DAVID KONG v. PINE DEVELOPMENT LTD AND ANOTHER

DAVID KONG v. PINE DEVELOPMENT LTD AND ANOTHER

FTI Consulting (Hong Kong) Limited was appointed as the replacement valuer because the firm demonstrated sufficient competence and experience, was effectively the successor to Baker Tilly (which respondents had originally proposed), was willing to consider prior work by Grant Thornton, and offered a capped fee comparable to alternatives; the court ordered both parties to supply the documents they provided to Grant Thornton within 28 days and allowed mutual inspection and copying of documents held by the valuer to avoid further delay.

Citation
DAVID KONG v. PINE DEVELOPMENT LTD AND ANOTHER
Parties
Petitioner: Petitioner; 2nd Respondent: DONG FUNG HOLDINGS LIMITED; 3rd Respondent: CHAN KIN
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
10 November 2011
Case Number
HCCW322/2006
Procedural Posture
Companies (winding Up) No. 322 of 2006 / Application for Appointment of Replacement Valuer and Directions (interlocutory)
Outcome
Interlocutory orders made: replacement valuer appointed and directions given for documentation and access; costs application not granted in these reasons (no indemnity costs order made in these reasons).
Legal Topics
Tomlin Order, Appointment of Valuer, Unfair Prejudice Petition, Document Disclosure and Inspection, Costs (indemnity)
Source Language
EN
Company Law Insolvency Law Civil Procedure Valuation Law Tomlin Order Appointment of Valuer Unfair Prejudice Petition Document Disclosure and Inspection +1 more

Case Brief

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Parties

Petitioner

Petitioner

DONG FUNG HOLDINGS LIMITED

2nd Respondent

CHAN KIN

3rd Respondent

Procedural Posture

Companies (winding Up) No. 322 of 2006 / Application for Appointment of Replacement Valuer and Directions (interlocutory)

Legal Issues

  1. 1 Whether court should appoint FTI Consulting (Hong Kong) Limited as replacement valuer in place of Grant Thornton
  2. 2 Whether proposed alternative valuers (PwC or EY) were more suitable than FTI
  3. 3 Whether the new valuer should be permitted to rely on work already done by Grant Thornton

Ratio Decidendi

FTI Consulting (Hong Kong) Limited was appointed as the replacement valuer because the firm demonstrated sufficient competence and experience, was effectively the successor to Baker Tilly (which respondents had originally proposed), was willing to consider prior work by Grant Thornton, and offered a capped fee comparable to alternatives; the court ordered both parties to supply the documents they provided to Grant Thornton within 28 days and allowed mutual inspection and copying of documents held by the valuer to avoid further delay.

Court Disposition

Interlocutory orders made: replacement valuer appointed and directions given for documentation and access; costs application not granted in these reasons (no indemnity costs order made in these reasons).

Orders

  • FTI Consulting (Hong Kong) Limited is appointed as valuers in place of Grant Thornton for the valuation required by the Tomlin order
  • Each party to provide to Messrs FTI Consulting (Hong Kong) Limited a full set of the documents which they provided to Grant Thornton while Grant Thornton acted as valuer, within 28 days from the date of the order