Read the full judgment text of CACV 338/2018 & CACV 431/2018 on BabelCite. This 高等法院上訴法庭 judgment was delivered on 15 May 2019 before Hon Lam VP, Cheung JA, Yuen JA.
Civil Procedure — Arbitration — Appeals from arbitration-related claims — Costs — Indemnity costs. This case concerns two civil appeals related to arbitration proceedings under the Arbitration Ordinance (Cap. 609) involving multiple plaintiffs and the defendant, the Hong Kong Housing Authority. The Court of Appeal dismissed the defendant’s appeal in CACV 431/2018 and the plaintiffs’ appeal in CACV 338/2018, ordering costs against the losing parties respectively. Upon applications to vary costs orders, the Court held that indemnity costs shall be awarded against the defendant in CACV 431/2018 because the appeal was incompetent. Conversely, consistent with established Hong Kong authorities — Gao Haiyan v. Keeneye Holdings Ltd (No. 2) and Grand Pacific Holdings Ltd v. Pacific China Holdings Ltd (in liquidation) (No. 2) — the plaintiffs must pay indemnity costs to the defendant in CACV 338/2018 for failing to set aside the arbitral award. The costs in lower court HCCT 54/2017 shall be taxed on an indemnity basis accordingly. The orders thus reflect the principle that unsuccessful parties in arbitration appeals may be liable for indemnity costs, reinforcing the settled practice in Hong Kong arbitration litigation.
Legal issues: Indemnity costs for incompetent appeal · Indemnity costs for failing to set aside arbitral award
Outcome: Defendant ordered to pay indemnity costs to plaintiffs in CACV 431/2018; plaintiffs ordered to pay indemnity costs to defendant in CACV 338/2018.
Cited by 3 cases · Cites 1 case