HONG KONG SAR, CHINA Law and Practice Contributed by: Frederick Hui and Samuel Li, Zhong Lun Law Firm
the parties have expressly opted into Schedule 2 of the AO (or where it applies to certain older “domestic” agreements). In those cases, the court may order con - solidation or that arbitrations be heard together if there is a common question of law or fact, if the claims arise from the same transaction or a related series of trans - actions, or if consolidation is otherwise appropriate. Separately, consolidation can be achieved by agree - ment between the parties or under the institutional rules they have chosen. Under the 2024 HKIAC Rules, HKIAC may consolidate arbitrations where the parties agree; where all claims are made under the same arbi - tration agreement; or, for multiple agreements, where the disputes share common issues of law or fact, arise out of the same transaction or related series, and the agreements are compatible. Tribunals themselves generally do not have an independent power to con - solidate separate arbitrations. Their role is to manage proceedings within a single arbitration, including any co-ordination permitted by the applicable rules. 13.5 Binding of Third Parties In Hong Kong, a non-signatory will only be bound by an arbitration agreement or award if there is a recog - nised legal link to a party who agreed to arbitrate. This can arise through transfer of rights (such as assign - ment or succession), agency, subrogation (eg, insur - ers), or doctrines like estoppel.
As for foreign third parties, Hong Kong courts can - not bind a genuine non-signatory to arbitrate or be subject to an award unless one of above-mentioned recognised links applies or the person submits to the court’s jurisdiction. The courts may still make sup - portive orders (such as asset-preservation orders), but these do not make a non-party a party to the arbitra - tion. A third party who enforces a contractual right under the Contracts (Rights of Third Parties) Ordinance may also be treated as bound by the arbitration clause, depending on the contract terms. In addition, a per - son “claiming through or under” a party may, in some cases, rely on or be bound by the clause in court pro - ceedings under the AO. New parties can only be joined to an arbitration if they have agreed to it (including through applicable institu - tional rules). Hong Kong courts and tribunals will not compel true outsiders to arbitrate, and doctrines like piercing the corporate veil apply only in exceptional cases.
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