MACAU SAR, CHINA Law and Practice Contributed by: Carlos Eduardo Coelho, MdME
or insurance operations. A judgment made by a Macau court is an enforcement title, which is a prerequisite to initiating enforcement proceedings. Although the validity of a Macau insurance policy con- tracted with a foreign insurer is not affected, no claim may be brought in a Macau court for debts arising from an insurance contract or insurance manage- ment concluded or arranged by insurers that are not authorised to conduct business in Macau. In addition, judgments awarded by foreign courts on such insur- ance contracts or insurance management shall not be enforced in Macau. Nevertheless, an exception is provided by the MIO, pursuant to which such contracts can be subject to litigation or enforcement in Macau if the following con- ditions are verified: • the Macau licensed insurers are unwilling or unable to accept certain insurance contracts; • the AMCM is given 15 days’ prior notice; and • the AMCM does not oppose the conclusion of these contracts within the pre-notice period. Enforcement of Foreign Judgments Unless otherwise provided for in international agree- ments in force in Macau, foreign judgments can only be enforced in Macau after revision and confirmation by the Macau court. The procedures for the recogni- tion of foreign judgments are as follows: • application filed with the Macau Second-Instance Court; • service of court papers on the opposing party; • defence by the opposing party within 15 days; • reply by the applicant within ten days; • analysis of the case file by the Public Prosecutor; • opposition by the parties within ten days if the Public Prosecutor raises any issues; and • issuance of award by the Macau Second-Instance Court. 9.5 Enforcement of Arbitration Clauses Arbitration clauses can be included in both commer- cial insurance and reinsurance contracts, as long as the object of the clause relates to matters that can be
subject to the regime of settlement under the law and the arbitration clause is stipulated in writing, which can be contained in a contract or in the form of a separate agreement. The Macau Arbitration Law (Law No 19/2019) entered into force in May 2020. Arbitral agreements concluded before the entry into force of this law are valid and enforceable, unless any party objects within 15 days of the commencement of the arbitration. Arbitration clauses enforced after the law took effect shall follow the procedures under the new law. 9.6 Enforcement of Awards An arbitration award is identical to a Macau court decision in terms of enforceability, meaning that the award can serve as an enforcement title in enforce- ment proceedings in Macau. See 9.2 Insurance Disputes Over Jurisdiction and Choice of Law regarding the jurisdiction of Macau courts over the indicated Macau insurance contracts or insurance operations. Unless otherwise provided for in international agreements in force in Macau, for- eign arbitral awards can only be enforced in Macau after revision and confirmation by the Macau court. It should be noted that there are agreements for the recognition and enforcement of arbitration awards between Macau and Hong Kong, as well as between Macau and China. The procedure for the revision and confirmation of foreign arbitration awards is the same as for foreign judgments (see 9.4 Enforcement of Judgments ). Moreover, Macau is a party to the 1958 Convention on the Recognition and Enforcement of Foreign Arbi- tral Awards (the “New York Convention”) through the extension declaration of its applicability made by China, with the reciprocity reservation (only awards from other signatory states can be enforced) and the commerciality reservation (only awards deemed com- mercial under national law can be enforced). 9.7 Alternative Dispute Resolution The “Mediation Scheme for Financial Consumption Disputes” has been launched by the AMCM, the Macau Consumer Council and the World Trade Center
320 CHAMBERS.COM
Powered by FlippingBook