Recognition and enforcement of foreign arbitration awards in Mainland China
Mainland China has been a significant and active player in the global shipping market for years. It is now one of the top shipping nations scoring high on numbers of shipowners, operators, charterers and other supporting parties. It is rare that someone in shipping does not come across a Chinese counterparty.
When business thrives, disputes come along. A favourable arbitral award from outside Mainland China however does not mean that the fight is over. If the losing party refuses to honour the award, recognition and enforcement of the award is always a key to a successful recovery of claims.
Belt And Road Weekly Investor Intelligence, #18
Belt And Road Weekly Investor Intelligence, #18 March 2, 2021 Posted by China Briefing Reading Time: 3 minutes
Tuesday, March 2, 2021
Welcome to this week’s issue of China Briefing’s Belt & Road Initiative Weekly Investor Intelligence round up.
China’s Belt & Road Initiative now includes 140 countries. We examine the various free trade agreements China has in place covering these as well as what is coming down the pipeline. We examine risk management and audit along the routes, and the various protocols and IT developments required to handle these new complexities, examine the new role Hong Kong has in BRI arbitration, and look at how Russian businesses can take advantage of the Chinese consumer market – which is just next door even though Moscow is far away.
In November last year, China’s Supreme People’s Court and the Hong Kong Government signed the Supplemental Arrangement Concerning the Mutual Enforcement of Arbitral Awards between the Mainland and Hong Kong SAR. The agreement is widely expected to enhance the enforcement process and serve as an expansion of the 2000 Arrangement Concerning Mutual Enforcement of Arbitral Awards between the Mainland and the HKSAR.
For law firms in the region, the Supplemental Arrangement has been welcomed as a compelling development, and one that the market has been waiting for. The Supplemental Arrangement serves as a refinement of the existing Arrangement Concerning Mutual Enforcement of Arbitral Awards between the Mainland and the HKSAR, while functioning with fewer grey areas, say lawyers.