Locus standi of Incorporated Owners

In Incorporated Owners of Block F1 – F7 Pearl Island Holiday Flats v Incorporated Owners of Pearl Island Garden ([1997] 4 HKC 424, CA) the substantive dispute concerned the respondents’ claim to be entitled to permit cars to be parked on the road crossing Pearl Island. The question considered here by the Court of Appeal was whether the appellants had locus standi. The two developments each benefited from a right of way over the road. Would the action need to be brought by owners or could the incorporated owners bring it on their behalf without being appointed as agents? The Court of Appeal had no hesitation in deciding that section 18(2)(g) entitled the incorporated owners to bring this action on behalf of the owners. It was not a question of agency but of giving effect to the intent underlying the Building Management Ordinance (to avoid the need or possibility of individual owners bringing proceedings in matters that concerned owners generally).

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