ALPHA APPLIANCES LTD v. GET LUCK DEVELOPMENT LTD

ALPHA APPLIANCES LTD v. GET LUCK DEVELOPMENT LTD

Court declined to decide Order 14A questions for lack of necessary factual foundation and discretion; granted summary judgment for the Plaintiff because Defendant's defences were unarguable: the alleged non-completion amounted to remedial defects within defects liability period, the Architect had not been instructed to issue certificates and thus Defendant was disentitled to rely on absence of certificate by the prevention principle, and Defendant produced no evidence to challenge the quantity surveyor's endorsed final account; accordingly judgment for $691,959 plus interest and costs two-thirds awarded as order nisi.

Citation
ALPHA APPLIANCES LTD v. GET LUCK DEVELOPMENT LTD
Parties
Plaintiff: Alpha Appliances Limited; Defendant: Get Luck Development Limited
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
29 May 2006
Case Number
DCCJ589/2005
Procedural Posture
Civil Action (construction Contract) / District Court Judgment on Summons for Summary Judgment and Order 14 a Application
Outcome
Summary judgment entered for Plaintiff for $691,959.00 with interest; Order 14A application dismissed/declined; order nisi for costs in favour of Plaintiff
Legal Topics
Summary Judgment, Order 14 a Questions of Law, Implied Terms, Architect's Certificate as Condition Precedent, Prevention Principle, Liquidated Damages, Interim Payment
Source Language
EN
Construction Law Contract Law Civil Procedure Summary Judgment Order 14 a Questions of Law Implied Terms Architect's Certificate as Condition Precedent Prevention Principle +2 more

Case Brief

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Parties

Alpha Appliances Limited

Plaintiff

Get Luck Development Limited

Defendant

Procedural Posture

Civil Action (construction Contract) / District Court Judgment on Summons for Summary Judgment and Order 14 a Application

Legal Issues

  1. 1 Whether payment terms against the Architect's certificate were incorporated into the Letter of Intent agreement
  2. 2 Whether issuance of Architect's certificate was a condition precedent to payment
  3. 3 Whether an implied term should be read into the agreement to require payment if no subcontract was entered into

Ratio Decidendi

Court declined to decide Order 14A questions for lack of necessary factual foundation and discretion; granted summary judgment for the Plaintiff because Defendant's defences were unarguable: the alleged non-completion amounted to remedial defects within defects liability period, the Architect had not been instructed to issue certificates and thus Defendant was disentitled to rely on absence of certificate by the prevention principle, and Defendant produced no evidence to challenge the quantity surveyor's endorsed final account; accordingly judgment for $691,959 plus interest and costs two-thirds awarded as order nisi.

Court Disposition

Summary judgment entered for Plaintiff for $691,959.00 with interest; Order 14A application dismissed/declined; order nisi for costs in favour of Plaintiff

Orders

  • Judgment for the Plaintiff for $691,959.00 with interest at judgment rate from date of writ to date of judgment and thereafter until payment
  • Summary judgment granted against the Defendant