CHOY CHI KIN AND ANOTHER v. TIN SHUI WAI DEVELOPMENT LTD AND ANOTHER
The court refused the solicitor defendants' applications to try the preliminary issue separately and refused stays of the other proceedings because the matters raised factual disputes requiring full trial and discovery, splitting trials would cause injustice, delay and increased cost and risk to fair trial; the strike-out application by the developer was allowed (subject to appeal); directions hearing and costs to be dealt with at the adjourned directions hearing.
- Citation
- CHOY CHI KIN AND ANOTHER v. TIN SHUI WAI DEVELOPMENT LTD AND ANOTHER
- Parties
- Plaintiff / 1st Defendant (various Actions): Tin Shui Wai Development Limited; 2nd Defendant / Third Party (various Actions): Baker & McKenzie; 2nd Defendant (various Actions): Stikeman, Elliott (and Lam See Man Francoise trading as Stikeman Elliott); Plaintiffs (hca 4610/2003): Lau Chung Fai and Lam Man Yee; Plaintiff (hca 1887/2003): Cheng Chi Lung; Plaintiffs (hca 4737/2003): Kan Moon Tong Danny and Lau Wing Fong
- Court
- Court of First Instance
- Jurisdiction
- Hong Kong
- Judgment Date
- 4 July 2006
- Case Number
- HCA4671/2003
- Procedural Posture
- Civil: Contract and Professional Negligence Arising From Pre Sale Agreements for Uncompleted Residential Units / Interlocutory Ruling on Applications for Trial of Preliminary Issue, Stays and Strike Out (directions Hearing Adjourned)
- Outcome
- Applications by solicitor defendants for trial of preliminary issue refused; applications for stay dismissed; developer's strike-out application allowed; directions hearing adjourned; costs to be heard at directions hearing.
- Legal Topics
- Completion of Development, Rescission, Solicitor Negligence, Preliminary Issue, Stay of Proceedings, Strike Out Under Rules of the High Court
- Source Language
- EN
Case Brief
Summary, issues, holding and outcome
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Parties
Tin Shui Wai Development Limited
Plaintiff / 1st Defendant (various Actions)
Baker & McKenzie
2nd Defendant / Third Party (various Actions)
Stikeman, Elliott (and Lam See Man Francoise trading as Stikeman Elliott)
2nd Defendant (various Actions)
Lau Chung Fai and Lam Man Yee
Plaintiffs (hca 4610/2003)
Cheng Chi Lung
Plaintiff (hca 1887/2003)
Kan Moon Tong Danny and Lau Wing Fong
Plaintiffs (hca 4737/2003)
Procedural Posture
Civil: Contract and Professional Negligence Arising From Pre Sale Agreements for Uncompleted Residential Units / Interlocutory Ruling on Applications for Trial of Preliminary Issue, Stays and Strike Out (directions Hearing Adjourned)
Legal Issues
- 1 Whether the Development as defined in the sale and purchase agreement was complete by 31 December 1997
- 2 Whether a right of rescission under clause 4(4)(a) accrued on 1 January 1998
- 3 Whether the solicitors owed and breached a duty of care to advise plaintiffs and preserve their right to rescind
Ratio Decidendi
The court refused the solicitor defendants' applications to try the preliminary issue separately and refused stays of the other proceedings because the matters raised factual disputes requiring full trial and discovery, splitting trials would cause injustice, delay and increased cost and risk to fair trial; the strike-out application by the developer was allowed (subject to appeal); directions hearing and costs to be dealt with at the adjourned directions hearing.
Court Disposition
Applications by solicitor defendants for trial of preliminary issue refused; applications for stay dismissed; developer's strike-out application allowed; directions hearing adjourned; costs to be heard at directions hearing.
Orders
- Application for separate trial of preliminary issue in HCA 4610 and HCA 4737 refused
- Applications for stay of other proceedings dismissed
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