Overview of the RRE Arrangement
Our previous alert published here provides an overview of the RRE Arrangement, including the following aspects:
- the key requirements for registration of Mainland judgments in Hong Kong;
- the types of judgments that are excluded from the RRE Arrangement;
- how registration can be set aside, and on what grounds; and
- how the new regime improves on the previous one.
In this article, we briefly highlight the practical steps detailed in PD 38 for seeking recognition of a Mainland judgment in Hong Kong and vice versa. These steps follow the Ordinance and its rules (Cap. 645A).
1. Mainland judgment creditors seeking registration and enforcement in Hong Kong
An application under the RRE Arrangement for recognition of a Mainland judgment in Hong Kong must be made by an ex parte originating summons and be supported by an affidavit / affirmation exhibiting the following:
- The applicant's proof of identity or certificate of incorporation;
- A copy of the duly sealed Mainland Court judgment; and
- A certificate issued by the Mainland court certifying that the subject judgment is a Mainland judgment in a civil or commercial matter that is effective in the Mainland.
Along with the affidavit, the originating summons must be accompanied by a draft order for registration, a draft notice of registration, a duly completed form containing the particulars of the Mainland judgment, and a statement of costs for summary assessment.
The Mainland judgment may include provision for interest and may be in a foreign currency.
- Interest: The applicant must provide proof of the rate of interest and the amount due at registration.
- Currency conversion: Where the sum payable under the Mainland judgment is in a currency other than Hong Kong dollars, the application must also provide the exchange rate at the date of registration.
2. Hong Kong judgment creditors seeking recognition and enforcement in Mainland China
Judgment creditors in Hong Kong wishing to seek enforcement in the Mainland must apply for a certified copy of the Hong Kong judgment. All applications for the same should be directed to the relevant registry – e.g., if the judgment was given by the Court of Appeal or the Court of First Instance, the application should be made to the High Court Registry.
PD38 prescribes the mode of application is ex parte and to be made in the same action or proceedings in which the Hong Kong judgment was granted and accompanied by a supporting affidavit and a draft Registrar's Certificate with the necessary enclosures.
3. Continuing full and frank disclosure for ex parte applications
Since both types of applications are made ex parte, it is important for the applicant to understand their duty of full and frank disclosure, which is a continuing obligation. In other words, the applicant is required to continuously monitor their position even after the relevant application is made, and keep the Court updated with any developments.
For example, where further evidence comes to light that is relevant to the enforceability of the Mainland judgment, that information should be brought to the Court's attention by way of a supplementary affidavit.
