Asian Legal Business Apr 2008

www.asianlegalonline.com

ISS

UE

8.4

Capital marketsHard times ahead?

Salary levelsPay rates up across the board

ALB Special Report: VietnamWork surplus, talent shortage

DEALS ROUNDUP LATERAL MOVES JOB VACANCIES UK, US REPORTS REGION-WIDE UPDATES

In-house lawyers speak out• legal spend up • 5 top criteria for choosing fi rms

• more work done in-house

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ALB ASIAN LEGAL BUSINESS

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2

asian legal business ISSUE 8.4


IN THE FIRST PERSON

Swings and roundabouts

To cast one’s eye across the headlines of the world’s broadsheet newspapers these days is an all too easy way to kill a good mood. Across Europe and the US, pundits and economists appear to be engaged in a race to the bottom, each trying to out-doom the

others with predictions of calamity and turmoil brought on by credit crunches and loan crises.

One British newspaper recently went so far as to splash across its front page the news that the US wasn’t just headed for a recession, but in fact had already tumbled into a full-blown depression. Errant nonsense, to be sure, but there is no denying the serious slowdown affecting many of the world’s major economies.

In Asia and around the Pacifi c, however, the numbers tell a different and far happier story. The fact is that the old rules of international economics are changing, quickly and largely for the better. No longer is it true that if the US sneezes, the rest of the world catches a cold – or worse. For local law fi rms, this means that instead of scrabbling over the spoils of bankruptcies and insolvencies, Southeast Asian fi rms are enjoying an abundance of work, especially in the M&A and construction arenas.

Indeed, after working through their own economic doldrums a decade ago, East Asia’s economies are going great guns. Buffered from North America’s sub-prime crisis by seemingly unstoppable growth, China’s economy in particular is robust.

Around the region, similar stories are being told. Growing middle classes in Indonesia and Malaysia are providing local producers with markets not dependent on Western demand. Vietnam, meanwhile, is rapidly becoming something of an Asian tiger in its own right.

As these economies and markets are maturing, so too are local law fi rms – a trend our researchers have noted as we compile our lists of fi nalists heading into June’s ALB SE Asia Law Awards. More fi rms are doing more top-fl ight work, and more local fi rms are doing more international work – including as lead counsel. Which is all to the good, and something that should restore the cheer of readers brought low by economic news from abroad.

Instead of scrabbling over the spoils of bankruptcies and insolvencies, Southeast Asian fi rms are enjoying an abundance of work, especially in the M&A and construction arenas

“Having a department in-house, as opposed to farming work out to law fi rms, is more cost-effective … and means they can easily handle the whole gamut of company legal issues”Samantha Chia, head of legal and compliance, Nokia Siemens Networks, on the value of in-house counsel (p28)

“In order to give good advice in Vietnam, you need to have been here for a long time”Gide Loyrette Nouel Vietnam managing partner Nicolas Audier on the necessity of local knowledge in the Vietnam legal market (p38)

“Mauritius has consistently made clear it remains committed to developing and maintaining conditions conducive to attracting international business”Malcolm Moller, managing partner of Appleby Global in Mauritius, explains why the island republic is a sound choice for offshore structuring (p44)

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ALB ISSUE 8.4inside

Commentary16 IP Singapore Provisional Patent Applications

ALBAN TAY MAHTANI & DE SILVA

17 Financial Interview with the MD at Horwath

HORWATH FINANCIAL

18 International tax 2008 UK Budget changes AZURE TAX

Regional updates24 China PAUL WEISS Philippines SYCIP SALAZAR HERNANDEZ & GATMAITAN

Malaysia TAY & PARTNERS

Singapore LOO & PARTNERS

Profi les27 LAW ALLIANCE 47 TAY & PARTNERS49 ALBAN TAY MAHTANI & DE SILVA

28

COVER STORY28 ALB In-house Survey

The legal arena is on the verge of an in-house revolution, with in-house teams taking control and making the most of their choices when it comes to selecting their permanent panel. ALB investigates what in-house lawyers are looking for in a law fi rm

Features38 ALB Special Report: Vietnam

Vietnam’s economy is experiencing rapid growth and with it an infl ux of legal work for the country’s busy local lawyers. ALB takes a look at the burgeoning legal market and how fi rms are adapting

44 Offshore: Mauritius ALB reports on this international hot spot for fi nancial transactions, and the developments and opportunities on the horizon

46 Trademark protection Asia’s emerging markets call for greater attention to be paid to intellectual property protection, but in China, trademark protection can be tricky

Copyright is reserved throughout. No part of this publication can be reproduced in whole or part without the express permission of the editor. Contributions are invited, but copies of work should be kept, as Asian Legal Business can accept no responsibility for loss.

Regulars6 News• Analysis: To what extent are fi rms catering to Asia’s capital markets feeling the after-

effects of the US sub-prime mortgage crisis?• Analysis: Keeping up with market pay rates could make a major difference when it

comes to staff retention. ALB investigates salary trends across key Asian markets Deals• Republic of Philippines’ debt exchange warrants• Honghua Group H-Listing• TPG invests in NIS Group • Motorola acquires assets across Mainland PRC• Sasol Chemical Industries demerges from Mitsubishi Chemical Corporation deal• SGX acquires stake in Philippine Dealing System Holdings Corp • CRCC listing becomes largest IPO to date Appointments• Bryan Cave recruits Hong Kong partner from Hogan & Hartson• Clifford Chance welcomes Tokyo funds lawyer from Skadden• Ashurst boosts Tokyo projects team by two • Baker Botts hires international arbitration lawyer 50 Lifestyle64 Sign-off

38

18 Intern 2008 UK

AZURE TA

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asian legal business ISSUE 8.4NEWS >> ANALYSIS

As the sub-prime mortgage crisis sends the US economy sliding into

recession, Asia’s capital markets have experienced a series of withdrawn deals early in the year, indicating the resilience of the region’s markets may not last indefi nitely.

