SINGAPORE: In a landmark ruling on October 23, the High Court reversed the 2023 deregistration of renovation contractor Concept Werk, allowing homeowner Lye Yew Cheong to pursue his claims in court over a protracted renovation dispute.
This decision marks a significant victory for consumers in a sector often beset by complaints.
The renovation
According to The Straits Times, the saga began in July 2021 when Mr Lye hired Concept Werk, directed by Keith Xie and Sonia Tay, to renovate his HDB flat.
The initial renovation estimate was $123,000, with Mr Lye providing a 20% deposit.
However, costs escalated to $144,656, and the couple, having vacated their home for the project, faced numerous delays and defects that kept them out of their flat until June 2022—more than six months later than promised.
Despite assurances from Ms Tay in early 2022 regarding the rectification of defects at no additional charge, communication soured by March 2023.
Compounding the issue, Ms Tay resigned as a director in October 2021, and Mr Xie closed the company’s accounts and deregistered Concept Werk in May 2023, all while the dispute with Mr Lye lingered.
The disappearing
In October 2023, Mr Lye sought justice through the Small Claims Tribunal but withdrew his case when he learned Concept Werk had ceased to exist.
Undeterred, he applied to the High Court to reverse the deregistration. While the Accounting and Corporate Regulatory Authority (Acra) did not oppose this move, Mr. Xie contested it.
On Sept 16, High Court Judge Goh Yihan heard the case. On Oct 23, he ordered Acra to restore Concept Werk’s registration, effectively allowing the company to exist as if it had never been deregistered.
Justice Goh emphasized that Mr Lye had legitimate grounds for his grievances, and his legal claims were neither hopeless nor devoid of merit.
This ruling also sheds light on the renovation sector, which has been a focal point of consumer complaints.
The Consumers Association of Singapore reported 1,168 complaints against renovation contractors in 2023 alone, a slight decline from previous years but still ranking as one of the highest categories of grievances.
Mr Lye’s victory paves the way for him to seek damages while sending a strong message about consumer rights in the renovation industry.
Represented by Mohamed Nawaz Kamil from August Law Corporation, Mr Lye’s case illustrates the challenges homeowners face when contractors fail to fulfil their obligations.
As the situation develops, Mr. Lye is now poised to pursue his claims against Concept Werk, seeking accountability for the alleged mishandling of his home renovation project.