Qianhai to Apply Hong Kong Laws when Signing Commercial Contracts
Qianhai authority is thinking about the feasibility of making Hong Kong laws applicable to commercial contracts that are signed in the Qianhai Shenzhen Hong Kong cooperation zone since it’s a part of the Guangdong free trade zone. A poll among Qianhai registered companies is showing that 70 percent of respondents are willing to subject commercial contracts to Hong Kong laws when their contracts are signed with their Hong Kong counterparts.
The survey was conducted b the national statistics bureau and a survey company from the Qianhahi Administrative bureau Qianhai Data. Experts called for Hong Kong laws for years now to be applied in Qianhai, which was created to pilot reforms in cooperation with Hong Kong. The survey showed that 76 percent of the respondents are willing to comply with Hong Kong laws when making contracts with Hong Kong funded firms. And 70 percent believe that Hong Kong laws are more in line with the basic commercial norms. But making Hong Kong laws apply in Qianhai will face legislative hurdles and to cope up with them, Qianhai authority and circuit court of the Supreme People’s Court stated the research.
Although the National People’s Congress concluded the research early for Hong Kong law compliance proposal to get approval, it’s also difficult for the Supreme People’s Court to issue their judicial interpretations. As of the moment Qianhai authority is checking on the guidelines that will allow Hong Kong jurisdiction in contracts or when drafting standard contract forms that will serve the same purpose.