RE LEE MENTOR

RE LEE MENTOR

The trustee (administrator) did not act unreasonably or for its own benefit; the litigation and subsequent application for leave to appeal were properly brought to protect the estate on counsel's advice and were not speculative. Therefore under Order 62 r.6(2) the Administrator is entitled to be indemnified out of the Estate for all costs incurred and for costs ordered to be paid to John Lee, including the costs of the application for leave to appeal.

Citation
RE LEE MENTOR
Parties
Applicant / Administrator of the Estate: HSBC (The Trust Corporation); Deceased: Mentor Lee (deceased); Respondent / Beneficiary: John Lee (Lee See Ching John); Respondent / Beneficiary: Alexander Lee See Woo; Respondent / Beneficiary: Lee See Foo; Respondent / Beneficiary: Ma Wah Yan; Respondent / Beneficiary: Rose Sze Ji Yang; Respondent / Beneficiary: Alice Corrigan; Respondent / Beneficiary: Leslie Sze Li Lee; Respondent / Beneficiary: Lee See Chi; Widow / Beneficiary / Former Co Administratrix: Moi Song Eng (Madam Moi); Respondent / Beneficiary: Stephen Sze Ming Lee
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
21 June 2000
Case Number
HCAG5212/1991
Procedural Posture
Probate / Administration Indemnity for Trustee Costs / Application for Costs Indemnity Decided at Hearing (judgment)
Outcome
Application granted in favour of the Administrator (HSBC)
Legal Topics
Trustee Indemnity, Beddoe Orders, Presumption of Advancement, Resulting Trust, Costs of Unsuccessful Litigation
Source Language
EN
Probate Trusts and Fiduciary Law Civil Procedure Costs Trustee Indemnity Beddoe Orders Presumption of Advancement Resulting Trust +1 more

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Parties

HSBC (The Trust Corporation)

Applicant / Administrator of the Estate

Mentor Lee (deceased)

Deceased

John Lee (Lee See Ching John)

Respondent / Beneficiary

Alexander Lee See Woo

Respondent / Beneficiary

Lee See Foo

Respondent / Beneficiary

Ma Wah Yan

Respondent / Beneficiary

Rose Sze Ji Yang

Respondent / Beneficiary

Alice Corrigan

Respondent / Beneficiary

Leslie Sze Li Lee

Respondent / Beneficiary

Lee See Chi

Respondent / Beneficiary

Moi Song Eng (Madam Moi)

Widow / Beneficiary / Former Co Administratrix

Stephen Sze Ming Lee

Respondent / Beneficiary

Procedural Posture

Probate / Administration Indemnity for Trustee Costs / Application for Costs Indemnity Decided at Hearing (judgment)

Legal Issues

  1. 1 Whether the administrator (trustee) is entitled to be indemnified from the estate for costs of unsuccessful litigation
  2. 2 Whether the administrator acted unreasonably or in substance for its own benefit such that indemnity should be refused
  3. 3 Whether costs of the application for leave to appeal to the Court of Final Appeal are recoverable from the estate

Ratio Decidendi

The trustee (administrator) did not act unreasonably or for its own benefit; the litigation and subsequent application for leave to appeal were properly brought to protect the estate on counsel's advice and were not speculative. Therefore under Order 62 r.6(2) the Administrator is entitled to be indemnified out of the Estate for all costs incurred and for costs ordered to be paid to John Lee, including the costs of the application for leave to appeal.

Court Disposition

Application granted in favour of the Administrator (HSBC)

Orders

  • Order that the Administrator (HSBC) be indemnified out of the Estate for all costs incurred in the proceedings including costs ordered to be paid to John Lee
  • Order in terms of the Amended Summons dated 5 November 1999