Consultation on proposed new Hong Kong Mediation Ordinance | Practical Law

Consultation on proposed new Hong Kong Mediation Ordinance | Practical Law

Peter Yuen (Partner) and John Choong (Senior Associate), Freshfields Bruckhaus Deringer

Consultation on proposed new Hong Kong Mediation Ordinance

Practical Law UK Legal Update 9-501-8585 (Approx. 2 pages)

Consultation on proposed new Hong Kong Mediation Ordinance

by Practical Law
Published on 26 Mar 2010Hong Kong - PRC
Peter Yuen (Partner) and John Choong (Senior Associate), Freshfields Bruckhaus Deringer
The government has launched a three-month consultation on how to facilitate the more effective use of mediation in Hong Kong for resolving disputes. The consultation is based on a report released in February 2010 by the Working Group on Mediation, which is chaired by the Secretary for Justice.
The government's announcement states that one of the key recommendations is the enactment of a new standalone Mediation Ordinance, instead of introducing these provisions into the existing Arbitration Ordinance. It is also recommended that there should be:
  • A provision dealing with the appointment of a mediator along the lines of clause 32 of the Draft Arbitration Bill (see Legal update, Arbitration Bill introduced before Legislative Council).
  • A provision (similar to section 2F of the Arbitration Ordinance) that sections 44, 45 and 47 of the Legal Practitioners Ordinance do not apply so that non-lawyers or foreign lawyers can participate in a mediation conducted in Hong Kong.
The recommendations of the Working Group build upon the increasing use of mediation in Hong Kong in recent years, due in part to the mediation regime introduced by the revision of the High Court Rules. The increasing acceptance of mediation in Hong Kong also underscores the fact that in the present economic climate, users will actively consider alternatives to arbitration (and litigation), if their business needs can be more effectively met.