Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Counterclaim independence
  • 5 Jun 1987

    SUN HUNG KAI BANK LTD AND ANOTHER v. CHAN PARK CHI

    Citation
    SUN HUNG KAI BANK LTD AND ANOTHER v. CHAN PARK CHI
    Court
    Court of Appeal
    Case number
    CACV165/1986

    The court held that Order 15 rule 7(2) must be read with rule 2 so that substitution of an assignee as plaintiff applies only to the assigned claim; the defendant's counterclaim remains an independent action against the assignor and the proper order was to substitute STC for the Bank in relation to the claim while restoring the Bank as defendant to the counterclaim; the master's unqualified ex parte substitution was therefore improper to the extent it extinguished the counterclaim.