Read the full judgment text of FCMC 13419/2013 on BabelCite. This Family Court judgment before Deputy District Judge R So.
Ancillary relief – Matrimonial Proceedings and Property Ordinance (Cap. 192) s.7(1) – Dissipation of assets – Clean break – Equal division – Costs – District Court – The parties married in 2003 and separated in 2011 with one child aged 11 at trial. The Wife was a housewife and the Husband was the sole breadwinner. Assets included the Former Matrimonial Home valued at HK$6,022,102, a property in Canada valued at HK$1,500,000, a property in China valued at HK$50,000, and a company. The Wife alleged the Husband dissipated millions of dollars which should be added back. The Court found specific amounts dissipated including HK$800,000 funeral expenses, HK$500,000 repairs, HK$300,000 gambling, and HK$863,274.42 unexplained re-finance. The Company was deregistered with poor disclosure leading to adverse inferences on earning capacity. Total family assets valued at HK$13 million after adding back dissipated amounts. The Court applied the yardstick of equal division considering the length of marriage including cohabitation and contributions. The Court cited LKW v DD [2010] 13 HKCFAR 537 regarding fairness and the yardstick of equal division. A clean break was ordered with the Wife receiving a lump sum of HK$6.5 million. The Husband was ordered to pay half of the Wife's costs due to non-disclosure. Maintenance order was discharged. The Court emphasized the duty of full and frank disclosure and the principle of fairness without gender discrimination. The Former Matrimonial Home may be sold if instalments are not paid. The Court considered the financial needs of both parties and the child, noting the Wife's lower earning capacity. The Husband undertook to pay educational expenses of the child. The Court found the Wife's needs for accommodation and support met by the lump sum. The trial was held in 2017 with judgment delivered on 7th March 2018. The Court considered the standard of living and duration of marriage. The Husband's earning capacity was inferred to be sufficient to support the family.
Legal issues: Dissipation of Matrimonial Assets · Division of Matrimonial Assets · Clean Break · Costs
Outcome: Ancillary relief granted. Clean break ordered. Lump sum awarded to Wife.