Chan Tak Yim v. Wong Tit Kin and Another

Chan Tak Yim v. Wong Tit Kin and Another

The court rejected plaintiff's claim for loss of earnings because the claimed HK$30,000 monthly withdrawals were held to be director's drawings rather than salary; quantified loss of profits by rejecting plaintiff's inflated cost and production figures, fixing net profit at HK$140 per ton and limiting post-accident expansion to 10 plants, resulting in pre-assessment loss of profits of HK$7,050,771.60 and post-assessment loss of profits of HK$609,840; refused loss of capital as duplicative; allowed special damages of HK$20,180 and future operation costs of HK$50,000; awarded interest as specified and costs nisi to the plaintiff with a certificate for counsel.

Citation
Chan Tak Yim v. Wong Tit Kin and Another
Parties
Plaintiff: Chan Tak Yim; 1st Defendant: Wong Tit Kin; 2nd Defendant: Wong Shu Kin
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
23 January 2001
Case Number
HCPI278/1999
Procedural Posture
Personal Injuries Assessment of Damages / Assessment Hearing (assessment of Damages)
Outcome
Plaintiff awarded damages in respect of loss of profits, special damages and future operation costs totalling HK$7,730,791.60; loss of earnings and loss of capital disallowed.
Legal Topics
Loss of Earnings, Loss of Profits, Special Damages, Interest, Delay and Multiplier, Evidentiary Weight of Documentary Proof, Double Recovery
Source Language
EN
Personal Injury Tort Damages Assessment Commercial Loss Arising From Personal Injury Loss of Earnings Loss of Profits Special Damages Interest +3 more

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Parties

Chan Tak Yim

Plaintiff

Wong Tit Kin

1st Defendant

Wong Shu Kin

2nd Defendant

Procedural Posture

Personal Injuries Assessment of Damages / Assessment Hearing (assessment of Damages)

Legal Issues

  1. 1 Whether plaintiff entitled to recover loss of earnings claimed as director's drawings
  2. 2 Proper quantification of loss of profits from the joint venture business
  3. 3 Effect of plaintiff's delay on choice of multiplier for future losses

Ratio Decidendi

The court rejected plaintiff's claim for loss of earnings because the claimed HK$30,000 monthly withdrawals were held to be director's drawings rather than salary; quantified loss of profits by rejecting plaintiff's inflated cost and production figures, fixing net profit at HK$140 per ton and limiting post-accident expansion to 10 plants, resulting in pre-assessment loss of profits of HK$7,050,771.60 and post-assessment loss of profits of HK$609,840; refused loss of capital as duplicative; allowed special damages of HK$20,180 and future operation costs of HK$50,000; awarded interest as specified and costs nisi to the plaintiff with a certificate for counsel.

Court Disposition

Plaintiff awarded damages in respect of loss of profits, special damages and future operation costs totalling HK$7,730,791.60; loss of earnings and loss of capital disallowed.

Orders

  • Pre-assessment loss of profits awarded HK$7,050,771.60
  • Post-assessment loss of profits awarded HK$609,840.00