Hong Kong Case Law: Decisions & Judgments

Topic

Oral settlement agreement

Legal area

Court

18 Jun 2020

CHEUNG KWOK LEUNG AND ANOTHER v. CHEN DAH REN, GEORGE formerly known as CHEN DAH SHING GEORGE

Citation

[2020] HKCFI 1190
Court

Court of First Instance
Case number

HCA2127/2015

The Termination Letter and the 2011 Statement of Accounts were contemporaneous documents signed by the Defendant and plainly recorded the settlement agreed on 9 December 2011; the Defendant's contradictory oral case was unsupported and inconsistent; therefore the court preferred the Plaintiffs' version and entered judgment for the Plaintiffs.
2 Apr 2020

RE GW ELECTRONICS CO LTD

Citation

[2020] HKCA 180
Court

Court of Appeal
Case number

CACV84/2017

The Court held the petition valid: the debt was a liquidated contractual sum ascertainable by the contract's Article 17 mechanism and supporting statements, the statutory demand complied with s.178, the Company was insolvent on the cash-flow test when TEAL terminated, and there was no bona fide dispute on substantial grounds because the alleged oral settlement lacked contemporaneous documentary support and was commercially implausible; accordingly the strike-out application and appeal failed.
2 Apr 2020

RE GW ELECTRONICS CO LTD

Citation

[2020] HKCA 180
Court

Court of Appeal
Case number

CACV24/2017

The Court of Appeal held that TEAL validly terminated the distribution agreement in the face of the Company's insolvency; the sums claimed were liquidated and sufficiently ascertainable under the contract and supporting documents; there was no bona fide dispute on substantial grounds as to liability or quantum because contemporaneous documents and commercial common sense contradicted the alleged oral settlement; accordingly the strike‑out was rightly refused and the winding‑up order was properly made (though stayed pending appeal submissions).
18 Mar 2013

CHEUNG SUN LAM v. LAI KAM MAN AND OTHERS

Citation

CHEUNG SUN LAM v. LAI KAM MAN AND OTHERS
Court

Court of Appeal
Case number

CACV148/2011

The appeal is dismissed. The court refused admission of fresh evidence because it would not have affected the outcome and could have been obtained earlier (failing Ladd v Marshall). The alleged oral settlement agreement could not be entertained because the Appellant and his counsel had deliberately declined to run that point below and the Appellant is bound by his counsel's decision; it would be unfair to admit the new fact-sensitive point on appeal. The court will not go behind final costs orders and Allocaturs in a statutory demand application under rule 48(5); because the liabilities were…
30 Apr 2012

BUILDTECH LTD v. HUNG WAN CONSTRUCTION CO LTD

Citation

BUILDTECH LTD v. HUNG WAN CONSTRUCTION CO LTD
Court

District Court
Case number

DCCJ1385/2008

The plaintiff failed to discharge the burden of proving a concluded oral settlement: the documentary record (letters/emails) amounted to offers and negotiations rather than acceptance, and the defendant's undisputed practice of requiring written, signed settlement approval for subcontractor payments made it unreasonable to infer a binding oral agreement for $700,000; claim dismissed.
21 Oct 1999

HARVEST TOP DEVELOPMENT LTD v. HKS PARKING LTD

Citation

HARVEST TOP DEVELOPMENT LTD v. HKS PARKING LTD
Court

Court of First Instance
Case number

HCA20165/1998

The judge found a real and narrow factual dispute as to whether an oral settlement was made and held the defendant’s pleaded case was not inherently unbelievable; because doctrines of part performance and estoppel were potentially engaged and the defendant raised arguable defences including set-off of the deposit and challenges to damages/mitigation, the matter was unsuitable for summary disposal under Order 14 and the Master’s dismissal of the Order 14 application was upheld (appeal dismissed).

Hong Kong Case Law

CHEUNG KWOK LEUNG AND ANOTHER v. CHEN DAH REN, GEORGE formerly known as CHEN DAH SHING GEORGE

RE GW ELECTRONICS CO LTD

RE GW ELECTRONICS CO LTD

CHEUNG SUN LAM v. LAI KAM MAN AND OTHERS

BUILDTECH LTD v. HUNG WAN CONSTRUCTION CO LTD

HARVEST TOP DEVELOPMENT LTD v. HKS PARKING LTD