Hong Kong Case Law: Decisions & Judgments

Topic

Effective interest rate

Legal area

Court

17 Apr 2026

PACIFIC ACE FINANCE LTD v. DELAY, GILDA H. AND ANOTHER

Citation

[2026] HKDC 669
Court

District Court
Case number

DCCJ3298/2018

Leave to appeal was refused because the applicant failed to demonstrate a reasonable prospect of success under s63A DCO: the court's recalculation of default interest was an assessment of damages rather than an impermissible amendment of pleadings; Delay's challenges were largely re‑arguements of factual findings unsupported by law or evidence and did not meet the threshold of 'plainly wrong'; default interest is excluded from effective interest rate under the cited authority; accordingly the original judgment was affirmed and costs awarded against the defendants including summary assessment…
13 Jan 2025

CHAN v. INSTANT FINANCE LTD

Citation

[2025] HKCFI 301
Court

Court of First Instance
Case number

HCSD27/2024

The statutory demand was set aside because the applicant discharged the burden by adducing sufficiently precise and believable evidence demonstrating substantial disputes on the debt: credible allegations of non-receipt of loan funds and deductions, credible evidence of improper/ misleading registration of the loan instrument against the Property indicating potential collusion or sharp practice, and an arguable case that the underlying WW loan was illegal and that the IFL loan was extortionate or tainted under the Money Lenders Ordinance, such that the creditor could not properly pursue bankr…
20 Jan 2022

ACTUALLY FINANCIAL LTD v. WONG PUI MIU

Citation

[2022] HKDC 82
Court

District Court
Case number

DCCJ3317/2020

Court found the plaintiff and intermediaries were 'playing the same game' (collusion); sums of $600,000 consultancy fee, $201,600 withheld instalments and $51,200 labelled fees were not amounts actually lent and/or were payments in relation to obtaining the loan and fell within s27; deducting those sums produced a deemed principal of $347,200 and contractual/ deemed interest of $403,200 yielding an effective annual rate of 116.129% which exceeds 60% under s24, rendering the loan agreements unlawful and unenforceable and justifying dismissal of the plaintiff's claim and entitlement of the defe…
17 Dec 2021

TOTALCORP (NOMINEES) LTD v. HONG KONG SAI KUNG NGONG WO RESORT DEVELOPMENT LTD

Citation

[2021] HKCA 1935
Court

Court of Appeal
Case number

CACV72/2020

Leave to appeal was refused because the proposed questions did not raise matters of great general or public importance: question (1) was premised on an assumed illegality contrary to the court's construction of a fresh loan; question (2) was fact-specific; question (3) was answered by concurrent findings and a statutory exemption making it academic; no exceptional circumstances justified leave under the 'or otherwise' limb; costs were awarded to the respondent.
22 Dec 2020

CHINA YINSHENG FINANCE LTD v. WONG PING SHING

Citation

[2020] HKCFI 3072
Court

Court of First Instance
Case number

HCA1106/2016

The court found the Plaintiff's witnesses credible and the Defendant not credible; there was no reliable evidence that the Plaintiff or its staff received any part of the sums taken by China Asia or otherwise acted in concert with China Asia; absent evidence of collusion the statutory remedies under the MLO did not render the Deed unenforceable; accordingly judgment was entered for the Plaintiff for HK$1,999,790 with pre- and post-judgment interest at 27.6% p.a. from 23 March 2016 and costs on an indemnity basis (order nisi).
26 Aug 2009

CATHAY PORT LTD v. ZHU MING

Citation

CATHAY PORT LTD v. ZHU MING
Court

Court of First Instance
Case number

HCA2707/2008

Defendant failed to demonstrate a meritorious defence that the Plaintiff was an unlicensed money lender or that the Instrument as modified was extortionate; the original judgment of 18 March 2009 is upheld except the penalty interest award under the Deed of Forbearance (US$2,854,022.75) is set aside and the Defendant is granted unconditional leave to defend that penalty claim.

Hong Kong Case Law

PACIFIC ACE FINANCE LTD v. DELAY, GILDA H. AND ANOTHER

CHAN v. INSTANT FINANCE LTD

ACTUALLY FINANCIAL LTD v. WONG PUI MIU

TOTALCORP (NOMINEES) LTD v. HONG KONG SAI KUNG NGONG WO RESORT DEVELOPMENT LTD

CHINA YINSHENG FINANCE LTD v. WONG PING SHING

CATHAY PORT LTD v. ZHU MING