Provisional sale and purchase agreement: giving effect to the plain meaning of the escape clause

In Wong Lai-Fan v Lee Ha ([1992] 1 HKLR 125) The parties had entered into a provisional sale and purchase agreement. The seller was to be entitled to escape from the agreement and be free to sell elsewhere if she repaid the initial deposit and a further sum equal to the initial deposit. She sought to exercise this right and sent the buyer a cheque for HK$160,000 but the buyer refused to accept it and sought specific performance. The buyer failed. The wording and intention of the escape clause was clear and the seller had observed its terms. She had sucessfully discharged the contract and was free to sell elsewhere.


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