KWOK HEI FAI v. SINGH JASPAL

KWOK HEI FAI v. SINGH JASPAL

Clause 7 of the tenancy agreement conferred discretion on the landlord to apply the security deposit; rent had fallen into arrears and outstanding sums remained after accounting for payments into the Lands Tribunal, therefore the deposit could not be set off to defeat the petitions and the respondents had no...

Source-derived case information.

Citation
[2018] HKCFI 42
Parties
Petitioner: KWOK HEI FAI; Respondent: SINGH JASPAL; Respondent: RANA PARTAP SINGH
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
3 January 2018
Case Number
HCB8741/2016
Procedural Posture
Bankruptcy Proceedings / Judgment (bankruptcy Order Issued)
Outcome
Bankruptcy orders issued against both respondents
Legal Topics
Statutory Demand, Set Off of Security Deposit, Vacant Possession, Mesne Profits
Source Language
en
Bankruptcy Law Property Law Landlord and Tenant Statutory Demand Set Off of Security Deposit Vacant Possession Mesne Profits

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Parties

KWOK HEI FAI

Petitioner

SINGH JASPAL

Respondent

RANA PARTAP SINGH

Respondent

Procedural Posture

Bankruptcy Proceedings / Judgment (bankruptcy Order Issued)

  1. 1 Whether the tenant could set off the security deposit against the judgment debt for arrears and mesne profits
  2. 2 Whether the disputed deposit amount could defeat the statutory demand and support a defence to the bankruptcy petition
  3. 3 Construction of clause 7 of the tenancy agreement regarding landlord's entitlement to apply the deposit

Ratio Decidendi

Clause 7 of the tenancy agreement conferred discretion on the landlord to apply the security deposit; rent had fallen into arrears and outstanding sums remained after accounting for payments into the Lands Tribunal, therefore the deposit could not be set off to defeat the petitions and the respondents had no defence, so bankruptcy orders were made.

Court Disposition

Bankruptcy orders issued against both respondents

Orders

  • Bankruptcy order issued against Singh Jaspal
  • Bankruptcy order issued against Rana Partap Singh