in the prompt truncates the later portion of the reasoning, the core analytical steps are clear: the court treated the issue as one of whether the Rules bar litigant disbursements and whether Jumabhoy extended to this category. The court’s answer was negative. The respondent’s travel expenses were not excluded by the witness-focused rule in Order 38, and Jumabhoy did not address disbursements of this kind. Therefore, the taxation officer and the District Judge were entitled to allow the expenses, subject to the “reasonable” standard in Order 59 rule 27(2).

What Was the Outcome?

The High Court dismissed the appeal. It affirmed the District Judge’s decision to allow the respondent’s travel expenses as recoverable disbursements under the standard basis taxation framework.

Practically, the effect was that the appellant remained liable for the respondent’s allowed travel disbursements (as quantified by the District Judge at $1,208 in total for the relevant travel-related items). The decision therefore clarified that, in Singapore costs taxation, a successful litigant’s reasonable travel expenses to attend trial in Singapore are not automatically barred merely because procedural rules distinguish witness expenses from litigant attendance.

Why Does This Case Matter?

Lam Hwa Engineering & Trading Pte Ltd v Yang Qiang is significant for costs practitioners because it addresses a common taxation dispute: whether a litigant’s own travel costs can be recovered as disbursements. The High Court’s reasoning provides a structured approach for future cases. It emphasises that the recoverability of disbursements is governed by the Order 59 taxation provisions, not by provisions that regulate witness expenses or by general statements about “attendance” costs that may relate to professional time.

The decision also offers useful guidance on how to read Jumabhoy. Rather than treating Jumabhoy as establishing a broad prohibition on litigant attendance-related costs, the High Court confined its reasoning to the context in which it arose—particularly the distinction between solicitor professional costs for attendance and disbursements actually incurred by parties. This interpretive discipline helps prevent overextension of appellate dicta beyond their factual and legal setting.

For litigants and counsel, the case supports the practical position that travel expenses incurred by a successful party to attend trial may be claimed, provided they are reasonable and properly itemised in the bill of costs. For defendants and insurers, it signals that objections framed solely around the witness/litigant distinction in the Rules or around a broad reading of Jumabhoy are unlikely to succeed. Instead, challenges should focus on whether the expenses were reasonably incurred and properly evidenced, consistent with the standard basis taxation approach.

Legislation Referenced

  • Rules of Court (Cap 322, R 5, 2006 Rev Ed): Order 59 rule 27(2); Order 59 rule 1(1); Order 59 rule 24(1)(c); Order 35 rule 1; Order 38 rule 22
  • Legal Aid and Advice Act 1949 (and Third Schedule to the Act) (as listed in the case metadata)

Cases Cited

  • Rajabali Jumabhoy and Others v Ameerali R Jumabhoy and Others [1998] 2 SLR(R) 576
  • Ong Jane Rebecca v Lim Lie Hoa and others [2008] 3 SLR(R) 189
  • Yang Qiang v Lam Hwa Engineering & Trading Pte Ltd [2012] SGDC 31
  • [2012] SGDC 31
  • [2013] SGHC 42
  • The London Scottish Benefit Society v Chorley, Crawford and Chester (1884) 13 QBD 872

Source Documents

This article analyses [2013] SGHC 42 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the full judgment for the Court's complete reasoning.

Written by Sushant Shukla

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