AVION INVESTMENT LTD v. MAN YUN KWAN AND OTHERS

AVION INVESTMENT LTD v. MAN YUN KWAN AND OTHERS

On the facts the 1984 change of principal tenant operated as a surrender by operation of law producing a new tenancy governed by Part IV of Cap.7; because s.119P(8) made sub-tenants direct tenants of the landlord and their statutory protection prevented the Tribunal from sensibly fixing the mandatory redevelopment...

Source-derived case information.

Citation
AVION INVESTMENT LTD v. MAN YUN KWAN AND OTHERS
Parties
Applicant (landlord): Avion Investment Limited; Respondent: Man Yun Kwan; Respondents: Various sub-tenants and others
Court
Lands Tribunal
Jurisdiction
Hong Kong
Judgment Date
9 September 1994
Case Number
LDMP1047/1993
Procedural Posture
Landlord and Tenant (lands Tribunal) / Reasons for Decision (applications Dismissed)
Outcome
All consolidated Lands Tribunal applications for orders of possession dismissed
Legal Topics
Redevelopment/rebuilding Intention, Financial Capacity to Redevelop, Protection of Sub Tenants Under Part II and Part IV of Cap.7, Effect of Oral Informal Transfer of Tenancy, Estoppel Against Denying Assignment, Surrender by Operation of Law, Effect of Section 119 P(8) Cap.7, Tribunal Discretion on Costs (sections 68 B and 119 R)
Source Language
en
Landlord and Tenant Law Property Law Statutory Interpretation Equity (estoppel) Redevelopment/rebuilding Intention Financial Capacity to Redevelop Protection of Sub Tenants Under Part II and Part IV of Cap.7 Effect of Oral Informal Transfer of Tenancy +4 more

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Parties

Avion Investment Limited

Applicant (landlord)

Man Yun Kwan

Respondent

Various sub-tenants and others

Respondents

Procedural Posture

Landlord and Tenant (lands Tribunal) / Reasons for Decision (applications Dismissed)

Legal Issues

  1. 1 Whether the landlord proved intention to rebuild and financial ability to do so
  2. 2 Whether the 1984 informal transfer created a legal assignment or gave rise to estoppel
  3. 3 Whether the 1984 transaction resulted in a surrender by operation of law and creation of a new tenancy

Ratio Decidendi

On the facts the 1984 change of principal tenant operated as a surrender by operation of law producing a new tenancy governed by Part IV of Cap.7; because s.119P(8) made sub-tenants direct tenants of the landlord and their statutory protection prevented the Tribunal from sensibly fixing the mandatory redevelopment commencement/completion dates, the landlord could not satisfy the mandatory condition under ss.53A(2)/119F(2) and the consolidated possession applications were dismissed.

Court Disposition

All consolidated Lands Tribunal applications for orders of possession dismissed

Orders

  • Consolidated applications dismissed (LT Applications Nos. 1043,1044,1045,1046,1047,1048,1049 and 1884 of 1993)