This fortnight’s Hong Kong authorities matter most for three desks: insolvency and construction recovery, cross-border award enforcement, and public-law challenges to prosecutors. The Court of Appeal has narrowed a common liquidator theory on post-petition payments; the Court of First Instance has again used an anti-suit injunction to protect Hong Kong enforcement of an arbitral award; and complainants have been reminded that a decision not to prosecute is not a conventional judicial-review target.

From the courts

Direct payments to sub-contractors after a winding-up petition

In Hsin Chong Construction (Asia) Ltd (in liquidation) v Wong Po Kee Ltd, the Court of Appeal allowed nominated sub-contractors to keep payments the employer made after the main contractor’s winding-up had begun. The Court held that a 2017 supplementary agreement had already taken away the company’s right to receive those sums, so section 182 of the Companies (Winding Up and Miscellaneous Provisions) Ordinance did not bite. Construction and insolvency teams should read the actual bargain — including deeming and waiver clauses — before issuing a clawback summons. Retention monies found to be trust property stayed with the sub-contractors.

Anti-suit relief to protect award enforcement

Xiamen Xinjingdi Group Co Ltd v Eton Properties Ltd is a warning shot in long-running CIETAC enforcement. The Court of First Instance restrained the award debtors from pursuing Xiamen proceedings that sought to claw back sums recovered in Hong Kong, ordered discontinuance before the Mainland hearing, and awarded indemnity costs. The analysis turns on the distinction between enforcing the contract and enforcing the award. If a parallel claim is timed to interfere with Hong Kong relief, apply promptly and expect the court to police the party’s conduct in the name of comity, not to sit in judgment on the foreign court.

Judicial review of a decision not to prosecute

Koo Ming Kown v ICAC confirms the narrow gate. Prosecutorial decisions, including a decision not to charge, are protected by Article 63 of the Basic Law. They are not open to ordinary public-law review; unconstitutionality is the only recognised ground, and standing is not established merely because the issue is important or the challenge looks strong. Advise complainants accordingly before costs are incurred on a rolled-up hearing.

Revised drug-trafficking guidelines still in play

In HKSAR v Siu Hon Fai, the Court of Appeal reduced a trafficking sentence from 19 years 4 months to 17 years 4 months after applying the revised large-quantity guidelines in Huang Ruifang (No 3). Exploitation of a minor and previous trafficking convictions remained aggravating. Counsel should quantify the real difference the new bands make, and should not expect a late or trivial adjustment to succeed.

In the profession

Hong Kong Lawyer’s Theft Sentencing in Hong Kong: Categories, Aggravating Factors and Appellate Guidance is a category-by-category reminder that there is no universal theft tariff and that a long record cannot swamp proportionality.

Herbert Smith Freehills Kramer’s Hong Kong Court Grants Anti-suit Injunction To Restrain Mainland PRC Litigation And Safeguard Award Enforcement walks through the Eton Properties injunction and the indemnity-costs warning for award debtors who relitigate decided points.

The South China Morning Post reports Youth arrests in Hong Kong rise 20%, driven by assault and criminal-damage cases, with the Commissioner linking much of the rise to debt-collection and the exploitation of young people.

In a Speech by SJ at ALB Hong Kong In-House Legal Summit 2026 (English only) (with photo), the Secretary for Justice said the Government is reviewing the Competition Ordinance with a view to criminalising bid-rigging, and pointed to virtual-asset licensing, the “468 Rule”, MPF offsetting abolition, and regularisation of the Greater Bay Area lawyers’ scheme. In-house counsel should treat those as compliance workstreams now.

Browse Hong Kong judgments on Common Laws

Image: Magnet larry / Wikimedia Commons