LEE GOO LYNETTE SIU YIN AND OTHERS v. CHEUNG WAI MING DAISY in her capacity as executor of the estate of LI SING KUI AND OTHERS

LEE GOO LYNETTE SIU YIN AND OTHERS v. CHEUNG WAI MING DAISY in her capacity as executor of the estate of LI SING KUI AND OTHERS

The court removed the executrix because due and proper administration and the interests of beneficiaries required replacement: there was unjustified delay in providing proper estate accounts and distributions, failure to produce supporting documents, an established conflict of interest from the executrix residing in and benefiting from the Family Property combined with inconsistent and non‑proactive administration, and concerns about suitability given the complexity and size of the estate; consequently an independent professional administrator was ordered and sales/account applications were adjourned pending appointment.

Citation
[2019] HKCFI 1086
Parties
Plaintiff Beneficiary: LEE GOO LYNETTE SIU YIN; Plaintiff Beneficiary: LEE MICHAEL CHAK CHUEN; Plaintiff Beneficiary: LEE YEE LIN COLLEEN; 1st Defendant Executrix of the Estate of Li Sing Kui: CHEUNG WAI MING DAISY; 2nd Defendant Executor of the Estate of Li Pak Wing; Defendant Beneficiary: LI PAK HUEN; 3rd Defendant Defendant and Beneficiary: LI PAK HUEN; 4th Defendant Beneficiary: LEE WAI SHING BERNARD; 5th Defendant Beneficiary: LEE WAI YIP PHILIP; 6th Defendant Beneficiary: LEE PAULINE; 7th Defendant Beneficiary: LEE PUI YIN IRENE
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
26 April 2019
Case Number
HCMP1836/2017
Procedural Posture
Order 85 Administration Action (probate/estate Administration) / Originating Summons Under Order 85; Hearing on Affidavits in Chambers; Judgment on Removal and Directions
Outcome
Executrix (1st defendant) removed; independent professional administrator to be appointed by the Court; Order for sale adjourned sine die with liberty to restore after appointment; applications for estate accounts adjourned sine die; costs to be dealt with on paper.
Legal Topics
Removal of Executor, Order for Sale of Estate Property, Estate Accounting and Disclosure, Promissory Estoppel/family Arrangement, Vacant Possession, Appointment of Professional Administrator
Source Language
EN
Probate and Administration Trusts and Equity Property Law Civil Procedure Removal of Executor Order for Sale of Estate Property Estate Accounting and Disclosure Promissory Estoppel/family Arrangement +2 more

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Parties

LEE GOO LYNETTE SIU YIN

Plaintiff Beneficiary

LEE MICHAEL CHAK CHUEN

Plaintiff Beneficiary

LEE YEE LIN COLLEEN

Plaintiff Beneficiary

CHEUNG WAI MING DAISY

1st Defendant Executrix of the Estate of Li Sing Kui

LI PAK HUEN

2nd Defendant Executor of the Estate of Li Pak Wing; Defendant Beneficiary

LI PAK HUEN

3rd Defendant Defendant and Beneficiary

LEE WAI SHING BERNARD

4th Defendant Beneficiary

LEE WAI YIP PHILIP

5th Defendant Beneficiary

LEE PAULINE

6th Defendant Beneficiary

LEE PUI YIN IRENE

7th Defendant Beneficiary

Procedural Posture

Order 85 Administration Action (probate/estate Administration) / Originating Summons Under Order 85; Hearing on Affidavits in Chambers; Judgment on Removal and Directions

Legal Issues

  1. 1 Whether the executrix should be removed under PAO s33(3) for due and proper administration
  2. 2 Whether the Court can order sale of the family property under Order 85 and on what terms (vacant possession)
  3. 3 Whether an alleged family arrangement/promissory estoppel prevents sale

Ratio Decidendi

The court removed the executrix because due and proper administration and the interests of beneficiaries required replacement: there was unjustified delay in providing proper estate accounts and distributions, failure to produce supporting documents, an established conflict of interest from the executrix residing in and benefiting from the Family Property combined with inconsistent and non‑proactive administration, and concerns about suitability given the complexity and size of the estate; consequently an independent professional administrator was ordered and sales/account applications were adjourned pending appointment.

Court Disposition

Executrix (1st defendant) removed; independent professional administrator to be appointed by the Court; Order for sale adjourned sine die with liberty to restore after appointment; applications for estate accounts adjourned sine die; costs to be dealt with on paper.

Orders

  • 1. The Court removes CHEUNG WAI MING DAISY as executrix and orders appointment of an independent professional administrator.
  • 2. Parties have 28 days from judgment to agree a professional administrator; failing agreement each party must provide two proposed names with CVs, charging rates and experience; Court to decide on paper.