In a significant judgment, a Hong Kong court has recognized the Beijing administrators of the commercial arm of the Peking University group but granted only a limited stay of proceedings which means that bondholders and...more
Our global team of securities and professional liability lawyers at Hogan Lovells is uniquely positioned to monitor legal developments across the globe that impact accountants’ liability risk. We have experienced lawyers on...more
12/22/2021
/ Accountants ,
Accounting ,
Accounting Standards ,
Auditor Independence ,
Financial Reporting ,
Financial Services Industry ,
Foreign Corporations ,
Hong Kong ,
Netherlands ,
PCAOB ,
Securities and Exchange Commission (SEC)
The Hong Kong court has recently delivered a key judgment that could affect the validity of privatizations effected by court sanctioned schemes of arrangement or reductions of capital. The decision may affect the wording of...more
A company that specialized in the design and production of optical instruments (hereafter: the Company) hired an accounting firm and a tax consultancy firm (hereinafter: the Accountants) to prepare its annual accounts between...more
10/26/2021
/ Accountant Malpractice ,
Accountants ,
Accounting ,
Accounting Standards ,
Audits ,
Financial Institutions ,
Financial Services Industry ,
Hong Kong ,
Italy ,
Netherlands ,
Professional Liability ,
Securities and Exchange Commission (SEC) ,
Spain
On 1 July 2021 a new bill came into force in Germany that substantially reshapes the legal framework for accountants (“Gesetz zur Stärkung der Finanzmarktintegrität – (Finanzmarktintegritätsstärkungsgesetz -FISG)”, “FISG”,...more
Cyber fraud scams, typically involving fraudsters using spoofing / phishing tactics to bring about unlawful receipt of monies, have, unfortunately, been a mainstay in Hong Kong in recent years.
As the fraudsters’ nefarious...more
Court of Appeal rules in favor of accounting firm in breach of contract claim -
The Court of Appeal has rejected a claim from a California-based businessman that a global accounting firm failed to ensure that its...more
Hong Kong and the Mainland have agreed a new co-operation mechanism for cross-border insolvency. Under the agreement, liquidators from Hong Kong may apply to Mainland courts for recognition of insolvency proceedings in Hong...more
5/14/2021
/ China ,
Commercial Bankruptcy ,
Cooperation Agreement ,
Creditors ,
Cross-Border ,
Debtors ,
Foreign Corporations ,
Foreign Jurisdictions ,
Hong Kong ,
Insolvency ,
Supreme Peoples Court
Recent regulatory and enforcement developments -
Hong Kong -
Court rules on disclosure of disciplinary decisions-
Accountants and other professionals should not expect that disciplinary decisions against them will remain...more
3/30/2021
/ Accountant Malpractice ,
Accountants ,
Accounting ,
Accounting Standards ,
Capital Markets ,
Disciplinary Proceedings ,
Enforcement Actions ,
Fraud ,
Hong Kong ,
Italy ,
Memorandum of Understanding ,
Netherlands ,
Regulation S-K ,
Regulatory Agenda ,
Securities and Exchange Commission (SEC)
Mediation has sometimes been described as a bit like marriage counselling. The mediator, like a counsellor, is there to listen to and facilitate discussions between the two parties in an attempt to identify common ground and...more
The court in Luk Wing Yan v. CMB Wing Lung Bank Ltd. [2021] HKCFI 279 found the defendant not liable for the actions of one of its employees who fraudulently offered investments which caused loss to the plaintiff.