Asia had recorded US$17.9bn worth of withdrawn M&A deals at the time ALB went to press. This was half the size of the completed M&A deals in the region (US$36.3bn). Withdrawn IPO volumes totalled US$14.3bn from 14 deals – larger than those launched so far this year in the region, according to Thompson Financial. Asia (ex-Japan) IPO volumes totalled US$11.7bn from 66 deals. A number of IPO deals from India accounted for the majority of withdrawn issuances, as the Mumbai market suffered. These were BSNL, Emmar-MGF, DLF Offi ce Trust and Unitech Offi ce Trust.

The IPO trend followed on from last year’s tentative approach to Asian markets, which resulted in 22 IPO deals in Asia-Pacifi c (ex-Japan) being cancelled or postponed, with an estimated combined value of US$5.8bn. Seventeen of these equity deals were pulled in the second half of last year as the credit crisis started to take effect in the region.

William Barron, partner with Davis Polk & Wardwell, said he has noticed the growing capital markets trend,

Withdrawn deals signal hard times ahead

particularly on the debt side. “Beginning last July or August, when the sub-prime problem started to develop, a lot of deals were pulled or put on hold due to diffi cult market conditions, mainly debt deals,” Barron said. “In fact, some of them went right through roadshows and didn’t go ahead. Some equity deals were also pulled from the market after getting quite far along.”

The capital markets teams of law fi rms in the region, who have been stretched thin

WITHDRAWN IPO s 2008Asia-Pacifi c (ex Japan) cancelled/postponed IPOs Asia-Pacifi c (ex Japan) IPO volumes

Issue date totals Proceeds (US$m) Number of issues Issue date totals Proceeds (US$m) Number of issues

Full year 2006 10,921 48 Full year 2006 85,184 515

Full year 2007 5,787 24 Full year 2007 92,809 636

So far 2008 14,637 14 So far 2008 11,656 66

Source: Thomson Financial

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www.asianlegalonline.com >> NEWSYOUR MONTH AT A GLANCEFirm Jurisdiction Deal name US$m Practice

Aji Wijaya, Sunarto & Co. Indonesia PT Bakrieland Development, Tbk. bond issuance

55 Debt market

AllBright Law Offi ces China, US Motorola Inc. Asset Acquisition Undisc. M&A

Allen & Gledhill China, Singapore Evraz Group acquisition in Delong Holdings

770 M&A

Allen & Overy Philippines Republic of Philippines issuance of Debt Exchange Warrants

2,000 Debt market

Hong Kong Airport Authority of Hong Kong Franchise to Cathay Pacifi c Services

Est. 618

Building & construction

Amarchand Mangaldas India Titagarh Wagons Limited IPO 35 Equity

India Gammon Infrastructure Projects IPO 81 Equity

India, US Rural Electrifi cation Corp IPO 100 Equity

Appleby China, Hong Kong, US

Honghua Group IPO 410 Equity

Arculli Fong & Ng China, Hong Kong, US


Ashurst India, US Rural Electrifi cation Corp IPO 100 Equity

Azmi & Associates Malaysia Pendidikan Industri YS Sdn Bhd Bond issue

47 Debt market

Bae Kim & Lee Korea Halla Consortium share purchase 763 M&A

Korea, US Taewoong Co. Ltd. GDS Issue 75 Debt market

Baker & McKenzie Australia, Japan Park Hyatt Hotel Sale 187 Real estate

China, Hong Kong, US China Railway Construction Corporation IPO

5,400 Equity

China, US Xinyuan Real Estate IPO and NYSE Listing

282 Equity

Beijing Daheng Law Offi ces


5,400 Equity

Berwin Leighton Paisner Germany, Singapore, South Africa

Sasol Chemical Industries Limited demerger

307 Debt market

Philippines, Singapore Singapore Exchange Limited Acquisition

Undisc. Equity

Bonelli Erede Pappalardo Italy, Luxembourg, Singapore, UK, US

GIC Investment in Sintonia SA 1,500 Equity

Castillo Laman Hong Kong, Philippines, UK

International Finance Corporation & Asian Development Bank fi nancing

1,100 Project fi nance

Chui & Partners Cayman Islands, China, Hong Kong, Singapore

Xingfa IPO Est. 58 Equity

Cleary Gottlieb Philippines Republic of Philippines issuance of Debt Exchange Warrants

2,000 Debt market

Clifford Chance Hong Kong, Japan Permira Acquisition of Arysta LifeScience Corp.

2,002 M&A

Malaysia Khazanah Nasional Berhad share placement

97 M&A, debt market

Malaysia Khazanah Nasional Berhad Sukuk Issue 550 Debt market

Commerce & Finance China, Hong Kong, US


Cayman Islands, China, Hong Kong, US, Virgin Islands (British)

Evergrande IPO 5,000 Equity

Conyers Dill & Pearman Cayman Islands, China, Hong Kong, Singapore


China, Hong Kong, US Solargiga IPO Est. 127

Equity

Corporate Law Chambers India V-Guard India IPO 18 Equity

Davis Polk & Wardwell China China Investment Corporation Investment in Morgan Stanley

5,000 FDI, M&A

Korea, US Taewoong Co. Ltd. GDS Issue 75 Debt market

Deacons China, Hong Kong, US

Wingfat IPO Est. 12 Equity

Australia, China Sinsosteel bid for Midwest Est. 1,200

M&A

Dechert China, US Mindray takeover of Datascope 202 M&A

Dorsey & Whitney China, Hong Kong, US Solargiga IPO Est. 127

Equity

China, Hong Kong, US


Drew & Napier LLC Singapore Roxy Pacifi c IPO 25 Equity

Dua Associates India GSS America IPO 38 Equity

Elvinger Hoss & Prussen Italy, Luxembourg, Singapore, UK, US


Freshfi elds Hong Kong, Japan Permira Acquisition of Arysta LifeScience Corp.

