Shandong Chenming v Arjowiggins – Hong Kong’s top Court relaxes the “benefit” requirement for winding up a foreign company

Wilson Leung has written an article for ThoughtLeaders 4 FIRE Magazine Issue 11 – Year in Review 2022.

The article reviews the Hong Kong Court of Final Appeal’s recent judgment in Shandong Chenming Paper Holdings Ltd v Arjowiggins HKK 2 Ltd [2022] HKCFA 11, [2022] 5 HKC 318, where the court adopted a liberal approach to the second “core requirement” for the winding-up of a foreign company (that winding-up must be of “benefit” to the petitioner). The court held that commercial leverage created by the prospect of a winding-up order could amount to such benefit.

Wilson is a dual-qualified barrister practising in both England and Hong Kong. He has over 13 years of experience at the Hong Kong Bar, practising from Temple Chambers (“the leading chambers in respect of commercial litigation work”, Legal 500, 2022 edn); he then qualified at the English Bar in 2022 and joined Serle Court. He focuses on complex commercial and chancery litigation, with particular experience in company, insolvency, contract, trusts, probate, and banking disputes.