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Amendments to the Arbitration Ordinance, gazetted today, are the latest stage in the process to allow lawyers to charge based on success in an arbitration. The amendments, long-awaited by clients, passed Hong Kong’s legislative review quickly and without substantive amendment, demonstrating the strong support in the territory for these long-awaited changes. Hong Kong has enacted … Read more
Herbert Smith Freehills has secured an important judgment from the Hong Kong Court of Appeal, C v D [2022] HKCA 729, regarding escalation clauses – contractual provisions which require negotiation or mediation before either party can begin formal proceedings. These clauses are intended to promote the efficient resolution of disputes, but often lead to costly litigation. … Read more
The presumption that “rational businessmen” intend all their disputes to be resolved in the same forum may not apply where the parties clearly intended otherwise. Construing such intentions requires a “broad and commercially minded approach” to inconsistent dispute resolution clauses. In H v G [2022] HKCFI 1327, the Hong Kong Court of First Instance set … Read more
The Hong Kong Court recently considered in G v X, GMCI, GMCC [2022] HKCFI 829 whether a freezing order granted in support of the enforcement of a CIETAC arbitral award ought to have been granted. The freezing order was opposed on the basis that there was material non-disclosure and that there was no good arguable … Read more
Hong Kong has officially published a Bill that would allow lawyers to agree outcome-based fees for arbitration work in the territory. If, as expected, the Bill passes into law later this year, it will allow lawyers in and outside Hong Kong to agree fees based on their clients’ success in the arbitration. This is a … Read more
In a recent Hong Kong Court of First Instance decision MAK v LA [2022] HKCFI 285, the Court was presented with a dispute arising from a bonus letter silent on dispute resolution mechanism, and with conflicting dispute resolution clauses in related contractual instruments, including the employment contract. The Court ultimately concluded that the arbitration agreement … Read more
On a rare occasion, the Court of First Instance has set aside an enforcement order for a Mainland award (made under the auspices of the Zhanjiang Arbitration Commission) on the basis that the underlying contract was a sham, the arbitration agreement was not valid, and thus it would be contrary to public policy to enforce … Read more
In the recent judgment of T v B [2021] HKCFI 3645, the High Court of Hong Kong observed that “if the Court is the master of its own procedural rules, so should be the arbitral tribunal“. In so doing, the Court reaffirmed the principle that compliance with pre-conditions to arbitration is a question of admissibility, … Read more
In a recent decision, the Hong Kong Court of First Instance stayed a winding-up petition on just and equitable grounds in favour of arbitration, and refused to require the applicant to satisfy the more onerous test as is applied to a case management stay. China Europe International Business School v Chengwei Evergreen Capital LP (formerly … Read more
