A Leap of Good Faith in Singapore Contract Law

Abstract

It is commonly assumed that the Court of Appeal rejected a doctrine of good faith in contract law in Ng Giap Hon v. Westcomb Securities Pte Ltd, and as a result there has been no serious debate in Singapore of the proper role, nature and function of good faith. This article explores the definitional, normative and methodological aspects of the debate, and argues for the introduction of a duty of good faith in Singapore contract law. The content of such a duty must nonetheless be fact-sensitive in order to preserve contractual autonomy and commercial certainty. A series of recent decisions is also examined to demonstrate the courts’ support for such an approach.