LO FONG HUNG v. FUNG YUEN KWAN, VERONICA AND ANOTHER

LO FONG HUNG v. FUNG YUEN KWAN, VERONICA AND ANOTHER

Where the issues and evidence were entangled and the petitioner failed to prove the Co-operation Agreement, the general rule that costs follow the event applies; an issue-based apportionment was inappropriate, there was no basis to adjourn costs pending appeal, and consequently the petitioner must pay the costs of the Preliminary Issue forthwith (with certificate for three counsel to be taxed if not agreed) and pay the costs of her unsuccessful summons, summarily assessed.

Citation
[2026] HKCFI 741
Parties
Petitioner: Lo Fong Hung; 1st Respondent: Fung Yuen Kwan, Veronica; 2nd Respondent: New Bright International Development Limited (創輝國際發展有限公司)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
30 January 2026
Case Number
HCMP2219/2020
Procedural Posture
Companies Ordinance Petition (sections 723 725) / Post Judgment Costs Applications (two Summonses for Variation of Costs Order Nisi)
Outcome
Ms Fung's summons allowed; Madam Lo's summons dismissed; costs order nisi varied to require immediate payment by the Petitioner of costs of the Preliminary Issue to the 1st Respondent
Legal Topics
Costs Orders, Issue Based Costs Approach, Preliminary Issue, Nomineeship, Binding of Agreements, Summary Assessment of Costs, Taxation of Costs
Source Language
EN
Company Law Civil Procedure Costs Law Evidence Costs Orders Issue Based Costs Approach Preliminary Issue Nomineeship +3 more

Case Brief

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Parties

Lo Fong Hung

Petitioner

Fung Yuen Kwan, Veronica

1st Respondent

New Bright International Development Limited (創輝國際發展有限公司)

2nd Respondent

Procedural Posture

Companies Ordinance Petition (sections 723 725) / Post Judgment Costs Applications (two Summonses for Variation of Costs Order Nisi)

Legal Issues

  1. 1 Whether the Co-operation Agreement was proved
  2. 2 Whether the Co-operation Agreement bound the 1st Respondent
  3. 3 Whether the costs order nisi should be varied to no order as to costs

Ratio Decidendi

Where the issues and evidence were entangled and the petitioner failed to prove the Co-operation Agreement, the general rule that costs follow the event applies; an issue-based apportionment was inappropriate, there was no basis to adjourn costs pending appeal, and consequently the petitioner must pay the costs of the Preliminary Issue forthwith (with certificate for three counsel to be taxed if not agreed) and pay the costs of her unsuccessful summons, summarily assessed.

Court Disposition

Ms Fung's summons allowed; Madam Lo's summons dismissed; costs order nisi varied to require immediate payment by the Petitioner of costs of the Preliminary Issue to the 1st Respondent

Orders

  • Ms Fung's Summons allowed; costs order nisi varied such that the costs of and occasioned by the Preliminary Issue be paid by the Petitioner to the 1st Respondent forthwith, together with a certificate for three counsel, to be taxed if not agreed.
  • There be no order as to costs on Ms Fung's Summons.