29 Sept 1993
WILLIAM YOUNG HONG YUI and Others v. BANK OF CREDIT AND COMMERCE HONG KONG LTD.
- Citation
- WILLIAM YOUNG HONG YUI and Others v. BANK OF CREDIT AND COMMERCE HONG KONG LTD.
- Court
- Court of First Instance
- Case number
- HCMP806/1993
The court held that the continuing guarantee, read with its notice clause, required a demand in writing as a condition precedent to liability; accordingly the 1st plaintiff's liability remained contingent at the date of winding up and statutory liquidation set-off did not apply at that stage. The court also found the 1st plaintiff to be a principal obligor under the conventional parts of the guarantee but, because demand in writing was required, no immediate set-off arose; arguments that the deposit security excluded set-off were rejected on the facts.