2,002 M&A

during the market boom, may be set for some quieter times in 2008. While lawyers are often entirely in the client’s hands in terms of ensuring these deals go to market, and can only ensure clients are ready for listing, deals being pulled will necessarily hurt law fi rm profi ts.

“It really varies from deal to deal, and depends on the relationship and what’s been negotiated with a client,” Barron said. “It’s fair to say, though, that it’s diffi cult to get paid a good fee if the deal doesn’t end up going ahead.”

Barron said he has not noticed the credit crunch effect on the pipeline of M&A deals in the region. “On the M&A side, you’re continuing to see a lot of activity; from our perspective, that hasn’t been affected at all,” he said. “This is because most of the M&A deals out here aren’t as dependent on leverage as much as in the US for example, so they’re continuing to go ahead.” Davis Polk has a string of M&A deals lined up, and is currently representing Linktone, a Nasdaq-listed company with operations in the PRC, in connection with its acquisition by Media Nusantra Citra, an Indonesian company. Davis Polk’s Jeffrey Small also represented Morgan Stanley in connection with China Investment Corporation’s US$5bn investment in the bank.

As for the future of capital markets deals, Barron is philosophical. “I’ve been here 15 years and three or four market cycles, and the markets get turbulent at times.” Taking a long-term view, Barron said the sub-prime-induced situation so far in Asia has not been as bad as after the Asian fi nancial crisis, the .com bust or the SARS scare.

“Eventually it will be likely to have a more signifi cant effect out here than it’s had up until now. It’s been encouraging how strong it’s been out here given what’s happening in the US, but sooner or later it will have an effect,” Barron said.

Expect lawyers to become a lot more aggressive in their approach to sourcing deals if and when the market does take a dive. ALB

William Barron, Davis Polk & Wardwell


8

asian legal business ISSUE 8.4NEWS >> | PHILIPPINES |

REPUBLIC OF PHILIPPINES DEBT ►EXCHANGE WARRANTSUS$2bn

First issue of debt exchange warrants by an Asian government

Firm: Allen & OveryLead lawyers: David Johnson, Jacob ShekClient: The Republic of Philippines on international law

Firm: Cleary GottliebClient: Warrant manager on US law

Firm: SyCip Salazar Hernandez & GatmaitanLead lawyers: Tony Rafael-MoralesClient: Warrant manager on Philippines law

• Warrants entitle holders to exchange certain amount of the Philippines’ dollar- or euro-denominated bonds maturing before 18 January 2017 into peso-denominated Treasury bonds in the event of a default by the Republic

• Sale was conducted through a Dutch auction and the warrants were settled in late February 2008

| CHINA/HONG KONG |

HONGHUA GROUP LISTING ►World’s second largest onshore oil rig manufacturer H-listing

Firm: Arculli Fong & Ng Clients: Issuer on HK law

Firm: Latham & Watkins Client: Issuer on US law

Firm: King & WoodClient: Issuer on PRC law

Firm: Appleby Lead lawyers: Li Lee Tan, Frances WooClient: Issuer on Cayman law

Firm: Herbert Smith Lead lawyers: Gary Lock, Kevin RoyClient: Underwriters on HK & US law

Firm: Commerce & Finance Client: Underwriters on PRC law

• H-Listing was concurrent with the Rule 144A / Regulation S global offering of Honghua Group

• The company sold 25% of its enlarged share capital, or 833.36 million shares

• The 70% institutional tranche was more than 11 times covered, while the retail tranche attracted about 28 times the number of shares on offer

• This triggered a partial clawback that boosted the size of the retail tranche from 10% to 30% of the total

• The Herbert Smith team recently advised on $US21.9bn IPO of ICBC; one the largest ever IPOs

David Johnson, Allen & Overy

CHINA RAILWAY CONSTRUCTION ►CORPORATION LISTING US$2.3bn–2.64bn

The largest IPO of 2008

Firm: Baker & McKenzieLead lawyers: PH Chik, Allen ShyuClient: Issuer on HK, US law

Firm: Beijing Deheng Law Offi ceLead lawyers: Li Zhihong, Chen JingruClient: Issuer on PRC law

Firm: Freshfi elds Bruckhaus Deringer Lead lawyers: Christopher Wong, Sarah MurphyClient: Underwriters on HK, US law

Firm: Jingtian & Gongcheng Lead lawyers: Li Yu Guo, Wang Ying Zhe, Wang Wei Guo Client: Underwriters on PRC law

• HK$18.3bn/US$2.3bn (before exercise of the over-allotment option) H-share offering

• Total funds raised were US$2.3bn (HK$18.3bn) and will exceed US$2.64bn if the green shoe option is exercised in full

• Combined global and the A-share offering of CRCC makes it the largest IPO of 2008 to date

• CRCC is one of the ultra-large integrated construction companies in the world. In 2007, it was listed among the Fortune Global 500 companies, ranked 384th in terms of total revenue

• CRCC is also the largest provider of highway construction services in China, with a particular focus on freeways, bridges and tunnels. CRCC is currently engaged in providing construction services for 137 overseas projects across 27 countries

| JAPAN |

TPG INVESTMENT & JV WITH NIS GROUP ►US$288m

Signifi cant PIPE (private investment in public equity) transaction

Firm: Milbank, Tweed, Hadley & McCloy Lead lawyers: Darrel Holstein, Bradley EdmisterClient: Lender/JV partner on US law

Firm: Nagashima Ohno Tsunematsu Client: Lender/JV partner on Japanese law

• Japanese lender NIS Group entered into a strategic alliance with, and US$288m investment in, NIS Group by US private equity fi rm TPG

• In addition to an investment at the parent company level, TPG-managed funds also acquired a stake in NIS’s Chinese leasing unit through a multi-tier restructuring of ownership interests

