PALLISER INVESTMENTS LTD v. MAN CHI CHUEN
The court held that the deeming provision in s6A cannot be used where execution was not levied before presentation; inability must be demonstrated as of the presentation date under s6(2), therefore a post-petition unsatisfied execution cannot supply the required fact and the proposed amendment was immaterial and refused.
- Citation
- PALLISER INVESTMENTS LTD v. MAN CHI CHUEN
- Parties
- Petitioner: Palliser Investments Limited; Debtor: Man Chi Chuen (also known as Man Chi Chuen Denver)
- Court
- Court of First Instance
- Jurisdiction
- Hong Kong
- Judgment Date
- 17 October 2005
- Case Number
- HCB3633/2005
- Procedural Posture
- Bankruptcy / Decision on Application to Amend Petition
- Outcome
- Application to amend dismissed.
- Legal Topics
- Statutory Demand, Service of Process, Execution of Judgment (fi Fa), Amendment of Petition, Inability to Pay, Interpreting S6(2) and S6 a of the Bankruptcy Ordinance
- Source Language
- EN
Case Brief
Summary, issues, holding and outcome
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Parties
Palliser Investments Limited
Petitioner
Man Chi Chuen (also known as Man Chi Chuen Denver)
Debtor
Procedural Posture
Bankruptcy / Decision on Application to Amend Petition
Legal Issues
- 1 Whether post-petition execution returned unsatisfied can be relied on to show the debtor was unable to pay at the time the petition was presented under s6(2) read with s6A(1)(b)
- 2 Whether the petition should be amended to refer to execution returned unsatisfied after presentation
- 3 Whether the statutory demand was properly served
Ratio Decidendi
The court held that the deeming provision in s6A cannot be used where execution was not levied before presentation; inability must be demonstrated as of the presentation date under s6(2), therefore a post-petition unsatisfied execution cannot supply the required fact and the proposed amendment was immaterial and refused.
Court Disposition
Application to amend dismissed.
Orders
- Application to amend the petition is dismissed.
- Costs of the unsuccessful application to amend to be paid by the Petitioner to the Debtor.
Full Case Text
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