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Dispute resolution

We regularly advise clients on disputes in China or involving Chinese parties. As the PRC justice system is still in a process of development, handling disputes and enforcement through Chinese courts can be unpredictable. We are experienced in advising on the strategy to adopt in order to resolve disputes in the PRC and in working with local Chinese firms on litigation where it becomes necessary.

Because of the unpredictability of the Chinese courts in many locations, we usually recommend the use of arbitration to resolve Chinese disputes. We will ensure that effective arbitration clauses are negotiated as part of any China related contract and we are experienced in dealing with arbitration disputes. In this regard we often work hand in hand with Eversheds' international arbitration group.

Eversheds' international arbitration group

Eversheds has one of the world's foremost international arbitration practices. Our international arbitration group (IAG) has over 30 lawyers in 21 countries who specialise in international commercial and investment treaty arbitration and are based in all major European and Middle East arbitration centres.

Eversheds' IAG includes lawyers qualified in both civil law and common law jurisdictions who conduct international arbitration proceedings under any applicable law. They regularly conduct their own advocacy and routinely work in a number of languages including English, French, Spanish, German, Russian, Italian, Arabic and Chinese.

The group routinely conducts international arbitrations pursuant to the rules of all major arbitration institutions including the ICC, ICSID, SCC, CIETAC, AAA, LCIA, HKIAC, SIAC and Swiss Rules as well as ad hoc proceedings under the UNCITRAL Rules, at venues including London, Paris, Hong Kong, Singapore, Dubai, Stockholm, Belgium and Switzerland.

Our lawyers are frequently appointed to sit as arbitrators in ICC, LCIA, SIAC, CIETAC and ICSID proceedings. Several of the team are members of international arbitration bodies such as the ICC International Court of Arbitration, the ICC Commission on Arbitration, the LCIA and the Chartered Institute of Arbitrators.

Eversheds' IAG believes that its primary role is to settle clients' international disputes to their advantage. To this end, we apply a variety of dispute resolution techniques and team members are also trained in negotiation and mediation and are skilled in identifying opportunities to resolve international disputes early, to minimise wherever possible the need to incur time and costs in full arbitration proceedings.
Some of our experience includes:

  • arbitration in Hong Kong in relation to commissions due under commodity 'barter' transactions involving several former Soviet Republics,
  • arbitration in Shanghai in connection with a luxury residential property development, including High Court proceedings in Hong Kong for ancillary relief,
  • arbitration against a Chinese company arising out of a software licensing transaction,
  • acting for a Hong Kong based company arising from a distribution agreement for food products and key brands in one of the world's major territories,
  • playing a major role as counsel and advocates in a dispute between Singapore and Malaysia over who owns Pedra Branca island, and other small islands, in the Straits of Singapore. The dispute, which has lasted for nearly 30 years, will finally be settled following a hearing in the International Court of Justice (ICJ),
  • CIETAC arbitration against a Chinese company arising out of non-delivery of goods and termination of agency agreements. 

For further information on Eversheds' IAG and its services, please contact Vanessa Smith on +44 845 497 0774.

Other dispute resolution work carried out by the China business group includes advising:

  • the Chinese subsidiary of a leading UK food manufacturer on the resolution of a high profile intellectual property dispute with a former PRC distributor,
  • a leading UK bio-tech company as its counsel in China on PRC administrative disputes,
  • a major multinational on a construction dispute in its plant near Shanghai,
  • a Japanese corporate in relation to an IP licence infringement by a major Chinese energy company,
  • the Chinese subsidiary of a leading UK food manufacturer on the resolution of an intellectual property dispute with a former PRC distributor,
  • the world's largest anti-virus solutions provider and several western IT companies on software distribution, licensing, and IP litigation.

We are also skilled in dispute resolution design, and conceive and apply proactive dispute resolution systems within companies. We have found that our experience in China allows us to effectively design such structures for sino-foreign joint ventures.

In China Eversheds LLP is a foreign law firm registered with the Ministry of Justice of the People's Republic of China. Under current Chinese regulations, we are allowed to provide information concerning the impact of the Chinese legal environment, but, like all international law firms with offices in the PRC, we are not authorized to issue opinions, determinations, or certifications in respect of, the application of PRC law. We work in cooperation with a number of Chinese law firms. Should you require a legal opinion in respect of any Chinese law matter, we would be happy to assist you in obtaining an opinion from a Chinese firm.

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