Frances Woo, Appleby

Kevin Roy, Herbert Smith

Darrel Holstein, Milbank

Chik Pui Hong, Baker & McKenzie

Allen Shyu, Baker & McKenzie

“This transaction presented a particularly diffi cult challenge for the international lawyers involved and required a high level of coordination across multiple jurisdictions”

DARREL HOLSTEIN, MILBANK

| SINGAPORE |

SASOL CHEMICAL INDUSTRIES DEMERGER ►Firm: Berwin Leighton Paisner Lead lawyers: Paul Supramaniam, Becket McGrath, David Anderson


9

www.asianlegalonline.com >> NEWSClient: Former JV partner (Sasol) on international/Singapore law

Firm: Gleiss Lutz Lead lawyers: Dr Wolfgang BoschClient: Former JV partner (MCC) on German law

Solvents blending plant at Sasol Chemical Industries

YOUR MONTH AT A GLANCE (CONT)Firm Jurisdiction Deal name US$m Practice

Freshfi elds Bruckhaus Deringer


5,400 Equity



Cayman Islands, China, Hong Kong, US

Want Want IPO 132 Equity

Garrigues China, Spain Fersa Energias Renovables & Lubei Group JV

n/a M&A

Gleiss Lutz Germany, Singapore, South Africa

Sasol Chemical Industries Limited demerger

307 Debt market

Graubard Miller China, US North Asia Investments IPO & NYSE listing Est. 115 Equity

Guangdong Guangda Cayman Islands, China, Hong Kong, Singapore


Haiwen & Partners China, Singapore China Huaneng Group Acquisition of Tuas Power

3,000 M&A

Hardy Bowen Australia, China Sinosteel bid for Midwest Est. 1,200

M&A

Heller Ehrman China Yuhe Poultry reverse takeover & private capital raising

21 Equity, M&A

Herbert Smith China, Hong Kong Honghua Group IPO 410 Equity

Jingtian & Gongcheng Cayman Islands, China, Hong Kong, Singapore



Solargiga IPO Est. 127 Equity


5,400 Equity



Jones Day India Gammon Infrastructure Projects IPO 81 Equity

Jun He China, US Motorola Inc. Asset Acquisition Undisc. M&A



China, US North Asia Investments IPO & NYSE listing Est. 115 Equity

Khaitan & Co. India Mundra Port & Special Economic Zone Ltd public issue

450 Equity

India Gammon Infrastructure Projects IPO 81 Equity

Khattar Wong Vietnam GuocoLand Vietnam & Miphaco JV n/a M&A

Kim & Chang Korea, US Taewoong Co. Ltd. GDS Issue 75 Debt market


King & Wood China, Hong Kong Honghua Group IPO 410 Equity



China, US Xinyuan Real Estate IPO and NYSE Listing 282 Equity

Kirkpatrick & Lockhart Preston Gates & Ellis

Cayman Islands, China, Hong Kong, Singapore


Latham & Watkins China, Hong Kong Honghua Group IPO 410 Equity

Lee & Li China, Hong Kong, US




Linklaters China, Singapore Evraz Group acquisition in Delong Holdings

770 M&A

Lovells Italy, Luxembourg, Singapore, UK, US


Loyens & Loeff Italy, Luxembourg, Singapore, UK, US


Malleson Stephen Jaques Hong Kong, Philippines, UK



Singapore, Malaysia Cathay Pacifi c Airways & Dragonair global carbon offset initiative

n/a Project advice

Maples & Calder Hong Kong IFIL Group investment in Vision Investment Management Limited

90 M&A

China, US Xinyuan Real Estate IPO and NYSE Listing 282 Equity

Cayman Islands, Hong Kong, UK

Asia Alternative Asset Partners (Caymans) Ltd First closing

200 Equity






• Sasol Chemical Industries demerged its US$307m worldwide joint venture of Sasol acrylic acid and acrylates business with Mitsubishi Chemical Corporation (MCC)

• Deal was affected through the acquisition by Sasol of MCC’s equity interest in the joint venture

• Sasol Chemical Industries is one of the key operating companies of Sasol Limited, and a leading global supplier of detergent raw materials

• Transaction was subject to the approvals from the South African Competition Authorities, German Competition Authorities and the South African Reserve Bank

| SINGAPORE/PHILIPPINES |

SGX STAKE IN PDS ►Firm: Berwin Leighton Paisner Lead lawyers: Paul SupramaniamClient: SGX on Singapore law

Firm: SyCip Salazar Hernandez & Gatmaitan Lead lawyers: Mia Gentugaya, Maria Teresa Mercado-FerrerClient: PDS on Philippine law

• SGX acquired a 20% equity stake in Philippine Dealing System Holdings Corp (PDS)

• SGX is Asia-Pacifi c’s fi rst demutualised and integrated securities and derivatives exchange

• SGX was inaugurated in 1999, following the merger of two established and well-respected fi nancial institutions – the Stock Exchange of Singapore (SES) and the Singapore International Monetary Exchange (SIMEX)

• In 2000, SGX became the fi rst exchange in Asia-Pacifi c to be listed via a public offer and a private placement on its own bourse

• The transaction was subject to the approvals from the Philippines Securities and Exchange Commission warrants were settled in late February 2008

Paul Supramaniam, BLP


10

asian legal business ISSUE 8.4NEWS >> (then JP Morgan Capital Asia) and UBS/Affi nity in their initial investment in Mando Corporation in 1999

| CHINA/ US |

XINYUAN REAL ESTATE IPO & NYSE LISTING ►US$282m

First China property developer listed on NYSE

Firm: Baker & McKenzieLead lawyers: Scott Clemens, Omer OzdenClient: Issuer on US law

Firm: Shearman & SterlingClient: Underwriters on US law

Firm: TransAsia LawyersClient: Issuer on PRC law

Firm: King & WoodClient: Issuer on PRC law

Firm: Maples & CalderLead lawyers: Richard Thorp, Alice OoiClient: Issuer on Cayman Island law

