Lessons from the CJR - Sanctioned Offer in Practice

Originally published 14 May 2010

Keywords: CJR, sanctioned offer, award, enhanced costs, indemnity

The recent decision in Fung Wing Yee (a minor) v. Chen Jung Chien demonstrates how the Court applies the new rules on sanctioned offer and awards enhanced costs and interests to the Plaintiff, who had done better at trial than her sanctioned offer to the Defendant.

Background

The case arises from a traffic accident in which the minor Plaintiff sustained serious injuries. Liability was admitted and damages was assessed at HK$2,216,396.85 by the Court.

After Judgment was handed down, the Plaintiff applied for a variation of the costs order nisi in two-fold:

1. costs to be taxed on common fund basis, on the basis that the Plaintiff was a minor; and