CHAN CHI KEUNG v. FAN YAU HONG

DCCJ3598/2007

IN THE DISTRICT COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

CIVIL ACTION NO. 3598 OF 2007

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J U D G M E N T

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1.  The plaintiff and the defendant were the shareholders of a limited company called L&W Medical Company Limited.  By an agreement executed in April 2007, both parties agreed that the defendant agree to purchase back from the plaintiff his 10 % share of L&W Medical Company, which the plaintiff owned for $500,000.  The defendant was to pay $100,000 at the signing of the agreement, $200,000 before the end of June 2007 and the remaining $200,000 before the end of July 2007. 

2.  The plaintiff signed this agreement on 6 April 2007 and posted it back to the defendant on the same day.  On a day shortly after 11 April 2007, he received, inter alias, sold and bought notes, instrument of transfer from the defendant.  He signed these transfer documents and returned them together with other documents to the defendant in or about mid-April 2007. 

3.  The defendant failed to make the payment as stipulated in the agreement.  On 3 June 2007, the plaintiff wrote to the defendant, asking for payment of the same. 

4.  On or about the 3rd day of June 2007, the defendant paid the plaintiff $20,000.  Then on 6 July 2007 and 1 August 2007, respectively, the plaintiff, through his solicitors, issued to the defendant two letters, asking him to pay the outstanding debt, namely, $280,000 and $480,000.  The defendant failed to pay anything.  So the plaintiff issued the writ of these proceedings on 14 August 2007.

5.  I accept the plaintiff’s evidence.  The defendant did not come to court to testify today to support his defence.  So I enter judgment in favour of the plaintiff in the sum of $480,000, with interest thereon, at judgment rate, commencing from 1 August 2007 until payment.

(Discussion re costs)

6.  The defendant has to pay this sum of $480,000 with interest thereon within 14 days from today. 

7.  The defendant do pay costs of these proceedings to the plaintiff, to be taxed, if not agreed, with certificate for counsel.