111 This approach appears to have been endorsed by Judith PrakashJ in Ho Seng Lee Construction Pte Ltd v Nian Chuan Construction Pte Ltd [2001] 4 SLR 407 at [84] where it was also accepted that: The test is an objective one based on what a reasonable person would have known in similar circumstances. On the issue of his actual knowledge and communications with the other plaintiffs at the material time, I found his evidence unsatisfactory. The second, third, fourth and sixth plaintiffs are the only individuals who ordered more than a hundred laser printers each. 30 Tan Wei Teck is 30 years old. In effect the Internet conveniently integrates into a single screen traditional advertising, catalogues, shop displays/windows and physical shopping. 42 Mark Yeow Kinn Keong has a Bachelor of Science (Economics) degree from the University of London. Upon accessing the Digilandmall website and confirming that the printer was offered there at $66 as well, he placed a further order for 25 laser printers through that website at about 3.29am. 119 It is apparent from this overview that the Canadian courts have integrated through their equitable jurisdiction the concept of common law mistake within the rubric of unconscionability. 152 This view has also found support in the Singapore context. "Unilateral Mistake at Common Law and in Equity" by Kelvin Fatt Kin LOW The Canadian and Australian cases have moved along with the eddies of unconscionability. While this case needs to be treated with some caution, as it appears to integrate concepts of law and equity, I respectfully agree with the approach in so far as it deals with deemed knowledge. Basic principles of contract law continue to prevail in contracts made on the Internet. The E-Mail Acceptance Rule. - See also Balfour v. Balfour (1919). (2d) Chwee Kin Keong v Digilandmall [2004 ] SGHC 71 86 In cases where the facts raised in the proposed amendments have been addressed during the evidence and submissions and, particularly, where the opposing side has also had an opportunity to address the very same points, there can hardly ever be any real prejudice. In light of these general observations, I now address the law on unilateral mistake. The answer on the authorities is a mistake by one party of which the other, 111 This approach appears to have been endorsed by Judith PrakashJ in, 114 For good measure, I should allude that the plaintiffs in their written submissions concede that in order to establish that mistake is operative at common law, the defendant has to show in this instant case that the plaintiffs each had, 115 There is a distinct line of cases within the narrow confines of unilateral mistake where the common law has been resolutely disinclined to enforce apparent contracts. To confine this exception to instances of fraud would make the concept of unilateral mistake redundant. The defendant was entitled to stake its entire defence on the basis of common law, though it would have been prudent ex abundanti cautela to have asserted the equitable position in the alternative. He was opportunistic in effecting his purchases, active in co-ordinating with the other plaintiffs on the eventful morning, and economical with the truth in his evidence. Unilateral Mistake at . The answer on the authorities is a mistake by one party of which the other knew or ought reasonably to have known. Before retiring for the night, the first plaintiff had a further discussion with the second plaintiff on how to store the laser printers they had ordered. Having noted all this, I am nevertheless inclined towards the views expressed in the Great Peace Shipping case for the reasons articulated by Lord PhillipsMR. Any reasonable person, given the extent of the knowledge and information the plaintiffs were armed with, would have come to a similar conclusion. The terms of the offer are clear and unambiguous and the offeree accepts the offer according to its true sense, Although a mistaken party will not often be able to discharge the onus of showing that the other party, 118 The Canadian courts have been the most active common law courts explicating and developing this area of the law. Cases of fraud and misrepresentation, and undue influence, are all catered for under other existing and uncontentious equitable rules. The fourth plaintiffs single transaction with the Digilandmall website was confirmed by a similar automated response stating Successful Purchase Confirmation from Digilandmall. Thus, 119 It is apparent from this overview that the Canadian courts have integrated through their equitable jurisdiction the concept of common law mistake within the rubric of unconscionability. Desmond: 13/01/20 01:24 just ordered 3 colour lazer printer for S$66.00 each. Civil Procedure Pleadings . Chwee KIN Keong AND Others v Digilandmall.COM PTE LTD [2004 ] SGHC 71 This is a disingenuous contention that desperately attempts to palliate their conduct in the subject transactions. The plaintiffs refute that the error exonerates the defendant; they insist that a concluded contract is sacrosanct and must be honoured. Imagine the effect of this negative publicity on your future sales! The point is, there is a chasm between a clarification amendment and a new or distinct issue being raised at a later stage. This constituted more than a quarter of the total number of laser printers ordered. Consideration was less than executory and non-existent. The law of agency and that pertaining to the formation of contracts are expressly recognised in s13(8) of the ETA as continuing to apply to electronic transactions. At the very least, it has been forcefully asserted that even when a mistake does not result in voiding a contract through the application of common law principles, there remains an independent doctrine of mistake founded in equity which justifies judicial intervention. 