China State Construction Engineering (Hong Kong) Ltd v. Ho Siu Po

Read the full judgment text of HCCT 57/2003 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 4 March 2004 before Hon Reyes J.

Procedure — Setting aside default judgment — Saudi Eagle test — Defendant must demonstrate reasonable prospect of success and provide explanation for delay in applying to set aside — Defendant failed to provide particularised evidence or explanation for 7-month delay — Application refused. The Plaintiff obtained a default judgment against the Defendant, who then applied to set aside the judgment nearly seven months later without sufficient evidence or explanation. The court applied the Saudi Eagle test and held that the Defendant did not satisfy the requirements, resulting in refusal of the application.

Legal issues: Setting aside default judgment

Outcome: Defendant's application to set aside default judgment refused

Case No.HCCT 57/2003
Court
高等法院原訟法庭
Date04 Mar 2004
JudgeHon Reyes J
Case Document
100%Judiciary

HCCT000057/2003

HCCT 57/2003

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

CONSTRUCTION AND ARBITRATION PROCEEDINGS
NO. 57 OF 2003

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BETWEEN
CHINA STATE CONSTRUCTION ENGINEERING (HONG KONG) LIMITED Plaintiff
AND
HO SIU PO Defendant

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Coram: Hon Reyes J in Chambers

Date of Hearing: 4 March 2004

Date of Judgment: 4 March 2004

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J U D G M E N T

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1.I am against the Defendant's application. I refuse leave to set aside judgment in default of liability. Under the Saudi Eagle test [1986] 2 Lloyds Rep 221, a defendant seeking to set aside a default judgment must show at least 2 things:

(1) he has a reasonable prospect of success; and

(2) there is some explanation for his delay in applying to set aside. Here there has been a delay of nearly 7 months before the application to set aside the default judgment.

2.On the 1st requirement, I am not satisfied on the evidence (there is in fact no particularised evidence at all), that the Defendant has a reasonable prospect of success. To satisfy the court of a reasonable prospect to success, the Defendant must condescend to particulars. He cannot merely assert that he has a claim. He must provide sufficient details on affidavit of the facts and matters upon which he relies to enable the court to assess his prospect of success. That has not been done here.

3.On the 2nd requirement, there is simply no explanation in the affidavit evidence as to why there has been a 7-month delay. The court is thus unable to assess the merits of the Defendant's application to set aside.

4.For these reasons, I am unable to exercise my discretion in favour of the Defendant to set aside the default judgment on liability.

(A. T. Reyes)
Judge of the Court of First Instance
High Court

Representation:

Mr Shepherd, of Messrs Herbert Smith, for the Plaintiff

Mr Ivan Cheung, instructed by Messrs Leung, Chan & Pang, for the Defendant