CHAN YEUK NAM AND OTHERS v. CHAN YEUK SHAN (as the Executrix of the Estate of Chan Chuk Kan, as the Executrix of the Estate of Leung Lan and in her own capacity)

CHAN YEUK NAM AND OTHERS v. CHAN YEUK SHAN (as the Executrix of the Estate of Chan Chuk Kan, as the Executrix of the Estate of Leung Lan and in her own capacity)

The court removed the defendant as executrix under s33(3) because on the facts she had conflicting interests in key estate properties, exhibited mismanagement and unreasonable delay in realising and distributing estate assets, failed to render up-to-date accounts and supporting documents, and her conduct created a real risk of obstructing due administration and harming beneficiaries' welfare; these factors justified removal and appointment of an independent administrator, and an order for a full account and costs against her.

Citation
[2021] HKCFI 3649
Parties
1st Plaintiff: CHAN YEUK NAM; 2nd Plaintiff: CHAN YEUK LIN ISABELLA; 3rd Plaintiff: O-YOUNG ANGELA YEUK KING; 4th Plaintiff: CHAN YEUK YU MARY; 5th Plaintiff: CHAN YEUK MAN; Defendant; Executrix of the Estates of Chan Chuk Kan and Leung Lan and in Her Own Capacity: CHAN YEUK SHAN (Cindy)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
3 December 2021
Case Number
HCMP1530/2020
Procedural Posture
Application Under Section 33(3) Probate and Administration Ordinance for Removal of Executrix / Judgment (court of First Instance Decision)
Outcome
Defendant removed as executrix of both estates; Mr Wong Tak Shing appointed administrator; defendant ordered to provide full account of prior administration; defendant to pay costs personally (nisi order)
Legal Topics
Removal of Executor, Duty to Render Accounts, Conflict of Interest, Devastavit and Mismanagement, Appointment of Replacement Administrator, Costs
Source Language
EN
Probate and Administration Trusts and Fiduciary Duties Equity Removal of Executor Duty to Render Accounts Conflict of Interest Devastavit and Mismanagement Appointment of Replacement Administrator +1 more

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Parties

CHAN YEUK NAM

1st Plaintiff

CHAN YEUK LIN ISABELLA

2nd Plaintiff

O-YOUNG ANGELA YEUK KING

3rd Plaintiff

CHAN YEUK YU MARY

4th Plaintiff

CHAN YEUK MAN

5th Plaintiff

CHAN YEUK SHAN (Cindy)

Defendant; Executrix of the Estates of Chan Chuk Kan and Leung Lan and in Her Own Capacity

Procedural Posture

Application Under Section 33(3) Probate and Administration Ordinance for Removal of Executrix / Judgment (court of First Instance Decision)

Legal Issues

  1. 1 Whether the defendant should be removed as executrix under s33(3) of the Probate and Administration Ordinance
  2. 2 Whether the executrix failed to keep and render proper accounts and unlawfully retained or misapplied estate assets
  3. 3 Whether there is a conflict of interest in the executrix's dealings with estate property (TST Shop Premises and dwelling)

Ratio Decidendi

The court removed the defendant as executrix under s33(3) because on the facts she had conflicting interests in key estate properties, exhibited mismanagement and unreasonable delay in realising and distributing estate assets, failed to render up-to-date accounts and supporting documents, and her conduct created a real risk of obstructing due administration and harming beneficiaries' welfare; these factors justified removal and appointment of an independent administrator, and an order for a full account and costs against her.

Court Disposition

Defendant removed as executrix of both estates; Mr Wong Tak Shing appointed administrator; defendant ordered to provide full account of prior administration; defendant to pay costs personally (nisi order)

Orders

  • Defendant removed as the executrix of the estate of Chan Chuk Kan
  • Defendant removed as the executrix of the estate of Leung Lan