• Listing makes Xinyuan the fi rst China property developer to be listed in the US; introducing China’s fast-growth property sector directly to US investors for the fi rst time

• Deal involved complex negotiations with pre-IPO private equity investors, Blue Ridge China and Equity International and signifi cant debt fi nancing

MOTOROLA ASSET ACQUISITION ►Motorola diversifi es its interests in Mainland PRC

Firm: Paul Weiss Rifkind Wharton & GarrisonLead lawyer: Jeanette ChanClient: Acquirer on international law

Firm: Jun He Client: Acquirer on PRC law

Firm: AllbrightClient: Target on PRC law

• Motorola acquired the assets related to digital cable set-top products of Zhejiang Dahua Digital Technology Co., LTD and Hangzhou Image Silicon (collectively, Dahua Digital)

• Dahua Digital is a privately held, developer, manufacturer, and marketer of cable set-tops and related low cost integrated circuits for the emerging Chinese cable business

“With China becoming more restrictive in its foreign investment regulations, particularly with respect to real estate, this transaction required our lawyers to deal with an array of complexities arising from the intersection of SEC and PRC law”

SCOTT CLEMENS, BAKER & MCKENZIE

| KOREA |

OTIS ELEVATOR INDUSTRIAL MOTOR ►BUSINESS SALEUS$58m

Firm: Yoon Yang Kim Shin & Yu Lead lawyers: Paul S. Rhee, Young Jae ShinClient: Vendor of Korean law

Firm: Shin & KimLead lawyers: Sunyoung Kang, Yeonsoo YunClient: Purchaser and fi nanciers on Korean law

• Otis Elevator is the market leader in elevators/escalators in the world and in Korea, which is the fourth largest elevator/escalator market in the world

• Otis Elevator’s industrial motor business in Korea was originally acquired with the elevator/escalator business of LG Industrial Systems (now LS Industrial Systems) in 1999 during the Asian fi nancial crisis

• Otis Elevator’s industrial motor business in Korea is the third largest in Korea, but is not a core or strategic business for the company

• Acquisition was unique in that the land underlying the related factory facilities in the Changwon National Industrial Complex in Korea needed to be

legally and physically subdivided and regulatory approvals obtained to be transferred to purchaser

HALLA CONSORTIUM STAKE IN MANDO ►CORPORATIONUS$763m

Firm: Milbank, Tweed, Hadley & McCloy Lead lawyers: Anthony Root, Desiree WooClient: Mando Corporation on US, international law

Firm: Bae Kim & LeeClient: Mando Corporation on Korean law

Firm: Shin & KimClient: Halla Consortium on Korean law

• Involved US$763m sale of equity interests in global automotive parts manufacturer Mando Corporation to consortium led by Halla Engineering & Construction Corp., a minority shareholder of Mando Corporation controlled by founder of Mando Corporation

• The auction for Mando Corporation’s shares drew bids from strategic and fi nancial investors from Asia, US and Europe

• In connection with the share sale, the bonds issued by Sun Sage B.V., the selling shareholder, will be redeemed

• Milbank previously advised CCMP Capital Partners

Paul Rhee, Yoon Yang Kim Shin & Yu

Young Jae Shin, Yoon Yang Kim Shin & Yu

Desiree Woo, Milbank

Anthony Root, Milbank


11

www.asianlegalonline.com >> NEWSMINDRAY MEDICAL ACQUISITION OF ►DATASCOPE US$202m

Firm: O’Melveny & MyersLead lawyers: Gregory Puff, Victor Chen, Larry Sussman, Pete Ritter, Ted KassingerClient: Mindray on US, PRC law

Firm: DechertLead lawyers: Adam Fox, Martin NussbaumClient: Datascope on US, PRC law

• Transaction will create upon completion the third-largest player in the global patient monitoring device industry

• Transaction represents a unique combination of strengths that will help transform Mindray from a largely China-based company into a global leader

| CHINA/SINGAPORE |

CHINA HUANENG GROUP ACQUISITION OF ►TUAS POWERUS$3.1bn

Largest ever overseas acquisition by a Chinese power company

Firm: Shook Lin & BokLead lawyers: Phillip Pillai, David Chong, Michelle PhangClient: Acquirer on Singapore law

Firm: Sullivan & Cromwell Lead lawyer: Wei ChunClient: Acquirer on international law

Firm: Haiwen & PartnersClient: Acquirer on PRC law

• Temasek, owner of Tuas Power, has made no secret of its desire to divest all of its wholly-owned power generation assets in Sinagpore; this deal is the fi rst big move in this direction

• Temasek announced China Huaneng Group as the successful bidder in a press release on 14 March 2008

• Huaneng also owns a 50% stake in the Australian power generation joint venture company OzGen, and is also the controlling shareholder of Huaneng Power International, Inc., which is listed on the New York, Hong Kong and Shanghai stock exchanges

YOUR MONTH AT A GLANCE (CONT)Firm Jurisdiction Deal name US$m Practice

Mayer Brown China Shui On Land Land use rights 1,060 Real estate

Milbank Tweed Hadley & McCloy

Korea Halla Consortium share purchase 763 M&A

Japan, US TPG Investment in and JV with NIS group 288 M&A

Morrison & Foerster China, Hong Kong, US


O'Melveny & Myers China, US Mindray takeover of Datascope 202 M&A



Nagashima Ohno Tsunematsu

Japan, US TPG Investment in and JV with NIS group 288 M&A

Orrick Herrington & Sutcliffe Hong Kong IFIL Group investment in Vision Investment Management Limited

