Pacific Electric Wire & Cable Co Ltd v. Harmutty Ltd and Others

Read the full judgment text of CACV 208/2008 on BabelCite. This Court of Appeal judgment was delivered on 5 June 2009 before Rogers VP, Le Pichon JA.

Civil procedure – leave to appeal – Order 14 rule 1(2) – summary judgment – exclusion of actions based on allegations of fraud – whether underlying root cause of action based on fraud – whether plaintiff may seek ancillary relief without relying on fraud allegation – whether action fit for Order 14 application – Court of Appeal had determined matter not fit for Order 14 – whether proposed grounds raise question of great general or public importance – interlocutory appeal – consolidated civil appeals – six actions arising from HCA 2763/2004, HCA 2203/2004, and HCA 2746/2004 – application for leave to appeal by the plaintiff/applicant Pacific Electric Wire & Cable Company Limited – application for leave to appeal dismissed – wholly academic to grant leave – subsequent application for leave to appeal to Court of Final Appeal (FAMV 28/2009 to FAMV 33/2009) also dismissed on 14 September 2009.

Legal issues: Whether to grant leave to appeal regarding Order 14 rule 1(2) and the exclusion of fraud-based claims

Outcome: Application for leave to appeal dismissed.

Cites 2 cases

Application for leave to appeal by the plaintiff dismissed by Court of Final Appeal. Please refer to FAMV28/2009 to FAMV33/2009 dated 14 September 2009
Case No.CACV 208/2008
Court
Court of Appeal
Date05 Jun 2009
JudgeRogers VP, Le Pichon JA
Case Document
100%Judiciary

CACV 208/2008, CACV 210/2008, CACV 211/2008, CACV 212/2008,
CACV 351/2008 AND CACV 352/2008

CACV 208/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 208 OF 2008

(ON APPEAL FROM HCA NO. 2763 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE
& CABLE COMPANY LIMITED
Plaintiff
  and  
  HARMUTTY LIMITED 1st Defendant
  HADDOWE LIMITED 2nd Defendant
  CASPARSON PROPERTIES LIMITED 3rd Defendant
  HU HUNG CHIU (胡洪九) 4th Defendant
  YIP CHI HUNG (葉稚雄) 5th Defendant
  CHUNG CHE LING (鍾子陵) 6th Defendant
  TUNG YU JEH (仝玉潔) 7th Defendant
  SUN TAO TSUN (孫道存) 8th Defendant
  TAM PUI NA, RAFIA (譚佩娜) 9th Defendant
  WONG KUN TO (黃勤道) 10th Defendant
  CHEUNG KWAN HUNG, ANTHONY
(張鈞鴻)
11th Defendant
  AFTERVILLE LIMITED 12th Defendant
  NEE SOON LIMITED 13th Defendant
  SHOWGROUND LIMITED 14th Defendant
  BERRIDALE DEVELOPMENTS LIMITED 15th Defendant
  JUTECH INVESTMENTS LIMITED 16th Defendant
  ALL DRAGON INTERNATIONAL LIMITED 17th Defendant
  BLINCO ENTERPRISES LIMITED 18th Defendant
  PATAGONIA LIMITED 19th Defendant
  MA KAM FOOK, ROBERT (馬金福) 20th Defendant
  HU SUN MAR LI (胡孫瑪琍) 21st Defendant

