NG KWOK ON AND ANOTHER v. RICH LEGEND LTD AND OTHERS

NG KWOK ON AND ANOTHER v. RICH LEGEND LTD AND OTHERS

The court found service of the writ on both the 2nd and 3rd Defendants to be irregular (3rd Defendant no longer at shop address; conflicting evidence on registered post to 2nd Defendant) and therefore set aside the default judgment as of right; alternatively, even if service had been regular, the 2nd and 3rd Defendants demonstrated a meritorious defence with a real prospect of success (warranty construed not to cover loss caused by Plaintiffs' own acts), justifying setting aside the judgment.

Citation
NG KWOK ON AND ANOTHER v. RICH LEGEND LTD AND OTHERS
Parties
1st Plaintiff: 1st Plaintiff; 2nd Plaintiff: 2nd Plaintiff; 1st Defendant: Rich Legend Ltd; 2nd Defendant: 2nd Defendant; 3rd Defendant: 3rd Defendant
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
21 September 2007
Case Number
DCCJ3474/2006
Procedural Posture
Application Under O 13 R 9 to Set Aside Default Judgment / Interlocutory Application
Outcome
Default judgment set aside as against the 2nd and 3rd Defendants
Legal Topics
Default Judgment, Service of Process, Setting Aside Judgment, Meritorious Defence, Warranty Interpretation, Change of Shareholding
Source Language
EN
Civil Procedure Contract Landlord and Tenant Property Law Default Judgment Service of Process Setting Aside Judgment Meritorious Defence +2 more

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Parties

1st Plaintiff

1st Plaintiff

2nd Plaintiff

2nd Plaintiff

Rich Legend Ltd

1st Defendant

2nd Defendant

2nd Defendant

3rd Defendant

3rd Defendant

Procedural Posture

Application Under O 13 R 9 to Set Aside Default Judgment / Interlocutory Application

Legal Issues

  1. 1 Whether service of the writ on the 2nd and 3rd Defendants was valid
  2. 2 Whether the default judgment was irregular and therefore to be set aside as of right
  3. 3 Whether, if the judgment were regular, the 2nd and 3rd Defendants have a meritorious defence justifying setting aside

Ratio Decidendi

The court found service of the writ on both the 2nd and 3rd Defendants to be irregular (3rd Defendant no longer at shop address; conflicting evidence on registered post to 2nd Defendant) and therefore set aside the default judgment as of right; alternatively, even if service had been regular, the 2nd and 3rd Defendants demonstrated a meritorious defence with a real prospect of success (warranty construed not to cover loss caused by Plaintiffs' own acts), justifying setting aside the judgment.

Court Disposition

Default judgment set aside as against the 2nd and 3rd Defendants

Orders

  • Default judgment dated 21 November 2006 set aside as against the 2nd and 3rd Defendants
  • Order nisi: Plaintiffs to bear their own costs of signing the irregular default judgment