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A Brief Discussion on the Implications, Regulation and Prospects of AI in Dispute Resolution Practice with a Focus on China

Mediating Disputes Involving Chinese Parties

Mediation is on the rise internationally as a means to settle disputes in a cost-effective manner. Chinese parties appear to be increasingly interested in mediation as an option. This article examines the evolving landscape of mediation in China and internationally. It considers how mediation for Chinese parties is evolving and whether mediation is a good option for Chinese parties in cross-border disputes. Commercial mediation has seen remarkable growth, bolstered by a supportive PRC judicial system and legislative initiatives encouraging parties to find harmonious ways to resolve disputes. The article analyses the three primary types of mediation in China: people’s mediation, administrative mediation, and commercial mediation. It also looks at mediation rules and proceedings in common law jurisdictions, such as Hong Kong, Singapore, and the United States. The article anecdotally considers the cultural elements, emphasising the Chinese parties’ preference for evaluative mediation styles as a reflection of civil law. Through case studies of international disputes involving Chinese and US parties, the article illustrates the practical dynamics of mediation involving Chinese parties and underscores the importance of cultural sensitivity in international mediation. As Chinese parties continue to go global, mediation is emerging as an attractive option for efficient and cost-effective dispute resolution. This analysis assesses whether the promotion of mediation is yielding tangible outcomes and explores the future of mediation involving Chinese and foreign parties.

China’s Foreign State Immunity Law 2023: Implications for Enforcement of Judgments and Arbitral Awards against States and State Entities in the People’s Republic of China, Hong Kong, and Macau

The new Foreign State Immunity Law 2023 of the People’s Republic of China came into force on 1 January 2024. This shifts the country (as well as its special administrative regions, Hong Kong and Macau) away from absolute state immunity to restrictive state immunity, bringing it more in line with the relatively prevalent practice among the international community. This article discusses the status of state immunity in public international law, analyses the new law’s provisions and examines practical challenges that will be faced by those seeking to utilise this law to enforce judgments or awards against foreign states and state entities, and the new law’s innovations that go beyond the United Nations Convention on Jurisdictional Immunities of States and Their Property of 2004 and the UK State Immunity Act 1978.

China's regulation of artificial intelligence – progress and challenges

Artificial intelligence (AI) is developing rapidly in China, with the number of patents and the size of the market both ranking highly among countries. However, this rapid development has posed new challenges to the legal framework, ethical norms and social governance, prompting China to continuously adjust and improve the relevant regulatory system.

Utilising Generative AI in Businesses: Risks and Best Practices

The rise in popularity of generative artificial intelligence (‘generative AI’) has ignited the discussion on whether junior employees can be replaced by it. Some have gone to the extent of questioning whether professionals, such as lawyers, can also be replaced by generative AI. Is it wise to replace junior employees or lawyers with generative AI? What factors should be considered before deploying generative AI tools in your business? To consider these questions, we first need to understand the basic workings of generative AI and what it can offer. Fundamentally, AI is intelligence that is not biological. The general understanding is that machines will be ascribed with this intelligence. These machines have the ability to interpret, learn from and process external data in a way that is similar to the capabilities of the human mind. Generative AI is a type of AI program that generates content from a data set. It uses deep learning, a type of machine learning system that behaves like a neural network to simulate the functions of a human brain. In other words, it can mimic human intelligence by exhibiting analytical skills to create new content. Not only can generative AI be utilised in chatbot programs to create text, but it can also be used in programs that can create images, sound or videos. This article will consider two major forms of generative AI, in the context of risks to businesses: chatbots using generative pre-trained transformer technology programs; and image generating programs.

The SEC’s tough stance on intermediary institutions: compliance and litigation risks

This article discusses the recent SEC case involving PwC and highlights the wider implications for intermediary institutions providing professional services in a tightened regulatory and enforcement regime in China’s banking and financial sector.

