FRUIT DESIGN AND BUILD LTD v. LEUNG KWOK PONG ALSO KNOWN AS ADAM LEUNG

FRUIT DESIGN AND BUILD LTD v. LEUNG KWOK PONG ALSO KNOWN AS ADAM LEUNG

The court held the 2019 claim for unpaid progress payments under the contract constituted a liquidated demand because the Progress Payment Clause permitted ascertainment of sums by reference to priced contract items and interim valuation; the plaintiff's post‑judgment amendment to add quantum meruit was disallowed; the 2019 final judgment was irregular in part and therefore varied so the judgment sum is reduced to HK$3,514,686; the 2020 final judgment was set aside and replaced by an interlocutory judgment with damages to be assessed; the garnishee order nisi in the 2019 action was made absolute and the garnishee order nisi in the 2020 action was discharged; costs were apportioned as...

Citation
[2021] HKCFI 3391
Parties
Plaintiff (judgment Creditor): Fruit Design and Build Limited; Defendant (judgment Debtor): Leung Kwok Pong also known as Adam Leung; Garnishee: Wong Yin Shun; Chung Ho Yee Nelson; Wu Hung Pun Wilson; Sin Chui Yi Abby; Kam Fai trading as Hon & Co (a firm)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
18 November 2021
Case Number
HCA915/2019
Procedural Posture
Civil Enforcement and Debt Recovery (post‑judgment Applications to Set Aside Default Judgments and Garnishee Proceedings) / Decision on Applications to Set Aside Final Judgments and Discharge Garnishee Orders
Outcome
Amendment to add quantum meruit disallowed; final judgment in HCA 915/2019 varied to HK$3,514,686; garnishee order nisi in HCA 915/2019 made absolute; final judgment in HCA 334/2020 set aside and replaced by interlocutory judgment with damages to be assessed; garnishee order nisi in HCA 334/2020 discharged; costs...
Legal Topics
Default Judgment, Liquidated Demand, Setting Aside Judgment, Garnishee Order, Quantum Meruit, Variation Works, Interim Payment Applications, Mareva Injunction
Source Language
EN
Contract Civil Procedure Debt Recovery Garnishment Construction Law Default Judgment Liquidated Demand Setting Aside Judgment +5 more

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Parties

Fruit Design and Build Limited

Plaintiff (judgment Creditor)

Leung Kwok Pong also known as Adam Leung

Defendant (judgment Debtor)

Wong Yin Shun; Chung Ho Yee Nelson; Wu Hung Pun Wilson; Sin Chui Yi Abby; Kam Fai trading as Hon & Co (a firm)

Garnishee

Procedural Posture

Civil Enforcement and Debt Recovery (post‑judgment Applications to Set Aside Default Judgments and Garnishee Proceedings) / Decision on Applications to Set Aside Final Judgments and Discharge Garnishee Orders

Legal Issues

  1. 1 Whether the plaintiff’s claim in HCA 915/2019 (IPAs 8–16) is a liquidated demand
  2. 2 Whether the plaintiff may amend to add a quantum meruit claim after judgment without amending the writ
  3. 3 Whether the defendant demonstrated a real prospect of success to set aside the default judgments

Ratio Decidendi

The court held the 2019 claim for unpaid progress payments under the contract constituted a liquidated demand because the Progress Payment Clause permitted ascertainment of sums by reference to priced contract items and interim valuation; the plaintiff's post‑judgment amendment to add quantum meruit was disallowed; the 2019 final judgment was irregular in part and therefore varied so the judgment sum is reduced to HK$3,514,686; the 2020 final judgment was set aside and replaced by an interlocutory judgment with damages to be assessed; the garnishee order nisi in the 2019 action was made absolute and the garnishee order nisi in the 2020 action was discharged; costs were apportioned as...

Court Disposition

Amendment to add quantum meruit disallowed; final judgment in HCA 915/2019 varied to HK$3,514,686; garnishee order nisi in HCA 915/2019 made absolute; final judgment in HCA 334/2020 set aside and replaced by interlocutory judgment with damages to be assessed; garnishee order nisi in HCA 334/2020 discharged; costs...

Orders

  • Amendment Application dismissed; costs of and occasioned by the Amendment Application nisi to defendant
  • HCA 915/2019: final judgment dated 1 June 2020 varied so judgment sum is reduced to HK$3,514,686