Hong Kong Case Law: Decisions & Judgments

Topic

Assignment of debts

Legal area

Court

13 Apr 2021

CHAN KING LEUNG WILLY (substituted by Order of Master Sara Tong dated 9 December 2020) v. WO MING ENGINEERING LTD

Citation

[2021] HKCFI 951
Court

Court of First Instance
Case number

HCA437/2018

Substitution was permitted because the misnaming of the plaintiff as 'Wong trading as W&L' was a genuine mistake as to name only, not misleading and not causing reasonable doubt as to the identity of the intended assignee; Order 20 r 5(3) and the conditions of Order 15 r 6(6)(a) are satisfied (the cause of action/claim was vested in Chan at law or in equity and would be defeated unless he were joined), therefore substitution is just despite limitation consequences and the striking out application fails; appeal from deputy master dismissed.
13 Nov 2020

DRAGON ACCESS HOLDINGS LTD v. LO CHU HUNG

Citation

[2020] HKCFI 2895
Court

Court of First Instance
Case number

HCMP1355/2019

The Defendant breached express obligations under the PSPA (failure to deliver unredacted BOC facility letter and required company accounts and management accounts on time; failure to remedy material liabilities including BOC mortgage exposure and unresolved Telecom/Estate loan assignments) which amounted to failure to complete in accordance with the PSPA. The Plaintiff did not unequivocally affirm the contract. Clause 16(b) applies and is not a penalty in the circumstances; Plaintiff is entitled to return of deposit and liquidated damages and an equitable lien over the Sale Share and Sharehol…
29 Nov 2018

CHAMPION FOREVER GROUP LTD v. ADDCHANCE DYEING FACTORY LTD

Citation

[2018] HKCFI 2512
Court

Court of First Instance
Case number

HCMP2556/2017

The court refused summary judgment because material and contested factual issues existed concerning the existence, terms and effect of the alleged oral Collateral Repayment Agreement, the asserted fiduciary duties and the circumstances of the assignment of the Second Mortgage and debts; those disputes must be resolved at trial rather than on summary judgment.
29 Apr 2016

BANK OF CHINA LTD v. YANG FAN

Citation

BANK OF CHINA LTD v. YANG FAN
Court

Court of First Instance
Case number

HCMP1797/2015

The court held that although there was material non-disclosure to the ex parte judge, the non-disclosure was trivial and excusable and did not affect the merits; the Plaintiff had established a good arguable case that the PRC proceedings would yield a judgment likely final and conclusive for enforcement, the contractual clauses operated as exclusive Mainland jurisdiction clauses, the Plaintiff retained locus to sue by virtue of the assignments and authorisations, and a real risk of dissipation existed; accordingly the existing injunction was discharged for technical non-disclosure but a new i…
28 Aug 2014

NANYANG COMMERCIAL BANK, LTD v. MA KUK t/a FOUNTAIN CO AND OTHERS

Citation

NANYANG COMMERCIAL BANK, LTD v. MA KUK t/a FOUNTAIN CO AND OTHERS
Court

Court of First Instance
Case number

HCMP2586/2013

Even accepting the defendants' version, their evidence did not establish any credible triable defence or sufficient basis for doctrines such as misrepresentation, non est factum, duress or undue influence; the documented signatures and contemporaneous bank records show the facility letters, assignments and mortgages were valid and enforceable, entitling the plaintiff to judgment for monies due, vacant possession and costs.
28 Jun 2013

HUA NING INDUSTRIES LTD v. BEST LEADER ENGINEERING LTD

Citation

HUA NING INDUSTRIES LTD v. BEST LEADER ENGINEERING LTD<br>
Court

Court of First Instance
Case number

HCA1801/2008

The court rejected defendants' implied term and assignment defences, accepted plaintiffs' evidence that no valuable equipment was removed and that the auction was conducted fairly, found no evidence of prejudice to guarantors or diminution of security value and denied amendment raising new cheque defences; judgment entered for Hua Ning for $28,537,236 and for Mr Chan against Mr Sze and Best Leader for $3,569,551.23 with specified interest and costs orders.
11 Jan 2013

劉曉東 AND ANOTHER v. CHASE EAGLE DEVELOPMENT LTD AND OTHERS

Citation

劉曉東 AND ANOTHER v. CHASE EAGLE DEVELOPMENT LTD AND OTHERS
Court

Court of First Instance
Case number

HCMP1709/2009

Court held that although the Huarong Assignment did not divest the plaintiffs' claim, the 1st and 2nd Transfers were defective because Cinda SZ's execution by Wang exceeded the authority granted by the Power of Attorney and the contemporaneous documents did not evidence valid written authorisation; the Cinda Deed could not cure defects pre‑existing at issue date of proceedings and ostensible authority or post‑OS ratification did not validate the transfers. Consequently there was no valid assignment of the Legal Charge to the plaintiffs and the application was dismissed.
9 Nov 2012

FASTWAY TECHNOLOGY LTD v. ASIABOND CO LTD

Citation

FASTWAY TECHNOLOGY LTD v. ASIABOND CO LTD
Court

District Court
Case number

DCCJ3442/2011

Plaintiff entitled to pre-judgment interest at 8% per annum from the date the cause of action arose (expiry of the pre-action letter: 7 days from 11 Feb 2011) until the date of judgment because the assignment and notice were effective, the defendant unreasonably refused to give consent/indemnity for the cheque presentation and is estopped from challenging the assignment after consenting to judgment on admission; costs ordered nisi in favour of plaintiff for the action and the interest issue.
16 Jun 2011

HALLMARK CARDS INCORPORATED v. YUN CHOY LTD (In Compulsory Liquidation) AND ANOTHER

Citation

HALLMARK CARDS INCORPORATED v. YUN CHOY LTD (In Compulsory Liquidation) AND ANOTHER
Court

Court of First Instance
Case number

HCMP1330/2009

The RPA was an out-and-out sale of receivables (whole turnover deed) as expressed by its terms; commercial features argued by liquidators (recourse, discounting charges, rights to require repurchase, rejection of debts, accounting adjustments) are compatible with sale and do not convert the transaction into a registrable fixed charge. Future debts vested in the bank on coming into existence under the agreement so no separate consideration or separate registration issue defeated the bank's title, and section 48 Bankruptcy Ordinance does not apply via section 264 Companies Ordinance to defeat t…
14 Oct 2010

TND GROUP LTD v. LAU CHIANG CHU, VIVIEN AND ANOTHER

Citation

TND GROUP LTD v. LAU CHIANG CHU, VIVIEN AND ANOTHER
Court

District Court
Case number

DCCJ5395/2009

Applying a permissive 'same interest' test the court found on the pleadings and available evidence that Lau and Leung, as President and Secretary General and signatory/operative figures in relation to the Agreement, were properly joined as representatives of ABF members; further, the pleaded facts disclosed arguable causes of action against Lau (warranty of authority/potential personal liability), against ABFT Ltd (audit confirmation and collateral warranty/assumption of liability) and the Assignment prima facie vested enforceable rights in TND Group; the claims were not plainly unsustainable…