Read the full judgment text of CACV 000310/1998 on BabelCite. This Court of Appeal judgment was delivered on 4 March 1999.
1. This case involves three parties in a company, the Sanwa Development Limited (Sanwa). The plaintiff (Mr Lau) commenced an action against his co-directors and shareholders in Sanwa as the 1st and the 2nd defendants. Sanwa was joined as the 3rd defendant. It is common ground that the action was a derivative action. A Defence was filed; so was a Reply. The Writ of Summons was taken out in July 1994. Mr Lau's claim in the derivative action was then primarily based on breaches of fiduciary duty by