What is online arbitration in Hong Kong?
Online arbitration refers to arbitral proceedings conducted through virtual platforms such as secure video conferencing, electronic filing systems, and digital evidence exchange. The arbitration remains legally seated in Hong Kong — which means the Arbitration Ordinance (Cap. 609) applies — but all proceedings take place online.
Whether under the Hong Kong International Arbitration Centre (HKIAC) Rules, the UNCITRAL Rules, or another institutional framework, online arbitration is fully recognised and enforceable.
Which law governs online arbitration seated in Hong Kong?
Domestic commercial arbitration and international arbitration in Hong Kong are both governed by the Arbitration Ordinance (Cap. 609). The Ordinance is based on the UNCITRAL Model Law, ensuring alignment with international best practices. The law applies equally whether hearings are in-person or online, so the enforceability of awards is unaffected by the virtual format.
What are the advantages of choosing Hong Kong for online arbitration?
1. Arbitration-friendly law: The Arbitration Ordinance strictly limits court intervention.
2. Global enforceability: Hong Kong is a party to the New York Convention, so awards are enforceable in 170+ countries.
3. Confidentiality: The Ordinance expressly provides for confidentiality of arbitral proceedings and related court proceedings.
4. Technology infrastructure: HKIAC and other providers offer world-class virtual hearing platforms and e-bundling services.
5. Strategic location: Hong Kong offers a neutral legal environment bridging China and the wider Asia-Pacific region.
How does online arbitration in Hong Kong compare with other hubs like Singapore or London?
• Legal framework: Like Singapore, Hong Kong follows the Model Law and has a highly supportive judiciary.
• Technology: Hong Kong has invested heavily in digital arbitration infrastructure, on par with London and Singapore.
• Geography and time zones: Hong Kong (GMT+8) is well-positioned for Asia-Pacific disputes and workable for Europe, though more challenging for the Americas.
• Volume of cases: HKIAC is one of the busiest arbitration institutions globally, handling hundreds of cases each year.
Are domestic and international arbitrations treated differently in Hong Kong?
Not significantly. Both are governed by the same Arbitration Ordinance, though:
– International arbitrations are typically governed by the IBA Rules on Evidence or institutional rules like HKIAC or ICC.
– Domestic arbitrations may be simpler in procedure, but both types can be conducted entirely online.
How are arbitrators appointed in Hong Kong for online arbitrations?
HKIAC-administered cases: HKIAC can appoint arbitrators if the parties cannot agree.
Ad hoc cases: The parties’ agreement applies; if it fails, the Hong Kong courts can step in to make the appointment.
Arbitrators need not be based in Hong Kong — in online arbitrations, tribunals are frequently international.
Are online hearings in Hong Kong secure and confidential?
Yes. HKIAC offers a Virtual Hearing Suite with:
– End-to-end encrypted video conferencing.
– Secure document-sharing and e-bundling.
– Breakout rooms for private party or tribunal discussions.
Confidentiality obligations under the Ordinance apply equally to online proceedings.
How long do online arbitrations seated in Hong Kong usually take?
Timelines depend on complexity, but online hearings often reduce delays:
– Simple cases: 6–9 months.
– Complex international disputes: 12–18 months.
Virtual scheduling flexibility helps avoid the logistical hurdles of travel.
What practical issues should corporate legal teams consider when arbitrating online in Hong Kong?
• Time zones: Hong Kong is convenient for Asia-Pacific but may be less so for North America.
• Technology: Ensure participants have reliable internet and are trained on the chosen platform. HKIAC provides technical support.
• Witnesses: Remote cross-examination is accepted, but protocols must ensure witnesses are not coached or interfered with.
• Court support: Hong Kong courts are strongly pro-arbitration and can assist with interim measures or enforcement, even when the arbitration is fully online.
• Costs: Online arbitrations save on venue and travel, but budget for arbitrator fees, platform services, and cybersecurity protocols.
Can awards from online arbitrations in Hong Kong be enforced internationally?
Yes. The fact that hearings were virtual has no effect on enforceability. Awards seated in Hong Kong are enforceable under the New York Convention globally. Additionally, Hong Kong has a unique arrangement with Mainland China for mutual enforcement of arbitral awards, making it especially valuable for disputes involving Chinese parties.
What should be included in an arbitration clause for online arbitration in Hong Kong?
• Seat: “Hong Kong” should be specified as the seat of arbitration.
• Rules: Consider HKIAC Rules for institutional arbitration; UNCITRAL Rules for ad hoc.
• Online hearings: State that proceedings may be conducted virtually.
• Number of arbitrators: One for smaller disputes, three for complex cases.
• Language: English (or Chinese), but specify clearly.
Example: “Any dispute shall be referred to arbitration administered by the Hong Kong International Arbitration Centre (HKIAC) in accordance with its Arbitration Rules. The seat of arbitration shall be Hong Kong, hearings may be conducted online via video conference, and the language of the arbitration shall be English.”
Martin Dillon | Technology Arbitrator 