JORGE ALBERTO FU AND ANOTHER v. LEGAL WAY LTD AND ANOTHER

JORGE ALBERTO FU AND ANOTHER v. LEGAL WAY LTD AND ANOTHER

The application to strike out was dismissed because the pleadings, taken at their highest, were not obviously unsustainable; the allegations of clandestine, potentially fraudulent misuse of court processes and gross undervalue sales raised fact-sensitive issues that could not be disposed of summarily and required a full trial.

Citation
JORGE ALBERTO FU AND ANOTHER v. LEGAL WAY LTD AND ANOTHER
Parties
Plaintiff (hca 550/2010): Cheung Ying Lun; Plaintiff (hca 550/2010): Lee Ma Ka Lok; Plaintiff (hca 551/2010): Jorge Alberto Fu (Administrator of Chan Yok Ping, deceased); Plaintiff (hca 551/2010): Lo Kwok Pui Rosaline (Administratrix of Chan Yok Ping, deceased); 1st Defendant (hca 550/2010): Karrie Trading Limited; 2nd Defendant (hca 550/2010); 1st Defendant (hca 551/2010): Legal Way Limited; 3rd Defendant (hca 550/2010); 2nd Defendant (hca 551/2010) Joint Liquidator: Chiu Koon Shou; 3rd Defendant (hca 550/2010); 2nd Defendant (hca 551/2010) Joint Liquidator: Tsang Fan; Defendant (liquidators): Wan, Joint and Several Liquidators of the Incorporated Owners of Kai Tak Mansion (Block Three) (In Compulsory Liquidation)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
15 December 2010
Case Number
HCA551/2010
Procedural Posture
Civil Litigation Strike Out Application / Interlocutory Application to Strike Out Statements of Claim
Outcome
Applications to strike out the statements of claim (and specified paragraphs) dismissed
Legal Topics
Charging Order, Order for Sale, Service of Process, Fiduciary Duty, Knowing Receipt, Abuse of Process, Undervalued Sale, Particularity of Fraud Pleadings
Source Language
EN
Property Law Equity Civil Procedure Company Law (liquidation) Criminal/fraud Investigation Potential Charging Order Order for Sale Service of Process +5 more

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Parties

Cheung Ying Lun

Plaintiff (hca 550/2010)

Lee Ma Ka Lok

Plaintiff (hca 550/2010)

Jorge Alberto Fu (Administrator of Chan Yok Ping, deceased)

Plaintiff (hca 551/2010)

Lo Kwok Pui Rosaline (Administratrix of Chan Yok Ping, deceased)

Plaintiff (hca 551/2010)

Karrie Trading Limited

1st Defendant (hca 550/2010)

Legal Way Limited

2nd Defendant (hca 550/2010); 1st Defendant (hca 551/2010)

Chiu Koon Shou

3rd Defendant (hca 550/2010); 2nd Defendant (hca 551/2010) Joint Liquidator

Tsang Fan

3rd Defendant (hca 550/2010); 2nd Defendant (hca 551/2010) Joint Liquidator

Wan, Joint and Several Liquidators of the Incorporated Owners of Kai Tak Mansion (Block Three) (In Compulsory Liquidation)

Defendant (liquidators)

Procedural Posture

Civil Litigation Strike Out Application / Interlocutory Application to Strike Out Statements of Claim

Legal Issues

  1. 1 Whether the statements of claim disclose a reasonable cause of action
  2. 2 Whether the liquidators owed fiduciary duties rendering the sales voidable
  3. 3 Whether purchasers are liable for knowing receipt or participation in fraud

Ratio Decidendi

The application to strike out was dismissed because the pleadings, taken at their highest, were not obviously unsustainable; the allegations of clandestine, potentially fraudulent misuse of court processes and gross undervalue sales raised fact-sensitive issues that could not be disposed of summarily and required a full trial.

Court Disposition

Applications to strike out the statements of claim (and specified paragraphs) dismissed

Orders

  • Applications dismissed
  • Costs to the Plaintiffs to be taxed if not agreed on a party-and-party basis