Hong Kong Case Law: Decisions & Judgments

Topic

Disclaimer of onerous property

Legal area

Court

25 Jul 2003

RE LEAN TA TRANSPORTATION LTD

Citation

RE LEAN TA TRANSPORTATION LTD
Court

Court of First Instance
Case number

HCCW383/1997

The court granted an extension of time and leave to disclaim because the liquidators demonstrated reasonable and substantial efforts to evaluate and market the subject share, reconstitution and disposal costs were disproportionate to the limited assets, professional advice showed the share was unlikely to be saleable, notice requirements were met and no substantive opposition was presented; disclaimer would not extinguish co-owners' existing rights and liabilities could be apportioned under existing statute.
16 Jan 2003

RE TAN & SONS CO. LTD. (in Provisional Liquidation)

Citation

RE TAN & SONS CO. LTD. (in Provisional Liquidation)
Court

Court of First Instance
Case number

HCCW63/1997

Leave to extend the time to 3 October 2002 and to disclaim the Roof Top was granted because the provisional liquidators discovered the Property in Feb 2000, made reasonable and documented attempts to sell or transfer it (including offer to incorporated owners), no party was willing to accept it, the Property was of no value and attracted ongoing rates liability, sole registered ownership meant liabilities would not transfer to co-owners, and no prejudice arose from the delay; consequently disclaimer under s 268(1) was appropriate.
13 Jun 2001

RE GOOD BROAD LTD. (IN LIQUIDATION)

Citation

RE GOOD BROAD LTD. (IN LIQUIDATION)
Court

Court of First Instance
Case number

HCCW447/1996

The court exercised its discretion to refuse leave to disclaim because granting the disclaimer would adversely affect the liabilities of other co-owners by shifting maintenance and other obligations onto them, and that potential prejudice outweighed the liquidators' claim that the share was unsaleable; the alternative consequence of bona vacantia on dissolution did not justify prejudicing third parties.

Hong Kong Case Law

RE LEAN TA TRANSPORTATION LTD

RE TAN & SONS CO. LTD. (in Provisional Liquidation)

RE GOOD BROAD LTD. (IN LIQUIDATION)