CHUNG SUET WAN v. CHUNG SUET HAN AND ANOTHER

CHUNG SUET WAN v. CHUNG SUET HAN AND ANOTHER

The plaintiff failed to discharge the burden to prove the Further Agreement and common intention that D1 held no beneficial interest and that P should have two-thirds; P's evidence was internally inconsistent, lacked contemporaneous documentary support, and was inherently improbable in parts; therefore beneficial ownership follows the legal title and plaintiff's beneficial interest is one-third; accordingly the constructive trust claim is dismissed but sale and an account are ordered.

Citation
[2024] HKDC 1699
Parties
Plaintiff: Chung Suet Wan; 1st Defendant: Chung Suet Han; 2nd Defendant: Wong Hon Chung
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
24 October 2024
Case Number
DCCJ5534/2020
Procedural Posture
Civil Property/constructive Trust/partition / Trial Judgment (final)
Outcome
Judgment for defendants on constructive trust claim; plaintiff's claim for declarations dismissed; order for sale of the Property and for account and inquiry; costs to defendants (costs order nisi)
Legal Topics
Common Intention Constructive Trust, Partition and Sale of Land, Account and Inquiry, Beneficial Ownership, Costs
Source Language
EN
Equity Property Law Trusts Civil Procedure Common Intention Constructive Trust Partition and Sale of Land Account and Inquiry Beneficial Ownership +1 more

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Parties

Chung Suet Wan

Plaintiff

Chung Suet Han

1st Defendant

Wong Hon Chung

2nd Defendant

Procedural Posture

Civil Property/constructive Trust/partition / Trial Judgment (final)

Legal Issues

  1. 1 Whether there was an express or implied agreement/Common Intention that D1 held no beneficial interest and P was entitled to two-thirds of the Property
  2. 2 Whether P made the asserted monetary contributions (down payment, mortgage repayments) and detrimental reliance to found a constructive trust
  3. 3 Whether Ds are beneficial owners in equal shares pursuant to their agreement and payments

Ratio Decidendi

The plaintiff failed to discharge the burden to prove the Further Agreement and common intention that D1 held no beneficial interest and that P should have two-thirds; P's evidence was internally inconsistent, lacked contemporaneous documentary support, and was inherently improbable in parts; therefore beneficial ownership follows the legal title and plaintiff's beneficial interest is one-third; accordingly the constructive trust claim is dismissed but sale and an account are ordered.

Court Disposition

Judgment for defendants on constructive trust claim; plaintiff's claim for declarations dismissed; order for sale of the Property and for account and inquiry; costs to defendants (costs order nisi)

Orders

  • Order for sale of the Property (Flat D, 2nd Floor Block 4 Fu Sun Building, No 36 Tit Shu Street)
  • Order for account and inquiries in respect of all incomes and expenses relating to the Property from 16 May 1997 up to date of sale