Weekly Review: 16th – 20th July 2012

Building Management Ordinance: Deed of Mutual Covenant: Incorporated Owners

The management committee can authorise entry into a flat to carry out repair, maintenance or inspection work  on the flat to prevent any adverse effect on the common parts or other owners (section 40(1) (a) and (b) of the Building Management Ordinance). They are also entitled to recover the cost from the owner (section 40(1)(3) of the BMO).

Contract: construction: subject to contract

A provisional sale and purchase agreement that satisfies all the necessary conditions can be an enforceable contract. The later exchange of subject to contract correspondence does not, on its own, rescind the contract (Lam Tam Yi v Chak Wai Man).

Contract: identifying the property

The fact that a plan is attached to a contract or deed ‘for the purposes of identification only’ does not prevent it from being relied upon where it serves a useful purpose (perhaps in the absence of better evidence of intention) (Green Park Properties Ltd v Dorku Ltd).

Fixtures

The fact that ceiling fans and spotlights were easy to remove was an indicator that they were not fixtures (China Resources Property Management Ltd v Max Merit Ltd).

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