21 Jul 1986
HONG KONG SHANGHAI (SHIPPING) LTD v. THE OWNERS OF THE SHIP OF VESSEL "ARCHERY" (Panamanian Flag)
- Citation
- HONG KONG SHANGHAI (SHIPPING) LTD v. THE OWNERS OF THE SHIP OF VESSEL "ARCHERY" (Panamanian Flag)
- Court
- Court of First Instance
- Case number
- HCAJ111/1986
The loan agreement of 7 October 1980 was not a money lending contract within the Money Lenders Ordinance 1911 because (a) HSS was not carrying on the business of money lending in Hong Kong (the lending and repayments occurred in New York and HSS was a Bahamian lender acting through agents), and (b) objectively the proper law of the contract was foreign (New York or Bahamas) so the 1911 Ordinance did not apply; additionally HSS was exempt as a subsidiary/establishment of a licensed bank. Accordingly the choice of English law stood, the illegality challenge failed, the arrests were not set asid…