The forthcoming amendments to the Land Titles Ordinance will introduce a title registration system for newly granted land, aiming to eliminate the burdensome of retaining and checking historical title documents and streamline the conveyancing process.
Under the new system, registered owners will be recognized as the legal owners as the Title Register is conclusive evidence of the title to the property. Property transactions will be simplified, as verification can be conducted through the Title Register with reduced checking on title documents. Title will be established as a matter of fact by simply checking the Title Register.
This transition will improve efficiency, while the role of conveyancing lawyers will evolve rather than diminish. We will actively engage with these changes to navigate the new landscape and provide informed guidance to clients, particularly regarding the implications of the amended laws on adverse possession and potential title disputes.
We encourage all stakeholders to stay informed and prepared for these important developments, and to witness the new reform in Hong Kong whilst title registration system has been operating in many overseas jurisdictions such as UK, Malaysia and Australia with common law background.
For enquiries, please contact our Partner Mr. Mathew Liu and our Senior Associate Ms. Cindy Fong.
On 8 January 2025, a delegation of PRC legal professionals from Zhuhai, led by the Zhuhai Lawyers Association paid a visit to our firm and were warmly received by our Senior Partner Mr. Peter Sit, Partner Mr. Simon Siu, Ms. Jenny Wong and Associate Ms. June Wang.
During the visit, Wang Bin (Director, Beijing Zhongyin (Zhuhai) Law Firm and President, Zhuhai Lawyers Association) and other Zhuhai lawyers did have a fruitful discussion for closer cooperation of PRC and HK lawyers. This visit not only significantly strengthened our ties with Zhuhai Lawyers Association but also enabled us to better serve our clients amid the increasingly important bonding between the two dynamic regions.
We would like to take this chance to express appreciation to Zhuhai Lawyers Association and all the delegates for visiting us.
We act for the Plaintiff and have successfully set aside an order for possessory title (the “Order”) that was obtained by fraud by the 1st Defendant in a District Court action commenced in 2000 (the “DCMP Action”) and a Consent Summons that was entered into between our client and the 1st Defendant (the “Consent Summons”) in a subsequent District Court action commenced in 2009 (the “DCCJ Action”) under a mistake of fact, after going through an 8-day trial this year.
Our client is the actual occupier of the subject lands in New Territories (the “Premises”). However, unknown to our client, the Order was obtained and made in favour of the 1st Defendant in DCMP Action, whereby the 1st Defendant (the personal representative of the original Plaintiff in DCMP Action) alleged that the original Plaintiff and/or her family (including the 1st Defendant) had been in possession and occupation of the Premises for the requisite period of time and had therefore thereby obtained a possessory title to the Premises. Upon obtaining the Order based on such fraudulent representations to the Court, the 1st Defendant further commenced the DCCJ Action against our client seeking for rent, again making fraudulent allegation that he had become the registered owner of the Premises and was entitled to rent from our client. The Consent Summons was signed by our client (who was without legal representation at that time) in such circumstances by mistake, and was peculiarly found by the Court to have never been filed by the 1st Defendant in the DCCJ Action in the end.
Near a decade was passed after the discovery of the 1st Defendant’s fraud, the going through of an application to join as party in the DCMP Action, and the commencement of these proceedings to formally set aside the Order and Consent Summons, our client gave evidence of his actual possession of the Premises in Court during trial, which the Court found to be credible and reliable, resulting in the judgment that both the Order and the Consent Summons were set aside by fraud and/or mistake of fact, as well as an order that indemnity costs be awarded in favour of our client.
The case was handled by our Partners Mr. Tommy Tam and Ms. Jenny Wong, assisted by our Associates, Ms. Theresa Law (at early stage when she was a trainee solicitor) and Ms. Koey Wong, and our Trainee Mr. Manson Chan.
Our Partner Sidney Ho has been appointed as a member of the Guidance Committee of The Law Society of Hong Kong.
The Guidance Committee provides guidance and advice to members of the profession and others relating to professional conduct and ethics, including the Solicitors' Practice Promotion Code.
We congratulate our Partner Jenny Wong for receiving dual recognitions in two recent young lawyer selections, namely one of the ALB Hong Kong Rising Stars 2024 and one of the LexisNexis 40 Under 40 Greater China. Jenny received training in our firm and developed her career all the way up to partnership with us. We are proud of her.