90 M&A

China, Egypt COSCO Pacifi c Ltd purchase of stake in Suez Canal

750 M&A

Paul Hastings Janofsky & Walker



China YIHE Real Estate Holdings Ltd CB issue 100 Debt market

Paul Weiss Rifkind Wharton & Garrison

China, US Motorola Inc. Asset Acquisition Undisc. M&A

Hong Kong IFIL Group investment in Vision Investment Management Limited

90 M&A

Rajah & Tann Cayman Islands, China, Hong Kong, Singapore


Richards Butler China, Hong Kong, US


Shearman & Sterling China, US Xinyuan Real Estate IPO and NYSE Listing 282 Equity

Shin & Kim Korea Otis Elevator Industrial Motor Business Sale

58 M&A

Korea Halla Consortium share purchase 763 M&A


Shook Lin & Bok China, Singapore China Huaneng Group Acquisition of Tuas Power

3,000 M&A

Sidley Austin China, Hong Kong, US




Simpson Thatcher Korea, US Taewoong Co. Ltd. GDS Issue 75 Debt market

Simmons & Simmons Qatar Ras Abu Fontas A1 desalination project 650 Project fi nance

SR Legal India Sita Shree Food Products IPO 8 Equity

Sullivan & Cromwell China Goldman Sachs Developing Markets Real estate funds bond acquisition

100 Equity

China China Investment Corporation Investment in Morgan Stanley

5,000 FDI, M&A

Italy, Luxembourg, Singapore, UK, US


China YIHE Real Estate Holdings Ltd CB issue 100 Debt market

China, Singapore China Huaneng Group Acquisition of Tuas Power

3,000 M&A

SyCip Salazar Hernandez & Gatmaitan

Hong Kong, Philippines, UK



Philippines, Singapore Singapore Exchange Limited Acquisition Undisc. Equity

Philippines Republic of Philippines issuance of Debt Exchange Warrants

2,000 Debt market

TransAsia Lawyers China, US Xinyuan Real Estate IPO and NYSE Listing 282 Equity

Watson Farley & Williams Singapore Buss Group Companies Acquisition & fi nancing

250 Equity, debt market

Withers Hong Kong, UK

International SOS & Control Risks Group JV n/a M&A

WongPartnership Singapore, US OWW Capital acquisition of minority stake in Bezurk

0.8 M&A

China, Singapore Evraz Group acquisition in Delong Holdings

770 M&A

Woo Kwan Lee & Lo China, Hong Kong, US


Yoon Yang Kim Shin & Yu Korea Otis Elevator Industrial Motor Business Sale

58 M&A

Yuan Tai China, Hong Kong Wingfat IPO Est. 12 Equity

Zong Heng China, Hong Kong, US


Does your fi rm’s deal information appear in this table?Please contact Josh Scott [email protected] 61 2 8437 4738

Gregory Puff, O’Melveny & Myers


12-23 News Update FINAL_hk.indd 1212-23 News Update FINAL_hk.indd 12 4/29/2008 11:09:38 AM4/29/2008 11:09:38 AM

13

www.asianlegalonline.com >> NEWSCHINA

Management reshuffl e signals strong desire for growth three times bigger than the current one. The headcount in Shanghai is expected to double to over 50 in the next two years. In addition, his top agenda at the new fi rm in-cludes broadening the practice areas, from corporate and commercial to IP, tax and banking & fi nance.

Nick Seddon’s decision to move from DLA Piper to Heller Ehrman has also made the headlines. Seddon has been credited with the rapid expansion of DLA Piper in the region, which showed rapid revenue and headcount growth, and the opening of two new offi ces, under his leadership. For Sed-don, the most benefi cial thing for him in joining Heller Ehrman will be the opportu-nity to play a leading role in growing a prac-tice. “Heller Ehrman has a desire to grow their Asian practices, and that’s what I enjoy doing and what’s what I had been able to do at DLA Piper in the last four years.”

Heller Ehrman has seen steady growth since the opening of its fi rst Asian offi ce in Hong Kong in 1993. The fi rm later opened offi ces in Beijing, Singapore and, most re-cently, Shanghai. The move is an indication of Heller Ehrman’s plan for further expan-sion in China and Asia. Several other inter-national fi rms have similar plans; Seddon said that he had had a number of offers.

“People see Asia as one of the biggest op-portunities within the global legal market, particularly given the current economic un-certainty in the US and Europe,” said Sed-don. “But it’s remarkably competitive, and that makes life much more diffi cult here. But I’m sure international fi rms are looking to Asia as a big part of their future.”

Although many fi rms prefer internal pro-motions for growth and expansion, some partners in international fi rms still expect to see lateral hires remain robust.

“A great number of fi rms are coming to China, and talented partners and senior as-sociates are the most sought-after. There’s huge competition between fi rms for a very limited pool of top talent,” said Fred Chang, merchant banking and structured credit specialist who recently joined Lovells in Beijing from White & Case.

“In the downward turn of the business cir-cle, a number of fi rms are facing signifi cant challenges that threaten their survival in the market, so their partners will seek better platforms for long-term strength,” he said.

Nevertheless, this might not be completely true. With fi rms increasingly committed to the China market, they will try their hard-est to hold on to their own top talent. ALB

It is probably a phenomenon unique to Chi-na that top executives of some major state-

owned enterprises often rotate across com-panies. A typical example can be found in the telecommunications sector. A few years ago, Wang Jianzhou, CEO of China Unicom at the time, was appointed to his current position as CEO of China Mobile, while the former president of China Telecom, Chang Xiaobing, is now serving as the chairman of the board at China Unicom, and Wang Xi-aochu, former vice president of China Mo-bile, is now the CEO of China Telecom.

However, the fi rst three months of 2008 have seen a similar reshuffl e in the top management of international law fi rms ac-tive in the Greater China region. A num-ber of senior partners in the bigger fi rms with more established mainland presences are making the move to smaller practices, where they can help these fi rms grow with their previous management experience. Se-nior partners with an abundance of China experience are in strong demand and the relatively newer foreign faces in the region are benefi ting.

