Hong Kong: Litigation, Mediation & Arbitration

The Hong Kong Court of Final Appeal has issued a landmark ruling on the foreign illegality defence in unjust enrichment claims, formally adopting the flexible "range of factors" approach from Patel v Mirza. The decision clarifies when parties can recover funds through restitution even when the underlying cross-border contract is unenforceable due to foreign law violations, establishing critical distinctions between contractual and restitutionary remedies.

Settlement agreement and procedural order terminating HKIAC arbitration could not be set aside as awards, but court was able to grant relief pursuant to supervisory jurisdiction and exclusive jurisdiction clause.

In a recent decision, the Hong Kong Court ordered the winding up of Jingrui Holdings Limited (the "Company"), a Hong Kong-listed Chinese property developer incorporated in the Cayman Islands.