----------------------

AND

CACV 210/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 210 OF 2008

(ON APPEAL FROM HCA NO. 2203 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE & CABLE COMPANY LIMITED Plaintiff
  and  
  TEXAN MANAGEMENT LIMITED 1st Defendant
  CLIPPER INVESTMENT LIMITED
(FORMERLY KNOWN AS PACIFIC CAPITAL (INVESTMENT) LIMITED)
2nd Defendant
  PACIFIC CAPITAL (ASIA) LIMITED 3rd Defendant
  ALL DRAGON INTERNATIONAL LIMITED 4th Defendant
  PCL HOLDINGS LIMITED
(FORMERLY KNOWN AS PACIFIC CAPITAL (HOLDINGS) LIMITED)
5th Defendant
  LAIDLAW PACIFIC FINANCIAL SERVICES
(HOLDINGS) LIMITED
(FORMERLY KNOWN AS PACIFIC CAPITAL FINANCIAL SERVICES (HOLDINGS) LIMITED)
6th Defendant
  SUPER WISH LIMITED 7th Defendant
  HU HUNG CHIU(胡洪九) 8th Defendant
  WONG KUN TO(黃勤道) 9th Defendant
  CHEUNG KWAN HUNG, ANTHONY(張鈞鴻) 10th Defendant
  MA KAM FOOK, ROBERT(馬金褔) 11th Defendant
  CHENG SHU WING(鄭樹榮) 12th Defendant
  TUNG YU JEH(仝玉潔) 13th Defendant
  SUN TAO TSUN(孫道存) 14th Defendant
  PANG HONG(龐鴻) 15th Defendant

----------------------

AND

CACV 211/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 211 OF 2008

(ON APPEAL FROM HCA NO. 2746 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE & CABLE COMPANY LIMITED Plaintiff
  and  
  GOLD GLOBAL LIMITED 1st Defendant
  PCL NOMINEES LIMITED 2nd Defendant
  GREATEAM LIMITED 3rd Defendant
  HU HUNG CHIU(胡洪九) 4th Defendant
  CHUNG CHE LING(鍾子陵) 5th Defendant
  YIP CHI HUNG(葉稚雄) 6th Defendant
  TAM PUI NA, RAFIA(譚佩娜) 7th Defendant
  HARMUTTY LIMITED 8th Defendant

----------------------

AND

CACV 212/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 212 OF 2008

(ON APPEAL FROM HCA NO. 2763 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE & CABLE COMPANY LIMITED Plaintiff
  and  
  HARMUTTY LIMITED 1st Defendant
  HADDOWE LIMITED 2nd Defendant
  CASPARSON PROPERTIES LIMITED 3rd Defendant
  HU HUNG CHIU(胡洪九) 4th Defendant
  YIP CHI HUNG(葉稚雄) 5th Defendant
  CHUNG CHE LING(鍾子陵) 6th Defendant
  TUNG YU JEH(仝玉潔) 7th Defendant
  SUN TAO TSUN(孫道存) 8th Defendant
  TAM PUI NA, RAFIA(譚佩娜) 9th Defendant
  WONG KUN TO(黃勤道) 10th Defendant
  CHEUNG KWAN HUNG, ANTHONY(張鈞鴻) 11th Defendant
  AFTERVILLE LIMITED 12th Defendant
  NEE SOON LIMITED 13th Defendant
  SHOWGROUND LIMITED 14th Defendant
  BERRIDALE DEVELOPMENTS LIMITED 15th Defendant
  JUTECH INVESTMENTS LIMITED 16th Defendant
  ALL DRAGON INTERNATIONAL LIMITED 17th Defendant
  BLINCO ENTERPRISES LIMITED 18th Defendant
  PATAGONIA LIMITED 19th Defendant
  MA KAM FOOK, ROBERT(馬金褔) 20th Defendant
  HU SUN MAR LI(胡孫瑪琍) 21st Defendant

----------------------

AND

CACV 351/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 351 OF 2008

(ON APPEAL FROM HCA NO. 2746 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE & CABLE
COMPANY LIMITED
Plaintiff
  and  
  GOLD GLOBAL LIMITED 1st Defendant
  PCL NOMINEES LIMITED 2nd Defendant
  GREATEAM LIMITED 3rd Defendant
  HU HUNG CHIU(胡洪九) 4th Defendant
  CHUNG CHE LING(鍾子陵) 5th Defendant
  YIP CHI HUNG(葉稚雄) 6th Defendant
  TAM PUI NA, RAFIA(譚佩娜) 7th Defendant
  HARMUTTY LIMITED 8th Defendant

----------------------

AND

CACV 352/2008

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO. 352 OF 2008

(ON APPEAL FROM HCA NO. 2763 OF 2004)

