Read the full judgment text of FCMC 11141/2013 on BabelCite. This Family Court judgment was delivered on 1 December 2015 before Her Honour Judge Sharon D. Melloy.
Matrimonial proceedings – litigation funding – Matrimonial Proceedings and Property Ordinance, Cap 192 s 3 – Currey v Currey – HJFG v KCY – conditions for costs allowance – reasonableness of stance – order for contribution of HK$350,000 – This case concerns an application by a petitioner wife for litigation funding under section 3 of the Matrimonial Proceedings and Property Ordinance, Cap 192. The proceedings have been ongoing since 2013 with multiple court appearances including a maintenance pending suit hearing in March 2014. In the maintenance pending suit judgment dated 2 April 2014, the court ordered the respondent husband to provide housing and pay maintenance but made no provision for litigation funding. The wife now seeks funding of HK$85,000 per month due to lack of funds for legal and expert assistance. The husband argues he is in a similar financial position with family support no longer available. The preliminary issue regarding a factory premises valued at HK$7 million is set for trial in April 2016. The court applied the principles from Currey v Currey [2006] EWCA Civ 1338 regarding conditions for costs allowance including no deployable assets, no security for borrowing, no charge on outcome, and inability to secure public funding. The court also considered HJFG v KCY [2012] 1 HKLRD 95 regarding the reasonableness of costs and breakdown of anticipated expenditure. The court found the wife satisfied the conditions for funding but noted her stance was not entirely reasonable as she had not identified precise outstanding issues for discovery. The cost breakdown was also found excessive regarding the number of counsel and hearings required. The court ordered the husband to contribute HK$350,000 towards the wife's legal costs at HK$50,000 per month from 1 December 2015 until 1 June 2016. The funds are to be paid directly to legal representatives. A Financial Dispute Resolution hearing is set for 13 June 2016. Costs are reserved. The court warned parties to settle to avoid unrecoverable costs.
Legal issues: Conditions for costs allowance · Reasonableness of stance and cost breakdown · Amount of litigation funding
Outcome: Order made for husband to contribute towards wife's legal costs
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