Relevant employees whose shares in China Shanshui Investment Company Limited held by ZHANG CAIKUI on trust (Please refer to Schedule 1 attached to the Writ of Summons for names of the relevant employees) AND ANOTHER v. ZHANG CAIKUI AND ANOTHER

Relevant employees whose shares in China Shanshui Investment Company Limited held by ZHANG CAIKUI on trust (Please refer to Schedule 1 attached to the Writ of Summons for names of the relevant employees) AND ANOTHER v. ZHANG CAIKUI AND ANOTHER

The court directed that the strike-out summons be set down for argument (estimated half day) and that the validity of SH's retainer, and K&L Gates' standing to challenge it, be decided at that interlocutory hearing rather than by an extensive multi-day trial; accordingly the claims of the 1,072 plaintiffs represented by SH were stayed pending the outcome, no further evidence may be filed without leave, and costs of the June 30 hearing were ordered in the cause.

Citation
Relevant employees whose shares in China Shanshui Investment Company Limited held by ZHANG CAIKUI on trust (Please refer to Schedule 1 attached to the Writ of Summons for names of the relevant employees) AND ANOTHER v. ZHANG CAIKUI AND ANOTHER
Parties
Former Solicitors on Record for the Plaintiffs and Applicant of the Strike Out Summons: K&L Gates; Solicitors Purporting to Represent a Subset of the Plaintiffs and Respondent to the Strike Out Summons: Stephenson Harwood; Claimants in Six Consolidated Actions: Plaintiffs
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
14 July 2017
Case Number
HCA1661/2014
Procedural Posture
Strike Out Summons Challenging Notices of Change of Solicitors in Consolidated Civil Actions / Chambers Directions Hearing; Interlocutory Determination Prior to a Listed Trial
Outcome
Interlocutory directions granted: summons to be argued; stay of certain claims; restriction on further evidence; costs reserved/in the cause
Legal Topics
Change of Solicitors, Validity of Retainer, Standing and Authority to Sue or Defend, Strike Out Procedure, Stay of Proceedings
Source Language
EN
Civil Procedure Legal Professional Conduct Representation and Retainer Law Change of Solicitors Validity of Retainer Standing and Authority to Sue or Defend Strike Out Procedure Stay of Proceedings

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Parties

K&L Gates

Former Solicitors on Record for the Plaintiffs and Applicant of the Strike Out Summons

Stephenson Harwood

Solicitors Purporting to Represent a Subset of the Plaintiffs and Respondent to the Strike Out Summons

Plaintiffs

Claimants in Six Consolidated Actions

Procedural Posture

Strike Out Summons Challenging Notices of Change of Solicitors in Consolidated Civil Actions / Chambers Directions Hearing; Interlocutory Determination Prior to a Listed Trial

Legal Issues

  1. 1 Whether Stephenson Harwood validly holds the retainer of the 1,072 plaintiffs
  2. 2 Whether K&L Gates has standing/authority to bring a strike-out summons on behalf of all plaintiffs
  3. 3 Whether allegations of duress, coercion or conflict warrant a multi-day trial with cross-examination

Ratio Decidendi

The court directed that the strike-out summons be set down for argument (estimated half day) and that the validity of SH's retainer, and K&L Gates' standing to challenge it, be decided at that interlocutory hearing rather than by an extensive multi-day trial; accordingly the claims of the 1,072 plaintiffs represented by SH were stayed pending the outcome, no further evidence may be filed without leave, and costs of the June 30 hearing were ordered in the cause.

Court Disposition

Interlocutory directions granted: summons to be argued; stay of certain claims; restriction on further evidence; costs reserved/in the cause

Orders

  • Strike-out summons to be set down for argument on a date to be fixed in consultation with counsel with an estimate of half a day
  • No further evidence to be filed without leave of the court