LI NGAN KWAN v. GAO LI HUI AND ANOTHER

LI NGAN KWAN v. GAO LI HUI AND ANOTHER

The default judgment against the 2nd defendant was set aside unconditionally because, in the particular and unusual factual matrix, the writ after service was forwarded back to the plaintiff (the 2nd's contact person) and the 1st defendant and the company on record had no opportunity to defend; coupled with serious...

Source-derived case information.

Citation
LI NGAN KWAN v. GAO LI HUI AND ANOTHER
Parties
Plaintiff: Plaintiff; 1st Defendant: 1st Defendant; 2nd Defendant: 2nd Defendant
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
22 August 2007
Case Number
HCA276/2007
Procedural Posture
Civil Company/share Dispute / Interlocutory Applications (setting Aside Default Judgment; Extension of Time; Interim Relief)
Outcome
Default judgment against the 2nd defendant set aside unconditionally; 1st defendant granted extension of time to acknowledge service; plaintiff's oral application for interim relief refused; costs ordered nisi as specified.
Legal Topics
Service of Process on Foreign Companies, Setting Aside Default Judgment, Forgery and Alleged Fraud in Corporate Documents, Interim/interlocutory Relief, Extension of Time to Acknowledge Service
Source Language
en
Company Law Civil Procedure Evidence Service of Process on Foreign Companies Setting Aside Default Judgment Forgery and Alleged Fraud in Corporate Documents Interim/interlocutory Relief Extension of Time to Acknowledge Service

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Summary, issues, holding and outcome

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Parties

Plaintiff

Plaintiff

1st Defendant

1st Defendant

2nd Defendant

2nd Defendant

Procedural Posture

Civil Company/share Dispute / Interlocutory Applications (setting Aside Default Judgment; Extension of Time; Interim Relief)

Legal Issues

  1. 1 Whether service of the writ on the Chinachem Plaza address constituted valid service on the 2nd defendant under Companies Ordinance s333/s338
  2. 2 Whether the default judgment against the 2nd defendant was regular or irregular
  3. 3 Whether the default judgment should be set aside in the exercise of the court's discretion

Ratio Decidendi

The default judgment against the 2nd defendant was set aside unconditionally because, in the particular and unusual factual matrix, the writ after service was forwarded back to the plaintiff (the 2nd's contact person) and the 1st defendant and the company on record had no opportunity to defend; coupled with serious triable issues on the merits and the fact the 1st defendant will defend, it was unjust and unfair to allow the judgment to stand and no conditions were imposed.

Court Disposition

Default judgment against the 2nd defendant set aside unconditionally; 1st defendant granted extension of time to acknowledge service; plaintiff's oral application for interim relief refused; costs ordered nisi as specified.

Orders

  • Default judgment entered against the 2nd defendant on 22 March 2007 is set aside unconditionally
  • Order in terms of the 1st defendant's summons filed 17 April 2007: extension of time to acknowledge service granted