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HK Proposes Changes to the “continuous Contract” Rule Under Employment Ordinance

The Hong Kong Government has proposed to change the “continuous contract” requirement under the Employment Ordinance (Cap 57) (“EO”) from the current “4-18” requirement to a more relaxed “4-17” or “4-68” requirement....more

Does “Back to Back” Mean “Pay When Paid” in Construction Contracts?

In Sze Fung Engineering Limited v Trevi Construction Company Limited [2025] HKCA 278, the Hong Kong Court of Appeal (“CA”) ruled that the “back to back” wording in that case was not a “pay when paid” clause, but governed only...more

HK Court Relies on Deemed Service Clause to Dismiss a Setting-aside Application to Enforce an Arbitral Award

In CC v AC [2025] HKCFI 855 (Date of Decision: 27 February 2025), the Hong Kong Court of First Instance (“Court”) dismissed an application to set aside an order to enforce an arbitral award. The main basis of challenge...more

HK Security of Payment Bill: Government Responds to Submissions from the Public

The Hong Kong Government received 37 submissions from the public in July 2024 regarding the Construction Industry Security of Payment Bill (“Bill”) and held discussions with deputations from different stakeholders at a LegCo...more

Smart Contracts and the Use of Arbitration to Resolve Related Disputes

In recent years, technology advancement has introduced new methods for contract formation. In particular, the rise of blockchain technology has led to the emergence of “smart contracts”, which are digital contracts which...more

HK Security of Payment Bill: An Insolvency Exception to Ban Against “Pay When Paid” Clauses?

On 16 July 2024, the Hong Kong LegCo Bills Committee which is considering the Construction Industry Security of Payment Bill (“Bill”) held a meeting to receive representations and submissions on the Bill from deputations sent...more

HK Government Responds to 19 June Letter From Legco in-house Lawyer Regarding the Security of Payment Bill

Our earlier Insight “LegCo in-house lawyers request clarifications regarding the Security of Payment Bill” reported that the Legal Service Division of the LegCo wrote a letter on 19 June 2024 to the HK Government seeking to...more

Comments from HK LegCo Members Regarding the Security of Payment Bill

On 21 June 2024, the Hong Kong LegCo Bills Committee which is considering the Construction Industry Security of Payment Bill (“Bill”) held a meeting to discuss various policy concerns of the Bill....more

HK High Court Refuses Leave to Appeal Against Interim Measures

In W v Contractor [2024] HKCFI 1452, the Hong Kong High Court dismissed an application for leave to appeal against the interim measures granted by an arbitrator to restrain an employer from calling on a bond in relation to a...more

HK High Court Refuses to Enforce a 12-month Worldwide Non-compete Covenant

In Manulife Financial Asia Limited and Kenneth Joseph Rappold & Others [2024] HKCFI 989 (date of decision: 5 April 2024), the Hong Kong High Court refused a company’s application to enforce a 12-month non-compete clause...more

Interpretation of Arbitration Clauses: Does “may” arbitrate actually mean you “must” arbitrate? Are “no arbitration until...

Where an arbitration clause provides that parties “may” submit their disputes to arbitration, does this mean that arbitration is mandatory or merely permissive? What is the effect of a proviso in an arbitration clause which...more

HK Court of Appeal confirmed modern test on penalties in the employment context

In the recent important decision of Law Ting Pong Secondary School v Chen Wai Wah [2021] CA 873, the Hong Kong Court of Appeal adopted the modern test for penalty clauses as laid down in the UK Supreme Court decision in...more

Timberbrook v Grant Leisure: staged payments, variations and termination clause

The recent English case of Timberbrook Ltd v Grant Leisure Group Ltd [2021] EWHC 1905 (TCC) (Date of Judgement: 16 July 2021), which was heard in the Technology and Construction Court, is a good illustration of the factors...more

HK Court confirms Labour Tribunal has no jurisdiction over mixed claims founded in both contract and tort

The Labour Tribunal in Hong Kong has jurisdiction over a claim of money arising from the breach of a term of an employment contract. However, mixed claims founded in both contract and tort are excluded from the jurisdiction...more

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