HIGH TECH GLOBAL CORPORATION v. ATL GLOBAL CO LTD

DCCJ2471/2008

IN THE DISTRICT COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

CIVIL ACTION NO. 2471 OF 2008

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BETWEEN

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D E C I S I O N

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1.  Interlocutory judgment was entered against the Defendant on 21 July 2008. This trial is to be conducted for the purpose of assessing the damages and losses sustained by the plaintiff.

Background

2.  The Plaintiff placed a shipping order dated 18 October 2006 with the Defendant for the shipment of a container containing 1317 cartons of chargers from Yantian, China to Long Beach, USA (the first shipment).

3.  The Plaintiff placed a further shipping order with the Defendant dated 27 November 2006 for the shipment of a container containing 1577 cartons of chargers from Yantian, China to New York, USA.

4.  Both shipping orders contained express instructions to the defendant that the cargoes were only to be released against original bill of lading, and not on any other guarantee. In breach of such instructions the defendant released or caused release of the goods under both shipments to Powercam, the notify party named in both shipping orders.

5.  The first shipment of goods were released to Powercam but Powercam has not made any payment to the plaintiff. On days unknown the goods under the second shipment were released or tampered with. Ultimately these goods returned and were stored with the Defendant’s agents/servants in USA. The Plaintiff has retained inspectors to inspect the goods and they found defects in these goods as particularised in the Statement of Claim. As a result of these defects those goods were rendered unsaleable.

6.  The Plaintiff did not receive payment of both shipments of goods. It is, of course, entitled to damages and losses sustained as a result of the breach of the instructions committed by the Defendant and such losses and damages in terms of money are represented by the value of goods as stated in the commercial invoices of these shipments of goods.

7.  Therefore for the first shipment of goods the Plaintiff is entitled to the value of goods set out in the Plaintiff’s commercial invoice in respect of the first shipment of goods in the sum of US$30,563.76.

8.  In respect of the second batch of goods the Plaintiff is entitled to the value of goods stated in the commercial invoice relating to this batch in the sum of US$37,184.88. The Plaintiff is also entitled to the inspection fees in the sum of US$1,780.00

9.  I order that the Defendant do pay within 14 days from today to the Plaintiff the total sum of US$69,528.64 (US$30,563.76 + US$37,184.88 + US$1,780.00) with interest thereon. Interest on the sum of US$67,748.64 at judgment rate commencing from 18 June 2007 until satisfaction. Interest on the sum of US$1,780 at judgment rate commencing from 7 August 2007 until satisfaction.

(Discussion re costs)

10.  Costs of this proceeding relating to the assessment of damages be to the Plaintiff, to be taxed if not agreed. No certificate for counsel.