28 Singapore

Subject(s):

Contractual set-off — Insolvency set-off — Judicial set-off

This chapter examines the law of set-off in Singapore. In Singapore, set-off may occur both within and outside of individual bankruptcy and insolvent winding-up of companies. There are four types of set-off under Singapore law: equitable set-off, procedural or legal set-off, contractual set-off, and combination set-off. The chapter first provides an overview of these four types of set-off, which fall outside bankruptcy or insolvent winding-up, before discussing set-off within bankruptcy or insolvent winding-up. In particular, it considers the basis and requirements of insolvency set-off, limits to insolvency set-off, and other insolvency regimes that affect set-off. It also analyses cross-border issues relating to applicable law on set-off as well as insolvency proceedings involving a foreign company.