Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

Cash client

Legal area

Court

10 Jan 2002

RE C.A. PACIFIC FINANCE LTD. (in Liquidation)

Citation

RE C.A. PACIFIC FINANCE LTD. (in Liquidation)
Court

Court of First Instance
Case number

HCCW36/1998

The court held that the documentary and transactional evidence (statement suffixes, interest charged on full purchase price at prime plus 10%, absence of CAP Finance statements and reference to CAP Securities' client agreement) demonstrated treatment as a cash client despite the signed MOD, and therefore ordered reclassification to a cash client account.
10 Jan 2002

RE C.A. PACIFIC FINANCE LTD. (in Liquidation)

Citation

RE C.A. PACIFIC FINANCE LTD. (in Liquidation)
Court

Court of First Instance
Case number

HCCW37/1998

Because the account statements bore a 02 suffix, financing was charged on the entire purchase price at a rate consistent with CAP Securities (prime plus 10%) and there were no statements from CAP Finance, the court concluded that CAP Securities treated Mr Chan as its cash client and ordered reclassification despite the signed MOD.