10 Feb 1975
MALAYSIA AMERICA FINANCE CORPORATION (HK) LTD v. MERCANTILE BANK LTD
- Citation
- MALAYSIA AMERICA FINANCE CORPORATION (HK) LTD v. MERCANTILE BANK LTD
- Court
- Court of First Instance
- Case number
- HCA844/1974
The defendant bank did pay HK$400,000 on a forged cheque contrary to mandate but that payment merely provided an occasion; the effective cause of the plaintiff's loss was the independent and unwarrantable act of the O.T. Wanchai Branch honoring three forged cheques (novus actus interveniens), so causation was broken and the plaintiff's claim failed; the defendant's counterclaim also failed.