...more
As the world welcomes in the Year of the Ox, we take a look back at 10 recent decisions that made an impact in the past year. In the decisions, the courts considered fundamental issues such as when an arbitral award may be...more
3/16/2021
/ Arbitration ,
Arbitration Agreements ,
Arbitration Awards ,
Arbitrators ,
Boilerplate Language ,
Business Disputes ,
Contract Terms ,
Forgery ,
Hong Kong ,
Impartiality ,
International Arbitration
The Hong Kong Court of First Instance in Edison Norge As v. BZZ Ltd [2021] HKCFI 135 has granted default judgment against email fraudsters whilst granting the declaratory relief applied for only in part. This decision...more
Where notice requirements are clear and unambiguous, those required to give notices should expect them to be strictly enforced. In the recent Court of Appeal decision Maeda Kensetsu Kogyo Kabushiki Kaisha v. Bauer Hong Kong...more
The United Kingdom (UK) Supreme Court has handed down its much-anticipated judgment in Halliburton Company v. Chubb Bermuda Insurance Ltd [2020] UKSC 48 in respect of Haliburton's application to remove an arbitrator for...more
1/5/2021
/ Appeals ,
Arbitration ,
Arbitrators ,
Bias ,
Disclosure Requirements ,
Halliburton ,
Impartiality ,
Insurance Claims ,
International Arbitration ,
International Chamber of Commerce (ICC) ,
LCIA ,
UK ,
UK Supreme Court
After eight years of negotiation, the Regional Comprehensive Economic Partnership on Trade (RCEP), the world's largest regional trade agreement, was signed in an online ceremony on 15 November 2020. The trade deal lowers...more
It is not uncommon for companies exploring expansion or other ways of raising capital to engage financial advisers to provide a range of consultancy services, including the introduction of potential investors or deals of...more
In another groundbreaking decision, the Hong Kong court in Re Ando Credit Ltd [2020] HKCFI 2775, has appointed provisional liquidators over a Hong Kong-incorporated investment manager for the express purpose of allowing the...more
The Hong Kong Court of Appeal has allowed the proposed privatization of a Hong Kong listed company through a scheme of arrangement, overturning the decision of the Court of First Instance (CFI).
...more
In a significant development, the Shanghai Financial Court has announced its ruling in the first case in China involving an application for recognition and enforcement of a Hong Kong court judgment relating to the...more
The Hong Kong government is proposing much-anticipated legislation for the introduction of a corporate rescue procedure and insolvent trading regime. Hong Kong has, for years, struggled to introduce a statutory corporate...more
On 21 August 2020, the court of Chancery of the State of Delaware granted a motion brought by three Defendant KPMG firms to dismiss a cause of action seeking to hold KPMG LLP (KPMG US) liable as the agent of KPMG Cardenas...more
9/18/2020
/ Accounting ,
Financial Services Industry ,
Hong Kong ,
Hong Kong Monetary Authority (HKMA) ,
KPMG ,
Liability ,
Netherlands ,
PCAOB ,
Regulatory Agenda ,
Regulatory Standards ,
Risk Management
In a pair of recent contrasting judgments, Re Agritrade Resources Ltd [2020] HKCFI 1967 and Re Rare Earth Magnesium Technology Group Holdings Ltd [2020] HKCFI 2260, the Hong Kong Court has once again confirmed its pragmatic...more
Hong Kong people may be well aware of complaints about renovation cartels in the market for some time, even before Hong Kong had its competition law. With the enforcement of competition law, it is hoped that such...more
9/10/2020
/ Anti-Competitive ,
Antitrust Provisions ,
Cartels ,
Competition ,
Construction Project ,
Hong Kong ,
Hong Kong Competition Commission (HKCC) ,
Housing Market ,
Price-Fixing ,
Public Housing ,
Renovations
The Hong Kong Court of First Instance has dismissed an application by a British Virgin Islands (BVI) company (C) for an interim anti-suit injunction against proceedings commenced by a Cayman Islands company (D) for the...more
8/18/2020
/ Anti-Suit Injunctions ,
Arbitration ,
Arbitration Agreements ,
British Virgin Islands ,
Cayman Islands ,
Contract Terms ,
Hong Kong ,
Hong Kong International Arbitration Centre (HKIAC) ,
Purchase Agreement ,
Share Buybacks ,
Winding Up Petitions