STEPHENSON HARWOOD v. ONPRESS HOLDINGS LTD AND OTHERS

STEPHENSON HARWOOD v. ONPRESS HOLDINGS LTD AND OTHERS

Clause 3.9 is applicable upon abortion of the PLUS Admission irrespective of when the abortion occurs; therefore the defendant's fees on abortion are limited to the lower of actual time costs or 85% of the Fee Cap (85% of HK$1,000,000 = HK$850,000); all five bills constitute one single bill for one piece of work and must be taxed together under the LPO; HCA233/2010 and the Order 14 application are stayed pending taxation.

Citation
STEPHENSON HARWOOD v. ONPRESS HOLDINGS LTD AND OTHERS
Parties
1st Plaintiff in Hcmp650/2010; 1st Defendant in Hca233/2010: Onpress Holdings Limited; 2nd Plaintiff in Hcmp650/2010; 2nd Defendant in Hca233/2010: Onpress International Limited; 3rd Plaintiff in Hcmp650/2010; 3rd Defendant in Hca233/2010: Onpress Printed Circuits Limited; Defendant in Hcmp650/2010; Plaintiff in Hca233/2010: Stephenson Harwood (a firm)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
7 October 2010
Case Number
HCA233/2010
Procedural Posture
Originating Summons Hcmp650/2010; Writ and Order 14 in Hca233/2010 / Judgment on Originating Summons and Related Writ; Taxation Ordered; Stay Ordered Pending Taxation
Outcome
Declaration for plaintiffs; taxation ordered; stay ordered; costs to plaintiffs (costs nisi)
Legal Topics
Construction of Contractual Fee Clause, Taxation of Solicitors' Bills Under LPO S67, Stay of Proceedings Pending Taxation, Contra Proferentem and Ambiguity in Contract Interpretation
Source Language
EN
Contract Law Legal Practice and Professional Regulation Civil Procedure Construction of Contractual Fee Clause Taxation of Solicitors' Bills Under LPO S67 Stay of Proceedings Pending Taxation Contra Proferentem and Ambiguity in Contract Interpretation

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Parties

Onpress Holdings Limited

1st Plaintiff in Hcmp650/2010; 1st Defendant in Hca233/2010

Onpress International Limited

2nd Plaintiff in Hcmp650/2010; 2nd Defendant in Hca233/2010

Onpress Printed Circuits Limited

3rd Plaintiff in Hcmp650/2010; 3rd Defendant in Hca233/2010

Stephenson Harwood (a firm)

Defendant in Hcmp650/2010; Plaintiff in Hca233/2010

Procedural Posture

Originating Summons Hcmp650/2010; Writ and Order 14 in Hca233/2010 / Judgment on Originating Summons and Related Writ; Taxation Ordered; Stay Ordered Pending Taxation

Legal Issues

  1. 1 Whether clause 3.9 of the Engagement Letter limits abort fee to 85% of the Fee Cap irrespective of when the PLUS Admission is aborted
  2. 2 Whether the five solicitors' bills should be treated as one single bill for taxation under section 67 LPO
  3. 3 Whether HCA233/2010 and the Order 14 application must be stayed pending taxation

Ratio Decidendi

Clause 3.9 is applicable upon abortion of the PLUS Admission irrespective of when the abortion occurs; therefore the defendant's fees on abortion are limited to the lower of actual time costs or 85% of the Fee Cap (85% of HK$1,000,000 = HK$850,000); all five bills constitute one single bill for one piece of work and must be taxed together under the LPO; HCA233/2010 and the Order 14 application are stayed pending taxation.

Court Disposition

Declaration for plaintiffs; taxation ordered; stay ordered; costs to plaintiffs (costs nisi)

Orders

  • Declaration that on true construction of clause 3.9 the fees chargeable by the defendant should not exceed HK$850,000 whenever the termination of the PLUS Admission may occur
  • Order for taxation of solicitors' bills Nos 74181, 74366, 74545, 74884 and 76233 delivered by the defendant to the plaintiffs