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Recognition and Enforcement of a Hong Kong Judgment in the Mainland: A Cross-Border Recovery Battle Triggered by a Single "Keepwell Deed"

2026/10/14 14:03:37

The Central Question: Can a Default Judgment Cross the Shenzhen River?An offshore fund held a tranche of euro-denominated bonds. The parent company of the bond issuer signed a "keepwell deed," undertaking to maintain the issuer's net assets and liquidity. The bonds matured without repayment. The fund commenced proceedings in Hong Kong against the p

A Third-Country Jurisdiction Clause in a Foreign-Related Contract: Why Can a Chinese Court Still Exercise Jurisdiction?

2026/10/14 14:01:52

A jurisdiction clause that appeared to be "set in stone" was nonetheless held invalid by a Chinese court. The parties had originally agreed that all disputes would be submitted to the courts of a certain third country. Ultimately, however, a Chinese court still exercised jurisdiction over the case. What legal logic lies behind this?Case SummaryComp

Choice of Law in Foreign-Related Contracts: Why Doesn't the Court Accept "I Choose Chinese Law"?

2026/10/14 13:59:27

— Two Adapted Cases That Clarify the Boundaries of Party Autonomy.A Mainland company entered into a sales contract with a Hong Kong resident. After the counterparty defaulted on the purchase price, it became uncontactable. In court, the Mainland company argued: "The contract did not specify the governing law, but I choose Mainland law!" The defenda

"Deposit" or "Deposit"? A One-Character Difference That Nearly Cost a Million in Payment

2026/10/14 13:57:30

A cross-border sales contract, a single phrase "10% deposit," and the parties went from cooperation to confrontation. The buyer had paid the deposit, yet the seller repeatedly failed to deliver the goods; the buyer demanded double return, while the seller only agreed to refund the principal. Was this a "deposit penalty" or an ordinary deposit? A co

Do Shareholders of a Hong Kong One-Person Company Really Not Have to Repay Debts?

2026/10/14 13:55:42

A Real Case That Left a Mainland Creditor "Unable to Pursue the Debt"Case Puzzle: Goods payment could not be recovered, yet the shareholder "walked away scot-free"?Mainland Company A purchased a batch of mineral products from Hong Kong Company B and paid the full purchase price. However, the goods were not delivered for a long time, and Company B o

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