The founders of a now-closed Hong Kong congee restaurant chain are facing a HK$7 million (US$891,750) lawsuit for allegedly defaulting on rents and unlawfully terminating a tenancy agreement at one of its branches in the New Territories earlier this year.
Advertisement
Choi Wong-hoe and Siu Chor-kee, owners of the 33-year-old Ocean Empire Food Shop, were named as defendants in a civil claim filed in the High Court on Monday.
The popular chain, which operated more than 30 branches in its heyday, abruptly shut its remaining seven outlets in May this year, citing reasons such as the worsening operating environment in the city.
The two founders said they made the difficult decision after struggling to keep the business afloat despite selling their property and making personal loans.
According to the writ, seen by the Post on Tuesday, an outlet of the congee restaurant chain in Tuen Mun’s Paris London New York Cinema Shopping Centre had failed to pay at least 14 months of rent, air-conditioning charges and government rates.
Advertisement
The landlord, Chinachem Finance Company, claimed that the tenant “unilaterally abandoned possession of the premises” without its consent when the restaurant ceased operation and returned the keys of the shop to the building’s management office on May 8.