1. Chu Kang, a contractor, entered into a contract with Beng to renovate Beng's house at a cost of $150,000. Amongst other things the contract required Chu Kang to construct a koi pond with a water fall feature in the garden and to paint the entire interior and exterior of Beng's house with at least 2 coats of paint. On 16th May, Chu Kang had completed the renovations. When filling the koi pond with water, Beng noticed that the garden was flooded. On checking, he discovered that water was seeping out from the sides of the koi pond. He also noticed that the paintwork on the walls was very thin. Beng told Chu Kang that he was not accepting "such shoddy workmanship". Chu Kang refused to repair the koi pond or add another coat of paint to the walls. Beng had no choice but to engage another contractor to repair the koi pond and apply another coat of paint to the walls. This cost Beng $3,000. Explain with reasons whether Beng has the right to refuse to pay Chu Kang.
2. .Game City Pte. Ltd ("Game") entered into a contract with Robin to design and develop a computer game called "Amazing Dream" which would be developed in 10 stages. Payment is by progress payments upon completion of each stage. Robin employed his friend Tony, a specialist in virtual reality games to do the special effects. Sometime shortly after the 4th stage was completed, Tony had an accident and was bed ridden. As a result, he was unable to complete the special effects and had to resign from the company. Although payment was to be made on completion of each stage of the development, Game had not paid Robin since the completion of the 2nd stage. Robin asked Game for the payment but was refused because Robin did not complete the contract as agreed and a competitor of Game was able to launch a similar computer game ahead of Game. Just before the accident, Tony had obtained a salary advance of $10,000 from Robin. Robin has now asked Tony to return this money. Identify and discuss the legal issues.