Suit over condo defects settled out of court

Independent chartered building surveyors found 32 defects in the pool, lift lobbies, residential units and basement carpark at The Seaview condominium. PHOTO: ST FILE

Residents of The Seaview condominium who brought a $32 million lawsuit against four parties involved in the development over alleged defects in the estate have settled the case out of court.

The management corporation (MC) of the Amber Road condo had sued developer Mer Vue Developments, a subsidiary of Wheelock Properties; main contractor Tiong Aik Construction; RSP Architects Planners & Engineers; and engineering firm Squire Mech.

The trial was originally scheduled to start in the High Court last Tuesday, but did not start after the MC settled its case against Squire Mech. Separate settlements with Mer Vue, Tiong Aik and RSP were reached later. The terms are confidential.

The settlements come in the wake of a High Court ruling in March that the developer, main contractor and architect can rely on the independent contractor defence.

The ruling effectively limited the amount of damages the home owners can get if they win the case.

The Seaview, which was completed in 2008, comprises six blocks with a total of 546 units.

In 2011, the MC filed the suit on behalf of homeowners, alleging defects including foul odours, falling concrete blocks and popping swimming pool tiles. The amount of damages sought at the time was $14 million, but later grew to $32 million.

Mr Melvin Chan, who acted for RSP, said yesterday: "Our clients are happy that the case has been settled and can find closure on this chapter."

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A version of this article appeared in the print edition of The Straits Times on July 15, 2016, with the headline Suit over condo defects settled out of court. Subscribe