Wan Lai Cheng v Quek Seow Kee and another appeal and another matter

Wan Lai Cheng v Quek Seow Kee and another appeal and another matter

The Court of Appeal held that the term 'gift' in the exclusion clause of s112(10) is intended to refer to third-party gifts and inheritances (not 'pure' inter-spousal gifts); 'pure' inter-spousal gifts of assets acquired otherwise than by third‑party gift or inheritance remain matrimonial assets under s112(10)(b) and are divisible without satisfying the substantial improvement exception; inter-spousal 're-gifts' of assets originally acquired by third‑party gift or inheritance remain excluded unless the substantial improvement exception is satisfied; the operative date for determining NAV and liabilities is the date of commencement of proceedings (rounded to 31 July 2007 here); the Wife...

Citation
[2012] SGCA 40
Parties
Wife (appellant in CA 17/2011): Wan Lai Cheng; Husband (appellant in CA 21/2011): Quek Seow Kee
Court
Court of Appeal
Jurisdiction
Singapore
Judgment Date
31 July 2012
Case Number
Civil Appeals Nos 17 and 21 of 2011, and Summons No 2864 of 2011
Procedural Posture
Divorce; Matrimonial Assets and Maintenance / Appeal From High Court to Court of Appeal; Judgment Delivered 31 July 2012
Outcome
Appeals allowed in part: CA17/2011 allowed in part (lump sum maintenance awarded); CA21/2011 allowed in part (inclusion of Skeve shares in matrimonial assets); SUM 2864/2011 no order
Legal Topics
Inter Spousal Gifts, Definition of Matrimonial Asset Under S112(10) Women’s Charter, Substantial Improvement Exception, Operative Date for Valuation/liabilities, Lump Sum Maintenance, Division of Matrimonial Assets
Source Language
English
Family Law Matrimonial Property Maintenance Statutory Interpretation Inter Spousal Gifts Definition of Matrimonial Asset Under S112(10) Women’s Charter Substantial Improvement Exception Operative Date for Valuation/liabilities +2 more

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Parties

Wan Lai Cheng

Wife (appellant in CA 17/2011)

Quek Seow Kee

Husband (appellant in CA 21/2011)

Procedural Posture

Divorce; Matrimonial Assets and Maintenance / Appeal From High Court to Court of Appeal; Judgment Delivered 31 July 2012

Legal Issues

  1. 1 Whether inter-spousal gifts are 'gifts' for the purposes of s112(10) and thus excluded from matrimonial assets unless substantially improved (Issue 1)
  2. 2 Whether the specific inter-spousal gift of shares in this case had been substantially improved and thus included (Issue 2)
  3. 3 What is the operative date for determining net asset value (NAV) of relevant properties (Issue 3)

Ratio Decidendi

The Court of Appeal held that the term 'gift' in the exclusion clause of s112(10) is intended to refer to third-party gifts and inheritances (not 'pure' inter-spousal gifts); 'pure' inter-spousal gifts of assets acquired otherwise than by third‑party gift or inheritance remain matrimonial assets under s112(10)(b) and are divisible without satisfying the substantial improvement exception; inter-spousal 're-gifts' of assets originally acquired by third‑party gift or inheritance remain excluded unless the substantial improvement exception is satisfied; the operative date for determining NAV and liabilities is the date of commencement of proceedings (rounded to 31 July 2007 here); the Wife...

Court Disposition

Appeals allowed in part: CA17/2011 allowed in part (lump sum maintenance awarded); CA21/2011 allowed in part (inclusion of Skeve shares in matrimonial assets); SUM 2864/2011 no order

Orders

  • Wife awarded lump sum maintenance of SGD 192000, prior monthly payments to be deducted and remainder to be paid within three months
  • Skeve shares (10% held by Wife and 90% held by Husband) to be included in the pool of matrimonial assets; Hawick and Kelso shares traced to inheritance (Husband) remain non-matrimonial