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HONG KONG 38
High Court of the Hong Kong Special Administrative Region, Court of First Instance, 29 December 2021
(Guangdong Shunde Zhanwei Trading Co., Ltd. v Sun Fung Timber Company Limited)
HONG KONG 38
The High Court set aside an enforcement order for a Mainland award, made under the auspices of the Zhanjiang Arbitration Commission, on the basis that the underlying contract was a sham, the arbitration agreement was not valid, and thus it would be contrary to public policy to enforce the award.
Invalidity of the arbitration agreement: The court discusses other cases of invalidity of the arbitration agreement, including that there was no agreement at all or that the party was not a signatory thereto, that the incorrect arbitral institution was chosen, etc.
Due process: The court discusses what constitutes “proper notice” of the appointment of the arbitrators or of the arbitration proceedings.
Public policy: The court discusses the effect of other alleged violations of public policy on the recognition and enforcement of an arbitral award, such as contradictory reasons, manifest disregard of the law (US), etc.