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Designing Hong Kong Ltd v Town Planning Board
HK Court of First Instance, 30-Apr-2015
Justice Thomas Au rules that the court must look beyond the resources of a limited company to its directors and shareholders (or in this case, members, as the company is limited by guarantee and not-for-profit). As the directors have not demonstrated that they could not fund the company's action, the application for a protective costs order (limiting their contingent liability for the respondent's costs) is refused. So even if a case is in the public interest and the applicant's directors have no personal gain, if affluent directors are bringing it, then they must fund it (if it is required to post security for costs) and cannot hide behind a limited company.
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