TASTY CATERING GROUP LTD AND ANOTHER v. CHENG HUNG KIT AND OTHERS

TASTY CATERING GROUP LTD AND ANOTHER v. CHENG HUNG KIT AND OTHERS

The court struck out the counterclaim as against the 13th defendant because no relief was pleaded or sought against him and his joinder was unnecessary; the proposed amendments were demurrable and constituted an abuse of process (a prior action already pursued), and the proposed new cause of action attacking the August 2011 EGM could not be introduced by amendment because it arose after the writ and did not satisfy s35(6) of the Limitation Ordinance, therefore the Amendment Summons was dismissed.

Citation
[2020] HKCFI 2477
Parties
1st Plaintiff (original Action) and 1st Defendant (by Counterclaim): TASTY CATERING GROUP LIMITED; 2nd Plaintiff (original Action) and 2nd Defendant (by Counterclaim): FEDERAL MANAGEMENT LIMITED; 3rd Plaintiff (original Action) and 4th Plaintiff (by Counterclaim): K.T. HOLDINGS LIMITED; 4th Plaintiff (original Action): HONLEX INVESTMENT LIMITED; 1st Plaintiff (by Counterclaim) and 1st Plaintiff (hca 1137/2011) (appeared in Person): CHENG HUNG KIT; 2nd Plaintiff (hca 1137/2011): CHENG HUNG SANG; 3rd Plaintiff (hca 1137/2011): CHUNG YING HUNG; 3rd Defendant (original Action): EASY STEP GLOBAL LIMITED; 4th Defendant (original Action): WEALTH HIGHLIGHT LIMITED; 5th Defendant (by Counterclaim): GET RICH ASIA LIMITED; 6th Defendant (by Counterclaim): PITT TAK GROUP LIMITED; 7th Defendant (by Counterclaim): ALLIED BLESS LIMITED; 8th Defendant (original Action): HANG HEUNG CAKE SHOP COMPANY LIMITED; 9th Defendant (by Counterclaim): HANG HEUNG HOP KEE INVESTMENT COMPANY LIMITED; 10th Defendant (by Counterclaim): MINEHEAD FINANCE LIMITED; 11th Defendant (by Counterclaim): WONG TIT FONG; 12th Defendant (by Counterclaim): CHAN CHI KEUNG; 13th Defendant (by Counterclaim): JERRY JIM YIU MING
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
23 September 2020
Case Number
HCA1130/2011
Procedural Posture
Civil Consolidated Actions (share Dispute) HCA 1130/2011 and HCA 1137/2011 / Chambers Decision on Strike Out Summons and Amendment Summons (application to Strike Out Counterclaim as Against 13th Defendant and to Amend Defence & Counterclaim)
Outcome
Counterclaim struck out as against the 13th defendant (Jerry Jim Yiu Ming); Amendment Summons dismissed.
Legal Topics
Strike Out, Amendment of Pleadings, Misjoinder, Duress, Limitation, Rescission, Fiduciary Duty, Unconscionable Bargain
Source Language
EN
Civil Procedure Company Law Equity Limitation Law Contract Law Tort Law Strike Out Amendment of Pleadings +6 more

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Parties

TASTY CATERING GROUP LIMITED

1st Plaintiff (original Action) and 1st Defendant (by Counterclaim)

FEDERAL MANAGEMENT LIMITED

2nd Plaintiff (original Action) and 2nd Defendant (by Counterclaim)

K.T. HOLDINGS LIMITED

3rd Plaintiff (original Action) and 4th Plaintiff (by Counterclaim)

HONLEX INVESTMENT LIMITED

4th Plaintiff (original Action)

CHENG HUNG KIT

1st Plaintiff (by Counterclaim) and 1st Plaintiff (hca 1137/2011) (appeared in Person)

CHENG HUNG SANG

2nd Plaintiff (hca 1137/2011)

CHUNG YING HUNG

3rd Plaintiff (hca 1137/2011)

EASY STEP GLOBAL LIMITED

3rd Defendant (original Action)

WEALTH HIGHLIGHT LIMITED

4th Defendant (original Action)

GET RICH ASIA LIMITED

5th Defendant (by Counterclaim)

PITT TAK GROUP LIMITED

6th Defendant (by Counterclaim)

ALLIED BLESS LIMITED

7th Defendant (by Counterclaim)

HANG HEUNG CAKE SHOP COMPANY LIMITED

8th Defendant (original Action)

HANG HEUNG HOP KEE INVESTMENT COMPANY LIMITED

9th Defendant (by Counterclaim)

MINEHEAD FINANCE LIMITED

10th Defendant (by Counterclaim)

WONG TIT FONG

11th Defendant (by Counterclaim)

CHAN CHI KEUNG

12th Defendant (by Counterclaim)

JERRY JIM YIU MING

13th Defendant (by Counterclaim)

Procedural Posture

Civil Consolidated Actions (share Dispute) HCA 1130/2011 and HCA 1137/2011 / Chambers Decision on Strike Out Summons and Amendment Summons (application to Strike Out Counterclaim as Against 13th Defendant and to Amend Defence & Counterclaim)

Legal Issues

  1. 1 Whether the counterclaim should be struck out as against the 13th defendant for failure to plead relief against him
  2. 2 Whether proposed amendments to add duress and damages against the 13th defendant are permissible or demurrable
  3. 3 Whether a new cause of action in respect of the August 2011 EGM can be introduced by amendment given the Limitation Ordinance and the date of commencement

Ratio Decidendi

The court struck out the counterclaim as against the 13th defendant because no relief was pleaded or sought against him and his joinder was unnecessary; the proposed amendments were demurrable and constituted an abuse of process (a prior action already pursued), and the proposed new cause of action attacking the August 2011 EGM could not be introduced by amendment because it arose after the writ and did not satisfy s35(6) of the Limitation Ordinance, therefore the Amendment Summons was dismissed.

Court Disposition

Counterclaim struck out as against the 13th defendant (Jerry Jim Yiu Ming); Amendment Summons dismissed.

Orders

  • The plaintiffs\' counterclaim as against the 13th defendant (Jerry Jim Yiu Ming) is struck out
  • The Amendment Summons is dismissed