Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Agency/commission
  • 28 Apr 2003

    JUNSA DEVELOPMENT LTD v. K.B. CHAU & CO. (a firm)

    Citation
    JUNSA DEVELOPMENT LTD v. K.B. CHAU & CO. (a firm)
    Court
    Court of First Instance
    Case number
    HCA4486/2001

    The prerequisite under s.357 was satisfied because Junsa was a shell company with no assets or business and credible evidence it could not pay defendants' costs; the court exercised its discretion to order security after balancing potential injustice and found no evidence Junsa could not obtain funds from its shareholders or backers and that unwillingness of some shareholders to fund litigation is not a defense; therefore the Master's security orders (HK$850,000 to Appearance; HK$1,000,000 to Vigers and Mr Fong; HK$700,000 to K.B. Chau & Co.) were upheld and the appeals dismissed.