Hong Kong Case Law: Decisions & Judgments

Topic

Crown lands resumption ordinance s.10(2)(d)

Legal area

Court

23 Dec 1996

Hung Yee-shun v. Director of Lands

Citation

Hung Yee-shun v. Director of Lands
Court

Lands Tribunal
Case number

LDLR19/1995

Under s.10(2)(d) the applicant was entitled to compensation to restore his business position; having found the applicant unable to relocate, the Tribunal applied total extinguishment. Accepting bank-statement based reconstructed profits (as adjusted by the respondent's accountant) produced an average annual profit around HKD 1,250,000, deducting profit rent HKD 50,000 gives a base profit HKD 1,200,000. Applying a multiplier of 5 and capitalising at a 9% rate over five years (factor 3.9) produced goodwill of HKD 4,680,000, which was awarded. The discount rate must reflect business/property ret…
20 Nov 1996

CHAN CHAW-MAN AND OTHERS v. DIRECTOR OF LANDS

Citation

CHAN CHAW-MAN AND OTHERS v. DIRECTOR OF LANDS
Court

Lands Tribunal
Case number

LDLR1/1995

Applicants entitled to compensation under s.10(2)(d) to restore business position; goodwill valued at HKD 2,250,000 using 1993/94 taxable profit as base adjusted to HKD 750,000 and applying a multiplier of 3; profit rent assessed at HKD 89,000; equipment, fixtures and fittings accepted from respondent's expert valuation at HKD 1,496,915 less specified exclusions and auction proceeds resulting in HKD 1,445,865; miscellaneous costs allowed as pleaded; total compensation determined at HKD 3,900,000 with leave reserved for interest and costs order nisi of HKD 12,000.
7 Oct 1996

Chiu Chi Wo and Others t/a Hang Hing v. Director of Lands

Citation

Chiu Chi Wo and Others t/a Hang Hing v. Director of Lands
Court

Lands Tribunal
Case number

LDLR3/1995

Applicants entitled to compensation to restore business position under s.10(2)(d); goodwill assessed at HK$3,000,000 (HK$1.5m base profit x multiplier 2), profit rent HK$75,000, machinery/equipment and chemical stock valued at HK$685,600 less auction proceeds HK$40,000 giving HK$645,600; alleged underground treatment tanks and related major fixtures rejected as non-existent or unjustified; aggregate compensation determined at HK$3,850,000.
12 Aug 1996

Ko Lai Mui t/a Cheung Shing Mirror v. Director of Lands

Citation

Ko Lai Mui t/a Cheung Shing Mirror v. Director of Lands
Court

Lands Tribunal
Case number

LDLR6/1995

The Tribunal held that under s.10(2)(d) the applicant was entitled to compensation to restore her business position; the daughter's separate business was not a continuation; absent reliable living‑standard or profit evidence the Tribunal relied on the applicant's prior trading accounts and market rent to set base annual profit at HK$260,000, applied a multiplier of 2 to fix goodwill at HK$520,000, assessed loss of profits at HK$160,000, treated the auction proceeds HK$17,000 as residuary value and applied a factor of 10 to determine stock/tools value HK$170,000 (loss on forced sale HK$153,000…
23 May 1996

Wan Yiu ling and Another v. Director of Lands

Citation

Wan Yiu ling and Another v. Director of Lands
Court

Lands Tribunal
Case number

LDLR9/1995

Claimants entitled to compensation under s.10(2)(d); in absence of reliable profit records tribunal used market rental as proxy for profitability, capitalised and discounted at 9% to value goodwill at HK$1,900,000; decoration payments documented and proven at HK$900,000 allowed in full; miscellaneous proven or reasonably estimated items allowed; total compensation fixed at HK$2,850,000 with costs HK$9,000 and leave reserved for interest under s.17(3A).

Hong Kong Case Law

Hung Yee-shun v. Director of Lands

CHAN CHAW-MAN AND OTHERS v. DIRECTOR OF LANDS

Chiu Chi Wo and Others t/a Hang Hing v. Director of Lands

Ko Lai Mui t/a Cheung Shing Mirror v. Director of Lands

Wan Yiu ling and Another v. Director of Lands