Hong Kong Case Law: Decisions & Judgments | LexChat

Topic

Profit sharing schemes

Legal area

Court

22 Apr 2022

FONG LEUNG KAI v. CHEUNG DOI SHU AND ANOTHER

Citation

[2022] HKCFI 1048
Court

Court of First Instance
Case number

HCA3062/2016

On the balance of probabilities the oral 2005 agreement did not exist, DS remained sole proprietor and true owner of the firm throughout the period in question, the DS Profit Sharing Scheme governed bonuses from 2010/2011, David abused his position as finance partner by authorising unauthorised 70% bonus allocations (DS did not consent despite signing documents), David breached fiduciary duties by using firm time and resources to prepare his new firm and is liable only to nominal damages for those preparatory acts, and David's proprietary and estoppel claims fail; the firm owes David no furth…
22 Apr 2022

DS CHEUNG & CO (A FIRM) v. FONG LEUNG KAI

Citation

[2022] HKCFI 1048
Court

Court of First Instance
Case number

HCA2988/2016

On the balance of probabilities the alleged 2005 agreement did not exist; DS remained sole proprietor in form and substance; David abused his role as finance partner by procuring unauthorised bonus allocations (70%) and is not entitled to those sums; David breached fiduciary duties by undertaking preparatory acts during office hours and nominal damages are appropriate; proprietary and proprietary‑estoppel claims based on the alleged agreement fail.