Online Arbitration in Hong Kong: a legally binding, digital dispute resolution path
- Stefan Schmierer
- Aug 22
- 4 min read
With rising numbers of cross-border transactions and the fast digitalisation of commercial relationships, traditional litigation and even institutional arbitration are often proven to be too slow, expensive and cumbersome, especially for low to mid-value disputes. The HKAS (Hong Kong Arbitration Society) responded to this issue with a modern solution back in 2019. A fully online arbitration platform, which has now gotten an updated Online Arbitration Rule Set. The following article provides an overview of this development, its practical applications and how it compares to the traditional form of arbitration under Hong Kong law.
Authors: Stefan Schmierer, Managing Partner. Co-author: Nicolas Freier, intern.
Online arbitration is gaining a lot of traction since businesses seek increasingly efficient and cost-effective ways to resolve their commercial disputes, especially in the context of smaller-value claims and cross-border transactions. In response to this demand, the Hong Kong Arbitration Society launched its Online Arbitration Platform, providing a digital environment in which the entire arbitration process is conducted remotely. Following its launch, the first fully online arbitration was completed in spring 2021.
This initiative reflects a broader movement towards integrating technology into formal dispute resolution without making sacrifices to the enforceability or legal power of traditional arbitration.
In February of 2025, HKAS launched their new Online Arbitration Rules – now fully tailored to the online arbitration process and not just a modification of the standard arbitration rules. With this standalone version, all parties can initiate proceedings, easily exchange submissions, present their evidence, and receive a final award, entirely online. The platform supports standard document uploads, digital & documented communication, and even virtual hearings, if necessary. Most importantly, the process remains completely grounded in the Arbitration Ordinance (Cap. 609), meaning that the awards generated through this system carry the same legal weight as those issued via conventional arbitration. They can therefore also be enforced under the New York Convention in over 160 jurisdictions worldwide.
The new rule set in place is designed with accessibility and efficiency in mind. Fees start from HKD 100, and many cases are resolved in around thirty days. Communications are funnelled through E-Mail or platform messaging, and parties may even rely on some AI-assisted tools for drafting documents or selecting arbitrators if no consensus can be reached.
Anyone – also individuals - can start a case through the platform.
Anyone – also individuals - can start a case through the platform. As a first step, the claimant must file a Notice of Arbitration through the portal, which sets out the names and contact details of both parties, a copy of the arbitration agreement, a short description of the dispute and the relief sought, and any supporting documents such as contracts, invoices or prior correspondence. An arbitration agreement can be something minor like a clause in a contract, or even an online Terms & Conditions “click-through” agreement, since electronic agreements are valid under Hong Kong law.
In terms of suitability, the online process is a particularly good match for the disputes originating from online transactions, loans, service agreements, agency relationships, and similar commercial arrangements that don’t typically require lengthy evidentiary hearing or complex management. Nonetheless, if either of the parties or HKAS itself deems a case unsuitable for the online track, for example due to complexity, factual sensitivity, or other needs, it can be transferred to traditional offline arbitration under HKAS’s standard rules. In all cases, HKAS retains the real interpreting authority over its procedures and has discretion to determine how each matter should proceed.
Since it has been in practice, the arbitration landscape has changed drastically.
Companies that once ignored smaller unpaid invoices or cross-border disagreements are now pursuing them, knowing recovery can be fast, affordable and enforceable
Companies that once ignored smaller unpaid invoices or cross-border disagreements are now pursuing them, knowing recovery can be fast, affordable and enforceable. HKAS reported a 40% increase in online filings in Q2 2025 compared with late 2024, with most of the growth coming from routine e-commerce and services claims. Legal teams are also adapting their strategy, as routine claims are increasingly delegated to junior staff or handled directly by finance departments through the portal, while the senior counsel can focus on higher-value matters. At the same time, counterparties are also quicker to settle once faced with the prospect of an award that can be turned into a judgment in multiple jurisdictions.
Looking ahead, companies drafting new contracts or terms and conditions may want to incorporate an extra “online arbitration clause”, either as a standalone paragraph or as an option together with the standard HKAS / HKIAC wording. Doing so preserves flexibility while also signalling to counterparties that disputes can be handled fast and cost effective if they arise. As with any dispute resolution clause, careful individualization to the commercial context remains essential, but the availability of HKAS’ online platform enables easier settlement options, nonetheless.
Ravenscroft & Schmierer can provide advice on how best to submit your case through HKAS' online platform. Reach out to us for more information.
Disclaimer: This publication is general in nature and is not intended to constitute legal advice. You should seek professional advice before taking any action in relation to the matters dealt with in this publication.
For specific advice about your situation, please contact:
Managing Partner
+852 2388 3899
Co-author:
Intern
+852 2388 3899