ERIC EDWARD HOTUNG AND ANOTHER v. HO YUEN KI AND OTHERS

ERIC EDWARD HOTUNG AND ANOTHER v. HO YUEN KI AND OTHERS

The registrar found on the evidence that P1 is not ordinarily resident in Hong Kong, that plaintiffs failed to demonstrate fixed and permanent assets in Hong Kong sufficient to obviate security, and in the exercise of the court's discretion ordered plaintiffs to provide security for costs of HK$600,000 within 21 days (payable into court or as agreed) failing which the claim is dismissed; further proceedings stayed and plaintiffs ordered to pay application costs assessed at HK$150,000 to D3 within 14 days.

Citation
ERIC EDWARD HOTUNG AND ANOTHER v. HO YUEN KI AND OTHERS
Parties
1st Plaintiff: Eric Edward Hotung; 2nd Plaintiff: Lare Sare Limited; 1st Defendant: Ho Yuen Ki; 2nd Defendant: Moon Valley Inc.; 3rd Defendant: Mak Shun Ming Michael aka Michael Eric Alexander Bosman Hotung
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
13 December 2013
Case Number
HCA857/2011
Procedural Posture
Trust and Proprietary Claim (declaration of Beneficial Ownership, Return of Property, Account and Inquiry) / Interlocutory Application for Security for Costs Under Order 23
Outcome
Security for costs ordered against plaintiffs; claim dismissed if security not provided; further proceedings stayed pending compliance; costs awarded to 3rd defendant for the application
Legal Topics
Security for Costs, Ordinary Residence, Jurisdictional Residence, Nominal Plaintiff, Assets of Fixed and Permanent Nature
Source Language
EN
Civil Trusts Procedure Costs Property Security for Costs Ordinary Residence Jurisdictional Residence +2 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 5 Authorities cited 13 Party arguments 2 Amounts and remedies 5
Sign in to unlock

Parties

Eric Edward Hotung

1st Plaintiff

Lare Sare Limited

2nd Plaintiff

Ho Yuen Ki

1st Defendant

Moon Valley Inc.

2nd Defendant

Mak Shun Ming Michael aka Michael Eric Alexander Bosman Hotung

3rd Defendant

Procedural Posture

Trust and Proprietary Claim (declaration of Beneficial Ownership, Return of Property, Account and Inquiry) / Interlocutory Application for Security for Costs Under Order 23

Legal Issues

  1. 1 Whether P1 (Eric Edward Hotung) is ordinarily resident outside Hong Kong for the purposes of Order 23
  2. 2 Whether plaintiffs failed to state residential address on the writ and whether that misstatement was innocent
  3. 3 Whether P2 is a nominal plaintiff within Order 23(1)(b)

Ratio Decidendi

The registrar found on the evidence that P1 is not ordinarily resident in Hong Kong, that plaintiffs failed to demonstrate fixed and permanent assets in Hong Kong sufficient to obviate security, and in the exercise of the court's discretion ordered plaintiffs to provide security for costs of HK$600,000 within 21 days (payable into court or as agreed) failing which the claim is dismissed; further proceedings stayed and plaintiffs ordered to pay application costs assessed at HK$150,000 to D3 within 14 days.

Court Disposition

Security for costs ordered against plaintiffs; claim dismissed if security not provided; further proceedings stayed pending compliance; costs awarded to 3rd defendant for the application

Orders

  • Plaintiffs to provide security for costs in the sum of HK$600,000 within 21 days payable into court or in other forms as agreed, failing which the plaintiffs' claim be dismissed
  • Further proceedings stayed except for the implementation of this order