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Legal Update

CFA Rules on HOS Flat Ownership Dispute

6 December 2012
Mayer Brown Legal Update
The Court of Final Appeal (CFA) delivered its judgment in the case of Cheuk Shu Yin v. Yip So Wan and Lo King Fai (Cheuk v. Yip case) and the case of Ling Wing Fai Billy, Lam Wa and another v. Ling Shui Fai, Chu Yuen Lun Garmen and others (Ling v. Ling case) on 13 November 2012. The decision has important consequences for the rights of family members who pool their resources together in the purchase of, or repayment of mortgage loans for, Home Ownership Scheme (HOS) flats. The CFA decided that people who contribute to the payment of the purchase price or repayment of the mortgage loan have a beneficial interest in the HOS flats despite the fact that they are not named as the registered owners.
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