KOMAL PATEL AND OTHERS v. CHRIS AU AND OTHERS

KOMAL PATEL AND OTHERS v. CHRIS AU AND OTHERS

The court refused the adjournment and declined to order an inquiry as to damages because the 1st and 2nd defendants failed to adduce credible evidence that the injunction of 29 January 2014 caused them compensable loss; in the exercise of its discretion and having regard to the purpose of the injunction (freezing substantial funds in the 3rd defendant) and the defendants' conduct, enforcement of the plaintiffs' undertaking was refused and no inquiry ordered.

Citation
KOMAL PATEL AND OTHERS v. CHRIS AU AND OTHERS
Parties
1st Plaintiff: Komal Patel; 2nd Plaintiff: Jason Mark Cohen; 3rd Plaintiff: Harilaos Apostolides; 4th Plaintiff: Rocky Cape International Limited; 1st Defendant: Chris Au; 2nd Defendant: Ho Ching Yi Elsa; 3rd Defendant: Retribution Limited; 5th Defendant (counterclaim): Essence Investments Limited; 6th Defendant (counterclaim): Yew Kuan Cheong
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
4 August 2014
Case Number
HCA183/2014
Procedural Posture
Interlocutory Civil Proceedings Concerning Injunctions and Freezing Orders / Hearing on Application for Inquiry as to Damages Following Discharge/regrant of Injunction (interlocutory)
Outcome
Application for inquiry as to damages refused; adjournment refused; application by 2nd defendant withdrawn
Legal Topics
Interlocutory Injunction, Undertaking in Damages, Freezing Order, Alter Ego/veil, Adjournment, Causation of Loss, Costs
Source Language
EN

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Parties

Komal Patel

1st Plaintiff

Jason Mark Cohen

2nd Plaintiff

Harilaos Apostolides

3rd Plaintiff

Rocky Cape International Limited

4th Plaintiff

Chris Au

1st Defendant

Ho Ching Yi Elsa

2nd Defendant

Retribution Limited

3rd Defendant

Essence Investments Limited

5th Defendant (counterclaim)

Yew Kuan Cheong

6th Defendant (counterclaim)

Procedural Posture

Interlocutory Civil Proceedings Concerning Injunctions and Freezing Orders / Hearing on Application for Inquiry as to Damages Following Discharge/regrant of Injunction (interlocutory)

  1. 1 Whether there is credible evidence that the injuncted parties suffered loss caused by the discharged injunction sufficient to justify an inquiry as to damages
  2. 2 Whether the court should exercise its discretion to enforce the plaintiffs' undertaking in damages
  3. 3 Whether to grant an adjournment to allow defendants to particularise evidence of loss

Ratio Decidendi

The court refused the adjournment and declined to order an inquiry as to damages because the 1st and 2nd defendants failed to adduce credible evidence that the injunction of 29 January 2014 caused them compensable loss; in the exercise of its discretion and having regard to the purpose of the injunction (freezing substantial funds in the 3rd defendant) and the defendants' conduct, enforcement of the plaintiffs' undertaking was refused and no inquiry ordered.

Court Disposition

Application for inquiry as to damages refused; adjournment refused; application by 2nd defendant withdrawn

Orders

  • Order nisi that the 1st defendant pay the plaintiffs' costs of this application, to be taxed if not agreed
  • No inquiry as to damages ordered; defendants' request to adjourn refused