CHU KEUNG FAI AND ANOTHER v. SUCCESS INSURANCE LIMITED AND OTHERS

CHU KEUNG FAI AND ANOTHER v. SUCCESS INSURANCE LIMITED AND OTHERS

Because the plaintiffs' causes of action against the 2nd and 3rd defendants were separate and distinct and were not pleaded in the alternative, Bullock/Sanderson orders were inappropriate; accordingly the 2nd defendant must pay the plaintiffs' costs incurred against it, the plaintiffs must pay the 1st and 3rd defendants' costs, and no order is made as to costs in the third party proceedings.

Citation
CHU KEUNG FAI AND ANOTHER v. SUCCESS INSURANCE LIMITED AND OTHERS
Parties
Plaintiffs: Chu Keung Fai and Yu Wai Heung (co-administrators of the estates of Lai Pak Chuen deceased and Chu Wah Ying deceased); 1st Defendant and 1st Third Party: Success Insurance Limited; 2nd Defendant and 2nd Third Party: Lai Chak Man; 3rd Defendant: Express Transport and Building Contractors Limited; 1st Third Party: Success Insurance Limited (1st Third Party); 2nd Third Party: Lai Chak Man (2nd Third Party)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
13 March 1987
Case Number
HCA4517/1981
Procedural Posture
Civil Action for Damages With Third Party Proceedings / Costs Judgment Following Trial on Liability (judgment on Costs Reserved)
Outcome
Costs allocated: 2nd defendant to pay plaintiffs' costs incurred against it; plaintiffs to pay 1st and 3rd defendants' costs; no order as to costs in third party proceedings; prior adjournment costs remain payable by plaintiffs.
Legal Topics
Bullock Order, Sanderson Order, Allocation of Costs, Occupiers Liability, Third Party Contribution, Civil Liability (contribution) Ordinance
Source Language
EN
Tort Civil Procedure Costs Law Third Party Proceedings Contribution Bullock Order Sanderson Order Allocation of Costs +3 more

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Parties

Chu Keung Fai and Yu Wai Heung (co-administrators of the estates of Lai Pak Chuen deceased and Chu Wah Ying deceased)

Plaintiffs

Success Insurance Limited

1st Defendant and 1st Third Party

Lai Chak Man

2nd Defendant and 2nd Third Party

Express Transport and Building Contractors Limited

3rd Defendant

Success Insurance Limited (1st Third Party)

1st Third Party

Lai Chak Man (2nd Third Party)

2nd Third Party

Procedural Posture

Civil Action for Damages With Third Party Proceedings / Costs Judgment Following Trial on Liability (judgment on Costs Reserved)

Legal Issues

  1. 1 Whether a Bullock or Sanderson order should be made to shift costs between co-defendants
  2. 2 Whether the causes of action against the 2nd and 3rd defendants were separate and distinct or alternative
  3. 3 How costs should be apportioned between plaintiffs and multiple defendants after mixed results at trial

Ratio Decidendi

Because the plaintiffs' causes of action against the 2nd and 3rd defendants were separate and distinct and were not pleaded in the alternative, Bullock/Sanderson orders were inappropriate; accordingly the 2nd defendant must pay the plaintiffs' costs incurred against it, the plaintiffs must pay the 1st and 3rd defendants' costs, and no order is made as to costs in the third party proceedings.

Court Disposition

Costs allocated: 2nd defendant to pay plaintiffs' costs incurred against it; plaintiffs to pay 1st and 3rd defendants' costs; no order as to costs in third party proceedings; prior adjournment costs remain payable by plaintiffs.

Orders

  • The 2nd defendant shall pay the plaintiffs' costs incurred against the 2nd defendant to be taxed if not agreed in accordance with the Legal Aid Regulations.
  • The plaintiffs shall pay the 1st defendant's costs incurred against the plaintiffs to be taxed if not agreed in accordance with the Legal Aid Regulations.