R. Stahl Inc. v. Aj Development Ltd

HCA 1412/2019

[2026] HKCFI 3654

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

ACTION NO. 1412 OF 2019

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BETWEEN

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DECISION ON JOINDER FOR COSTS

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1.I handed down a Judgment on the substantive dispute between the Plaintiff and the Defendant on 15 June 2026.

2.During closing submissions at trial, Counsel for the Plaintiff applied to join Ms Zhong and Mr Ho to these proceedings for purposes of costs. I expressed doubts about whether it would be appropriate. The Defendant as a company has to be controlled and directed by individuals. Individuals are entitled to conduct business through companies. The fact that a company runs claims or defences which are not upheld is not enough basis for the opponent to look behind the corporate form for costs.

3.I did not deal with the matter of joinder in my Judgment. By a letter dated 16 June 2026, the Plaintiff’s solicitors raised the matter again. They sought an amendment to my Order (which had not been sealed) under the slip rule.

4.Whether under the slip rule or by treating the matter as a fresh application, I shall deal with it here.

5.The doubts which I expressed to Counsel during oral closing submissions remain. But I accept that, under the relevant legal principles, an application for joinder should be refused only if it is a plain and obvious abuse of process. I have not come to such a view at this stage.

6.I grant leave to the Plaintiff to join Ms Zhong and Mr Ho for purposes of costs.

7.Any further proceedings may be restored before me. For the avoidance of doubt, costs of the application are reserved. The Plaintiff is reminded of the potential of costs liability to Ms Zhong and/or Mr Ho, and the parties are urged to consider whether it is worth throwing more costs at an issue of costs.

8.For ease of administration and future consideration of issues of costs, my Order granting leave should be drawn up as a separate Order.

Mr Ernest Ng, instructed by Messrs Tanner De Witt, for the Plaintiff

Mr Kelvin Leung, instructed by Messrs How & Co, for the Defendant