KAN WAI CHUNG AND OTHERS v. HAU WUN FAI AND OTHERS

KAN WAI CHUNG AND OTHERS v. HAU WUN FAI AND OTHERS

The Master upheld taxation in accordance with the Court of Appeal's formal costs order, rejected the defendants' attempt to read into the order an exclusion of costs related to the setting aside of the default judgment, maintained specific allowances (including a $250,000 brief fee) while taxing off the $50,000 short‑term counsel fee, and ordered defendants to pay 85% of the costs of the taxation review to be summarily assessed.

Citation
KAN WAI CHUNG AND OTHERS v. HAU WUN FAI AND OTHERS
Parties
1st Plaintiff: KAN WAI CHUNG; 2nd Plaintiff: KAN KAR FAI; 3rd Plaintiff: KAN WAI MING; 4th Plaintiff: LAU FOOK KEUNG; 5th Plaintiff: KAN FOR PING STEVEN; 1st Defendant: HAU WUN FAI; 2nd Defendant: LI SIU FUNG; 3rd Defendant: YEUNG WAI HUNG PETER; 4th Defendant: LEE KWOK YUNG; 1st Third Party: SINO FAVOUR DEVELOPMENT LIMITED; 2nd Third Party: SHINY DEVELOP LIMITED
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
19 August 2016
Case Number
HCA811/2010
Procedural Posture
Taxation Review of Bill of Costs / Taxation Review Hearing and Decision by Master in Chambers Following Court of Appeal Order
Outcome
Defendants' taxation review dismissed; taxation of the plaintiffs' bill of costs upheld in major respects by the Master.
Legal Topics
Bill of Costs, Costs Order Nisi, Default Judgment, Setting Aside Default Judgment, Counsel Fees, Summary Assessment
Source Language
EN
Civil Procedure Costs Appeal Taxation of Costs Bill of Costs Costs Order Nisi Default Judgment Setting Aside Default Judgment +2 more

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Parties

KAN WAI CHUNG

1st Plaintiff

KAN KAR FAI

2nd Plaintiff

KAN WAI MING

3rd Plaintiff

LAU FOOK KEUNG

4th Plaintiff

KAN FOR PING STEVEN

5th Plaintiff

HAU WUN FAI

1st Defendant

LI SIU FUNG

2nd Defendant

YEUNG WAI HUNG PETER

3rd Defendant

LEE KWOK YUNG

4th Defendant

SINO FAVOUR DEVELOPMENT LIMITED

1st Third Party

SHINY DEVELOP LIMITED

2nd Third Party

Procedural Posture

Taxation Review of Bill of Costs / Taxation Review Hearing and Decision by Master in Chambers Following Court of Appeal Order

Legal Issues

  1. 1 Whether the Court of Appeal order entitles the plaintiffs to recover costs below including work relating to setting aside the default judgment
  2. 2 Whether specific items and percentages attributable to work on setting aside default judgment should be disallowed
  3. 3 Whether counsel fees claimed (brief and refresher) are reasonable and separable from brief

Ratio Decidendi

The Master upheld taxation in accordance with the Court of Appeal's formal costs order, rejected the defendants' attempt to read into the order an exclusion of costs related to the setting aside of the default judgment, maintained specific allowances (including a $250,000 brief fee) while taxing off the $50,000 short‑term counsel fee, and ordered defendants to pay 85% of the costs of the taxation review to be summarily assessed.

Court Disposition

Defendants' taxation review dismissed; taxation of the plaintiffs' bill of costs upheld in major respects by the Master.

Orders

  • The defendants shall pay the plaintiffs 85% of the costs of the review for this bill; the costs to be summarily assessed.
  • Plaintiffs to lodge and serve the statement of costs for summary assessment within 7 days after the order nisi is made absolute; defendants to lodge and serve comments within 7 days thereafter.