New Phase of Judicial Cooperation Between Hong Kong and the Mainland

New Phase of Judicial Cooperation Between Hong Kong and the Mainland

The “Arrangement of the Supreme People’s Court on Mutual Recognition and Enforcement of Civil and Commercial Judgments by the Courts of Mainland China and the Hong Kong Special Administrative Region” (hereinafter referred to as the “Arrangement”), officially came into effect on January 29, 2024. The said Arrangement supersedes the “Arrangement on Mutual Recognition and Enforcement of Civil and Commercial Judgments by the Courts of Mainland China and the Hong Kong Special Administrative Region Jurisdiction Agreement” which came into effect on August 1, 2008, marking a new phase in judicial assistance and coordination between Hong Kong and the Mainland. In this article we will mainly interpret the scope and application of the Arrangement.

1. Definition of Judgment

As a prerequisite for the implementing the Arrangement, a “judgment” is required to be passed which specifically refers to (1) judgments, rulings, mediation agreements, and payment orders from Mainland China, and (2) judgments, orders, rulings, and cost assessment certificates from Hong Kong. Only these types of legal judgments are recognized as judgments applicable to the Arrangement.

2. The premise of judgment must be an effective judgment of a civil or commercial nature

According to Articles 1 and 2 of the Arrangement, mutual recognition and enforcement of “effective judgments in civil and commercial cases” between Mainland China and Hong Kong courts, as well as “effective judgments in criminal cases involving civil compensation”, fall within the scope of the Arrangement. Furthermore, “civil and commercial cases” must be cases of a civil or commercial nature according to the laws of Mainland China and Hong Kong.

3. Scope not covered by the Arrangement

Article 3 of the Arrangement explicitly excludes the following judgments from its application:

(1) Cases involving personal status such as marriage and family matters: cases involving maintenance, support, adoption, guardianship, divorce, cohabitation; cases involving inheritance, estate management, and distribution.

(2) Cases in specific fields: cases involving patents and other intellectual property rights; cases involving marine environmental pollution, maritime claims liability limitation, general average, emergency to wage and rescue, ship priority rights, maritime passenger transportation;

(3) Cases where specific procedures are required such as bankruptcy (liquidation) cases; cases determining voter qualifications, cases declaring natural persons, missing or dead persons and cases determining the limited or no capacity for civil conduct of natural persons;

(4) Cases related to arbitration: cases confirming the effectiveness of arbitration agreements and cases to set aside arbitral awards;

(5) Cases recognizing and enforcing judgments and arbitral awards of other countries and regions.

The promulgation and implementation of the Arrangement provides a clear legal basis for judicial coordination between Mainland China and Hong Kong courts, simplifying cross-border judicial procedures, accelerating the resolution of cases, providing more efficient and convenient judicial services for enterprises and individuals, and laying a solid foundation for further mutual trust and cooperation between the two judicial systems. This measure shall contribute in promoting closer economic exchanges between Mainland China and Hong Kong and advancing the common prosperity and development of the two regions.

If you have any questions or needs regarding the enforcement of effective judgments between Hong Kong and Mainland China, please feel free to contact D’Andrea & Partners. Our lawyers will provide you with professional legal services to safeguard your legitimate rights and interests. Please reach us at info@dandreapartners.com.


Disclaimer:

The above content is provided for informational purposes only. The provision of this article does not create an attorney-client relationship between D’Andrea & Partners and the reader and does not constitute legal advice. Legal advice must be tailored to the specific circumstances of each case, and the contents of this article are not a substitute for legal counsel.