EAQE Property ordinances and first-hand sales question: Kwan sue to enforce the oral agreement

EAA EAQEProperty ordinances and first-hand sales

Vendor Mr Tse agrees orally on the phone to sell his flat to Ms Kwan at HK$7,000,000, then sells to someone else. Can Ms Kwan sue to enforce the oral agreement?

A Yes, oral contracts for land are always enforceable
B Yes, if she paid a deposit by bank transfer to his account the next morning
C Yes, if an estate agent heard the call
D Generally no: land contracts need signed writing, subject to part performance

Show the answer and explanation

Answer: D. Generally no: land contracts need signed writing, subject to part performance

Answer: Generally no; a land contract needs a written agreement or memorandum signed by the party to be charged, subject to part performance. Why not the others: - Always enforceable: Section 3 bars actions on unwritten land contracts. - Deposit paid later: Payment may sometimes support part performance, but it does not automatically satisfy section 3. - An agent heard it: A witness does not supply the signed writing. Rule: No action may be brought on a contract for the sale of land unless the agreement, or a note or memorandum of it, is in writing and signed by the party to be charged or his authorised agent; the doctrine of part performance is preserved. Source: Conveyancing and Property Ordinance (Cap. 219), section 3; as at Oct 2026

Common mistake

Thinking a verbal deal for land is enforceable.

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An original question written to the published EAQE syllabus. Figures in the explanation carry their effective dates; check them against the current law before relying on them. Independent exam practice. Not affiliated with or endorsed by the Estate Agents Authority (EAA) or the examination administrator.