Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Cookson v knowles
  • 7 Feb 2013

    YUEN HIU TUNG v. HOSPITAL AUTHORITY

    Citation
    YUEN HIU TUNG v. HOSPITAL AUTHORITY
    Court
    Court of First Instance
    Case number
    HCPI228/2010

    The Cookson v Knowles 4.5% assumption is no longer valid in Hong Kong. The court sets pragmatic, horizon-based real net discount rates after deducting price inflation and reasonable management fees, using asset mixes and review periods matched to claimant needs: -0.5% for needs up to 5 years, 1% for needs up to 10 years, and 2.5% for needs exceeding 10 years. These rates follow from (a) adopting price inflation (not payroll) for non-earnings losses, (b) deducting reasonable management fees where mixed portfolios (equities/bonds) are used, (c) using a 5–7 year review for fixed income/EFNs and…

  • 16 Oct 2012

    CHAN PAK TING v. CHAN CHI KUEN AND ANOTHER

    Citation
    CHAN PAK TING v. CHAN CHI KUEN AND ANOTHER
    Court
    Court of First Instance
    Case number
    HCPI235/2011

    Sufficient evidence of a substantial change in the economic landscape since the 1996 Court of Appeal decision justified granting leave to adduce actuarial and economic evidence and ordering a trial of the preliminary issue to determine whether the Cookson 4.5% net rate remains valid for selecting multipliers in Hong Kong.