Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

Reconstitution of account

Legal area

Court

6 Feb 2023

PT ASURANSI TUGU PRATAMA INDONESIA TBK v. CITIBANK N.A.

Citation

[2023] HKCFA 3
Court

Court of Final Appeal
Case number

FACV11/2022

The Court held that unauthorised debits were nullities and the correct remedy was reconstitution of the account producing a debt payable on demand; the 1998 closure did not discharge the reconstituted debt and therefore time for limitation ran from the 2006 demand, so the claim was not statute‑barred; contributory negligence is not a defence to the debt claim.
12 Oct 2018

PT TUGU PRATAMA INDONESIA v. CITIBANK N.A.

Citation

[2018] HKCFI 2233
Court

Court of First Instance
Case number

HCCL1/2007

Court found on the facts the bank was put on inquiry by the time of the third disputed payment because of the combination of indicia (pattern of payments, lack of apparent business connection, payments to signatories and HAM arrangement) and therefore breached its duty of care; however the plaintiff's claims were time-barred because limitation accrued prior to commencement and s.26 did not assist the plaintiff as the special rules of attribution did not apply to displace the company's knowledge and there was no deliberate concealment by the defendant under s.26(3); accordingly the action was…