Read the full judgment text of HCCT 25/2019 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 18 August 2021 before Hon Mimmie Chan J.
Construction and Arbitration Proceedings — Enforcement of Mainland arbitral award — Arbitration award made by Zhanjiang Arbitration Commission in favour of Guangdong 顺德展煒商貿有限公司 against Sun Fung Timber Company Limited — Company controlled by Simon Tsang (ST) and New Intertrade Foods Co Ltd (NI) — Dispute arose over authority of ST to bind Company, validity of contract and arbitration clause, and notice of proceedings due to Company’s registered office being sold — GD sought enforcement in Hong Kong relying on Order 73 rule 10(1)(d) RHC — NI intervened on grounds of invalid arbitration agreement, improper notice, public policy, and non-disclosure — Application by GD for security for costs under Order 73 rule 10A RHC refused by Court — Court found real prospect that Enforcement Order would be set aside and no risk that NI would dissipate Company assets — GD's non-disclosure of sale of registered office to Court was material and misleading — Enforcement proceedings had proceeded without proper notice to NI — Court emphasized parties’ duty of full and frank disclosure in ex parte applications — Outcome is refusal of security order and costs to NI on an indemnity basis. The hearing of the setting aside application was scheduled shortly after security application.
Legal issues: Whether to order security for costs in enforcement proceedings
Outcome: Security Application dismissed; GD ordered to pay costs on indemnity basis with certificate for 2 Counsel.
Cited by 1 case · Cites 2 cases