JASON Holdings on Monday said that its chief executive officer will fully indemnify the group's wholly-owned subsidiary, Jason Parquet Specialist (Singapore) (JPSS), against all legal costs and damages that may arise out of a S$1.23 million suit.
Jason Sim Chon Ang, who is also Jason Holdings's executive chairman and CEO, has entered into a deed of guarantee and indemnity with JPSS effective from Dec 19.
The effect of the deed is that regardless of the outcome of the claims and counterclaim in the suit, any loss suffered by JPSS will be indemnified by Mr Sim and any net gains will accrue solely to JPSS.
Jason Holdings first announced on Dec 3 that JPSS had two days earlier been served a writ of summons issued by LBC, claiming either for the sum of S$1.23 million or damages for breaches of the sub-contract made between them in relation to a project.
Jason Holdings had said then that it intends to "take all necessary steps to vigorously defend" the alleged claim, and intends to pursue a counterclaim against LBC amounting to approximately S$545,435.71.