Contributed by Leong Zhi Hong, Co-Deputy Chairperson (Southern Region), Bar Council National Young Lawyers Committee
The long-awaited 5th China-ASEAN1 Forum on Legal Cooperation and Development (“CAFTA 2011”) had finally arrived at Shangri-La Hotel, Kuala Lumpur! The event, which was held over two days, started with the registration of delegates at 8:00 am on 26 Sept 2011 (Monday). Over 320 delegates from Brunei, China, France, Hong Kong, India, Indonesia, Malaysia, Singapore, Taiwan, Thailand and Vietnam had registered for the Forum.
The Forum began officially at 8:45 am with the arrival of distinguished guests. In his welcome address, YABhg Tun Zaki b Tun Azmi, President of ASEAN Law Association Malaysia, greeted all the delegates and expressed his gratitude to YAA Tan Sri Arifin b Zakaria, the new Chief Justice of the Federal Court of Malaysia, for agreeing to deliver the Forum’s first keynote address. YABhg Tun Zaki b Tun Azmi continued by explaining that the China-ASEAN market was about the free movement of goods, services and capital across multiple jurisdictions, and was a vastly different operating environment from that of the national market jurisdiction. Thus, successful law firms, lawyers and legal systems in the ASEAN region would be those that are able to carve out an active role in regional trade. He highlighted that increased cross-border transactions would require cross-jurisdictional legal advice for dispute resolution, and the four sessions of the Forum would discuss the main areas of relevance to the changing landscape.
The topics for the first and second sessions were “Disputes under the International Trade and Investment Treaties” and “Arbitral Institutions in CAFTA Region – Opportunities and Challenges”. YABhg Tun Zaki b Tun Azmi noted that within the China-ASEAN region, the International Centre for Settlement of Investment Disputes had concluded arrangements to facilitate investment arbitration in Kuala Lumpur, Singapore and Hong Kong. For Malaysia, Kuala Lumpur was promoted as the regional arbitration centre, and Malaysian courts supported and enforced agreements for arbitration. The topics for the third and fourth sessions were “Present and Future Development of CAFTA and Ongoing Liberalisation of Trade in Goods and Services in the Movement of Capital” and “Liberalisation of CAFTA Legal Services”. For the legal services sector, transformation was required to adapt to the new regional trade landscape. The China-ASEAN Trade Area would only be possible with the liberalisation of laws and regulations that governed the legal profession.
At the international level, the Malaysian Government was planning for liberalisation by amending the Legal Profession Act 1976 in Peninsular Malaysia to enable foreign firms to operate in Islamic finance and other specific areas. There is an urgent need for the liberalisation of the Bar, as many other ASEAN jurisdictions were much more advanced than Malaysia in liberalising and globalising the legal system. YABhg Tun Zaki b Tun Azmi shared his hopes that the free exchange of people and ideas, which could take place through the Forum, would enrich the legal systems and practices of different jurisdictions. Last but not least, YABhg Tun Zaki b Tun Azmi wished all delegates a fruitful forum and an enjoyable time in Kuala Lumpur, and urged them to not to miss out on the chance to go shopping.
The Forum continued with the second welcome address, by Hu Zhong, Vice-President of China Law Society. In his speech, Hu Zhong revealed that most of the delegates from China were stepping on the land of Malaysia for the first time and that they had received a very special and warm reception upon arrival. He noted that the year 2011 marked 20 years since the establishment of the China-ASEAN Trade Area, adding that the China-ASEAN bilateral relationship had brought great benefits to all parties, in addition to strengthening them. He pointed out that in 2011, China had become ASEAN’s largest treaty partner, and ASEAN, in turn, was China’s fourth largest trading partner. Hu Zhong explained that the Forum had become a very good and reputable platform for exchanging ideas in the areas of law and jurisprudence, politics, and commerce. He added that the Forum also enabled parties of the China-ASEAN Trade Area to mutually benefit from each other by enhancing friendship, peace and prosperity.
The law experts from different countries had gathered at the Forum to discuss legal issues with a view of enhancing the development of cooperation between China and ASEAN. Hu Zhong recommended three goals for the delegates’ consideration. First, to strengthen mutual trust between China and ASEAN and upkeep peace in the region. Second, to further optimise China-ASEAN laws and create a platform for further discussion of China-ASEAN trade issues, set up China-ASEAN free trade areas, enhance the quality of arbitration centres, ensure the continuation of the Forum, and set up the China-ASEAN Commercial Arbitration Centre and China-ASEAN Legal Services Centre. Third, to strengthen the interaction between different jurisdictions of China and ASEAN countries to maintain peace and harmony in the region. Hu Zhong opined that these steps would facilitate the China-ASEAN investment flow and commercial activities, and provide the necessary measures to overcome problems and challenges that might arise. Hu Zhong concluded his speech by sharing his belief that if good neighbourly relations and unity could be maintained between China and ASEAN, more positive legal cooperation and developments were bound to result in future.
The official opening ceremony of the Forum, which included a ribbon-cutting ritual to unveil the organisers’ banners, featured YABhg Tun Zaki b Tun Azmi; Hu Zhong; YA Tan Sri James Foong, Chairperson of the CAFTA 2011 Organisng Committee; Lim Chee Wee, President of Malaysian Bar; and Sundra Rajoo, Director of Kuala Lumpur Regional Centre for Arbitration (“KLRCA”). The vibrant ceremony, which also featured a drum performance that reflected Malaysia’s multiculturalism, received hearty applause from the delegates.
YAA Tan Sri Arifin b Zakaria delivered the first keynote address next. In his speech, he briefly described the China-ASEAN Trade Area and affirmed that it had benefited the China-ASEAN territory, in addition to enhancing peace and political stability in the region. He acknowledged that China was Malaysia’s largest trading partner, and that exports from Malaysia to China had increased due to the China-ASEAN Trade Area. He also gave a brief description of arbitration in Malaysia, explaining that the Arbitration Act 2005 (“Arbitration Act”) – the law governing arbitration in Malaysia – had come into force on 15 Mar 2006. The Arbitration Act had been amended early this year to provide for a better process of arbitration for domestic and international matters. The amendments included section 8, which stated that no court shall intervene in any of the matters governed by the Arbitration Act unless otherwise provided, High Courts' power to grant orders for any interim measures before or during the arbitral proceedings, greater reference to the progress of arbitrary proceedings, greater certainty, and nullity of awards.
YAA Tan Sri Arifin b Zakaria acknowledged that KLRCA had been very successful in promoting arbitration. He also mentioned that KLRCA was committed to promoting arbitration and providing a neutral, independent venue for arbitration proceedings, with procedures that were fast-paced, cost-saving, efficient and fair.
YAA Tan Sri Arifin b Zakaria also informed delegates that the Malaysian Judiciary had started a process of reform in 2008, and had introduced a series of initiatives such as e-court, queue management system, e-filing, and introduction of the Intellectual Property Court and Admiralty Court, enabling a more efficient disposal of cases. The Malaysian Judiciary was currently focusing on improving its quality. While discussing the liberalisation of Malaysia’s legal system, he was firm in stating that the Judiciary would foster a close relationship between the Bar and the Bench. In concluding his speech, YAA Tan Sri Arifin b Zakaria congratulated the organising committee for successfully organising the Forum, and wished all delegates a fruitful and productive forum.