Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Rental concession
  • 31 May 2021

    LUVPA LTD v. HONOR CITY HK PHARMACY LTD

    Citation
    [2021] HKLdT 40
    Court
    Lands Tribunal
    Case number
    LDPE1376/2020

    Applying the Cavendish Square framework the Tribunal found the 2.5% per month default interest clause enforceable because it was not extravagant, exorbitant or unconscionable and protected a legitimate interest in timely payment; accordingly interest totaling HK$249,713.46 was awarded. The landlord could not recoup the HK$337,000 rental concession because the concession was promised and acted upon by the tenant and the landlord was estopped from imposing a retrospective condition; the claim to recover the concession and associated legal costs was dismissed.