HK CourtDB
HomeDirectoryMCP
Hong Kong CourtDB
Back to directory
Civil Action2010

CHRISTIAN ZHENG SHENG ASSOCIATION LTD AND OTHERS v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER

Related cases with same parties

  • CACV28/1997HONG KONG POLYTECHNIC UNIVERSITY v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER
  • FACV5/2002NEXT MAGAZINE PUBLISHING LTD AND ANOTHER v. MA CHING FAT
  • HCA1634/2012HUANG JINLING v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER
  • HCA2776/2006DR ESTHETIC PRODUCT RESEARCH & PRODUCTION CENTRE LTD AND ANOTHER v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER
  • HCA3113/2003CHIAU SING CHI STEPHEN v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER
  • HCA3238/1995HONG KONG POLYTECHNIC UNIVERSITY AND OTHERS v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER
  • HCA785/2011CHUNG MING YU AND OTHERS v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER

Files (2)

90772-EN-2013-12-23

CHRISTIAN ZHENG SHENG ASSOCIATION LTD AND OTHERS v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER

HTML content

HCA 563/2010

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

HIGH COURT ACTION NO 563 OF 2010

____________

BETWEEN

 CHRISTIAN ZHENG SHENG ASSOCIATION LIMITED
(基督教正生會有限公司)
1st Plaintiff
 LAM HAY SING (林希聖)2nd Plaintiff
 CHAN SIU CHEUK (陳兆焯)3rd Plaintiff

and

 NEXT MAGAZINE PUBLISHING LIMITED
(壹週刊出版有限公司)
1st Defendant
 LEE FO YEE (李科儀)2nd Defendant

____________

Before: Hon Chung J in Court
Date of Hearing: 9 December 2013
Date of Ruling: 9 December 2013
Date of Reasons for Ruling: 23 December 2013

_____________________________

REASONS FOR RULING

_____________________________

 

Introduction

1. These are the reasons for my ruling made on 9 December 2013 at the end of a legal argument during the libel trial with a jury (but which took place before the jury was empanelled).  The said argument arose out of the defendants’ objection to the plaintiffs’ inclusion of certain documents in the trial bundles for use by the jury (“jury bundles”).  I ruled in the defendants’ favour.

Background

2. This action was commenced in April 2010.  The plaintiffs have been involved in charity work, the most well-known of which in Hong Kong is a secondary school called Christian Zheng Sheng College (“the College”).  Besides being a secondary school, the College also offers boarding and rehabilitation for adolescent drug abusers.

3. The plaintiffs complain that libelous statements were made by the defendants against them in 3 separate issues of a weekly magazine “Next Magazine” respectively published around 13 and 27 August and 31 December 2009.

4. The defendants deny the claim, contending (among other things) that they can rely on the defence of justification, fair comments, and (in the case of one article) qualified privilege.

The objections

5. Various groups of documents intended to be included in the jury bundles were objected to by the defendants.  The trial was adjourned for half-day or so for the parties to discuss them.  When the hearing resumed, agreement in principle concerning some of them has been reached. 

6. Some documents remained disputed.  They were documents showing expenses incurred for engaging:

(a) a public relations company called A-World Consulting Ltd (“A-World”);

(b) accounting firms called Trade Management Ltd (“Trade Mgt”) and Union Alpha CAAP CPA Ltd (“Union Alpha”).

7. As stated above, the allegedly defamatory words were published respectively on about 13 and 27 August 2009 and 31 December 2009.  The amended statement of claim pleads that expenses were incurred by the plaintiffs to mitigate the damages thus caused.  Those expenses included expenses for press conferences held on:

(1) 19 August 2009;

(2) 11 April 2010.

(particulars (1) and (4), para 21, amended statement of claim)

8. The defendants opposed the A-World documents:

(1) they included items such as retainer fee for the latter half of 2010.  Unless satisfactorily explained, they cannot be related to the August 2009 press conference (as the plaintiffs contended during the hearing);

(2) there is no averment in the pleadings about this (nor in the witness statements) and so the basis for which they were put forth is unknown /unclear to the defendants.

9. They also opposed the Trade Mgt and Union Alpha documents:

(a) accounting expenses allegedly incurred to mitigate the loss have been pleaded.  But the witness statements stated that the accounts were prepared/audited by two other firms;

(b) in any event, in the absence of satisfactory explanation (whether by way of pleadings or witness statements), the preparation of accounts and their audits should be part of the ordinary operating expenses.

10. In short, I agreed with the above objections. Despite the plaintiffs’ attempt to argue otherwise, there were insufficient materials in the trial bundles to explain why the opposed documents should be placed before the jury.  To permit the plaintiffs to do so in such manner carried a real risk of substantial prejudice to the defendants; they would not be able to properly prepare materials to refute those documents.

Conclusion

11. The above were the reasons for my ruling that the opposed documents should not be included in the jury bundles.

Costs order

12. I awarded the costs of the above ruling to the defendants.  The parties’ argument concerning the matter lasted for a substantial part of the hearing on 9 December 2013 (including the time spent on discussion (para 5 above)) (from about 10 am to 3:30 pm).  Trial time should be used for its intended purpose; a trial is not the appropriate occasion for substantial discussions/argument about things like trial bundles.  Further, the dispute was quite independent of the issues which will later fall for determination in this action.

13. That being the case, I disagreed with the plaintiffs’ proposal for those costs to be in the cause of this action, and found it appropriate to adopt the usual rule that costs should follow the event.

14. The trial was adjourned to a date to be fixed because both parties opined that the original estimate of a 10-day trial (the first day was spent on the above dispute) would be insufficient (the new estimate was a 15-day trial).  This was not caused by the fault of only one party.  Thus, the appropriate order would be for the costs thrown away by the adjournment to be in the cause of this action.

