HERMAN BUDIHARDJO (ALIAS SIM HOK TJIONG)(SINCE DECEASED) AND OTHERS v. HADI GUNAWAN (ALIAS SIM HOK KHUN) AND OTHERS

HERMAN BUDIHARDJO (ALIAS SIM HOK TJIONG)(SINCE DECEASED) AND OTHERS v. HADI GUNAWAN (ALIAS SIM HOK KHUN) AND OTHERS

Given the practical difficulties of apportioning costs between the Main Action and Counterclaim and the fact that much trial time was spent testing Hadi's credibility, the court adopted a broad-brush approach and ordered HRH to pay 60% of Hadi's costs of the whole action with certificate for two counsel; no discount was given for the limited relief on emoluments/fees; three-counsel certificate was refused; HRH awarded at least 90% of the Counterclaim costs but indemnity costs were not awarded for the misrepresentation claim.

Citation
[2021] HKCFI 2246
Parties
1st Plaintiff: Herman Budihardjo (alias Sim Hok Tjiong) (since deceased); 2nd Plaintiff: Rudy Sudirman (alias Sim Hok Kwee); 3rd Plaintiff: Henry Budi Harsono (alias Sim Hok Kiong); 1st Plaintiff (substitute): Wilhelm Soeharsono Budihardjo (representative of Herman's estate); 1st Defendant: Hadi Gunawan (alias Sim Hok Khun); 2nd Defendant: Lam Kam Chu (personal representative of Shum Fuk Sing); 3rd Defendant: Shum Chun Ning Peter; 4th Defendant: Shum Wai Lai Vickie; 5th Defendant: Shum Wei Wah Angela; 6th Defendant: Lam Kam Chu
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
3 August 2021
Case Number
HCA441/2012
Procedural Posture
Civil Trust/account and Misrepresentation Proceedings / Decision on Costs After 23 Day Trial and Main Judgment
Outcome
Costs orders made in favor of Hadi as to 60% of his costs of the whole action with certificate for two counsel; specific orders on discovery, adjournment and third party summons detailed below; costs nisi for the paper application.
Legal Topics
Costs Allocation, Certificate for Counsel, Broad Brush Costs Approach, Discovery, Adjournment, Third Party Proceedings, Indemnity Costs
Source Language
EN
Trusts Equity Civil Procedure Costs Misrepresentation Civil Litigation Management Costs Allocation Certificate for Counsel +5 more

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Parties

Herman Budihardjo (alias Sim Hok Tjiong) (since deceased)

1st Plaintiff

Rudy Sudirman (alias Sim Hok Kwee)

2nd Plaintiff

Henry Budi Harsono (alias Sim Hok Kiong)

3rd Plaintiff

Wilhelm Soeharsono Budihardjo (representative of Herman's estate)

1st Plaintiff (substitute)

Hadi Gunawan (alias Sim Hok Khun)

1st Defendant

Lam Kam Chu (personal representative of Shum Fuk Sing)

2nd Defendant

Shum Chun Ning Peter

3rd Defendant

Shum Wai Lai Vickie

4th Defendant

Shum Wei Wah Angela

5th Defendant

Lam Kam Chu

6th Defendant

Procedural Posture

Civil Trust/account and Misrepresentation Proceedings / Decision on Costs After 23 Day Trial and Main Judgment

Legal Issues

  1. 1 Whether successful party status entitles full costs despite limited relief ordered
  2. 2 Whether a discount to costs should be given for limited relief granted (Herman's emoluments and directors' fees)
  3. 3 Whether a certificate for three counsel should be allowed

Ratio Decidendi

Given the practical difficulties of apportioning costs between the Main Action and Counterclaim and the fact that much trial time was spent testing Hadi's credibility, the court adopted a broad-brush approach and ordered HRH to pay 60% of Hadi's costs of the whole action with certificate for two counsel; no discount was given for the limited relief on emoluments/fees; three-counsel certificate was refused; HRH awarded at least 90% of the Counterclaim costs but indemnity costs were not awarded for the misrepresentation claim.

Court Disposition

Costs orders made in favor of Hadi as to 60% of his costs of the whole action with certificate for two counsel; specific orders on discovery, adjournment and third party summons detailed below; costs nisi for the paper application.

Orders

  • HRH to pay 60% of Hadi's costs of the whole action with certificate for 2 counsel
  • No discount to Hadi's costs for the limited relief relating to Herman's emoluments and directors' fees