TAM LAI KING and Another v. CHAN WAI SHING and Another

TAM LAI KING and Another v. CHAN WAI SHING and Another

The Amended Statement of Claim disclosed a reasonable cause of action because the Defendants failed to show the Agreements had been validly discharged before April 1997; the alleged Cancellation Agreement, if forged or unauthorized, did not terminate the Agreements; primary obligations survived the simultaneous breaches and the Plaintiffs were entitled to call for completion within a reasonable time, making the Defendants' refusal actionable.

Citation
TAM LAI KING and Another v. CHAN WAI SHING and Another
Parties
1st Plaintiff: TAM LAI KING; 2nd Plaintiff: TAM LAI FUN; 1st Defendant: CHAN WAI SHING; 2nd Defendant: YEUNG CHENG FUNG
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
24 October 1997
Case Number
HCA4192/1997
Procedural Posture
Civil Contract Dispute Application to Strike Out Under O.18 R.19(1)(a) / Interlocutory Strike Out Application (chambers Hearing)
Outcome
Application dismissed with costs
Legal Topics
Simultaneous Breach of Contract, Cancellation Agreement/forgery, Apparent Authority of Solicitor, Completion Within Reasonable Time, Pleading Threshold for Strike Out
Source Language
EN
Contract Civil Procedure Conveyancing Equity/fraud Simultaneous Breach of Contract Cancellation Agreement/forgery Apparent Authority of Solicitor Completion Within Reasonable Time +1 more

Case Brief

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Parties

TAM LAI KING

1st Plaintiff

TAM LAI FUN

2nd Plaintiff

CHAN WAI SHING

1st Defendant

YEUNG CHENG FUNG

2nd Defendant

Procedural Posture

Civil Contract Dispute Application to Strike Out Under O.18 R.19(1)(a) / Interlocutory Strike Out Application (chambers Hearing)

Legal Issues

  1. 1 Whether a purported Cancellation Agreement (alleged forgery) discharged the original sale agreements
  2. 2 Whether a solicitor retained in a conveyancing transaction has apparent authority to agree cancellation of the agreement
  3. 3 Whether simultaneous breaches by both parties discharge primary obligations under the contract

Ratio Decidendi

The Amended Statement of Claim disclosed a reasonable cause of action because the Defendants failed to show the Agreements had been validly discharged before April 1997; the alleged Cancellation Agreement, if forged or unauthorized, did not terminate the Agreements; primary obligations survived the simultaneous breaches and the Plaintiffs were entitled to call for completion within a reasonable time, making the Defendants' refusal actionable.

Court Disposition

Application dismissed with costs

Orders

  • Summons to strike out the Amended Endorsement of Writ and Amended Statement of Claim dismissed with costs