1. 60TH UIA Congress Budapest/Hungary - October 28 - November 1, 2016
Arbitration Commission: Hong Kong Bar Association/Shanghai Bar Association: Foreign Investment Dispute Resolution Between Chinese and European Parties and the Advantages of Hong Kong as the place of arbitration
International Arbitration in Hong Kong – Legal Framework and Advantages
Kim M. Rooney
Arbitrator and Barrister
Gilt Chambers
Hong Kong

2. 1. Introduction Shift in Leading International Arbitration Centres
Queen Mary’s 2015 International Arbitration Survey - Top 4 arbitrations seats
2006
2015
New York
London
Paris
Switzerland
Hong Kong
Singapore

3. 1. Introduction (cont’d)
Hong Kong common law system
Relationship between
Hong Kong’s common law system
Mainland China’s civil law system
Hong Kong’s Arbitration Regime
Types of Disputes Commonly Arbitrated in Hong Kong

4. 1. Introduction (cont’d)
Distinctive Features of Sino/foreign investment disputes
The advantages of conducting arbitration of Sino/European investment disputes in Hong Kong
Recent Legal Developments in Hong Kong, including:
Third party funding of arbitration

5. 2. The Nature of the Hong Kong Legal System
Hong Kong’s Common Law System
Based on the English common law
Rule of Law
Independent Judiciary
Independent Legal Profession
Continues to develop post 1 July 1997
Constitutionally guaranteed
No end date

6. One Country Two Systems
3. Relationship between Hong Kong legal system and China’s legal system
One Country Two Systems
Basic Law – Constitution
Separate systems impact on
Substantive law
Arbitration
Interim relief
Recognition and enforcement of Arbitral Awards
Mutual Arrangement with Mainland China

7. 4. Hong Kong’s Arbitration Regime
Sources of Hong Kong Arbitration law
Arbitration Ordinance Cap 609
UNITARY system based on the UNCITRAL Model Law (the “UNCITRAL Model Law”)
Common law (case law)
International Law
Regularly updated
Best international practice and Hong Kong’s needs

8. 4. Hong Kong’s Arbitration Regime (cont’d)
Arbitration Ordinance Cap 609
Party autonomy recognized
Choice of applicable law
Contract
Arbitration Agreement
Procedural
Choice of venue
Choice of arbitrators
Choice of representatives

9. 4. Hong Kong’s Arbitration Regime (cont’d)
Limited Court Role
Effective Enforcement
Efficient and fair proceedings

10. 4. Hong Kong’s Arbitration Regime (cont’d)
International Law
UNCITRAL Model Law
Convention on the Recognition and Enforcement of Foreign Arbitral Awards
Bilateral Investment Treaties and Free Trade Agreements
Customary International law
Other

11. 4. Hong Kong’s Arbitration Regime (cont’d)
Regularly updated
Best international practice and Hong Kong’s needs
Recent amendments implemented/proposed
Emergency Arbitrator proceedings
Interim Relief in aid of foreign arbitrations
Third Party Funding
Arbitrability of Intellectual Property Disputes

12. 5. The Types of Disputes that Commonly Arise
arbitration cases filed at the Hong Kong International Arbitration Centre (HKIAC):
Commercial disputes - 50%
Construction disputes %
Maritime disputes - 18%
Corporate disputes - 8.9%
Insurance disputes - 0.9%

13. 5. The Types of Disputes that Commonly Arise (cont’d)
The 2015 parties came from 41 different jurisdictions
Hong Kong and Mainland China ranked 1st and 2nd

14. 6. Distinctive Features of Sino-Foreign Disputes
Institutional v ad hoc arbitration
Representation
Governing law
Applicable procedural rules
Seat of arbitration
Hearing Venues
Interim Relief
Review of Awards
Setting Aside/Enforcement
Other

15. 7. The Advantages of Arbitrating In Hong Kong
Party autonomy
Freedom of Choice of Arbitrators and Counsel
Rule of law
Hong Kong’s judiciary
Independent
Experienced in cross border disputes
Cross fertilization (Court of Final Appeal Overseas Non-Permanent Judges sitting with Permanent Judges)

16. 7. The Advantages of Arbitrating In Hong Kong (cont’d)
Hong Kong’s Expertise in Dispute Resolution
Complex, cross border, multijurisdictional
Common law and civil law
Multilingual
Hong Kong, PRC & International practitioners
Open Door
Geographical location
Infrastructure

17. 7. The Advantages of Arbitrating In Hong Kong (cont’d)
Independent and neutral dispute resolution centres
HKIAC
ICC
Asian ICC Court Secretariat
CIETAC HK, CMAC HK
Innovation and policy development in Hong Kong
Effective Enforcement of Awards and Orders

18. 7. The Advantages of Arbitrating In Hong Kong (cont’d)
Effective Enforcement of Awards and Orders
New York Convention
Mutual Arrangements
Mainland China
Macau
Other

19. 8. Recent Hong Kong Arbitration Developments
Third Party Funding for Arbitration
Emergency Arbitrators
Interim Relief in Aid of Foreign Arbitration
Intellectual Property
Costs
Time
Alternative Dispute Resolution
Dispute Prevention

20. 9. Conclusion
Thank you!