LAU KING TING KATIE v. CHENG MIU HAR STELLA AND OTHERS

LAU KING TING KATIE v. CHENG MIU HAR STELLA AND OTHERS

The Share Deed was a recent fabrication by Edmund: forensic inconsistencies (execution page typed on different machine and matching the Belcher's Deed execution page), implausible chronology, documentary impressions and witness credibility established forgery; therefore no trust existed, the Share Deed is null and void, the plaintiffs' claim fails, and defendants' counterclaim for damages caused by the wrongful lis pendens succeeds; discretionary relief to set aside company resolutions was refused as futile given Stella's majority control; exemplary damages were refused as not justified.

Citation
LAU KING TING KATIE v. CHENG MIU HAR STELLA AND OTHERS
Parties
Plaintiff (original Action); 1st Defendant (counterclaim): Lau King Ting Katie; 1st Defendant (original Action); 1st Plaintiff (counterclaim): Cheng Miu Har Stella; 2nd Defendant (original Action); 2nd Plaintiff (counterclaim): Lau and Company (Holdings) Ltd.; 3rd Defendant (original Action); 3rd Plaintiff (counterclaim): Pak Miu Investment Co. Ltd.; 4th Defendant (original Action); 4th Plaintiff (counterclaim): Lau and Cheng Investment Ltd.; 5th Defendant (original Action); 5th Plaintiff (counterclaim): Fortune Concept Group Ltd.; 2nd Defendant (counterclaim): Lau Pak Chai, Edmund
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
31 March 2009
Case Number
HCA1049/2007
Procedural Posture
Civil Action (share Trust / Company Law) Action No.1049 of 2007, CFI Hong Kong / Judgment (court of First Instance, 31 March 2009)
Outcome
Plaintiff's (Katie) claim dismissed; Edmund's counterclaims in conversion/detinue dismissed; defendants by counterclaim (Stella and companies) succeed on counterclaim for damages and declarations.
Legal Topics
Declaration of Trust, Voluntary Liquidation, Forgery of Documents, Lis Pendens, Conversion and Detinue, Damages for Loss Caused by Wrongful Registration, Exemplary Damages, Notice Requirements for Shareholders' Resolutions
Source Language
EN
Trusts Company Law Equity Property Forensic Document Evidence Civil Remedies Declaration of Trust Voluntary Liquidation +6 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 4 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

Lau King Ting Katie

Plaintiff (original Action); 1st Defendant (counterclaim)

Cheng Miu Har Stella

1st Defendant (original Action); 1st Plaintiff (counterclaim)

Lau and Company (Holdings) Ltd.

2nd Defendant (original Action); 2nd Plaintiff (counterclaim)

Pak Miu Investment Co. Ltd.

3rd Defendant (original Action); 3rd Plaintiff (counterclaim)

Lau and Cheng Investment Ltd.

4th Defendant (original Action); 4th Plaintiff (counterclaim)

Fortune Concept Group Ltd.

5th Defendant (original Action); 5th Plaintiff (counterclaim)

Lau Pak Chai, Edmund

2nd Defendant (counterclaim)

Procedural Posture

Civil Action (share Trust / Company Law) Action No.1049 of 2007, CFI Hong Kong / Judgment (court of First Instance, 31 March 2009)

Legal Issues

  1. 1 Whether the Share Deed dated 8 March 2002 is genuine or a forgery
  2. 2 Whether Stella held shares on trust for Katie and Acorn
  3. 3 Whether voluntary winding-up resolutions should be set aside for inadequate notice to shareholder Katie

Ratio Decidendi

The Share Deed was a recent fabrication by Edmund: forensic inconsistencies (execution page typed on different machine and matching the Belcher's Deed execution page), implausible chronology, documentary impressions and witness credibility established forgery; therefore no trust existed, the Share Deed is null and void, the plaintiffs' claim fails, and defendants' counterclaim for damages caused by the wrongful lis pendens succeeds; discretionary relief to set aside company resolutions was refused as futile given Stella's majority control; exemplary damages were refused as not justified.

Court Disposition

Plaintiff's (Katie) claim dismissed; Edmund's counterclaims in conversion/detinue dismissed; defendants by counterclaim (Stella and companies) succeed on counterclaim for damages and declarations.

Orders

  • Order that Edmund pay damages of HKD 5,011,631.35 with interest at the judgment rate from date of judgment until payment
  • Declaration that the Share Deed dated 8 March 2002 is null and void and of no effect