27 The first plaintiff obviously took the view that the advertisement should be acted upon urgently. Prior to this he was an associate in the Intellectual Property and Technology Department of Allen & Gledhill. The Postal Acceptance Rule in the Digital Age - ResearchGate The most recent and authoritative pronouncement in this area (. Furthermore, they relied on a passage from, At the trial leave to amend particulars will as a rule be refused (, 84 It is axiomatic that a court will generally be cautious if not reluctant to effect any amendments once the hearing has commenced; even more so once the evidential phase of the proceedings has been completed. He was aware that the laser printers were targeted for business use. Case name. If an offeree understands an offer in accordance with its natural meaning and accepts it, the offeror cannot be heard to say that he intended the words of his offer to have a different meaning. The phrase call to enquire, it is contended, was in effect a condition precedent. Ltd} has the makings of a student's classic for several rea sons: it presents a textbook example of offer and acceptance; it is set in the context The payment mode opted for was cash on delivery. Chwee Kin Keong and Others v Digilandmall.com Pte Ltd [2005] SGCA 2 Civil Procedure Costs , Civil Procedure Pleadings , Contract Mistake Decision Date: 13 Jan 2005 . 35 In addition to these conversations, the second plaintiff also accessed the Epinions website and sent a related e-mail to the first plaintiff. Case Summary 115 There is a distinct line of cases within the narrow confines of unilateral mistake where the common law has been resolutely disinclined to enforce apparent contracts. Scorpio: 13/01/20 01:46 hahahaha yeah lor .. aiyah why u only buy 3????? It will firstly discuss the fact that such a tort Our academic writing and marking services can help you! In other words, he really wanted to ascertain the true price of the laser printer. Someone referred me to the HP website which shows the price of this HP Colour LaserJet 4600 Series as S$66.00. The credit card payments had not been processed. If he was prepared to commit this view in writing to a larger circle of 54 friends and business associates after his communication with the second and third plaintiffs, he would certainly have shared this view with his close friends with even greater candour and detail. His communications with the fifth plaintiff, a lawyer, on the efficacy of the terms and conditions also lead to the ineluctable conclusion that he harboured anxieties whether this astoundingly good deal would be honoured when the error was discovered. This was not noticed by the company until over 4,000 printers were ordered. The plaintiffs are, however, entitled to the cost of the amendments, in any event, which I fix at $1,000. He appeared to be consummately familiar with Internet practices and was forced to concede that he thought it was weird and unusual when he saw the number 55 on the relevant webpages in place of the actual product description. Needless to say, this goes to the very heart of the claims sustainability. 109 This cautious statement by Chitty needs to be carefully reconsidered in the context of recent developments in this area of law. Claiming he was in a light-hearted kind of mood during his ICQ (acronym for I-Seek-You) conversation with Desmond, he insisted that this conversation should be taken neither seriously nor literally. The leading Canadian decision in this area is the case of, 120 The widening of jurisdiction to embrace a broad equitable jurisdiction could well encourage litigious behaviour and promote uncertainty. No harm trying right? Consideration was less than executory and non-existent. Decisions cannot be reconciled and expressions, terminology and phraseology in different decisions mean different things to different courts and even judges within the same judicial systems. I cannot accept that. NZULR, vol. In such cases, it would be unconscionable to enforce the bargain and equity will set aside the contract. Because it was simply a matter of time before the error would inevitably be noticed and the pricing inevitably corrected. What is urged is that, owing to a common error as to some fundamental fact, the agreement is robbed of all efficacy. 