Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Indemnity of surety
  • 11 Nov 1998

    AMERICAN HOME ASSURANCE CO. v. JAMES STAINLESS STEEL LTD.

    Citation
    AMERICAN HOME ASSURANCE CO. v. JAMES STAINLESS STEEL LTD.
    Court
    Court of First Instance
    Case number
    HCA11833/1994

    The court held the Defendant liable to indemnify the Plaintiff because the Defendant had (i) effectively agreed to provide the Corporate Indemnity (by concession, acceptance of quotation, admission in correspondence and oral agreement through its agent) and (ii) the Surety Bond was properly construed as an unconditional demand bond payable on written demand and not conditional on proof of the subcontractor's default, so the Plaintiff's payment under the bond was recoverable from the Defendant.