CHAN WAI HING v. NG CHEUK TO AND OTHERS
The court varied the earlier order: from 3 September 2015 costs are to be on an indemnity basis and interest on damages is fixed at 5% above the judgment rate; the application for a higher interest rate on costs was dismissed. The court relied on the absence of any counter-offer by the defendants and found it was...
Source-derived case information.
- Citation
- CHAN WAI HING v. NG CHEUK TO AND OTHERS
- Parties
- Plaintiff: Chan Wai Hing; 1st Defendant (discontinued): Fung Shek Wing; 2nd Defendant: Ng Cheuk To; 3rd Defendant: So Woon Wing; 4th Defendant: Tong Au Ngan; 5th Defendant (discontinued): Mung Chi Kang
- Court
- District Court
- Jurisdiction
- Hong Kong
- Judgment Date
- 28 January 2016
- Case Number
- DCCJ2647/2013
- Procedural Posture
- Civil Action (district Court) / Application to Vary Costs Order (post Judgment Chambers Decision)
- Outcome
- Application partly granted and partly dismissed
- Legal Topics
- Sanctioned Offer, Indemnity Costs, Interest on Judgment, Order 22 Rule 24(4)
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Chan Wai Hing
Plaintiff
Fung Shek Wing
1st Defendant (discontinued)
Ng Cheuk To
2nd Defendant
So Woon Wing
3rd Defendant
Tong Au Ngan
4th Defendant
Mung Chi Kang
5th Defendant (discontinued)
Procedural Posture
Civil Action (district Court) / Application to Vary Costs Order (post Judgment Chambers Decision)
Legal Issues
- 1 Whether to vary the costs order to indemnity basis from 3 September 2015
- 2 Whether to increase interest on damages to 10% above judgment rate from 3 September 2015 until payment
- 3 Whether to award interest on costs
Ratio Decidendi
The court varied the earlier order: from 3 September 2015 costs are to be on an indemnity basis and interest on damages is fixed at 5% above the judgment rate; the application for a higher interest rate on costs was dismissed. The court relied on the absence of any counter-offer by the defendants and found it was not unjust to grant the variation but that 5% (not 10%) was appropriate and additional interest on costs was not appropriate.
Court Disposition
Application partly granted and partly dismissed
Orders
- Order dated 8 January 2016 varied: from 3 September 2015 costs to be on an indemnity basis
- Interest on damages fixed at 5 per cent above judgment rate from 3 September 2015
Full Case Text
Judgment text and source record
1 paragraphs
bjbj DCCJ 2647/2013 IN THE DISTRICT COURT OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION CIVIL ACTION NO 2647 OF 2013 BETWEEN CHAN WAI HING Plaintiff and FUNG SHEK WING 1st Defendant (Discontinued) NG CHEUK TO 2nd Defendant SO WOON WING 3rd Defendant TONG AU NGAN 4th Defendant MUNG CHI KANG 5th Defendant (Discontinued) Before: Deputy District Judge Eric Tam in Chambers (not open to public) Date of Hearing: 28 January 2016 Date of Decision: 28 January 2016 D E C I S I O N This is an application for variation of costs order. The plaintiff applied to vary the interest rate of the damages to 10 per cent above judgment rate from 3 September 2015 until payment, for costs on indemnity basis from 3 September 2015, and interest on those costs at 10 per cent above judgment rate. The plaintiff relied on a sanctioned offer to the defendants dated 5 August 2015 which offers, inter alia, that the defendants shall pay a sum of HK$10,000 to the plaintiff as damages (inclusive of interest), and costs of the action be to the plaintiff. The 2nd and the 3rd defendants did not reply to the letters The 4th defendant replied on 24 August 2015, indicating that