Following Peter Neumann’s departure from Faegre & Benson’s Shanghai offi ce to head Greenberg Traurig’s new Shanghai offi ce, Baker & McKenzie’s former Shang-hai co-managing partner, John Grobowski, has joined Faegre in Shanghai and succeed-ed Peter Neumann as the fi rm’s co-head of China practice.

In an interview with ALB, John Grobows-ki explained the main reasons for his move to Faegre, saying: “After nearly 17 years at Baker & McKenzie, I decided to seek a new opportunity with a new set of challenges. Faegre & Benson appealed to me as a par-ticularly dynamic fi rm with a strong com-mitment to China.”

Under John Grobowski and Zhang Dani-an’s co-leadership at Bakers’ Shanghai of-fi ce, the Shanghai team had grown from ze-ro to 150 people within only fi ve years since the offi cial opening in February 2003. Feel-ing that it might be diffi cult for Bakers to get too much bigger, Grobowski started looking for a fi rm that was smaller but with a real commitment to high quality work.

During his search, he was approached by several fi rms; some had recently arrived in China and some had been in the country for a number of years.

He pointed out that the economy in many countries had slowed down, but in the case of China, the economy is still growing. “All international fi rms with offi ces overseas will look at China as a very important part of their international plan and want to take advantage of the growth. So foreign fi rms are still coming in and the ones already do-ing well are trying to expand,” he said.

Grobowski’s appointment is set to facili-tate Faegre’s expansion plan in China, as Grobowski revealed that the Shanghai team was to move into a new offi ce space


14


ANALYSIS

Money does not necessarily buy job satisfaction, but if a fi rm pays below market rate, chances are they will soon see lawyers voting with their feet. ALB looks at salary trends across key Asian markets

What am I worth? This is the question every lawyer asks when reassessing their job. In a market where ‘growth’ and ‘boom’

are the buzz words, it is easy to get the impression that lawyer sala-ries are sky-rocketing. But what is actually happening out there?

Generally the trend in Hong Kong has been one of steady rises across the board, said Florence Pang, a senior consultant with Hudson Recruitment. Pang said that for international fi rms, the average rise in 2007 would have been over 10%.

2007 saw some dramatic salary hikes too, but Pang noted that these tended to occur in specifi c areas of specialisation, with cor-porate fi nance and capital markets expertise most in demand. “In those markets, I’ve seen increases of over 30%, although I would say the norm is about 15%,” said Pang.

The market in China is similarly strong, with fi rms upping the ante to attract the right talent. One salary survey estimated salary growth in top tier domestic fi rms to be as high as 19% – thereby narrowing the gap with international fi rms.

“Certainly there is an upward pressure on salaries,” said Scott Guan, co-managing partner of J&F PRC Lawyers. “We’ve in-creased associate compensation signifi cantly since mid last year, and in addition we’ve adopted an incentive plan so that associates with quality performance will get a good bonus, which can be up to 8–10 months’ salary.” Guan said that the incentive scheme, to-

gether with a clear partnership track, has been a very successful part of the fi rm’s recruitment and retention strategy.

Brain drainThese salary trends have implications right across Asia too as younger lawyers relocate to cities where more lucrative remu-neration is on offer. Take Malaysia, for example. “We’re defi nitely experiencing a brain drain,” said Siew Ling Su, partner at Kuala Lumpur-based fi rm Tay & Partners. “The general sentiment among law fi rms is that there are fewer good candidates to choose from.” And as the law of supply and demand dictates, salary rises necessarily follow. “Some fi rms are having to increase salaries by between 10% and 20%,” said Su.

The consensus for Australian fi rms, which have lured their fair share of lawyers down under, is that there is still a net loss of law-yers overseas. Susan Ferrier, director of People and Performance at Allens Arthur Robinson, said there is a particular trend of 2–5-year lawyers seeking a stint overseas. New York and London have traditionally been popular with Australian lawyers, but the lure of the increasingly lucrative Asian markets is strengthening.

In-houseThe demand for in-house counsel has been a source of competition

$ $$satisfaction, but if a fi ron,

looks at salarloo$e they will ey will

$

Following the money


15

www.asianlegalonline.com >> NEWS

for law fi rms in recent years. “We regularly get calls from recruit-ers trying to fi ll in-house corporate roles,” said Irene Yang, partner at Guangzhou-based Guangda Law Firm. Yang said recruiters are seeking to fi ll roles in Shanghai, Hong Kong and Singapore.

However, lawyers who make the transition to in-house teams are not necessarily copping the pay cut that has often accompanied such a move in the past. “Increasingly, companies are able to at-tract lawyers to in-house teams with salaries comparable to those on offer in law fi rms,” said Pang. “In-house roles are always attrac-tive to lawyers because of the work-life balance and the chance to get away from the billings pressure of a big fi rm.” The opportunity to earn a large bonus is a major factor too. “For lawyers going in-house with an investment bank, the bonus will often more than compensate for any loss in base salary,” said Pang.

Closing the gapOver in the Australian market, the demand for senior associates has resulted in a narrowing of the salary gap between themselves and salaried partners. But the same trend has not appeared in Hong Kong.

“There hasn’t really been any signifi cant narrowing of the sal-ary gap between senior associates and salaried partners,” said one industry source. “That’s one of the reasons why senior asso-ciates are attracted to the in-house market, because corporates and banks can take advantage of that gap to attract talent.” The source said the uncertainty surrounding when and indeed if a senior associate might attain partnership adds to the attraction of moving in-house.

Pang agreed: “Certainly the gap hasn’t narrowed signifi cant-ly.” Pang noted that the lawyers who are particularly in demand are not necessarily senior associates, but lawyers in the 3–5 QPE bracket. “Lawyers in that range are relatively mature technically and their salary expectation is more manageable.”

