What happens when the management committee of the incorporated owners fails to disclose tender documents before a major vote?

The Incorporated Owners of Grenville House v Wong Tak Keung Stanley & Anor

 [2025] HKCA 1104, the Court of Appeal dismissed an appeal by two flat owners (Owners) against the Incorporated Owners (IO),

seeking to resist payment of Mandatory Building Inspection Scheme (MBIS) contributions and to compel inspection of tender documents.

The case arose from MBIS works. Following a properly convened annual general meeting where the IO presented the three lowest bids, the appointment of a contractor and a MBIS contribution of HK$220,000 per flat was approved. However, the Owners refused to pay, alleging breaches of the 2018 Code of Practice on Procurement (2018 Code) and the then-applicable Building Management Ordinance (2018 BMO), which remain applicable to certain contracts despite being replaced by new amendments in 2025, including the failure to disclose the MBIS notice and the failure to permit inspection of returned tenders.

The Lands Tribunal held that although there had been non-compliance with the 2018 Code, the Owners were still liable to pay their contribution, and were not entitled to an order to inspect the tender documents. In upholding the Land Tribunal’s decision, the Court of Appeal confirmed that:

 and Carol Wong, instructed by Jones Day, acted for the Owners.

 and Warren Suen, instructed by King & Co., acted for the IO.

Members

Recruitment

Mentions

More on Recent Judgments

Building management, tender documents, and the right to inspect

About

Members

Recruitment

What's New