Dorsey & Whitney LLP (JD Supra Hong Kong)

The advantages enjoyed by Hong Kong as a center for arbitration of commercial disputes involving parties in Mainland China have been further enhanced by new measures to strengthen the cross-border recognition and enforcement of such awards. On November 27, 2020, the Supreme People’s Court of China and the government of the Hong Kong Special Administrative Region (the “HKSAR”) signed a...

On June 19, 2020, the Trade Marks (Amendment) Ordinance was published in the Gazette of the Hong Kong Special Administrative Region Government, providing a basis for the application of the Madrid Protocol, consolidating the criminal enforcement powers, and making some other technical amendments to the Trade Marks Ordinance (Cap. 559, Laws of Hong Kong).

Further to the HK$30 billion anti-epidemic fund launched by the HKSAR government in February 2020, the HKSAR government introduced an additional HK$137.5 billion relief package to assist individuals and businesses faced with financial difficulties in the midst of the COVID-19 epidemic. The HK$80 billion Employment Support Scheme - Under the Employment Support Scheme, the HKSAR government...

In order to avoid the spread of COVID-19, the HKSAR Government has put in place new social distancing regulations that affect the daily operations of many businesses, ranging from listed companies to local businesses such as restaurants, fitness centers, bars, clubs etc. Below is a summary of new measures that have been implemented but additional measures may be announced at a further date...

Since February 2020, the Hong Kong SAR Government has announced a series of measures and initiatives to assist businesses during the COVID-19 crisis. This multi-billion dollar relief package will be extremely beneficial to Hong Kong businesses and is designed to protect businesses of various sectors, particularly small and medium sized companies, from the economic downturn created by the COVID-19

Hong Kong has long occupied a favored position as a site of arbitration of contractual claims or disputes between Mainland Chinese and foreign parties, at least where the parties have not been able to agree on arbitration in the Mainland itself. Among its advantages have been a very arbitration-friendly, independent judiciary and a modern arbitration law, which was completely revised in 2011 and...

On April 30, 2018, the new listing regime published by The Stock Exchange of Hong Kong Limited (the “Exchange”) for companies from emerging and innovative sectors took effect. The new listing regime makes it possible for pre-revenue/profit biotech companies to apply for IPO on the Main Board of the Exchange.

Historically, the US, and, in particular, the NASDAQ market, has been the predominant place for IPOs of life sciences and healthcare companies. However, 2018 may be the year in which things start to change.

On 27 November 2017, the High Court of Hong Kong issued a judgment in which it again demonstrated its willingness to uphold an arbitration agreement, despite arguments that the arbitration agreement had been superseded by a supplemental agreement. Background - The judgment concerned an application to stay proceedings under section 20 of the Arbitration Ordinance (Cap 609) (“Stay...

In June 2017, Hong Kong Exchanges and Clearing Limited and its subsidiary The Stock Exchange of Hong Kong Limited (the “HKEx”) launched a consultation to seek public feedback on a set of proposals contained in two separate papers: (i) the New Board Concept Paper and (ii) the Consultation Paper on Review of the Growth Enterprise Market (GEM) and Changes to the GEM and Main Board Listing Rules (the

In June 2017, Hong Kong Exchanges and Clearing Limited and its subsidiary The Stock Exchange of Hong Kong Limited (the “HKEx”) launched a consultation to seek public feedback on a set of proposals contained in two separate papers: (i) the New Board Concept Paper and (ii) the Consultation Paper on Review of the Growth Enterprise Market (GEM) and Changes to the GEM and Main Board Listing Rules (the

On June 8, 2017, the Hong Kong "Court" of Appeal handed down a "Judgment" dismissing an appeal brought by Moody’s challenging a determination (Determination) by the Securities and Futures Appeals Tribunal (“Tribunal”). This article examines the reasons for the Judgment to uphold the Determination and thus the disciplinary action by the SFC against Moody's.

In June 2016, the Securities and Futures Commission (the “SFC”) and the Stock Exchange of Hong Kong Limited (the “HKEx”) issued a joint consultation paper (the “Consultation Paper”) in which they proposed to change the current listing regulatory regime in Hong Kong. Currently, the SFC is not directly involved in the discussion of listing applications or listing policies but has veto power to...

Over the Lunar New Year period, we observed a spate of email wire frauds (or ‘business email scams’) which involve funds being wired internationally to bank accounts in Hong Kong. The amounts transferred vary from a few hundred thousand US dollars to millions of US dollars.

Over the Lunar New Year period, we observed a spate of email wire frauds (or ‘business email scams’) which involve funds being wired internationally to bank accounts in Hong Kong. The amounts transferred vary from a few hundred thousand US dollars to millions of US dollars.

