Forthcoming Seminar(s)

ICC-HK Workshop conducted byMr. Fung King Tak on :

" New Uniform Rules for Demand Guarantees (URDG 758) - Legal Analysis, Processing Procedures, Case Studies & Model Forms"

- 27 February, 2010 (Saturday), 9:00 am - 5:00pm
- IFS: 6.5 PDUs for CDCS being applied for
- HK Law Society : CPD points being applied for

Forthcoming Event(s)

ICC-HK supports Juris Conferences Third Annual Asian Leading Arbitrators' Symposium on the Conduct of International Arbitration

- 11th Sept, 2008 (Thursday), 9:00 am - 5:30 pm
- visit http://www.jurisconferences.com/arbitration.php?id=15&p=1for program andregistration form.

ICC News Flash

ICC Uniform Rules Demand Guarantees

includding Model Forms

ICC Publication No. 758, available March 2010

The Uniform Rules for Demand Guarantees(URDG), first adopted by ICC in 1991, reflect international practice in the use of demand guarantees while at the same time balancing the interests of the different parties and providing safeguards against abuse in the calling of guarantees.

In the years since their adoption, the rules have gained increasingly broad international acceptance, including official recognition and use by bankers, traders, industry associations and international organizations including UNCITRAL and the World Bank.

This revision of the URDG, the first after 18 years, is effective as of 1 July 2010. It contains significant changes practitioners will need to know, including:

• New articles on "definitions" and "interpretation" to provide greater clarity and precision;
• The replacement of the phrase "reasonable time" with fixed periods for the examination of demands, the extension of guarantees and the suspension of payments;
• A provision on force majeure that triggers an extension of a guarantee for thirty calendar days;
• The introduction of new terms, such as "international standard demand guarantee practice"; and
• New language to clarify the process for determining whether a party to the guarantee/counter-guarantee is in breach.

More than an update of the existing rules, the revised URDG 758 creates a new set of rules for the twenty-first century, one that is clearer, more precise and more comprehensive than its predecessor. The revision will help secure uniform practice in the use of demand guarantees and bring certainty to international guarantee practice.

Please click here for order form. For enquiry, please feel free to contact Ms. Christy Li at 2973 0006.

Victor Fung (top image) and Rajat Kumar Gupta (bottom image)

A new Chairman and Vice-Chairman of the International Chamber of Commerce were elected today at the meeting of ICC's World Council, which brought together over 130 of its business members from 57 countries.

Leading Hong Kong businessman Victor Fung to become ICC Chairman

Victor Fung , the Chairman of the Li & Fung Group of companies, will become the first ICC Chairman from Hong Kong. Li & Fung Group has major subsidiaries in trading, distribution and retailing, including publicly-listed Li & Fung Limited, Integrated Distribution Services Group Limited, and Convenience Retail Asia.

Mr Fung is also Chairman of the Greater Pearl River Delta Business Council, the Hong Kong University Council , and the Hong Kong-Japan Business Co-operation Committee.

Mr Fung will assume the role of ICC Chairman on 1 July 2008, after having served for 18 months as ICC's Vice Chair. He will replace Marcus Wallenberg, who will become ICC Honorary Chairman. Mr Fung, who will serve as ICC Chairman for two years, holds a number of civic and professional appointments. He is a member of the Chinese People's Political Consultative Conference, the Hong Kong Government Commission on Strategic Development, and head of a focus group for the Economic Summit on China's 11th Five-Year Plan and the Development of Hong Kong, organized by the Hong Kong Government.

Mr Fung has written and spoken widely on international trade matters and is a strong advocate of the multilateral trading system. He has served as Chairman of the Hong Kong Trade Development Council, as the Hong Kong representative on the APEC Business Advisory Council, and on the Informal Business Advisory Body to the World Trade Organization. He has also served as Chairman of the Hong Kong Airport Authority.

"With the global economy facing numerous interrelated challenges that are creating worldwide economic uncertainty, there has never been a greater need for world business to speak loudly and forcefully in favour of the multilateral trading system," said Mr Fung. "ICC, which has a worldwide network of experts and works closely with governments and intergovernmental organizations, is well-positioned to help find global solutions to these obstacles to economic growth," he added.

In his address to the ICC World Council today, Chairman-elect Mr Fung said he also wanted to use his chairmanship to increase ICC's visibility in the Asia Pacific region.

Born and raised in Hong Kong, Mr Fung holds bachelor's and master's degrees in electrical engineering from the Massachusetts Institute of Technology, and a doctorate in business economics from Harvard University. He was a professor at the Harvard Business School for four years before returning to Hong Kong in 1976.  

Rajat Kumar Gupta elected ICC Vice-Chairman

Rajat Kumar Gupta was today elected Vice-Chairman of ICC and will also begin his two-year term on 1 July 2008.

Mr Gupta is the Senior Partner Emeritus of McKinsey & Company. He joined the firm's New York office in 1973, assumed leadership of its Scandinavian offices in 1981, and Chicago office in 1989. Mr Gupta served as the Managing Director Worldwide of McKinsey from 1994 to 2003.

In his 34 year career in consulting, Mr Gupta has served many leading companies on a broad set of topics related to strategy, organization and operations. He has played a leadership role in organizational thinking throughout his career, and led the Organization Practice for McKinsey.

Mr Gupta is an independent Director of Goldman Sachs, Procter & Gamble, AMR Corporation, and Qatar Financial Centre. He also holds leadership positions in various not-for-profit institutions, including Chairman of the Global Fund for AIDS, Tuberculosis and Malaria, Chairman of the India AIDS Initiative of The Gates Foundation, and Chairman of the Public Health Foundation of India.

Mr Gupta possesses an in-depth knowledge of the United Nations, having served as the UN Secretary-General's Special Advisor on UN Reform.

Mr Gupta said he looked forward to building on ICC's long history of providing vital services to business.

"Like ICC's founders, I believe international trade and investment are critical factors for economic growth and job creation, with important implications also for cross-border cooperation," Mr Gupta said.

Mr Gupta holds a bachelor of technology degree in mechanical engineering from the Indian Institute of Technology, and a master's degree in business administration from Harvard Business School.

Current ICC Chairman Marcus Wallenberg will become ICC Honorary Chairman

The Chairman of SEB, Saab and Electrolux, and current ICC Chairman, Marcus Wallenberg, will become ICC Honorary Chairman on 1 July 2008.

During his term as Chairman, Mr Wallenberg is credited with strengthening ICC's three main roles, namely as "the voice of international business", the creator of voluntary rules for the conduct of international business and as a provider of services to international business.

At the World Council meeting today, Mr Wallenberg said he had been privileged to lead the ICC, that he looked forward to continuing his work with the organization and that he was confident the new ICC Chairmanship would ensure ICC continues to grow in influence and stature.

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Ms. Daisy Lau
Manager - Administration
Tel: 2973-0006

1. Opinion on Green Paper on Constitutional Development, 2007

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