FIRST MATE DEVELOPMENT LTD v. GEE WING CHUNG, THE ADMINISTRATOR OF THE ESTATE OF LIU WAI YAN ALSO KNOWN AS BO FONG LIU GEE, DECEASED AND OTHERS

FIRST MATE DEVELOPMENT LTD v. GEE WING CHUNG, THE ADMINISTRATOR OF THE ESTATE OF LIU WAI YAN ALSO KNOWN AS BO FONG LIU GEE, DECEASED AND OTHERS

The Tribunal refused leave: Paragraph 2 Schedule 2 confines reserve price to the lot's redevelopment potential 'on its own' and excludes marriage value/Clay Factor as a basis to set the statutory reserve price at the leave stage; Fully H K Investments is binding and the proposed appeal has no reasonable prospect of success nor any other reason in the interests of justice under s.11AA(6).

Citation
[2018] HKLdT 16
Parties
Applicant: Applicant; 2nd Respondent: 2nd Respondent; 1st Respondent: 1st Respondent; 3rd Respondent: 3rd Respondent
Court
Lands Tribunal
Jurisdiction
Hong Kong
Judgment Date
15 March 2018
Case Number
LDCS8000/2016
Procedural Posture
Lands Tribunal Leave to Appeal From Interlocutory Decision Under Land (compulsory Sale for Redevelopment) Ordinance / Application for Leave to Appeal (interlocutory)
Outcome
Interlocutory application dismissed; leave to appeal refused
Legal Topics
Marriage Value, Clay Factor, Reserve Price, Interpretation of Schedule 2 Paragraph 2, Leave to Appeal, Reasonable Prospect Test
Source Language
EN

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Parties

Applicant

Applicant

2nd Respondent

2nd Respondent

1st Respondent

1st Respondent

3rd Respondent

3rd Respondent

Procedural Posture

Lands Tribunal Leave to Appeal From Interlocutory Decision Under Land (compulsory Sale for Redevelopment) Ordinance / Application for Leave to Appeal (interlocutory)

  1. 1 Whether Paragraph 2 of Schedule 2 of the Land (Compulsory Sale for Redevelopment) Ordinance requires the reserve price to be assessed by reference to the redevelopment potential of the lot "on its own" excluding any marriage value arising from agglomeration of sites
  2. 2 Whether the so-called "Clay Factor" or marriage value is admissible at the leave stage or is excluded as going to the basis of valuation
  3. 3 Whether the proposed appeal has a reasonable prospect of success under s.11AA(6) of the Lands Tribunal Ordinance or whether there is some other reason in the interests of justice to grant leave

Ratio Decidendi

The Tribunal refused leave: Paragraph 2 Schedule 2 confines reserve price to the lot's redevelopment potential 'on its own' and excludes marriage value/Clay Factor as a basis to set the statutory reserve price at the leave stage; Fully H K Investments is binding and the proposed appeal has no reasonable prospect of success nor any other reason in the interests of justice under s.11AA(6).

Court Disposition

Interlocutory application dismissed; leave to appeal refused

Orders

  • Interlocutory Application dated 19 January 2018 dismissed and leave to appeal refused
  • Costs awarded to the applicant: 2nd respondent to pay applicant's costs with certificate for counsel on High Court scale, to be taxed if not agreed