BAI JUN TIAN CHENG LTD v. ANGOLA GROUP HOLDINGS LTD

BAI JUN TIAN CHENG LTD v. ANGOLA GROUP HOLDINGS LTD

Because the two actions shared a factual nexus and the issues could properly be resolved in HCA 1987/2005, the court allowed discontinuance of HCA 1284/2005 with costs in the cause; it permitted withdrawal of the striking out summons but, because the late withdrawal caused a wasted half-day hearing, ordered the costs of that wasted hearing to be borne by Bai Jun and Clarigain while costs of the summons remain in the cause; allowed the proposed amendments to the Defence to the Counterclaim except for para 92(e)(i)-(iv) and particulars to para 92(f)(ii); accepted a framed statement in lieu under O.18 r.21(2) RHC concerning para 92(e) and ordered a speedy trial with consequential directions.

Citation
BAI JUN TIAN CHENG LTD v. ANGOLA GROUP HOLDINGS LTD
Parties
Plaintiff (original Action); 1st Defendant (by Counterclaim): Achieve Goal Holdings Limited; Defendant (original Action); 5th Defendant (by Counterclaim): Zhong Xin Ore-Material Holding Company Limited; 1st Plaintiff (by Counterclaim): Clarigain Enterprises Limited; 2nd Plaintiff (by Counterclaim): Bai Jun Tian Cheng Limited; 2nd Defendant (by Counterclaim); Defendant in HCA 1284/2005: Angola Group Holdings Limited; 3rd Defendant (by Counterclaim): Zhao Bing; 4th Defendant (by Counterclaim): Ng Chi Kong
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
9 July 2008
Case Number
HCA1284/2005
Procedural Posture
Civil Company Law / Derivative Action; Related Actions HCA 1284/2005 and HCA 1987/2005 / Interlocutory (hearings on Multiple Summonses for Discontinuance, Striking Out, Amendment, Joinder and Directions); Reasons for Decision
Outcome
Interlocutory orders made: discontinuance granted, withdrawal and costs directions for striking out summons, speedy trial ordered, specified amendments allowed, framed statement accepted and costs allocated as set out below.
Legal Topics
Joinder, Striking Out, Discontinuance, Amendment of Pleadings, Speedy Trial, Costs Orders, Authority to Sue, Misrepresentation, Specific Performance, Duty of Disclosure
Source Language
EN
Company Law Civil Procedure Costs Contract Law Equity (derivative Action) Evidence (disclosure) Joinder Striking Out +8 more

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Parties

Achieve Goal Holdings Limited

Plaintiff (original Action); 1st Defendant (by Counterclaim)

Zhong Xin Ore-Material Holding Company Limited

Defendant (original Action); 5th Defendant (by Counterclaim)

Clarigain Enterprises Limited

1st Plaintiff (by Counterclaim)

Bai Jun Tian Cheng Limited

2nd Plaintiff (by Counterclaim)

Angola Group Holdings Limited

2nd Defendant (by Counterclaim); Defendant in HCA 1284/2005

Zhao Bing

3rd Defendant (by Counterclaim)

Ng Chi Kong

4th Defendant (by Counterclaim)

Procedural Posture

Civil Company Law / Derivative Action; Related Actions HCA 1284/2005 and HCA 1987/2005 / Interlocutory (hearings on Multiple Summonses for Discontinuance, Striking Out, Amendment, Joinder and Directions); Reasons for Decision

Legal Issues

  1. 1 Whether HCA 1284/2005 should be discontinued and how costs should be allocated
  2. 2 Whether the striking out summons should be withdrawn and allocation of costs for the wasted hearing
  3. 3 Whether Zhong Xin has authority to sue and related joinder/derivative action issues

Ratio Decidendi

Because the two actions shared a factual nexus and the issues could properly be resolved in HCA 1987/2005, the court allowed discontinuance of HCA 1284/2005 with costs in the cause; it permitted withdrawal of the striking out summons but, because the late withdrawal caused a wasted half-day hearing, ordered the costs of that wasted hearing to be borne by Bai Jun and Clarigain while costs of the summons remain in the cause; allowed the proposed amendments to the Defence to the Counterclaim except for para 92(e)(i)-(iv) and particulars to para 92(f)(ii); accepted a framed statement in lieu under O.18 r.21(2) RHC concerning para 92(e) and ordered a speedy trial with consequential directions.

Court Disposition

Interlocutory orders made: discontinuance granted, withdrawal and costs directions for striking out summons, speedy trial ordered, specified amendments allowed, framed statement accepted and costs allocated as set out below.

Orders

  • Leave to withdraw HCA 1284/2005 with costs in the cause in HCA 1987/2005
  • Leave to withdraw the striking out summons with costs in the cause save that the costs of leading counsel for the hearing on 26 June 2008 be to Clarigain and Bai Jun in any event and there be no order as to costs for Achieve Goal and Ng