she would not accept the offer, and said that the plaintiff s offer had no sincerity. She did not make any counter-offer. Counsel for the defendants, Mr Lam, urges the court to take into consideration Order 22, Rule 24(4), which states that: Where this rule applies, the court shall make orders referred to in paragraph (2) and (3) unless it considers it unjust to do so. Mr Lam submits that under the sanctioned offer, the defendant was offered to pay the whole cost of the action, while there were three defendants in the action, and in the judgment they were held to be jointly and severally liable. To deal with the argument, I would say that it was anticipated by the plaintiff that the defendants would discuss the offer among themselves and act together. That is, if the offer is accepted, each of them would only be liable for roughly one-third of the costs, or jointly and severally liable for the costs. If they could not act together but wish to accept the offer, they should make a counter-offer to the effect that they are only liable for one-third of the costs up to the date of acceptance. In this case, no counter-offer was made. I do not find that it is unjust to grant the application of the plaintiff. Consideration is given to the fact that no counter-offer was made by the defendants. As for the interest, I think 5 per cent is more appropriate in the circumstances. I do not think that it is appropriate to grant additional interest on costs. In conclusion, I make an order that my order dated 8 January 2016 be varied to the effect that as from 3 September 2015, the costs shall be on indemnity basis and the interest on the damages shall be 5 per cent above judgment rate. The application for higher interest rate on costs is dismissed. Costs of this application be to the plaintiff, to be taxed if not agreed, with certificate for counsel. (Eric Tam) Deputy District Judge Miss Candy Tang, instructed by Alan Ho & Co, for the plaintiff Mr Simon Lam Heung-wing, instructed by David Hui & Co, for the 2nd, the 3rd and the 4th defendants PAGE - PAGE CRT33/28.1.2016/KS DCCJ 2647/2013/Decision A B C D E F G H I J K L M N O P Q R S T U V A B C D E F G H I J K L M N O P Q R S T U V A B C D E F G H I J K L M N O P Q R S T U V A B C D E F G H I J K L M N O P Q R S T U V oz\K h4*e h!_m h4*e hc(> hc(> h4*e hc(> hc(> hc(> hc(> h4*e h!_m h4*e h4*e hYb+ hYb+ hYb+ h4*e h4*e h!_m hnp^ hYb+ hYb+ h4*e l_[WS[OSO[ h #S h4*e hc(> hc(> hc(> h4*e hYb+ hYb+ hYb+ hYb+ h4*e h!_m h4*e h4*e {peX hYb+ hYb+ h-J! hc(> hc(> hc(> hc(> h4*e hc(> hc(> hYb+ hYb+ hc(> h4*e h4*e hc(> hc(> hYb+ &`#$ okokokoka[a[ hYb+ hYb+ h4*e h4*e |o|obob h-J! h4*e [Content_Types].xml Iw}, $yi} _rels/.rels theme/theme/themeManager.xml K Y, sQ}# theme/theme/theme1.xml w toc'v )I`n 3Vq%'#q x}r :\TZaG I u3 L+M2 e\O* $*c? )6-r IqbJ#x ,AGm T[XF64 E)`# R>QD =(K& =al- 4vfa 0%M0 theme/theme/_rels/themeManager.xml.rels 5 6?$Q K(M&$R(.1 [Content_Types].xmlPK _rels/.relsPK theme/theme/themeManager.xmlPK theme/theme/theme1.xmlPK theme/theme/_rels/themeManager.xml.relsPK <?xml version="1.0" encoding="UTF-8" standalone="yes"?> <a:clrMap xmlns:a="http://schemas.openxmlformats.org/drawingml/2006/main" bg1="lt1" tx1="dk1" bg2="lt2" tx2="dk2" accent1="accent1" accent2="accent2" accent3="accent3" accent4="accent4" accent5="accent5" accent6="accent6" hlink="hlink" folHlink="folHlink"/> urn:schemas-microsoft-com:office:smarttags Street DCCJ643/2003 setup Normal.dotm Judiciary Microsoft Office Word Judiciary Hong Kong SAR DCCJ643/2003 Title Microsoft Office Word 97-2003 Document MSWordDoc Word.Document.8