HING MAN GROUP CO LTD AND ANOTHER v. THE INCORPORATED OWNERS OF ON HO INDUSTRIAL BUILDING

HING MAN GROUP CO LTD AND ANOTHER v. THE INCORPORATED OWNERS OF ON HO INDUSTRIAL BUILDING

The court held that the floor slab above Unit C constituted a common part which the Defendant (owners incorporation) was required to maintain under the Building Management Ordinance; it failed to do so (allowing water ponding, trapping under metal sheets, corrosion and overloading), this breach caused the concrete spalling and collapse, and the Defendant is wholly liable for plaintiffs' losses; counterclaim for contribution by Defendant dismissed.

Citation
HING MAN GROUP CO LTD AND ANOTHER v. THE INCORPORATED OWNERS OF ON HO INDUSTRIAL BUILDING
Parties
1st Plaintiff: Hing Man Group Company Limited
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
23 June 2010
Case Number
DCCJ1628/2006
Procedural Posture
Civil Action Property/building Management/negligence / Judgment After Trial (hearing 12 15 Apr & 3 Jun 2010; Judgment 23 Jun 2010)
Outcome
Judgment for 1st and 2nd Plaintiffs; counterclaim by Defendant dismissed; costs awarded to Plaintiffs (order nisi).
Legal Topics
Duty to Maintain Common Parts, Liability for Ceiling Collapse, Apportionment of Repair Costs, Loss of Rental Income, Damages for Additional Storage and Transport, Interest and Costs Orders
Source Language
EN
Building Management Tort Negligence Property Law Civil Procedure Duty to Maintain Common Parts Liability for Ceiling Collapse Apportionment of Repair Costs Loss of Rental Income +2 more

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Parties

Hing Man Group Company Limited

1st Plaintiff

Procedural Posture

Civil Action Property/building Management/negligence / Judgment After Trial (hearing 12 15 Apr & 3 Jun 2010; Judgment 23 Jun 2010)

Legal Issues

  1. 1 Whether the owners incorporation owed and breached a statutory/common law duty to maintain the floor slab/common parts
  2. 2 Causation: whether water ponding, corrosion and overloading caused slab collapse
  3. 3 Whether plaintiffs mitigated loss and entitlement to damages for lost rent and extra storage/transport costs

Ratio Decidendi

The court held that the floor slab above Unit C constituted a common part which the Defendant (owners incorporation) was required to maintain under the Building Management Ordinance; it failed to do so (allowing water ponding, trapping under metal sheets, corrosion and overloading), this breach caused the concrete spalling and collapse, and the Defendant is wholly liable for plaintiffs' losses; counterclaim for contribution by Defendant dismissed.

Court Disposition

Judgment for 1st and 2nd Plaintiffs; counterclaim by Defendant dismissed; costs awarded to Plaintiffs (order nisi).

Orders

  • Judgment for 1st Plaintiff in the sum of 195000 HKD with interest at judgment rate from 30-3-2006 until payment
  • Judgment for 2nd Plaintiff in the sum of 113261.9 HKD with interest at judgment rate from 30-3-2006 until payment