See photos of Jenny’s attendance at the winners’ dinner for LexisNexis 40 Under 40 Greater China.
See the full list of winners of LexisNexis 40 Under 40 Greater China, selected by LexisNexis.
Also see the full list of the ALB Hong Kong Rising Stars 2024, selected by Asian Legal Business and Thomson Reuters.
Our Partner Mathew Liu hosted an insightful specialty group session for the International Lawyers Network (ILN) online.
Mathew led a compelling discussion on “Best Practices for Compromising Debts of an Insolvent Company: Scheme of Arrangement”. This topic is particularly pertinent given the ongoing global economic challenges.
In Hong Kong, schemes of arrangement have long been utilized for debt restructuring. However, as participants noted, the regulations governing these schemes in EU jurisdictions are still evolving.
Mathew and the attendees highlighted a notable trend in drafting these schemes: they are increasingly lengthy and presented in a binary format. While comprehensive, this length can detract from readability and focus. Many schemes now only outline two scenarios - liquidation and restructuring - potentially misleading creditors into believing that insolvency is imminent if the scheme is not approved. This poses significant challenges for drafters, who must strike a balance between providing complete information, ensuring clarity, and being persuasive.
The discussion also delved into practical experiences around engaging creditors, including the collection of votes and gauging positions prior to meetings. Given that the process is democratic, it is essential for creditor classes to make informed decisions. Moreover, the court’s role is not merely passive; practitioners must be prepared to make compelling submissions to satisfy the court’s requirements for approving these schemes.
Sit, Fung, Kwong & Shum proudly stands as one of only three members from Hong Kong in ILN, a prestigious association dedicated to creating a global platform for high-quality legal services, particularly for clients with international needs.
We are honoured to attend the Grand Opening of The Twins Tower I and the SOGO department store in Kai Tak, Kowloon on 15 November 2024, and to take photos with Mr. Thomas Lau, Chief Executive Officer of Lifestyle International Holdings Limited, along with Ms. Ivy Lam, Ms. Amy Chan, Ms. Rosita Yau etc., to congratulate their team on this landmark success. We are glad to be part of the process leading up to this momentous occasion.
We and Des Voeux Chambers co-hosted the DVC-SFKS Young Insolvency Litigators Sharing Session on 11 November 2024.
The Sharing Session featured a dynamic panel of young lawyers, moderated by our Associate Crystal Yip who started by facilitating a lively discussion centered around a real insolvency case, with Counsel Ping Kan Kwan and Billy Liu engaging as opposing counsel. They shared valuable insights and practical tips for young litigators navigating today’s complex landscape.
Our Associate Shirley Yu then shed light on critical aspects of setting aside bankruptcy statutory demands and injunctions against winding up petitions, addressing challenges with reference to recent judicial reactions and views on practice trends.
Attendees included senior counsel, partners, liquidators, newly admitted solicitors, and junior barristers, all eager to share their experiences in the evolving field of insolvency, which are increasingly relevant in our current economic climate.
Our Partners Roy Leung and Mathew Liu gave opening and closing remarks on how the next generations would remain a pillar of the insolvency practice.
Our lawyers, at different seniorities, are all ready and capable of utilizing their expertise and network within the legal profession to yield the best outcome in insolvency-related cases.
We filed a winding-up petition against Physical Health Centre Hong Kong Limited (“Physical”), for outstanding wages owed to its employees, upon instructions from the Protection of Wages on Insolvency Fund Board (“Fund Board”) on 6 November 2024.
Physical has been established for over 38 years and is one of the largest and most popular fitness and beauty center brands in Hong Kong, with operations spanning Hong Kong and Mainland China. The complete closure of Physical on 6 September of this year has garnered extensive media coverage and has also attracted significant attention of the Government. To date, it is estimated that nearly 800 employees have been affected.
Under the statutory regime, a bankruptcy or winding-up petition shall be presented against the defaulting employer before the Fund Board processing the release of ex-gratia payments to its victim employees to ease their financial burden pending legal proceedings, unless and until the employers for fear of liquidation settle the outstanding debts that have been long owed to the employees.
As a panel law firm of the Fund Board, we have dealt with over 200 cases in the past two years involving outstanding wages. We take pride in serving the public interest through our specialized insolvency expertise. Equally, we feel obliged to look beyond numbers and to comprehend how we can assist victim employees at times of fierce difficulties.
