AMIANTIT YACOAT CO AND ANOTHER v. KINGS OCEAN SHIPPING CO LTD AND OTHERS

HCAJ 21/2013

IN THE HIGH COURT OF THE

HONG KONG SPECIAL ADMINISTRATIVE REGION

COURT OF FIRST INSTANCE

ADMIRALTY ACTION NO 21 OF 2013

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ASSESSMENT OF DAMAGES
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Introduction

1. This is an assessment of damages by the plaintiffs against the 2^nd defendant.

Background

2. Briefly, in 2012, the 1^st plaintiff instructed the 2^nd defendant to ship certain iron pipes from China to Saudi Arabia.  Upon arrival, some of the pipes were found damaged.  The 1^st plaintiff then instructed surveyor for inspection and preparation of reports but could not recover damages from any of the defendants.

3. The 1^st plaintiff later resorted to its insurer, the 2^nd plaintiff who duly paid under the marine insurance certificate.  They thereafter commenced the present proceedings in 2013 against all three defendants.

4. On 25 March 2013, interlocutory judgment was obtained by the plaintiffs against the 2^nd defendant.

The Assessment

5. The plaintiffs proceeded with their assessment of damages.  The matter went on its usual course, including discovery exchange of witness statements and expert reports.  However, the 2^nd defendant did not take any step in the assessment, including the substantive hearing before me, despite that due notice having been given throughout the whole process.

6. The plaintiffs’ solicitor, Ms Goh appeared before me at the assessment.  The 2^nd defendant continued to be absent.  Having considered all the evidence authorities and submissions before me, including in particular the uncontested surveyor reports for the plaintiffs, namely, the preliminary report dated 28 March 2012 and final report dated 22 October 2012, both by Crawford Saudi Arabia for Loss Adjusting & Surveying, on balance, I agree to accept the claim of damages in the sum of US$ 304,944.17.

“ C & F value of total loss pipes	=	US$ 382,502.10
Repair charges for 693 pipes	=	US$ 25,015.00
Total	=	US$ 407,517.10
		______________
Less Policy Deductible	=	US$ (5,333.33)
Less Salvage	=	US$ (97,206.60)
Total claim	=	US$ 304,977.17
		”
		(paragraph 21 of Ms Goh’s skeleton)

7. I also agree to accept the submissions made by Ms Goh that the limitation of damages by both the Hague-Visby Rules and the subject bill of lading do not assist the 2^nd defendant as the claim by the plaintiffs herein does not exceed the limitations therein.

8. There will also be interest for the plaintiffs for the aforesaid sum US$ 304,944.17 at the rate of 8% per annum from the date of writ herein until today and thereafter at judgment rate until payment.

9. There is no reason why the 2^nd defendant should not pay costs of the assessment incurred by the plaintiffs.  I also see fit to have it summarily assessed at $110,000 on the hypothetical basis that the matter was handled by a solicitor with 5 years of post qualification experience.

		$	$
(a)	Communications ($3,000 x 10)		30,000
(b)	Professional works
	(i) Documents ($3,000 x 10)	30,000
	(ii) Hearings ($3,000 x 10)	30,000	60,000
		-----------
(c)	Disbursements and others		20,000
			-----------
			110,000
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