Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

Penalty clause (interest)

Legal area

Court

31 Mar 2023

FTLIFE INSURANCE COMPANY LTD (formerly known as “AGEAS INSURANCE CO (ASIA) LTD”) v. HO SUK YUE

Citation

[2023] HKDC 363
Court

District Court
Case number

DCCJ6452/2019

The express contractual scheme — a without‑cause 30‑day termination clause coupled with explicit clawback provisions and survival clauses — must be given effect; no implied term restricting termination to prevent clawback because it would contradict express terms and commercial purpose; alleged estoppel failed for lack of credible evidence and lack of actual or apparent authority; contractual interest provision protects the plaintiff's legitimate commercial interest and is not an unenforceable penalty. Judgment for plaintiff for contractual repayment plus contractual interest.
18 May 2006

TAIGO LTD v. PROCESS AUTOMATION INTERNATIONAL LTD

Citation

TAIGO LTD v. PROCESS AUTOMATION INTERNATIONAL LTD
Court

Court of First Instance
Case number

HCA1133/2005

The appeal was dismissed because the Master did not abuse or misapply his discretion: awarding interest at the judgment rate from the date of the writ under section 48 was within discretion given the plaintiff's claim for interest to the writ date and absence of inconsistency, there was no pleaded admission or unequivocal written admission to justify Order 27 relief, and the Master's costs split (half paid, half in the cause) was reasonable given partial success for each side.