Read the full judgment text of HCCT000091/1998 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 11 May 1999 before The Hon Mr Justice Findlay.
Contracts — Performance bonds — Construction of guarantee demands — Requirement of opinion of default by plaintiff — Whether demand must state opinion — Court held opinion must exist but need not be expressly stated in demand — Demand letters reviewed for compliance with bond conditions — Reference to contractual clause of default, damages claimed, and capped amount accepted as sufficient — Less strict compliance required for performance bonds especially where guarantor is closely connected — Defendant's defences as to form and substance of demands rejected — Judgment for plaintiff for $21.8 million with interest — Costs to plaintiff — Defendant's appeal dismissed with costs.
Legal issues: Validity of demand under performance bonds · Interpretation of bond requirements regarding plaintiff's opinion
Outcome: Judgment for plaintiff in the sum of HK$21,800,000 with interest, payment ordered, defendant's appeal dismissed.