The Physical case is a public scandal. According to the Labour Department’s announcement, Physical owed outstanding wages and/or other payments to 791 employees. The Labour Department and the Fund Board have been extremely concerned. In the last three months, our team worked closely with the Fund Board, the Labour Department and a large number of the employees concerned to ensure that legal proceedings can be commenced in an effective and timely manner.
The Physical case is led by our Partners Roy Leung and Mathew Liu together with Associate Winnie Hui, and assisted by Associate Shirley Yu, Paralegal (pending admission as solicitor) Sherrie Ma, Trainee Solicitors Tommy Lam, Janice Leung and Jaimie Ho.
Other members of our Litigation Department in charge of cases referred to by the Fund Board include Senior Associate Theresa Law, Associate Koey Wong and Crystal Yip, assisted by Trainee Solicitors Chloe Fan, Andes Leung, Christine Chan and Manson Chan, together with litigation clerks.
Our firm has been appointed by Sun Hung Kai Real Estate Agency Ltd. in the sale of residential units in various property developments.
Phase 1 of New Kowloon Inland Lot No.6568, also known as Cullinan Sky is located in Kai Tak, Kowloon which provides a total of 906 residential units. Our firm is responsible for handling the conveyancing works of 25% of the properties in the development.
Phase 1 of New Kowloon Inland Lot No.6551, also known as Cullinan Harbour is located in Kai Tak, Kowloon which provides a total of 256 residential units. Our firm is responsible for handling the conveyancing works of 52 residential units.
Phase 3B of NOVO LAND Development is located in Tuen Mun, New Territories which provides a total of 769 residential units. Our firm is responsible for handling the conveyancing works of 20% of the properties in the development.
Phase C of the YOHO Hub Development, also known as The YOHO Hub II is located in Yuen Long, New Territories which provides a total of 939 residential units. Our firm is responsible for handling the conveyancing works of 94 residential units.
We are honoured to participate in the sale of residential units of other property development projects including Phase 1B, Phase 2A and Phase 2B of NOVO LAND Development located in Tuen Mun, New Territories and Phase 2A and Phase 2B of University Hill located in Tai Po, New Territories.
The projects are led by our partner Ms. Margaret Choi and assisted by Ms. Ida Chan (associate) and a team of experienced lawyers and conveyancing clerks.
We were invited to participate in the “2024 First Shenzhen Legal Services Expo” (the “Expo”) organized by the Shenzhen Lawyers Association, held at the Shenzhen Convention and Exhibition Center on 26-27 October 2024.
The Expo attracted over ninety exhibitors, including judicial bureaus from various districts in Shenzhen, the Shenzhen International Arbitration Center, Zhuhai International Arbitration Center, numerous local law firms and foreign-related law firms.
We are honoured to be one of the only two Hong Kong law firms with our own booth at the Expo, committed to promoting judicial and legal exchanges and connectivity within the Guangdong-Hong Kong-Macao Greater Bay Area. We aim to create a comprehensive and professional platform with domestic lawyers and mainland legal service organizations for mainland enterprises and individuals seeking Hong Kong legal services.
Being recently shortlisted as finalist in the Greater Bay Area Law Firm of the Year (Hong Kong and Macau) by Asian Legal Business, and serving as a diamond sponsor for the Hong Kong Law Society’s “Cross Strait Four Regions Young Lawyers Forum” we look forward to continuously establishing deeper connections with domestic legal experts after the Expo, facilitating cross-border legal services between Hong Kong and the Mainland.
Our Partner Sidney Ho represented the Bridge team of the Law Society of Hong Kong to victory at the Inter-professional International Match Points (IMP) Pair Championship 2024.
The Championship, held on 20 October 2024, featured 18 pairs from various professional organizations, including the Hong Kong Medical Association and the Hong Kong Institute of Certified Public Accountants. Sidney and his bridge partner secured the championship title with a remarkable performance.
Both fields demand a deep understanding of probabilities and the ability to navigate complex scenarios, highlighting the intellectual rigor shared by the game of bridge and the practice of law.
Bridge, like legal work, especially in litigation, requires strategic thinking, risk assessment, and effective teamwork. Just as lawyers must make optimal decisions based on the various details of a case and relevant legal provisions, bridge players assess available information and game dynamics to formulate the best strategies. This approach not only aids in achieving success in the game but also provides crucial support in the practice of law, highlighting the intellectual rigor shared by both fields.