2. Leave was also given to the plaintiffs to adduce further evidence, if they so desired. To export a reference to this article please select a referencing stye below: This selection of essays, case summaries and dissertations is of relevance to law students within the Commonwealth and for those students who are studying the Rule of Law from outside the Commonwealth . He was also involved in initiating the Channel NewsAsia report (see [78] and [79] infra). The other school of thought views the approach outlined earlier with considerable scepticism. Scorpio: 13/01/20 01:25 ok but how come got such a good deal? ! with its importance set at high. The appellants featured prominently because of the size of their orders. Caveat emptor remains a cornerstone of the law of contract and business relationships. 33 See the Singapore Court of Appeal decision of Chwee Kin Keong v Digilandmall.com Pte Ltd[2005] 1 SLR 502 (noted by Yeo, TM ' Great Peace: a distant disturbance ' (2005) 121 Law Quarterly Review 393 Google Scholar; KFK Low 'Unilateral mistake at common law and in equity' [2005] Lloyd's Maritime and Commercial Law Quarterly 423; and PW . Unilateral Mistake in Contract: Five Degrees of Fusion of - Jstor They have taken into account both the English and Australian authorities in distilling the jurisprudence in this area. He somewhat muddied the authority of his observations by apparently accepting in Gallie v Lee [1969] 2 Ch 17 at 33 (affirmed on appeal in Saunders v Anglia Building Society [1971] AC 1004) that in Cundy v Lindsay there was no contract at all. In my view this further undermines the essence of the plaintiffs case that they never contemplated that the pricing was a mistake. Desmond further informed the first plaintiff that the sale price of each laser printer was in the region of $3,000 to $4,000. Doctrines and Institutions of Responsible Government. Rather, in my opinion, constructive knowledge alone will suffice to invoke equitys conscience. 68 Yeow Kinn Oei is 29 years old and the brother of the third plaintiff. 87 It appeared to me that the extract from Singapore Civil Procedure 2003 relied on by the plaintiffs was blindly lifted from earlier editions of the English White Book without any consideration as to how it dovetails with the present procedural climate. 141 In so far as the sixth plaintiff is concerned, I emphasise that his knowledge and/or conduct of should be equated with that of the third plaintiff. The first and fifth appellants each ordered a hundred printers, while the other appellants ordered more than a hundred printers each. MrTan said: As long as we get out [sic] equitable compensation, we should be able to accept lesser terms, but thats just under consideration as well.. We can understand why the decision in Bell v Lever Bros Ltd did not find favour with Lord DenningMR. An equitable jurisdiction to grant rescission on terms where a common fundamental mistake has induced a contract gives greater flexibility than a doctrine of common law which holds the contract void in such circumstances. 57 Malcolm Tan is 30 years old and a practising advocate and solicitor. He in effect forwarded the first plaintiffs e-mail to them. This contention is wholly untenable. Chwee Kin Keong v Digilandmall.com Pte Ltd [2004] 2 SLR 594; [2004] SGHC 71. It is not in dispute that the defendant made a genuine error. It is simply inconceivable that when he entered into the purchase transaction, he did not know, or at the very least did not have a real and abiding belief that the price posting was an error. It cannot also be seriously argued that there was no intention to enter into a legal relationship. While I agree with what Madam Justice Mclachlin said so far as it goes, I do not believe she intended to imply that there must be a conscious taking advantage by one party of the other in all cases. The recipients of this e-mail included the second, fourth, fifth plaintiffs and Tan Cheng Peng, the third plaintiffs girlfriend. 108 Chitty on Contracts (28th Ed, 1999) vol1 observes at para5-035: It is not clear whether for the mistake to be operative it must actually be known to the other party, or whether it is enough that it ought to have been apparent to any reasonable man. When giving evidence, he struck me as cautious, taking great pains to convey the impression that his numerous online enquiries that morning were routinely carried out without any real inkling that an error had occurred. The recipient rule is therefore more convenient and relevant in the context of both instantaneous or near instantaneous communications. The web merchant, unless he qualifies his offer appropriately, by making it subject to the availability of stock or some other condition precedent, could be seen as making an offer to sell an infinite supply of goods. In Chwee Kin Keong v. Digilandmall.com Pte Ltd, one of the defendant's employees mistakenly uploaded the contents of a training template onto the defendant's website, resulting in the retail price of S$3,854 for a commercial laser printer on the website being replaced with the figure S$66. Chwee Kin Keong vs Digilandmall.com He then zealously sent at about 2.58am, an e-mail to 54 persons, all of whom were friends and/or business associates.
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