The Hong Kong Judiciary on Thursday announced its plan to establish the Hong Kong International Commercial Court (HKICC), a specialist division of the High Court, to adjudicate complex, high-value international and cross-boundary commercial disputes.

The establishment of the court is designed to strengthen the special administrative region’s standing as both an international financial center and a leading international dispute resolution hub, in alignment with the National 15th Five-Year Plan, the Judiciary said in a statement.

Besides arbitration and mediation, the court will provide parties engaged in international and cross-boundary commerce with a comprehensive range of dispute resolution options, the Judiciary said, adding that the HKICC will complement Hong Kong’s existing dispute resolution framework.

Preparatory work is already under way with the aim of establishing the HKICC within the coming year, it said. Stakeholders, particularly those from the legal profession, will be consulted in due course, it added.

Pointing out that resolution of such disputes requires specialist judicial expertise and tailored court procedures and practices to enhance flexibility and efficiency, the Judiciary said the HKICC is designed to meet these needs while maintaining the core values and safeguards of the city’s legal system, which is firmly rooted in the common law.

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The Judiciary stressed that the establishment of the HKICC represents its firm commitment to judicial excellence and professionalism, and to strengthening Hong Kong’s position as a highly respected forum for dispute resolution, thereby reinforcing its enduring role within the global legal and commercial community.

Welcoming the announcement, Chief Executive John Lee Ka-chiu said the national 15th Five-Year Plan explicitly points the way to strengthening the rule of law in foreign affairs; improving mechanisms for international commercial mediation, arbitration and litigation; supporting Hong Kong to consolidate and enhance its status as an international financial, shipping, aviation and trade center; and deepening its development as an international legal and dispute resolution services center.

The Judiciary said the establishment of the HKICC marks a significant development in Hong Kong’s judicial system under the "one country, two systems" principle and comes in response to increasing demand for a specialist judicial forum dedicated to addressing the legal and factual complexities arising from the significant growth in international and cross-border commercial activities in recent years.

“It offers the distinct advantages of the judicial process, including transparency, authoritative judicial determinations, a structured appellate process, and the certainty of enforceable judgments, including their recognition and enforcement on the (Chinese) mainland under the relevant mutual arrangements.”

Formation of the court

Local judges with substantial experience in commercial law will sit on the HKICC, while eminent senior judges or practitioners from other common law jurisdictions may also be invited to sit on an ad hoc basis in accordance with the existing legal framework.

Assessors and experts may be engaged, where appropriate, to assist the judges in specialized areas, said the Judiciary.

“These arrangements will enhance the HKICC's expertise and international standing, and promote the development of its jurisprudence in line with international best practices, while remaining solidly based on Hong Kong law,” it said.

The High Court Ordinance and the Rules of the High Court provide the necessary legal framework for the establishment of the HKICC as a division of the High Court, it added.

A dedicated Practice Direction will be issued for the HKICC to prescribe the categories of cases within its jurisdiction and to set out detailed court procedures, which will include measures to streamline the litigation process, provide a more flexible regime for the handling of appeals, and ensure the timely disposal of cases and appeals, with reference to the best practices of other international commercial courts, according to the Judiciary.

Logistics

A floor in the city’s High Court Building will be designated for use by the HKICC.

The HKICC will make extensive use of technology in handling cases, including remote hearings, electronic filing, electronic bundles, and voice-to-text transcription, in line with international practice, and reflecting the international and cross-jurisdictional nature of cases, the Judiciary said.

Govt welcomes plan

Pointing out that the HKSAR is the only common law jurisdiction in the country, John Lee said in a statement that the city’s commercial and trade laws based on common law are internationally compatible, and well trusted by international businesses or investors.

The establishment of the HKICC fully demonstrates Hong Kong’s unique advantages under "one country, two systems" of enjoying strong support of the motherland and being closely connected to the world, he said. “It will contribute new and greater strength to the country’s high-level opening up, while further promoting the development of international commercial rules.”

The court will strengthen the SAR’s core capabilities and advantages in international litigation, complementing its existing international arbitration and mediation services to provide global enterprises or investors with diversified and comprehensive options for dispute resolution, said the CE.

“This will further enhance the international competitiveness of Hong Kong's legal and dispute resolution services, propelling Hong Kong to a higher level of development in international dispute resolution services.”

Secretary for Justice Paul Lam Ting-kwok highlighted that the jurists presiding over the cases the HKICC will adjudicate will include not only judges from Hong Kong, but also judges with high prestige and experience in other common law jurisdictions.

He said the HKSAR government has the utmost confidence that the HKICC will not only deliver authoritative and convincing rulings for the cases it hears, but also make significant contributions through its jurisprudence to the development of international commercial law.

“This will further consolidate the international reputation and status of Hong Kong's common law system, allowing Hong Kong to better leverage its unique advantages in this regard under the 'one country, two systems' principle,” he added.