WONG LAI FAN v. LEE HA

WONG LAI FAN v. LEE HA

Clauses 6 and 7 were sufficiently clear to create a mutual contractual election: payment of the specified sums operates in full discharge of further rights including specific performance and damages. The vendor tendered the compensation promptly and thereby validly rescinded the provisional agreement; the purchaser...

Source-derived case information.

Citation
WONG LAI FAN v. LEE HA
Parties
Vendor (plaintiff): Wong Lai Fan; Purchaser (defendant): Lee Ha
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
8 October 1991
Case Number
HCMP1024/1991
Procedural Posture
Miscellaneous Proceedings Originating Summons Concerning Provisional Agreement for Sale and Purchase Under the Conveyancing and Property Ordinance / Judgment (high Court, Chambers)
Outcome
Originating summons granted in favour of the vendor; vendor's rescission upheld
Legal Topics
Provisional Agreement, Liquidated Damages Clause, Specific Performance, Rescission, Construction of Contract
Source Language
en
Contract Property Equity Provisional Agreement Liquidated Damages Clause Specific Performance Rescission Construction of Contract

Source-derived case record

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Parties

Wong Lai Fan

Vendor (plaintiff)

Lee Ha

Purchaser (defendant)

Procedural Posture

Miscellaneous Proceedings Originating Summons Concerning Provisional Agreement for Sale and Purchase Under the Conveyancing and Property Ordinance / Judgment (high Court, Chambers)

Legal Issues

  1. 1 Whether clauses 6 and 7 of the Provisional Agreement extinguish common law and equitable remedies including specific performance
  2. 2 Whether the clauses operate as a mutual election to pay specified sums in lieu of performance
  3. 3 Whether the purchaser is bound to accept the vendor's tendered compensation

Ratio Decidendi

Clauses 6 and 7 were sufficiently clear to create a mutual contractual election: payment of the specified sums operates in full discharge of further rights including specific performance and damages. The vendor tendered the compensation promptly and thereby validly rescinded the provisional agreement; the purchaser was not entitled to insist on specific performance or to retain registration of the agreement.

Court Disposition

Originating summons granted in favour of the vendor; vendor's rescission upheld

Orders

  • Declaration that the vendor has effectively rescinded the Provisional Agreement dated 13 March 1991
  • Order that the registration at the Land Office effected by the purchaser be vacated