LAW YUET KWAI v. SECRETARY FOR JUSTICE & ANOTHER

LAW YUET KWAI v. SECRETARY FOR JUSTICE & ANOTHER

The court found on the balance of probabilities that inspectors orally agreed to change the U-bar to 12mm stainless steel, that the inspectors knew or ought to have known the U-bars were welded and failed to object, and that the U-bar on buoy M099 was inadequately welded causing its failure; both the defendant and the Third Party were negligent and equally to blame, Condition 11 did not mandate a full indemnity irrespective of Government negligence, and judgment was given that the Third Party indemnify the defendant for one half of the damages and one half of the plaintiff's costs.

Citation
LAW YUET KWAI v. SECRETARY FOR JUSTICE & ANOTHER
Parties
Administratrix Plaintiff of the Estate of CHAN AH MAN (plaintiff): LAW YUET KWAI; Defendant for and on Behalf of Director of Marine: SECRETARY FOR JUSTICE; Third Party (contractor): MAK KEE LIMITED
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
20 May 2003
Case Number
HCPI430/2001
Procedural Posture
Personal Injuries Action No. 430 of 2001 / Judgment (court of First Instance, 20 May 2003)
Outcome
Judgment for defendant (Secretary for Justice) on the third party claim against MAK KEE LIMITED apportioned equally between defendant and Third Party; Third Party ordered to indemnify defendant for one half of damages and one half of plaintiff's costs; costs order nisi in favour of defendant for Third Party...
Legal Topics
Breach of Contract, Product/specification Change, Inspection and Acceptance, Apportionment of Liability, Indemnity Clause Interpretation, Workplace Safety, Evidence and Credibility
Source Language
EN
Contract Tort (negligence) Personal Injury Maritime/marine Indemnity/contribution Breach of Contract Product/specification Change Inspection and Acceptance +4 more

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Parties

LAW YUET KWAI

Administratrix Plaintiff of the Estate of CHAN AH MAN (plaintiff)

SECRETARY FOR JUSTICE

Defendant for and on Behalf of Director of Marine

MAK KEE LIMITED

Third Party (contractor)

Procedural Posture

Personal Injuries Action No. 430 of 2001 / Judgment (court of First Instance, 20 May 2003)

Legal Issues

  1. 1 Whether the contractual specification for the U-bar was orally changed from 16mm mild steel to 12mm stainless steel
  2. 2 Whether inspectors knew of and accepted that the U-bar was welded rather than bolted
  3. 3 Whether the tower involved was manufactured and supplied by the Third Party (via Hangtung)

Ratio Decidendi

The court found on the balance of probabilities that inspectors orally agreed to change the U-bar to 12mm stainless steel, that the inspectors knew or ought to have known the U-bars were welded and failed to object, and that the U-bar on buoy M099 was inadequately welded causing its failure; both the defendant and the Third Party were negligent and equally to blame, Condition 11 did not mandate a full indemnity irrespective of Government negligence, and judgment was given that the Third Party indemnify the defendant for one half of the damages and one half of the plaintiff's costs.

Court Disposition

Judgment for defendant (Secretary for Justice) on the third party claim against MAK KEE LIMITED apportioned equally between defendant and Third Party; Third Party ordered to indemnify defendant for one half of damages and one half of plaintiff's costs; costs order nisi in favour of defendant for Third Party...

Orders

  • Judgment that the Third Party (MAK KEE LIMITED) indemnify the defendant for one half of the damages awarded to the plaintiff and one half of the plaintiff's costs
  • Third Party to pay one half of the assessed damages and associated plaintiff costs (reflecting equal apportionment)