The Incorporated Owners of Tung Lo Court v. Tsui Wai Yip

CACV 27/2015

CIVIL APPEAL NO 27 OF 2015

(ON APPEAL FROM DCCJ 3333 OF 2011)

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DECISION ON COSTS
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Hon Poon JA (giving the Decision on Costs of the Court) :

1.This is the summary assessment of the defendant’s costs of the summonses dated 17 August 2015 and 17 September 2015.

2.In the statement of costs dated 1 December 2015, the defendant claimed a total of HK$89,382.00 of which HK$40,000.00 is counsel fees for drafting and conference with solicitor.

3.For the reasons stated in its statement of opposition dated 7 December 2015, the plaintiff contended that the defendant’s costs are excessive and should be reduced to HK$47,886.00.

4.We allow the costs charged under Part B for the manual work at HK$1,382.00.

5.We allow the hourly rate charged by the solicitor (admitted in 1987) at HK$4,000.00, which is the usual hourly rate allowed on a party and party taxation.  However, the time incurred by the solicitor was excessive.  For Part C, we only allow 1.5 hours for attendance on client, 0.5 hour for attendance on the plaintiff and 1 hour for attendance on counsel, totaling 3 hours.  The total costs allowed under Part C is HK$4,000.00 x 3 = HK$12,000.00.  For Part D, the total time allowed is 2 hours, which means the costs allowed is HK$8,000.00.  So for solicitor’s costs, the total allowed is HK$21,382.00 ($1,382.00 + $12,000.00 + $8,000.00).

6.For Part E on counsel’s fees, Ms Tsang has 17 years of experience.  She charged a total of HK$40,000.00 for drafting and conference with solicitor.  Taking a global view of the matter, and in particular the simple nature of the two summonses, we think HK$40,000.00 for counsel fees is unreasonably excessive.  A reasonable figure, which we allow, is HK$30,000.00.

7.For the above reasons, we summarily assess the defendant’s costs for the two summonses at HK$51,382.00 ($21,382.00 + $30,000.00).  We further order the plaintiff to pay the defendant the costs assessed forthwith.

Ms Kitty Tsang, instructed by Tang & Lee, for the defendant/appellant

Mr YL Cheung, instructed by SK Lam, Alfred Chan & Co, for the plaintiff/respondent