Hong Kong Case Law: Decisions & Judgments

Topic

All‑monies mortgage

Legal area

Court

28 Jan 2022

THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD v. FULLY RICHEST INTERNATIONAL LTD

Citation

[2022] HKCFI 365
Court

Court of First Instance
Case number

HCMP2210/2020

The mortgage was validly executed by authorised agents pursuant to the company’s articles and a recorded director’s memorandum demonstrating commercial benefit; the defendant failed to adduce credible evidence of undue influence or to show the bank was put on inquiry; accordingly summary relief in terms of the originating summons was appropriate and the conversion summons was dismissed.
2 Dec 2014

INDIAN OVERSEAS BANK v. VEE PEE GLOBAL LTD AND OTHERS

Citation

INDIAN OVERSEAS BANK v. VEE PEE GLOBAL LTD AND OTHERS
Court

Court of First Instance
Case number

HCMP2114/2011

The court found the mortgage documents and warnings were properly provided and explained, rejected the alleged misrepresentations and oral agreement about redemption for HK$4,000,000, and held the mortgage valid and enforceable; although the wife was unduly influenced by her husband, she understood the documents and the bank and its solicitors had taken adequate steps, so the bank is entitled to judgment, possession and an order for sale against the mortgagors who are jointly and severally liable.
19 May 2011

RE IP PUI MAN NINA

Citation

RE IP PUI MAN NINA
Court

Court of First Instance
Case number

HCB309/2010

Debtor failed to prove change of domicile from Hong Kong to Singapore or lack of ordinary residence in the relevant period; petitioner took all reasonable steps to effect personal service and validly brought the statutory demand to debtor's attention by advertisement and ordinary post (15 September 2009) and obtained substituted service of the petition; debtor failed to demonstrate a bona fide dispute on substantial grounds—claims for the undisputed principal sum under the all‑monies mortgage stand and allegations of undue influence/misrepresentation are neither supported by credible contempo…
4 Aug 2010

HANG SENG BANK LTD v. LEUNG SHUI CHUNG AND ANOTHER

Citation

HANG SENG BANK LTD v. LEUNG SHUI CHUNG AND ANOTHER
Court

Court of Appeal
Case number

CACV43/2010

Appeal dismissed: summary judgment was correctly entered because the mortgage and accompanying warnings and acknowledgements plainly disclosed the mortgagor’s liabilities, the mortgagor declined independent advice and could have obtained facility or financial information but did not; the bank’s duty required reasonable steps not guaranteed comprehension, and no implied term could contradict the express terms of the mortgage.
30 Oct 2009

THE YIEN YIEH COMMERCIAL BANK LTD v. HUNG OI WAH AND OTHERS

Citation

THE YIEN YIEH COMMERCIAL BANK LTD v. HUNG OI WAH AND OTHERS
Court

Court of First Instance
Case number

HCMP7149/1999

The court found no undue influence and no circumstance that put the bank on inquiry; the conveyancing clerk's standard explanation and Madam Hung's history of executing prior mortgages established she understood the mortgage; therefore the mortgage was enforceable, must not be set aside, and the bank is entitled to possession and contractual costs on an indemnity basis.
12 Jan 2006

BANK OF CHINA (HONG KONG) LTD v. LEUNG NGAI HANG t/a MASTERPIECE INTERIOR DESIGN AND ANOTHER

Citation

BANK OF CHINA (HONG KONG) LTD v. LEUNG NGAI HANG t/a MASTERPIECE INTERIOR DESIGN AND ANOTHER
Court

Court of Appeal
Case number

CACV250/2005

The Court held the bank was not actually or constructively on inquiry of undue influence or misrepresentation because there was no evidence of a relationship or facts indicating a real risk of impropriety; the transaction was not manifestly to Choi's disadvantage given it redeemed existing secured debt and provided benefits, and therefore the bank could safely rely on apparent consent; appeals dismissed.
19 Jul 2005

BANK OF CHINA (HONG KONG) LTD v. CHAN TIN CHI AND OTHERS

Citation

BANK OF CHINA (HONG KONG) LTD v. CHAN TIN CHI AND OTHERS
Court

Court of First Instance
Case number

HCA4215/2003

The court accepted the bank's documentary and oral evidence that the 3rd Defendant executed the two guarantees and that the principal debtor owed the stated sums; the pleaded and late unpleaded defences were dismissed as unsubstantiated or legally ineffective (no misrepresentation pleaded, replacement guarantor does not discharge liability absent agreement, and the all‑monies mortgage permitted application of sale proceeds); accordingly the 3rd Defendant was liable under the guarantees for the total sum claimed, plus interest and costs.
29 Nov 2001

THE DAIWA BANK, LTD v. FOCO WOOLLEN YARNS CO. LTD & ANOTHER

Citation

THE DAIWA BANK, LTD v. FOCO WOOLLEN YARNS CO. LTD & ANOTHER
Court

Court of First Instance
Case number

HCMP4193/1999

There was no binding contract with the 2nd defendant because the bank did not consciously accept the change of mortgagor or the change to an all‑monies charge and, in any event, the bank was on inquiry and failed to take reasonable steps to ensure the wife acted freely and with knowledge of the true facts; the wife was induced by misrepresentation and undue influence and the transaction was unconscionable, so the bank's claim against the 2nd defendant must be dismissed.
26 Nov 2001

ASIA COMMERCIAL BANK LTD. v. NG CHUN SHI AND OTHERS

Citation

ASIA COMMERCIAL BANK LTD. v. NG CHUN SHI AND OTHERS
Court

Court of First Instance
Case number

HCMP2072/1999

The judge accepted the solicitor's evidence that he explained the mortgage as an all‑monies charge, the mortgagors acknowledged advice to obtain independent legal advice and declined it, and therefore the 3rd and 4th defendants were liable under the all‑monies mortgage for HK$6,391,100 plus interest and costs.