HONG KONG TOY CENTRE LTD. AND ANOTHER v. CHAN KAN KWONG MARGARET AND OTHERS

HONG KONG TOY CENTRE LTD. AND ANOTHER v. CHAN KAN KWONG MARGARET AND OTHERS

On a broad‑brush assessment of the defendants' skeleton bill and recognising the limits of the hearing (no mini‑taxation), the court fixed security at $5,000,000 to cover Parts I–III including the $2,000,000 already ordered (hence $3,000,000 top‑up within 28 days) and ordered an additional $1,600,000 tranche for discovery payable by 30 September 1999; the court refused to certify two counsel but certified leading counsel for the defendants and ordered dismissal of the action on default to furnish security.

Citation
HONG KONG TOY CENTRE LTD. AND ANOTHER v. CHAN KAN KWONG MARGARET AND OTHERS
Parties
1st Plaintiff: HONG KONG TOY CENTRE LIMITED; 2nd Plaintiff: DABRO INTERNATIONAL LIMITED; 1st Defendant: CHAN KAN KWONG MARGARET; 2nd Defendant: FORTUNE WIN TRADING LIMITED; 3rd Defendant: MONG SIU LING; 4th Defendant: W. GREAT WORTH LIMITED
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
24 June 1999
Case Number
HCA9971/1998
Procedural Posture
Interlocutory Application for Security for Costs / Application Decided in Chambers Following Adjournment of Trial
Outcome
Order for additional security for costs granted with specified tranches and enforcement mechanism; certification of leading counsel (single counsel) for defendants; costs to be on an indemnity basis for specified portions.
Legal Topics
Security for Costs, Taxation of Costs, Stay Vs Unless Orders, Anton‑piller Order, Preparation for Trial
Source Language
EN
Civil Procedure Costs Interlocutory Relief Discovery Security for Costs Taxation of Costs Stay Vs Unless Orders Anton‑piller Order +1 more

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Parties

HONG KONG TOY CENTRE LIMITED

1st Plaintiff

DABRO INTERNATIONAL LIMITED

2nd Plaintiff

CHAN KAN KWONG MARGARET

1st Defendant

FORTUNE WIN TRADING LIMITED

2nd Defendant

MONG SIU LING

3rd Defendant

W. GREAT WORTH LIMITED

4th Defendant

Procedural Posture

Interlocutory Application for Security for Costs / Application Decided in Chambers Following Adjournment of Trial

Legal Issues

  1. 1 appropriate quantum of security for costs
  2. 2 proper approach to assess a skeleton bill without mini‑taxation
  3. 3 form of order to enforce security (stay v unless/dismissal)

Ratio Decidendi

On a broad‑brush assessment of the defendants' skeleton bill and recognising the limits of the hearing (no mini‑taxation), the court fixed security at $5,000,000 to cover Parts I–III including the $2,000,000 already ordered (hence $3,000,000 top‑up within 28 days) and ordered an additional $1,600,000 tranche for discovery payable by 30 September 1999; the court refused to certify two counsel but certified leading counsel for the defendants and ordered dismissal of the action on default to furnish security.

Court Disposition

Order for additional security for costs granted with specified tranches and enforcement mechanism; certification of leading counsel (single counsel) for defendants; costs to be on an indemnity basis for specified portions.

Orders

  • Plaintiffs to furnish a $3,000,000 top‑up security within 28 days (to bring Parts I–III security to $5,000,000 including the earlier $2,000,000)
  • Plaintiffs to furnish a second tranche of $1,600,000 to cover discovery on or before 30 September 1999; defendants may apply for further security for post‑discovery work if appropriate