----------------------

BETWEEN

  PACIFIC ELECTRIC WIRE & CABLE COMPANY LIMITED Plaintiff
  and  
  HARMUTTY LIMITED 1st Defendant
  HADDOWE LIMITED 2nd Defendant
  CASPARSON PROPERTIES LIMITED 3rd Defendant
  HU HUNG CHIU(胡洪九) 4th Defendant
  YIP CHI HUNG(葉稚雄) 5th Defendant
  CHUNG CHE LING(鍾子陵) 6th Defendant
  TUNG YU JEH(仝玉潔) 7th Defendant
  SUN TAO TSUN(孫道存) 8th Defendant
  TAM PUI NA, RAFIA(譚佩娜) 9th Defendant
  WONG KUN TO(黃勤道) 10th Defendant
  CHEUNG KWAN HUNG, ANTHONY(張鈞鴻) 11th Defendant
  AFTERVILLE LIMITED 12th Defendant
  NEE SOON LIMITED 13th Defendant
  SHOWGROUND LIMITED 14th Defendant
  BERRIDALE DEVELOPMENTS LIMITED 15th Defendant
  JUTECH INVESTMENTS LIMITED 16th Defendant
  ALL DRAGON INTERNATIONAL LIMITED 17th Defendant
  BLINCO ENTERPRISES LIMITED 18th Defendant
  PATAGONIA LIMITED 19th Defendant
  MA KAM FOOK, ROBERT (馬金褔) 20th Defendant
  HU SUN MAR LI (胡孫瑪琍) 21st Defendant

----------------------

(Heard together)

Before: Hon Rogers VP and Le Pichon JA in Court

Date of Hearing: 5 June 2009

Date of Judgment: 5 June 2009

--------------------------

J U D G M E N T

------------------------

Hon Rogers VP:

1.In this case, this Court has made clear that, quite apart from anything else, it does not consider that this matter was fit for Order 14.  So if one considers the criteria for granting leave in interlocutory appeals, I regret that whether or not there is a question of great general or public importance as regards whether the exact wording of Order 14 rule 1(2) and the exclusion of actions which include a claim by the Plaintiff based on an allegation of fraud and whether that means that an Order 14 application can be made, notwithstanding that the underlying root cause of the action as pleaded is based on fraud, or whether, as the Plaintiff says, it can seek ancillary relief, even though it says that it does not rely on the allegation of fraud, that is a matter in respect of which I would not give leave to appeal.

2.When the matter is considered in the round, even if that is taken to the Court of Final Appeal, there remains the matter as to whether this action was fit for an Order 14 application.  This Court was clearly of the view that it was not.

3.In that case, it seems to me that it would be wholly academic to give leave and I, for my part, would not be prepared to give leave.

Hon Le Pichon JA:

4.I agree.

(Anthony Rogers) (Doreen Le Pichon)
Vice-President Justice of Appeal

Mr Anthony Neoh SC and Ms Barbara Wong, instructed by Messrs W K To & Co., for the Plaintiff/Applicant in all appeals (“PEWC”)

Mr Clifford Smith SC and Ms Rachel Lam, instructed by Messrs Tanner De Witt, for the 18th and 19th Defendants in CACV 208/2008/Respondents (“Blinco & Patagonia”)

Mr Simon Westbrook SC and Mr Jeevan Hingorani, instructed by Messrs Gall & Lane, for the 1st, 3rd, 4th and 7th Defendants in CACV 210/2008; the 1st, 2nd, 3rd and 8th Defendants in CACV 211/2008; and the 1st, 2nd, 3rd and 17th Defendants in CACV 212/2008/Respondents (“the Corporate Defendants”)

Mr Robert Whitehead SC and Mr Steven Kwan, instructed by Messrs Haldanes, for the 4th Defendant in CACV 208, 211, 212, 351 and 352/2008; and the 8th Defendant in CACV 210/2008/Intervener (“Mr Hu”)

Mr Edward Alder, instructed by Messrs Kennedys, for the Joint and Several Receivers of the 2nd and 3rd Defendants in CACV 208/2008; the 5th Defendant in CACV 210/2008; and the 3rd Defendant in CACV 211/2008

Application for leave to appeal by the plaintiff dismissed by Court of Final Appeal. Please refer to FAMV28/2009 to FAMV33/2009 dated 14 September 2009