SHUE KWOK KEUNG v. FU SI HING ENGINEERING & BUILDING COMPANY LIMITED AND ANOTHER

SHUE KWOK KEUNG v. FU SI HING ENGINEERING & BUILDING COMPANY LIMITED AND ANOTHER

Although the defendants were granted leave to defend, the defence was held to be shadowy and improbable; exercising the court's discretion to protect the plaintiff, leave was made conditional on the defendants depositing the full claimed amount (HK$100,000) into an interest-bearing account within seven days.

Citation
SHUE KWOK KEUNG v. FU SI HING ENGINEERING & BUILDING COMPANY LIMITED AND ANOTHER
Parties
Plaintiff/appellant: Shue Kwok Keung; 1st Defendant: Fu Si Hing Engineering & Building Company Limited; 2nd Defendant: Yau Man Yick
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
15 August 1984
Case Number
HCA3568/1984
Procedural Posture
Civil Action for Dishonoured Cheque / Appeal From Master's Order (leave to Defend)
Outcome
Appeal allowed in part; leave to defend granted conditionally
Legal Topics
Leave to Defend, Failure of Consideration, Dishonoured Cheque, Counterclaim, Security for Payment, Deposit Into Court
Source Language
EN
Civil Procedure Contract Commercial Law Negotiable Instruments Leave to Defend Failure of Consideration Dishonoured Cheque Counterclaim +2 more

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Parties

Shue Kwok Keung

Plaintiff/appellant

Fu Si Hing Engineering & Building Company Limited

1st Defendant

Yau Man Yick

2nd Defendant

Procedural Posture

Civil Action for Dishonoured Cheque / Appeal From Master's Order (leave to Defend)

Legal Issues

  1. 1 Whether the defence of total failure of consideration is bona fide or merely shadowy
  2. 2 Whether the cheque represented a personal loan repayment or security/advance for subcontract work
  3. 3 Whether leave to defend should be unconditional or subject to conditions

Ratio Decidendi

Although the defendants were granted leave to defend, the defence was held to be shadowy and improbable; exercising the court's discretion to protect the plaintiff, leave was made conditional on the defendants depositing the full claimed amount (HK$100,000) into an interest-bearing account within seven days.

Court Disposition

Appeal allowed in part; leave to defend granted conditionally

Orders

  • Leave to defend granted subject to defendants depositing HK$100,000 into court within 7 days
  • The deposit must be placed in an interest-bearing account