Read the full judgment text of HCCW 325/2018 on BabelCite. This High Court CFI judgment was delivered on 19 March 2020 before Deputy High Court Judge William Wong, SC.
Companies winding-up – Strike out – Abuse of process – Matrimonial proceedings – Place of business – Solvent company – Family Court jurisdiction – Petitions struck out – The Petitioner presented winding-up petitions against two family companies, Capella Capital Limited and Friedmann Pacific Asset Management Limited, seeking a buy-out or winding up order. The Respondents applied to strike out the petitions on grounds of abuse of process, lack of jurisdiction, and unreasonable conduct. The Court held that there was no real prospect of a winding-up order being made as the companies were solvent, profitable, and the Respondent Husband had the financial ability to buy out the Petitioner. The Court further found that the Petitions were an abuse of process as the disputes were matrimonial in nature and should be resolved in the ongoing Divorce Proceedings in the Family Court, which has wide jurisdiction to deal with company shares as matrimonial assets. The Court declined to strike out on jurisdictional grounds at this stage due to disputed facts regarding the place of business in Hong Kong. The Petitions were dismissed by consent, with the Court noting that a stay would have been appropriate as a matter of case management to avoid duplication of proceedings and wastage of judicial resources.
Legal issues: No real prospect of court making winding-up order · Abuse of Process – Duplication of Proceedings · Jurisdictional Challenge
Outcome: Petitions dismissed by consent. Alternatively, Petitions stayed pending determination of Divorce Proceedings.
Cited by 1 case · Cites 15 cases