Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

Assignment of guarantees

Legal area

Court

13 Jun 2024

INDIAN OVERSEAS BANK v. SEABULK SYSTEMS INC. AND OTHERS

Citation

[2024] HKCA 522
Court

Court of Appeal
Case number

CACV48/2018

The Court affirmed the judge’s factual findings that the Plaintiff did not breach any duty to the 1st and 3rd Defendants: the assignments and APGs were not rendered imperfect by the Plaintiff’s conduct; delay in making demands was caused by Defendants’ late notification and errors; even timely demands might have been resisted under PRC proceedings; appellants failed to establish causation or loss due to any bank wrongdoing. Accordingly the appeals are dismissed and the trial orders, including indemnity for SH Proceedings costs, are upheld.
24 Jul 2023

INDIAN OVERSEAS BANK v. SEABULK SYSTEMS INC. AND OTHERS

Citation

[2023] HKCA 889
Court

Court of Appeal
Case number

CACV48/2018

The court refused the stay because on a preliminary assessment the 2nd Defendant showed at best an arguable appeal, failed to provide sufficient evidence of his assets or of an imminent risk of bankruptcy that would render the appeal nugatory, the guarantees presented did not demonstrate that lenders had called or that he lacked resources, and there was no appreciable risk the Plaintiff bank could not repay if the appeal succeeded; therefore no good reason existed to stay execution.