LAM SIU LEUNG AND ANOTHER v. KOOVER WOOLLEN KNITTING FACTORY LTD. AND OTHERS

LAM SIU LEUNG AND ANOTHER v. KOOVER WOOLLEN KNITTING FACTORY LTD. AND OTHERS

The court ruled that acknowledgement of the existence of without prejudice negotiations does not waive privilege over their contents; waiver was limited to the contents of the first offer that the petitioners' witness disclosed (including related correspondence), and did not extend to the second or third offers.

Citation
LAM SIU LEUNG AND ANOTHER v. KOOVER WOOLLEN KNITTING FACTORY LTD. AND OTHERS
Parties
1st Petitioner: Lam Siu Leung; 2nd Petitioner: Yuen Poon Hing; 1st Respondent: Koover Woollen Knitting Factory Limited; 2nd Respondent: Hoover Woollen Knitwears Limited; 3rd Respondent: China Woollen Knitwears Limited; 4th Respondent: Yuen Kwing Yeung; 5th Respondent: Yuen Chi Hung
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
8 December 1999
Case Number
HCMP6321/1998
Procedural Posture
Company Petition Under Section 168 a of the Companies Ordinance (cap.32) / Ruling on Scope of Waiver of Without Prejudice Negotiations at Hearing
Outcome
Waiver of without prejudice privilege limited to the contents of the first offer disclosed; contents of subsequent offers remain privileged.
Legal Topics
Without Prejudice Privilege, Waiver, Admissibility of Settlement Negotiations, Delay Allegations, Section 168 a Companies Ordinance
Source Language
EN
Civil Procedure Company Law Evidence Without Prejudice Privilege Waiver Admissibility of Settlement Negotiations Delay Allegations Section 168 a Companies Ordinance

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Parties

Lam Siu Leung

1st Petitioner

Yuen Poon Hing

2nd Petitioner

Koover Woollen Knitting Factory Limited

1st Respondent

Hoover Woollen Knitwears Limited

2nd Respondent

China Woollen Knitwears Limited

3rd Respondent

Yuen Kwing Yeung

4th Respondent

Yuen Chi Hung

5th Respondent

Procedural Posture

Company Petition Under Section 168 a of the Companies Ordinance (cap.32) / Ruling on Scope of Waiver of Without Prejudice Negotiations at Hearing

Legal Issues

  1. 1 Whether acknowledging existence of without prejudice negotiations waives privilege as to their contents
  2. 2 Whether waiver extends beyond the first disclosed offer to subsequent offers and related correspondence
  3. 3 Whether evidence of without prejudice negotiations is admissible to answer allegations of delay

Ratio Decidendi

The court ruled that acknowledgement of the existence of without prejudice negotiations does not waive privilege over their contents; waiver was limited to the contents of the first offer that the petitioners' witness disclosed (including related correspondence), and did not extend to the second or third offers.

Court Disposition

Waiver of without prejudice privilege limited to the contents of the first offer disclosed; contents of subsequent offers remain privileged.

Orders

  • Privilege waived as to the contents of the first offer (including any correspondence concerning that first offer).
  • Privilege not waived as to the contents of the second or third offers; such contents are inadmissible.