CHUNG YUK MAN DAVID AND ANOTHER v. NG CHIN HO

CHUNG YUK MAN DAVID AND ANOTHER v. NG CHIN HO

The court accepted the plaintiffs' and independent estate agent's evidence over the defendant's, finding the handwritten name was the defendant's signature acting for his mother and that the cheque was delivered; therefore a binding provisional agreement existed, the defendant repudiated it by refusing to complete and attempting a subsequent sale, and plaintiffs were entitled to damages equal to the difference in sale prices plus proved registration costs.

Citation
CHUNG YUK MAN DAVID AND ANOTHER v. NG CHIN HO
Parties
Purchaser/plaintiff: 1st Plaintiff; Purchaser/plaintiff: 2nd Plaintiff; Vendor/defendant: Defendant; Registered Owner (mother): Chan Mei Kwei
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
19 September 2007
Case Number
DCCJ820/2006
Procedural Posture
Sale of Property / Breach of Contract / Trial Judgment Handed Down
Outcome
Judgment for the plaintiffs against the defendant for breach of the provisional sale and purchase agreement; defendant's counterclaim dismissed; costs to plaintiffs
Legal Topics
Provisional Sale and Purchase Agreement, Authority to Sign on Behalf of Another, Breach of Contract, Damages for Loss of Bargain, Specific Performance (abandoned), Registration of Instrument
Source Language
EN
Contract Law Property Law Civil Procedure Remedies Provisional Sale and Purchase Agreement Authority to Sign on Behalf of Another Breach of Contract Damages for Loss of Bargain +2 more

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Parties

1st Plaintiff

Purchaser/plaintiff

2nd Plaintiff

Purchaser/plaintiff

Defendant

Vendor/defendant

Chan Mei Kwei

Registered Owner (mother)

Procedural Posture

Sale of Property / Breach of Contract / Trial Judgment Handed Down

Legal Issues

  1. 1 Whether the defendant signed the provisional agreement for himself and on behalf of his mother or only in his personal capacity
  2. 2 Whether the initial deposit cheque was delivered to the defendant (condition precedent)
  3. 3 Whether defendant was in breach of the provisional agreement or in breach of warranty of authority

Ratio Decidendi

The court accepted the plaintiffs' and independent estate agent's evidence over the defendant's, finding the handwritten name was the defendant's signature acting for his mother and that the cheque was delivered; therefore a binding provisional agreement existed, the defendant repudiated it by refusing to complete and attempting a subsequent sale, and plaintiffs were entitled to damages equal to the difference in sale prices plus proved registration costs.

Court Disposition

Judgment for the plaintiffs against the defendant for breach of the provisional sale and purchase agreement; defendant's counterclaim dismissed; costs to plaintiffs

Orders

  • Judgment for the plaintiffs against the defendant for HK$50,210
  • Interest at 1% above the Hong Kong and Shanghai Banking Corporation prime rate from time to time and thereafter at judgment rate from date of judgment until full payment