(Andrew Chung)
Judge of the Court of First Instance
High Court

Mr Ambrose Ho, SC leading Mr Simon KC Lam and Mr Norman Yau, instructed by Danny Lau & Lam, for the 1st to 3rd plaintiffs

Mr Anderson Chow, SC leading Ms Queenie Lau, instructed by Deacons, for the 1st and 2nd defendants 

89274-EN-2013-09-23

CHRISTIAN ZHENG SHENG ASSOCIATION LTD AND OTHERS v. NEXT MAGAZINE PUBLISHING LTD AND ANOTHER

HTML content

HCA 563/2010

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

HIGH COURT ACTION NO 563 OF 2010

____________

BETWEEN

 CHRISTIAN ZHENG SHENG ASSOCIATION LIMITED
(基督教正生會有限公司)
1st Plaintiff
 LAM HAY SING (林希聖)2nd Plaintiff
 CHAN SIU CHEUK (陳兆焯)3rd Plaintiff
 

and

 
 NEXT MAGAZINE PUBLISHING LIMITED
(壹週刊出版有限公司)
1st Defendant
 LEE FO YEE (李科儀)2nd Defendant

____________

Before: Hon Chung J in Chambers
Date of Hearing: 10 September 2013
Date of Decision: 10 September 2013
Date of Reasons for Decision: 23 September 2013

__________________________________

REASONS FOR  DECISION

__________________________________

 

Introduction

1.  At the end of the pre‑trial review hearing, (among other things) I made an order in terms of the defendants’ summons to withdraw the plaintiffs’ interrogatories with costs (RHC Ord 26 r 3(2)) (“this application”).

2.  Below are the brief reasons for the above decision.

Background

3.  The plaintiffs commenced this action in April 2010 suing the defendants for libel.  The libel is said to be contained in 3 articles of a weekly magazine respectively published on 13 August, 27 August and 31 December 2009.  The defendants deny the libel.

4.  Among the relief sought is a claim for exemplary damages.

The interrogatories and this application

5.  It is common ground that the interrogatories were served without leave principally in relation to the defendants’ alleged liability for, and (if liability is established) the quantum of, exemplary damages.

6.  The information sought in this application can be categorized into:

(1)   the number of magazine distributed in and outside Hong Kong for each issue from 1 February 2009 to 30 June 2010 (a period of one year and five months);

(2)   the number of subscribers to the internet version of the subject magazine, and the hit‑rate of the same, for each issue for the above period; and

(3)   the advertising income from each issue (of both the printed and internet versions) of the subject magazine for the above period.

7.  In this connection, the plaintiffs referred (among other things) on the following passage in Gatley on Libel and Slander (2008) 11th Ed:

“To attract exemplary damages under the third category in Rookes v Barnard the publisher must have acted in the hope or expectation of material gain. It is not enough that he is motivated by a desire to injure or ruin the claimant. . . The fact that the defendant is engaged in an activity aimed at profit. . . does not of itself justify an award of exemplary damages. . . ” (emphasis supplied) (para 9.18).

8.  On the issue of quantum, Gatley states:

“Where the libel is published in a well‑known newspaper with which the jury is likely to be familiar, there is authority that the plaintiff cannot interrogate.. .the proprietors as to the number of copies which were printed and published, because the exact circulation figure is unlikely to be important and the jury will be well enough aware of the general type and extent of circulation to be able to assess damages. . . In practice, however, disclosure of circulation is routinely given and evidence of circulation (and readership) is invariably admitted at trial” (emphasis supplied) (para 33.36).

9.  The footnote to Gatley, para 9.18 appears to echo the above:

“The English approach supports the view that a function of exemplary damages is to strip the defendant of the profits of his wrongdoing, but if that is right they only do so in a very rough and ready manner: see para 9.22, below” (emphasis supplied) (n 203, para 9.18).

10.  The salient features relevant to this application are largely undisputed:

(1)   the subject magazine is well‑known and is likely to be familiar to the jury;

(2)   the average circulation figures have been stated on the cover of the subject magazine (and, according to one of the defendants’ letters, also available from the website of the Hong Kong Audit Bureau of Circulations); and

(3)   there were other articles in the subject magazine besides the allegedly libelous articles.

11.  I have adopted the summary of the legal principles stated in Gatley when deciding this application, and conclude that it is not the policy of the law, as it present stands, to encourage extensive and/or detailed investigation by way of interrogatories for the purpose of establishing exemplary damages (whether the same applies to the discovery of documents is not a matter for discussion on this occasion (Morinda International Hong Kong Ltd v Next Magazine Publishing Ltd and Others HCA 4471/2000 (4 October 2002), referred to by the defendants, was a decision about specific discovery)).

12.  In view of the salient features above, the above legal policy applies with even more vigour:

(1)   there is no suggestion that the typical presentation, or the editorial and/or writing style, of the three issues under complaint has departed from the other issues of the subject magazine;

(2)   there is no evidence to suggest any substantial variation in the circulation figures for the three issues under complaint by reason of their being more attractive to the readers (or advertisers) of the subject magazine;

(3)   it would therefore be over‑simplistic to conclude that, should there be any change to the subject magazine’s circulation and/or advertising income, the same was a result of the publication of the alleged libel; and

(4)   the interrogatories cannot be justified on the ground that the jury would need to be informed of the circulation figures of a new and/or obscure publication.

Conclusion

13.  For the reasons set out above, this application was granted.

(Andrew Chung)
Judge of the Court of First Instance
High Court

Mr Ambrose Ho, SC leading Mr Simon K C Lam and Mr Norman Yau, instructed by Danny Lau & Lam, for the plaintiffs

Mr Anderson Chow, SC leading Ms Queenie Lau, instructed by Deacons, for the defendants