RE QIN JUN

CACV 109/2017

[2019] HKCA 80

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF APPEAL

CIVIL APPEAL NO 109 OF 2017

(ON APPEAL FROM HCB NO 3231 OF 2016)

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DECISION ON COSTS

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Hon Kwan JA (giving the decision on costs of the court):

1.  On 15 August 2018, we dismissed the appeal of the debtor Qin Jun and ordered him to pay the costs of the petitioning creditor on an indemnity basis. On 16 November 2018, we dismissed the debtor’s application for leave to appeal to the Court of Final Appeal. We further made a disclosure order that the debtor and his solicitors do provide the name and address of the party who funded the appeal and is funding the application for leave to appeal to the Court of Final Appeal within seven days thereof and that upon such information being provided, the funder will be joined without further order as a party to the application for leave to appeal for the purposes of costs only. We gave directions for the creditor’s solicitors to serve the statement of costs of the leave application for summary assessment on the funder and that the latter be at liberty to lodge written submission on costs.

2.  The debtor’s solicitors complied with the disclosure order and disclosed on 23 November 2018 that Madam Wang Jue, who resides in the United States, is the funder.

3.  Madam Wang filed a submission dated 17 December 2018. She stated that she is the debtor’s wife and they had separated in 2013.  She stated that she has no personal interest in the outcome of this litigation and no control over its conduct.  She claimed to have provided funds to the debtor out of “humanity principles and minimum affection on children of the family”.  She also submitted that the creditor’s costs are excessive and should be reduced from $121,120 to $76,620.

4.  We are here concerned only with the costs of the application for leave to appeal.  We see no reason not to award costs on an indemnity basis in this instance.  We do not think it material that Madam Wang has no personal interest in the outcome of the litigation and no control over its conduct, as she has alleged.  The fact remains that she has funded the application for leave to appeal and made it possible for this application, which is entirely without merit, to be brought and this is part of an “extensive array of litigation both in Hong Kong and overseas” initiated by the debtor despite the bankruptcy order.  We think it appropriate that Madam Wang should pay the creditor’s costs of the application for leave to appeal.

5.  Regarding the assessment of costs, applying the standard of taxation for indemnity costs, we reduce the amount of costs payable to $115,320.