Hong Kong Case Law: Decisions & Judgments

Topic

Preliminary agreement

Legal area

Court

29 Sept 2010

WISECAL LTD v. CONWELL INTERNATIONAL LTD AND ANOTHER

Citation

WISECAL LTD v. CONWELL INTERNATIONAL LTD AND ANOTHER
Court

Court of First Instance
Case number

HCA841/2008

It was reasonable for the plaintiff to sue and maintain the action against both defendants; because the plaintiff's claims against Conwell and the alternative claim against Francis arose from the same complaint a Bullock approach to costs allocation was appropriate; Francis's application for contribution from Conwell failed because no contribution notice under Order 16 r.8 was served; accordingly the costs order nisi was varied to award Conwell costs from the plaintiff and to order Francis to pay the plaintiff's costs (including costs relating to having two defendants and costs payable to Con…
22 Dec 1994

HEALTH LING INVESTMENT LTD. v. PACIFIC HAWK INVESTMENT LTD.

Citation

HEALTH LING INVESTMENT LTD. v. PACIFIC HAWK INVESTMENT LTD.
Court

Court of Appeal
Case number

CACV147/1994

Majority held that clause 4 made payment of the further deposit and signing of the formal sale and purchase agreement simultaneous and mutually dependent; the vendor's correspondence extending time to provide and consider the draft agreement necessarily extended the time for payment absent clear contrary words; the vendor was in repudiatory breach when it purported to forfeit the initial deposit and must repay HK$5,000,000 with interest and pay costs (order nisi).
3 Dec 1992

YEUNG SIU HONG v. CHAN SIU MEE SANDIE

Citation

YEUNG SIU HONG v. CHAN SIU MEE SANDIE
Court

Court of First Instance
Case number

HCA3354/1991

The signed preliminary agreement was an agreement to agree and a step in negotiations, not an immediately binding sale contract; time was of the essence for payment of the further deposit on 25 March 1991 and the vendor was entitled to insist on payment in cash or by cashier order/solicitor's cheque; the vendor was therefore entitled to withdraw before signing the formal agreement and the purchaser was not entitled to specific performance or to maintain the Land Office registration.
20 Feb 1990

LINK BRAIN LTD. v. FUJIAN FINANCE CO. LTD.

Citation

LINK BRAIN LTD. v. FUJIAN FINANCE CO. LTD.
Court

Court of Appeal
Case number

CACV104/1989

The preliminary agreement was a binding open contract; the vendor wrongfully repudiated it by insisting on an unlawful root of title and withdrawing title deeds and refunding deposit; the purchaser validly affirmed the contract and remained ready and willing to perform but was prevented from doing so by the vendor's conduct; no triable issue existed and specific performance should be ordered.

Hong Kong Case Law

WISECAL LTD v. CONWELL INTERNATIONAL LTD AND ANOTHER

HEALTH LING INVESTMENT LTD. v. PACIFIC HAWK INVESTMENT LTD.

YEUNG SIU HONG v. CHAN SIU MEE SANDIE

LINK BRAIN LTD. v. FUJIAN FINANCE CO. LTD.