Hong Kong Case Law: Decisions & Judgments

Topic

Dividend distribution

Legal area

Court

29 Sept 2023

CHAN KAI YAN AND ANOTHER v. LEUNG CHI KIT AND OTHERS

Citation

[2023] HKCFI 2410
Court

Court of First Instance
Case number

HCA2498/2014

The court exercised its case management discretion under Order 38 r 4A to permit the expert opinion evidence already provided in HCA 1357/2012 to stand also as evidence in HCA 2498/2014 because the evidence was relevant to common issues between the actions and the trial timetable (expert tranche in March 2024) afforded sufficient time for defendants to obtain responsive expert reports; the defendants were granted leave to adduce responsive expert evidence and the parties were directed to agree a generous timetable and convene expert meetings and a joint report; costs reserved.
14 Sept 2021

RE YAOHAN HONGKONG CORPORATION LTD

Citation

[2021] HKCFI 2813
Court

Court of First Instance
Case number

HCMP1039/2021

The court granted the declaration that the dissolution was void and ordered that the liquidation continues because a substantial dividend (MOP12,000,000) was available in an associated liquidation and restoration was the appropriate means to permit receipt and distribution of that dividend to the company’s creditors.
26 Apr 2018

LI GUOZHU v. NEW CENTURY IATRICAL INV. MANAGEMENT LTD AND OTHERS

Citation

[2018] HKCFI 868
Court

Court of First Instance
Case number

HCMP3353/2014

The respondents engaged in a coordinated conspiracy to misrepresent the sale price to defeat the petitioner’s contractual pre-emption rights and procured breaches by other shareholders, thereby wresting control and excluding the petitioner from management; those actions constituted conduct of the Company’s affairs that was unfairly prejudicial. The appropriate remedy is a court-ordered buy-out of the respondents’ shares by the petitioner at a fair value to be determined by a valuer with valuation date as the date of judgment; contractual Preamble 4 valuation was not applied and damages were r…
20 Mar 2018

WEI WEN v. WEI XING AND ANOTHER

Citation

[2018] HKCA 165
Court

Court of Appeal
Case number

CACV183/2015

The Court of Appeal upheld the trial judge’s factual finding that the plaintiff’s HK$1,400,000 constituted a loan based on strong contemporaneous documentary evidence (emails) and the structure of payments; there was no palpable error, misapprehension of evidence or misdirection requiring appellate intervention, therefore the appeal was dismissed.
10 Aug 2015

CHEUNG AU YUEN ROSALIND AND ANOTHER v. WONG KAN KIU AND ANOTHER

Citation

CHEUNG AU YUEN ROSALIND AND ANOTHER v. WONG KAN KIU AND ANOTHER
Court

Court of First Instance
Case number

HCA850/2011

The court preferred the plaintiffs' evidence, found no contemporaneous company record or acknowledgement supporting the claimant's assertion that the HK$3,000,000 was a company distribution, and held the payment was a personal loan by Cheung repayable on demand; the counterclaim for an account of rents failed because mere co-ownership did not establish a fiduciary duty to account under the pleaded facts.
12 May 2015

NG POK LEUNG v. NG POK MAN AND ANOTHER

Citation

NG POK LEUNG v. NG POK MAN AND ANOTHER
Court

District Court
Case number

DCCJ3883/2012

On the evidence the HK$300,000 was drawn by the 1st defendant from the plaintiff's account without the plaintiff's knowledge or authorization and for no valid company purpose; the alleged loans did not exist; the company was beneficially owned equally by the Three Sons and Chun; judgment for plaintiff for HK$300,000 and partial success of 1st defendant's counterclaim for one‑quarter of dividends (HK$175,000).
8 Mar 2006

LI TIN SANG ADAM v. POON BUN CHAK AND OTHERS

Citation

LI TIN SANG ADAM v. POON BUN CHAK AND OTHERS
Court

Court of First Instance
Case number

HCCW1196/2004

Specific discovery was ordered in respect of bank statements showing payments from Giant Wizard, notices convening shareholder and director meetings and resolutions, financial statements and management accounts, registers of members and directors, Giant Wizard’s ledgers/books/cheque records and inventories (including Texwinca shareholding), and receipts evidencing Texwinca dividend payments to Giant Wizard; copies of cheques issued to other respondents (paragraph 2) were not ordered as distinct items; the court applied the principle that documents must be relevant to particularised allegation…
27 Oct 2000

Re Ming Fung Bullion Co. Ltd.

Citation

Re Ming Fung Bullion Co. Ltd.
Court

Court of First Instance
Case number

HCCW364/1998

The appellant failed to prove on the balance of probabilities that the alleged HK$800,000 was a real cash deposit; the liquidators' documentary records demonstrated the entries were cheque movements not banked cash; the appellant signed a release accepting the adjudication and therefore cannot pursue further claims; accordingly the liquidators' adjudication awarding HK$95,578.84 was correct and the appeal is dismissed.
26 Aug 1999

Re Taipao Resins Chemical Co. Ltd.

Citation

Re Taipao Resins Chemical Co. Ltd.
Court

Court of First Instance
Case number

HCCW590/1998

The court granted validation in part: where directors provided reasons a reasonable intelligent and honest person could accept and petitioners failed to produce compelling contradictory evidence, the dispositions were sanctioned subject to specified limits and conditions; where evidence or bills were inadequate the court refused or adjourned orders.
30 May 1975

RE CHINA TRADE INVESTMENT CO

Citation

RE CHINA TRADE INVESTMENT CO
Court

Court of First Instance
Case number

HCB22/1965

The court held the petition and subsequent bankruptcy proceedings were not void ab initio because the partnership continued for the purpose of winding up after the partner's death; the failure to prepare a Statement of Affairs and the failure to serve formal notice of intended/final dividend were irregularities but did not cause substantial injustice to the applicant given actual notice and lengthy delay, so the relief sought was refused and the distributions stand.