Hong Kong / 09 February 1999 / Hong Kong, Court of Final Appeal, Hong Kong Special Administrative Region / Hebei Import & Export Corporation v. Polytek Engineering Company Limited / FACV 10/1998
Country | Hong Kong |
Court | Hong Kong, Court of Final Appeal, Hong Kong Special Administrative Region |
Date | 09 February 1999 |
Parties | Hebei Import & Export Corporation v. Polytek Engineering Company Limited |
Case number | FACV 10/1998 |
Applicable NYC Provisions | V | V(1) | V(1)(e) | V(2) | V(2)(b) |
Source |
[1999] 1 HKLRD 665; [1999] 2 HKCFAR 111 | http://www.judiciary.gov.hk (website of the Judiciary of the Hong Kong Special Administrative Region of the People’s Republic of China) |
Languages | English |
Summary | On March 29, 1996, an arbitral tribunal within the China International Economic and Trade Arbitration Commission rendered an award in favor of plaintiff-appellant, Hebei Import & Export Corporation (“Hebei”) and against defendant-appellee, Polytek Engineering Company (“Polytek”). Hebei obtained an order to enforce the award in Hong Kong on July 23, 1996. The Court of Appeal allowed Polytek’s appeal (based on Section 44 of the Arbitration Ordinance, which implements Article V NYC) to set aside the enforcement order on the grounds that (1) the Tribunal exhibited apparent bias; (2) this bias constituted a fundamental flaw in the arbitral procedure; and (3) it would be contrary to Hong Kong’s public policy to enforce an award that was the product of such a flawed proceeding. Hebei appealed. The Court of Final Appeal reversed the lower court's decision, finding that Polytek could have raised the issue of potential bias before the Tribunal but chose not to do so. As such, Polytek was estopped from now claiming that the Tribunal’s apparent bias violated Hong Kong public policy. The Court noted that refusing to enforce a Convention award requires a high burden of proof, unmet by Polytek in this case. |
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