19 Mar 2025
PEKING UNIVERSITY FOUNDER GROUP COMPANY LIMITED (北大方正集團有限公司) v. HONGKONG JHC CO., LIMITED (香港京慧誠有限公司)(IN LIQUIDATION)
- Citation
- [2025] HKCFA 6
- Court
- Court of Final Appeal
- Case number
- FACV8/2024
The Court held that on the pleaded facts and evidence the Issuers/Guarantors suffered no compensable loss from PUFG's failure to make funds available under clause 4.1(ii) because compliant performance could have been by way of loan or a standby facility which would have replaced bond liabilities with an equal liability and produced no net diminution of the subsidiaries' consolidated net worth; therefore any breach of clause 4.1(ii) on 16 April 2020 only entitled the subsidiaries to nominal damages, the true commercial loss fell on the bondholders who have remedies via the Trustee, and the Dec…