LI MING AND OTHERS v. LIU YIU KEUNG also known as STEPHEN LIU AND ANOTHER

LI MING AND OTHERS v. LIU YIU KEUNG also known as STEPHEN LIU AND ANOTHER

The application for security for costs was refused because overlapping proceedings (the Assessment Proceedings assessing former receivers' fees and HCA 548) engaged the same allegations so that ordering security would effectively require plaintiffs to pay for defences they would need to run elsewhere; plaintiffs' holding of 16,783 CSI shares together with an undertaking not to dispose, while not amounts to fixed permanent assets, provided adequate protection; on balance it was not just to order the requested security.

Citation
[2023] HKCFI 884
Parties
1st Plaintiff: Li Ming (李明); 2nd Plaintiff: Wu Rantao (吳然濤); 3rd Plaintiff: Zhao Dongwei (趙東偉); 4th Plaintiff: Zhang Xin (張信); 5th Plaintiff: Zhou Li (周立); 1st Defendant: Liu Yiu Keung (廖耀強) also known as STEPHEN LIU; 2nd Defendant: David Yen Ching Wai (閻正為)
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
29 March 2023
Case Number
HCA86/2018
Procedural Posture
Civil Action Security for Costs Application / Interlocutory Application Decided (application Refused)
Outcome
Application for security for costs refused on condition plaintiffs provide an undertaking in affirmation form within 28 days; costs ordered nisi in favour of defendants to be plaintiffs' costs in the cause with certificate for two counsel, to be taxed if not agreed; procedural directions for any application within...
Legal Topics
Security for Costs, Fiduciary Duty and Breach, Assessment of Receivers' Remuneration, Disclosure Obligations, Reciprocal Enforcement
Source Language
EN
Civil Procedure Company Law Trusts and Fiduciary Duties Receivership Enforcement Security for Costs Fiduciary Duty and Breach Assessment of Receivers' Remuneration +2 more

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Parties

Li Ming (李明)

1st Plaintiff

Wu Rantao (吳然濤)

2nd Plaintiff

Zhao Dongwei (趙東偉)

3rd Plaintiff

Zhang Xin (張信)

4th Plaintiff

Zhou Li (周立)

5th Plaintiff

Liu Yiu Keung (廖耀強) also known as STEPHEN LIU

1st Defendant

David Yen Ching Wai (閻正為)

2nd Defendant

Procedural Posture

Civil Action Security for Costs Application / Interlocutory Application Decided (application Refused)

Legal Issues

  1. 1 Whether plaintiffs domiciled outside Hong Kong must provide security for costs under Order 23 r 1(1)(a)
  2. 2 Whether plaintiffs hold substantial fixed and permanent assets in Hong Kong available for costs
  3. 3 Whether defendants are the 'attackers' such that security should be refused

Ratio Decidendi

The application for security for costs was refused because overlapping proceedings (the Assessment Proceedings assessing former receivers' fees and HCA 548) engaged the same allegations so that ordering security would effectively require plaintiffs to pay for defences they would need to run elsewhere; plaintiffs' holding of 16,783 CSI shares together with an undertaking not to dispose, while not amounts to fixed permanent assets, provided adequate protection; on balance it was not just to order the requested security.

Court Disposition

Application for security for costs refused on condition plaintiffs provide an undertaking in affirmation form within 28 days; costs ordered nisi in favour of defendants to be plaintiffs' costs in the cause with certificate for two counsel, to be taxed if not agreed; procedural directions for any application within...

Orders

  • Application for security for costs refused
  • Plaintiffs to provide an undertaking in affirmation form in terms offered within 28 days from date of decision