China’s restrictions on cross-border transfer of personal information: an update on regulatory policy and practical implications

This article will outline the development of China’s restrictions on the cross-border transfer of personal information (PI export), detailing PI export mechanisms provided by the Personal Information Protection Law. It will also explain the practical implications of the restrictions.

Emergency Arbitration: Where Are We Now and Where Do We Go from Here?

This article reviews the development of emergency arbitrator proceedings (EA) internationally in institutional arbitration rules and in national laws since the ICDR Rules first offered EA in arbitration in 2006, including the forms of urgent interim relief available in EA pending the constitution of an arbitratlon tribunal. Among other topics, it reviews why parties choose EA, the interaction of EA with national court systems, provides a comparison between EA and national courts’ proceedings including as to cost, the types of interim measures available, coercive powers to require compliance, their respective scope as to third parties, whether ex parte applications are permissible, the enforceability of interim relief orders, the nature of the order or award and whether a binding decision is made in EA, and the approach of jurisdictions to enforcement of orders made in EA. The article provides statistics as the uptake and use of EA proceedings from 2020 to 2023 in ICC, SIAC, HKIAC, SCC and LCIA arbitrations and reviews the different approaches to the substantive standards for granting relief in EA proceedings. It discusses EA relief and performance bonds. Finally, it reviews the considerations relevant to the future development of EA.

Alipay and the impact of e-payment systems resulting in new regulations in China and other jurisdictions - China Working Group

By Yi-An (Ann) Lai. Alipay and the impact of e-payment systems resulting in new regulations in China and other jurisdictions.

Who Is A Friend? The Hong Kong Court of Final Appeal Delivers a Landmark Ruling

The Hong Kong Court of Final Appeal clarifies that who is considered a “friend” pursuant to the Prison Rules in respect of visitation rights for inmates awaiting trial and with the presumption of innocence, and whether a friend has to be someone with a personal or intimate relationship with the inmate.

Expedited Arbitration Procedures as A Fast and Cost-effective Option – User Experience and Practice

Arbitration is no longer perceived as a cheap and fast option for resolving commercial disputes. Against the backdrop of increased user dissatisfaction with time and costs in arbitration, this article takes a fresh look at expedited procedure as one of the most effective techniques in response to this concern. The article begins by outlining the main features of expedited arbitration and then explores three areas where procedural rules diverge: (1) whether expedited procedures apply automatically, (2) the value threshold for their application, and (3) the appointment of arbitrator/s. Building on this general overview of procedural and institutional framework, the main part of the article identifies various genuine or perceived challenges encountered with expedited procedures. The article considers issues such as the suitability of expedited procedures for arbitration matters, their ability to deliver genuinely fast dispute resolution, challenges encountered with the constitution of the arbitral tribunal and due process considerations. These issues are analysed through the lens of user experience and practice gathered from caselaw, doctrine and empirical evidence, including from surveys conducted by the Singapore International Dispute Resolution Academy (SIDRA) since 2019.

A framework for digital platform regulation

In rapid succession, a number of jurisdictions have moved away from focusing on antitrust enforcement to the proposed regulation of digital platforms. Ostensibly, the regulatory focus is about competition and potential concerns that traditional ex post enforcement may be ill-equipped to address the power of digital platforms. This article focuses on the realities of what platform regulation might mean, and how to better frame and structure the nature of appropriate regulation. This article first identifies a number of the different approaches to regulation that various jurisdictions have put forward, and then lays out six basic principles for platform regulation to help address some of the potential harms that such approaches may unwittingly be pursuing.

The Global Impact of the Covid-19 Pandemic on Commercial Dispute Resolution in the First Year

While the pandemic disruption has extended for far longer than initially expected, courts (after the first wave), arbitral institutions and stakeholders in commercial dispute resolution have largely continued operations, increasingly supported by innovative digital technology, flexible scheduling and flexible cost structures, among other tools.