LO MAN YAU v. CHIU SUNG FAI AND ANOTHER

LO MAN YAU v. CHIU SUNG FAI AND ANOTHER

Defendant proved he contributed money towards acquisition (found to be $461,560 as qualifying contribution) and therefore a resulting trust arose giving him a 30.77% beneficial interest; purchaser failed to inspect or make proper inquiries and was fixed with constructive notice, so purchaser's registered title is subject to that beneficial interest; plaintiff's claim for possession and mesne profits dismissed and declaration granted for 30.77% beneficial ownership; costs awarded to 1st defendant.

Citation
LO MAN YAU v. CHIU SUNG FAI AND ANOTHER
Parties
Plaintiff: Lo Man Yau; 1st Defendant: Chiu Sung Fai; 2nd Defendant: All occupiers of Flat B7 and B8 on 3rd Floor Tung Lee Building Nos 1C-1K Water Street Nos 1-15 On Ling Lane Hong Kong
Court
District Court
Jurisdiction
Hong Kong
Judgment Date
14 February 2017
Case Number
DCCJ2516/2013
Procedural Posture
Civil Action for Possession and Proprietary Claim / Judgment Following Trial
Outcome
Plaintiff's claim for possession and mesne profits dismissed; declaration that 1st defendant is beneficial owner of 30.77% under a resulting trust; costs to 1st defendant
Legal Topics
Resulting Trust, Constructive Trust, Constructive Notice/overriding Interest, Bona Fide Purchaser for Value Without Notice, Life Interest, Possession and Mesne Profits, Registration of Instruments
Source Language
EN
Property Law Equity and Trusts Land Registration Civil Procedure Resulting Trust Constructive Trust Constructive Notice/overriding Interest Bona Fide Purchaser for Value Without Notice +3 more

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Parties

Lo Man Yau

Plaintiff

Chiu Sung Fai

1st Defendant

All occupiers of Flat B7 and B8 on 3rd Floor Tung Lee Building Nos 1C-1K Water Street Nos 1-15 On Ling Lane Hong Kong

2nd Defendant

Procedural Posture

Civil Action for Possession and Proprietary Claim / Judgment Following Trial

Legal Issues

  1. 1 Whether defendant contributed to purchase price and thus has beneficial interest (resulting trust)
  2. 2 Whether South Sea/Daniel Ng held property on resulting or constructive trust for defendant
  3. 3 Whether purchaser's title is subject to defendant's beneficial interest

Ratio Decidendi

Defendant proved he contributed money towards acquisition (found to be $461,560 as qualifying contribution) and therefore a resulting trust arose giving him a 30.77% beneficial interest; purchaser failed to inspect or make proper inquiries and was fixed with constructive notice, so purchaser's registered title is subject to that beneficial interest; plaintiff's claim for possession and mesne profits dismissed and declaration granted for 30.77% beneficial ownership; costs awarded to 1st defendant.

Court Disposition

Plaintiff's claim for possession and mesne profits dismissed; declaration that 1st defendant is beneficial owner of 30.77% under a resulting trust; costs to 1st defendant

Orders

  • Plaintiff's claim dismissed
  • Declaration that 1st defendant is beneficial owner to extent of 30.77% under a resulting trust