8 Jun 2011
PASSPORT SPECIAL OPPORTUNITIES MASTER FUND, LP AND ANOTHER v. ESUN HOLDINGS LTD AND OTHERS
- Citation
- PASSPORT SPECIAL OPPORTUNITIES MASTER FUND, LP AND ANOTHER v. ESUN HOLDINGS LTD AND OTHERS
- Court
- Court of First Instance
- Case number
- HCMP6/2009
The court found Passport failed to prove the directors acted with the predominant improper purpose of protecting Mr Lam's control; although directors failed to give adequate consideration to the economic/dilutive impact, that failure rendered the exercise of power voidable rather than void; the placement will not be set aside because the placees were innocent third parties without notice and it would be inequitable to defeat their rights; Passport's claims dismissed and placement not declared unlawful; enforcement of cross-undertaking in damages reserved for separate hearing.