Asialaw Profiles
The Guide to the legal markets of the Asia-Pacific

Allen & Overy’s dispute resolution practice in China has been working at over-capacity for most of the last year and has been actively recruiting additional lawyers. For example, Matthew Gearing relocated from London to the firm’s Hong Kong office in April 2008 to take over its arbitration practice in Asia. Meanwhile Beijing office head Peter Thorp has recruited associates in Beijing and relocated to Shanghai dispute resolution counsel Fai Hung Cheung. This now gives the firm a dispute resolution capability across the three major centres of Shanghai, Hong Kong and Beijing.

The practice has particular expertise on mis-selling, financial institution regulatory issues and corruption as well as arbitration. The recent turmoil and uncertainty in international financial markets has led to increases in the number of derivatives and distressed debt-related disputes on which the firm has been instructed.

For example, the firm is advising a major international bank on a number of mis-selling complaints made by a PRC corporate against the bank’s PRC sales team in relation to an interest rate swap transaction. It is also advising on related litigation and arbitration, as well as possible regulatory and reputation consequences of the complaints. This is the first time that enforceability of derivatives transactions has been tested in China for some 10 years.

The dispute resolution practice at Baker & McKenzie is consistently ranked top tier and has particular expertise in disputes arising from commercial transactions. The firm houses dedicated lawyers dealing with restructuring and insolvency, corporate compliance, construction, commercial arbitration as well as employment, information technology and intellectual property disputes.

Recent work includes acting for Avery Dennison Corporation and its subsidiaries in the PRC in defending trade secret and unfair competition claims by Taiwan company Four Pillars Enterprises (4P) in different PRC courts. Avery commenced claims against 4P for breach of trade secret and engagement in unfair competition conduct and malicious prosecution.

Other work includes advising a European Fortune 500 company on contractual rights and strategy in relation to: a major investment in northern China, an investigation into the affairs of the company; potential shareholders’ disputes; and liquidation issues including the recovery of assets in China.

Meanwhile, arbitration work includes acting for the PRC subsidiary of a US company in defending a construction arbitration proceeding before CIETAC commenced by a wholly foreign owned PRC company. And the firm advised a Swiss company in defending an arbitration proceeding before CIETAC commenced by a PRC company in respect of international sale and purchase of goods.

Gary Seib heads the practice, which includes Beatrice Schaffrath in Beijing. Schaffrath was promoted to partner on 1 July 2008 and her practice covers corporate compliance, dispute resolution, the environment and climate change.

The China dispute resolution practice at Freshfields Bruckhaus Deringer covers both international and domestic disputes, with arbitration, China-related dispute work, cross-border litigation and contentious regulatory matters being particular strengths. Its key mandate over the last 12 months is its work for Danone in eight arbitrations involving a billion dollar dispute with the Wahaha group arising from a failed joint venture in the PRC.

The firm also advised China Oriental, its chairman, and subsidiary Jinxi, in three sets of proceedings arising from the failed hostile takeover of by one of China Oriental’s shareholders. These involved defamation, breach of contract and breach of fiduciary duty.

Hong Kong-based Peter Yuen is focused on China related business disputes, regulatory and corporate compliance related investigations, banking related litigation, IT/IP related disputes and international arbitrations. Key clients of the magic circle firm include Aon, China Oriental, Danone and IBM.

The China/ Hong Kong dispute resolution team at US firm O’Melveny & Myers comprises two partners and eight counsels and associates. Regional head and international arbitration guru Michael Moser is ably supported by China head Friven Yeoh. Over the last year or so, the practice has added associates Desmond Ang, Bingna Guo and Ashley Bell. And in September 2008, it hired as counsel former Goldman Sachs senior legal counsel James Wood.

The practice handles high value, high profile complex civil and commercial cases, many of which involving cross-border issues. It can boast a wide industry reach in the areas of arbitration and dispute resolution that covers chemical and energy, entertainment and the media, financial services, government, insurance, manufacturing, mining and telecommunications.

Key clients include Fortum Energy, GE Infrastructure and Energy, Conoco Phillips and KPMG.