Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Statutory interpretation of employment ordinance s.6(1)
  • 26 Apr 1974

    YIP WAN-CHIU v. MAGNIFICIENT INDUSTRIAL LTD

    Citation
    YIP WAN-CHIU v. MAGNIFICIENT INDUSTRIAL LTD
    Court
    Court of Appeal
    Case number
    CACV47/1973

    The Court held that damages for wrongful dismissal are ordinarily unliquidated; Section 6(1) of the Employment Ordinance does not itself convert common law damages into liquidated damages but provides a statutory option whereby the parties by agreement may terminate employment by payment of a one-month sum, in which case the remedy is contractual (the agreed sum) and questions of mitigation are irrelevant; where no agreement under s.6(1) exists the plaintiff may sue for unliquidated damages and is subject to the duty to mitigate. In this case no s.6(1) agreement was proved and the award of no…