Hong Kong Case Law: Decisions & Judgments

Topic

Assignment of reversion

Legal area

Court

18 Jan 2013

KONG LAI RESTAURANT LTD (in liquidation) v. SWALLOW KINGDOM PROPERTIES LTD

Citation

KONG LAI RESTAURANT LTD (in liquidation) v. SWALLOW KINGDOM PROPERTIES LTD
Court

District Court
Case number

DCCJ1332/2012

The tenant’s right to repayment never crystallised because the tenancy was forfeited for breaches and the tenancy agreement permitted set-off against rent arrears; assignment of the reversion and transfer of the deposit with an indemnity to the assignee did not revive any entitlement; therefore the plaintiff’s claim to the deposit was unarguable and properly struck out, summary judgment for the plaintiff must fail, and the court will not at this stage order security for costs though the plaintiff remains liable for taxed costs of the defendant.
19 Aug 2005

ELEGANT PROFIT LTD v. CHUNG LAI SANG AND ANOTHER

Citation

ELEGANT PROFIT LTD v. CHUNG LAI SANG AND ANOTHER
Court

Court of First Instance
Case number

HCSA8/2005

Section 31 of Cap.219 (as interpreted by the English authorities applying LPA 1925 s.141) vests in the assignee of the reversion the right to enforce lease covenants and to recover arrears of rent which became due and payable before assignment; the assignor is divested of any concurrent cause of action. Accordingly the original landlord could not recover those antecedent arrears and the appeal is allowed.
17 Jun 1999

ORIENTAL SOLUTION INVESTMENT LTD v. SIN KA-WING t/a C K DESIGN CO

Citation

ORIENTAL SOLUTION INVESTMENT LTD v. SIN KA-WING t/a C K DESIGN CO
Court

Court of First Instance
Case number

HCA1116/1999

On assignment of the reversion the right to recover rent and enforce covenants passed to the assignee; the assignor lost his right to sue for arrears that accrued before the assignment and therefore the plaintiff's claim was dismissed, with costs.
26 Jan 1989

CROCODILE GARMENTS LTD v. THE PRUDENTIAL ENTERPRISES LTD

Citation

CROCODILE GARMENTS LTD v. THE PRUDENTIAL ENTERPRISES LTD
Court

Court of First Instance
Case number

HCA6152/1988

The original landlord remained primarily liable to refund deposits and return bank guarantees paid to him; assignment of the reversion did not transfer the burden of that prospective/contingent liability to the assignee absent express contractual provision or statute, and the assignee's obligation was at most to indemnify the original landlord.
23 Jul 1979

OCEANIA MANUFACTURING CO AND ANOTEHR v. PANG KWONG-HON AND OTHERS

Citation

OCEANIA MANUFACTURING CO AND ANOTEHR v. PANG KWONG-HON AND OTHERS
Court

Court of Appeal
Case number

CACV99/1978

Attornment is not required in Hong Kong to perfect an assignment of the reversion; the assignments executed on 23 June 1977 made the assignees the landlords entitled to serve a notice under s.122, and the 5 July 1977 notice was sufficiently clear in identifying the new landlords and terminating the tenancy, so the appeal must be dismissed and the trial judge's orders affirmed.

Hong Kong Case Law

KONG LAI RESTAURANT LTD (in liquidation) v. SWALLOW KINGDOM PROPERTIES LTD

ELEGANT PROFIT LTD v. CHUNG LAI SANG AND ANOTHER

ORIENTAL SOLUTION INVESTMENT LTD v. SIN KA-WING t/a C K DESIGN CO

CROCODILE GARMENTS LTD v. THE PRUDENTIAL ENTERPRISES LTD

OCEANIA MANUFACTURING CO AND ANOTEHR v. PANG KWONG-HON AND OTHERS