A default judgment can feel like a disaster. Your company misses a deadline, or a claim is served on an old address, and before you know it the claimant has obtained judgment without the case ever being argued. The good news is that Singapore law provides a clear route to apply to set that judgment aside. The bad news is that the door does not stay open forever, and the test you must meet depends on whether the judgment was regularly or irregularly obtained.
This guide explains what a default judgment is, the legal basis for setting it aside under the Rules of Court 2021, the crucial distinction between regular and irregular judgments, and the practical steps a company director should take the moment a default judgment surfaces.
What a default judgment is
A default judgment is a judgment entered against a defendant who has failed to take a required step in the proceedings, most commonly failing to file a notice of intention to contest an originating claim, or failing to file a defence within the prescribed time. Because the defendant did not respond, the court can enter judgment without a trial.
Default judgments are a normal part of debt recovery. From the claimant’s side, they are the reward for a defendant who ignores proceedings, and are closely related to the tools covered in our guide to recovering unpaid debts through the courts. From the defendant’s side, they are a problem that must be tackled quickly.
The legal basis under the Rules of Court 2021
Default judgments and the power to set them aside are governed by Order 9 of the Rules of Court 2021. The court has a discretionary power to set aside or vary a default judgment on such terms as it considers just. The procedure for entering, and challenging, a default judgment is also explained on the Singapore Courts website.
How that discretion is exercised depends on a distinction the courts have long drawn between two types of default judgment: the regular judgment and the irregular judgment.
Regular versus irregular judgments
The distinction was set out authoritatively by the Court of Appeal in Su Sh-Hsyu v Wee Yue Chew [2007] 3 SLR(R) 673, and it continues to guide the courts under the Rules of Court 2021.
Irregular judgments
An irregular judgment is one entered in breach of the rules, for example where the defendant was not properly served, or where judgment was entered before the time to respond had expired. An irregular judgment is generally set aside as of right, without the defendant needing to show any defence on the merits, because it should never have been entered in the first place.
Regular judgments
A regular judgment is one entered in compliance with the rules, where the defendant simply failed to respond in time. Here the defendant must persuade the court to exercise its discretion. The key requirement is to show a defence that has a real prospect of success, in other words a genuine triable issue, rather than a hopeless or purely tactical defence. The court will also weigh the reasons for the default and any delay in applying.
What the court considers for a regular judgment
When a company applies to set aside a regular default judgment, the court typically weighs several factors. The most important is the merits: is there a defence with a real prospect of success? The court also considers how the default happened, whether there was a good explanation such as defective service to an old address, and how quickly the defendant acted once it learned of the judgment. A prompt application with a credible defence stands the best chance. A long, unexplained delay is fatal in many cases.
Step-by-step: applying to set aside
1. Act immediately on learning of the judgment; note the date you found out. 2. Obtain the court documents, including the originating claim and the judgment, and check how and where service was effected. 3. Assess whether the judgment is irregular (a rules breach) or regular (you simply missed the deadline). 4. Prepare a supporting affidavit exhibiting your proposed defence and explaining the default and any delay. 5. File the application to set aside or vary the judgment under Order 9. 6. Attend the hearing; if successful, the court will usually set aside the judgment, often on terms such as payment of the claimant’s costs.
Documents you will typically need
| Document | Purpose |
|---|---|
| The originating claim and default judgment | Shows what was claimed and what was ordered |
| Service records | Establishes whether service was proper (regular vs irregular) |
| Draft defence | Demonstrates a real prospect of success on the merits |
| Supporting affidavit | Explains the default, the delay and exhibits the defence |
| Application to set aside | The formal request under Order 9 of the Rules of Court 2021 |
Timeline and indicative costs
| Stage | Indicative timing | Indicative cost |
|---|---|---|
| Reviewing documents and advice | Days | Lower |
| Preparing and filing the application | 1 to 3 weeks | Moderate |
| Hearing and outcome | Weeks to a few months | Moderate, plus possible costs order |
An irregular judgment is often set aside more quickly and cheaply because no defence on the merits is required. For a regular judgment, most of the cost is in building the defence and explaining the delay. The figures are indicative only.
What happens after the order
If the judgment is set aside, the claim continues as if the default had not occurred, and the defendant files its defence and fights the case on the merits. The court often imposes conditions, such as paying the claimant’s costs of the wasted judgment, or in some cases paying money into court. If the application fails, the judgment stands and the claimant can proceed to enforcement, including against a company’s assets or, for a foreign creditor, through recognition of a foreign judgment. If your company is being sued, our guide to defending a civil claim explains the wider process.
Frequently asked questions
How long do I have to set aside a default judgment?
There is no rigid deadline, but you must act promptly. Delay counts heavily against you for a regular judgment, and a long unexplained delay can defeat an otherwise good application.
What if I was never properly served?
If the judgment was entered without proper service, it is likely irregular and will generally be set aside as of right, without you needing to show a defence on the merits.
Do I need to show a defence?
For a regular judgment, yes. You must show a defence with a real prospect of success. For an irregular judgment, generally no.
Will I have to pay costs even if I win the application?
Often yes. Because the default was usually the defendant’s fault, the court commonly sets aside a regular judgment on terms that the defendant pays the claimant’s costs of the application.
Need Help With This Matter?
If your company is facing this situation, Raffles Corporate Services can assist with the groundwork, including ACRA filings, compliance documentation, and coordinating with experienced Singapore law firms. For matters requiring court proceedings, we work with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice.
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This article is for general information only and does not constitute legal advice. For advice specific to your situation, please consult a qualified Singapore Advocate and Solicitor.
– The Editorial Team, Raffles Corporate Services