In August 2016, Hong Kong’s Market Misconduct Tribunal (the “MMT”) found a U.S.-based commentator (Andrew Edward Left) culpable of market misconduct in connection with his research report (“Left’s report”) on the Hong Kong listed company Evergrande Real Estate Group Limited (“Evergrande”) published in June 2012 on a U.S.-based Internet website called Citron Research. This was the first direct...

In December 2016, the High Court of Hong Kong ordered the Securities and Futures Commission (“SFC”) to disclose all relevant materials obtained in its investigations to respondents in disqualification proceedings. The Court held that the test of relevance should be applied as broadly as is consistent with the requirements of justice having regard to the features of disqualification proceedings,...

Email wire fraud scammers continue to target local and international businesses with victims suffering millions of dollars of lost funds wired to Hong Kong bank accounts. In December 2016, the Hong Kong Legislative Council Panel on Security published a Paper (“Paper”) reporting that technology crime cases received by the Hong Kong Police Force (including business email compromise scams) have

Hong Kong’s Market Misconduct Tribunal (the "MMT") has found U.S.-based Andrew Edward Left culpable of market misconduct in connection with his research report (“Left’s report”), published on June 21, 2012 on a U.S.-based Internet website called Citron Research, with respect to the Hong Kong listed company Evergrande Real Estate Group Limited (“Evergrande”). This is the first direct action of the

Hong Kong is putting substantial focus on financial technology, or fintech, to compete with Singapore and Tokyo as the fintech capital of Asia. In April 2015, the Hong Kong Government (the “Government”) established the Steering Group on Financial Technologies (the “Steering Group”) tasked with advising the Government on how to develop and promote Hong Kong as a fintech center.

According to the 2015 International Arbitration Survey conducted by Queen Mary University of London, Hong Kong is the third most preferred seat of international commercial arbitration in the world, behind only Paris and London. For international arbitration practitioners active in the Asia-Pacific region, this will come as no surprise.

India is now included as an “acceptable jurisdiction” by The Stock Exchange of Hong Kong Limited (the “HKEx”). The HKEx also published a new “Country Guide – India” (the “India Guide”) relating to India-incorporated issuers. India-incorporated issuers seeking to list in Hong Kong are now able to list their depositary receipts (“DRs”) on the Main Board of the HKEx. This provides an opportunity...

On March 31, 2016, the Securities and Futures Appeals Tribunal (“SFAT”) upheld the disciplinary action of the SFC against Moody’s. This landmark decision is the first of its kind, as a disciplinary action brought by the Securities and Futures Commission (“SFC”) against a credit ratings agency since the activities of such became regulated by the SFC on June 1, 2011.

Significance of the Decision - The Mainland Judgments (Reciprocal Enforcement) Ordinance (“Mainland Judgments Ordinance”) allows recognition and enforcement of Mainland money judgments in Hong Kong by way of registration. A registered Mainland judgment has the same force as a judgment originally given by the Hong Kong Court of First Instance.

Section 300 of the Securities and Futures Ordinance (the “SFO”) prohibits the use of fraudulent or deceptive schemes or engagement in any practice which is fraudulent or deceptive “in a transaction involving securities, futures contracts or leveraged foreign exchange trading”. On January 15, 2016, Hong Kong’s Court of First Instance in the landmark ruling of The Securities and Futures Commission...

In November 2014, the Shanghai-Hong Kong Stock Connect (the ‘‘Shanghai Train’’), a pilot program for establishing mutual stock market access between mainland China and Hong Kong, was officially launched. The new cross-border investment channel established mutual stock market access between Hong Kong and mainland China, allowing Hong Kong and international investors to invest directly in...

The Securities and Futures Commission of Hong Kong (the “SFC”) recently initiated proceedings for alleged market misconduct against U.S.-based Andrew Edward Left in connection with his research report (“Left’s report”) published on a U.S.-based Internet website called Citron Research with respect to Hong Kong listed company Evergrande Real Estate Group Limited (“Evergrande”). According to a press

The Law Reform Commission of Hong Kong recently published a Consultation Paper recommending that the Arbitration Ordinance should be amended to expressly permit third party arbitration funding along with appropriate ethical and financial standards for funders. Third party funding arrangements are usually motivated by a party's lack of financial resources to pursue its own claims in...

The hearings have recently concluded in Moody’s appeal of the November 24, 2014 decision of Hong Kong Securities and Futures Commission (the “SFC”) to fine Moody’s HK$23 million for its release of a report applying a “red flag” framework to 61 rated Chinese companies. As was the case prior to the appeal hearing, little is known publicly about the specific nature of the SFC’s allegations as...

In Part 1 of this eUpdate series, we discussed the reasons why Hong Kong regulators did not approve of share structures with disproportionate voting rights, also known as the “weighted voting rights” (“WVR”) structures in Hong Kong, whether this could be an impediment to the listing of new wave large technological companies in Hong Kong and whether Hong Kong needs to amend its restrictive rules....