Legal Trends to Watch in Hong Kong Dispute Resolution in 2026

As we usher in the Year of the Horse, our Bird & Bird Hong Kong disputes team looks ahead at the key developments that we expect will shape the dispute resolution landscape in the year ahead.

Cross-Border Recognition and Enforcement of Judgments

Over the past year, we have seen a marked increase in demand for cross-border recognition and enforcement of judgments across jurisdictions, and we expect this trend to continue. 

In particular, a growing body of reported decisions has emerged on the recognition and enforcement of Mainland judgments in Hong Kong since the Mainland Judgments in Civil and Commercial Matters (Reciprocal Enforcement) Ordinance (Cap. 645) came into force in 2024.  As the Hong Kong courts continue to develop the case law in this area, a question that has persisted in recent years, and which we anticipate will continue to come before the courts in 2026, is whether the common law route for enforcing Mainland judgments is displaced by the statutory regime, and more specifically, whether a judgment creditor may still seek recognition and enforcement of a Mainland judgment in Hong Kong at common law where the time limit for registration under the statutory regime has expired. 

Where Arbitration Clauses Meet Court Proceedings 

The interplay between arbitration agreements and insolvency proceedings remains one of the most actively litigated and debated topics in Hong Kong.  Following the landmark decisions in Guy Kwok-Hung Lam v Tor Asia Credit Master Fund LP [2023] HKCFA 9, Re Simplicity & Vogue Retailing (HK) Co Ltd [2024] HKCA 299 and Re Shandong Chenming Paper Holdings Ltd [2024] HKCA 352, it is now clear that the approach adopted by the Hong Kong courts diverges from jurisdictions such as England and Wales.  For a detailed analysis of this topic, please see our earlier article here.

This divergence has continued to attract significant commentary from practitioners across common law jurisdictions.  It has also given rise to novel questions before the Hong Kong courts, including how the court should approach an application for an anti-suit injunction to restrain foreign insolvency proceedings allegedly commenced in breach of an arbitration agreement where the foreign court takes a different view from Hong Kong as to whether the respondent is required to demonstrate a bona fide dispute on substantial grounds over the debt.  We anticipate that the courts will be faced with further cases testing these boundaries in 2026.

A related but distinct question is whether court proceedings should be stayed — or an anti-suit injunction granted — where the order sought falls within the court’s exclusive jurisdiction, yet one or more of the key underlying issues falls within the scope of an arbitration agreement.  This question arises most acutely in the context of shareholders’ disputes, where a petitioner seeks just and equitable winding-up and buy-out orders.  There has been a growing number of judgments in this area in Hong Kong over the past year following the Privy Council’s landmark decision in Family-Mart China Holding Co Ltd v Ting Chuan (Cayman Islands) Holding Corporation [2024] Bus LR 190.  We anticipate further litigation in 2026 to test the boundary between matters that are arbitrable and fall within the arbitral tribunal’s jurisdiction, and those that remain within the court’s exclusive domain.

The Rise of International Mediation 

2025 was a landmark year for international mediation.  The establishment of the International Organisation for Mediation (IOMed), headquartered in Hong Kong, creates opportunities in international mediation practice and underscores Hong Kong’s role as a leading centre for international dispute resolution.  How settlement agreements reached through IOMed are received and enforced across jurisdictions will be one to watch in the years ahead.

Looking Ahead

The trends above share a common thread: Hong Kong continues to engage actively with developments across other common law jurisdictions.  The increasing use of Hong Kong as a platform for global expansion – whether driven by commercial imperatives or policy – is expected to accelerate these trends.  Hong Kong is well positioned to consolidate its leading role as a hub for dispute resolution in the Asia-Pacific region and beyond. 

Watch this space — 2026 has only just begun.