SingaporeIn Singapore, some – but not all – of these trends are apparent. “There hasn’t been a stellar increase in salary levels, but certain-ly fi rms have been willing to pay more for the right person,” said Jeremy Small, director of Law Alliance Recruitment Singapore. Small estimates that the average salary increase last year would have been about 10–15%, albeit with a great deal of fl uctuation from fi rm to fi rm.

Small said there is an overlap between senior associate salary and salaried partners in some fi rms, although not in Magic Circle or US fi rms. However, he said this can be explained by historical and local factors. “In a lot of fi rms you’ll see quite a conservative level of part-nership, with senior associates who have been there up to 15 years but are unable to make partner. It’s a particular issue for New York law fi rms, who make very few partners outside of New York.”

INTERNATIONAL FIRMS: SALARY INDICATIONS HONG KONG SINGAPORE SHANGHAI

newly qualifi ed HK$660k–870k n/a RMB700k–900k

1 year PQE HK$720k–940k n/a RMB720k–1.25m

2 year PQE HK$780k–1m S$80k–170k RMB750k–1.35m

3 year PQE HK$860k–1.15m S$90k–190k RMB800k–1.4m

4 year PQE HK$900k–1.3m S$130k–230k RMB900k–1.5m

5 year PQE HK$960k–1.4m S$140k–254k RMB1m–1.6m

6 year PQE HK$1m–1.6m S$150k–290k RMB1m–2m

7 year PQE HK$1.2m–1.8m S$162k–300k+ RMB1.2m–2.2m

8 year PQE HK$1.2m–1.8m S$174k–360k+ RMB1.2m–2.2mSource: Hudson

The result, said Small, is senior associates being paid at the very top end of the scale. “I’ve even seen some instances of senior asso-ciates taking a pay cut when they attain partnership.”

Small also attributes the smaller gap between senior associate and salaried partner to the opportunities on offer in Singapore. “Compared to the Hong Kong market, there are less opportuni-ties for frustrated senior associates to go elsewhere. Singapore is a growing market with some opportunities to go in-house, but not necessarily at the same salary levels to which international law-yers would be accustomed.”

Future trendsThere are mixed signals for salary trends in the future. A report by recruitment fi rm Michael Page predicts more of the same, with private practice salaries in Hong Kong to rise between 7% to 11% over the year in top-tier fi rms, with rises of up to 20% for in-demand skill sets. The report also forecast that in-house sal-aries would also be on the move, with 8% to 15% rises over the next 12 months.

However, Pang is more cautious in her predictions. “Law fi rm business is driven mainly by fi nancial activity. My prediction is that salaries over the next year will stabilise somewhat because of the uncertainty created by the US sub-prime crisis. A lot of people are waiting to see what the real picture will be,” she said.

A lot of fi rms are echoing this cautious approach, although no-one can afford to fall out of step with salary trends just yet. “Our pipeline [of work] is still pretty good,” said Ferrier. “We’re not changing tack yet, but we’re certainly keeping a close eye on the situation.” ALB$S

I“Tly

$


16


SINGAPOREDrew & Napier lands leading tax lawyer

Leading Singapore tax lawyer Ong Sim Ho has closed the bou-tique tax law fi rm that he started in 2001 under his own name

and moved his team across to join Drew & Napier.Ong, who has 10 years’ experience, was formerly with the Tax In-

terpretations & Treaties Branch and the Law Division of the Inland Revenue Authority of Singapore (IRAS). Recently, he succeeded in a landmark corporate tax test case that is expected to have major implications for the country’s serviced apartments industry.

Ong aims to contribute to the growth of Drew & Napier’s tax practice, which is one of the few in Singapore with full-time spe-cialists. Banking & corporate department managing director David Ang welcomed Ong’s move. “With his strong background in corpo-rate tax structuring and indirect taxes, he will expand the breadth of our tax practice and deepen our tax litigation capabilities.” ALB

CHINABakers’ Shanghai co-head jumps ship to Faegre & Benson

John Grobowski, former co-managing part-ner at Baker & McKenzie’s Shanghai of-

fi ce, has joined Faegre & Benson as the head of the fi rm’s Shanghai offi ce and co-chair of the fi rm’s 15-member China practice, which focuses primarily on mergers & acquisitions, foreign di-rect investment matters, dispute resolution and intellectual property transactions.

“John will contribute a wealth of experience and senior lead-ership to us in Shanghai at a time when we are poised for ad-ditional growth in this very important market,” said Thomas G Morgan, chair of the fi rm’s management committee.

Grobowski, a fl uent Mandarin speaker, is currently a gover-nor and the secretary of the American Chamber of Commerce in Shanghai. He has served on advisory panels for government agencies in China regarding competition law legislation and ven-ture capital law reforms.

“After nearly 17 years at Baker & McKenzie, I decided to seek a new opportunity with a new set of challenges. Faegre & Ben-son appealed to me as a particularly dynamic fi rm with a strong commitment to China, an impressive array of clients and a very talented group of legal professionals on the ground in Shang-hai,” said Grobowski.

Before Grobowski’s joining, Faegre & Benson lost previous man-aging partner Peter Neumann to rival fi rm Greenberg Traurig, which has recently opened an offi ce in Shanghai. ALB

A provisional patent application is a type of patent application fi led with a Patent Offi ce that is temporary or interim in nature that does not issue as a patent unless additional steps are taken by the applicant to turn

the provisional application into a fi nal or complete application. The provisional application is a convenient way to secure a priority fi ling date with relative ease. Once fi led, products can be marked “patent pending” and applicants can market or publicize their invention with the knowledge that the provisional patent application preserves their patent rights.

Like many jurisdictions, Singapore is a member of the Paris Convention and allows claiming priority to provisional applications. Unlike most jurisdictions, Singapore does not expressly mention provisional applications in a specifi c section in the Singapore Patents Act. The basis for provisional applications is found in the general provisions for obtaining a fi ling date. Because of this, applicants may not fully realize or appreciate that Singapore allows provisional applications, and may look to other jurisdictions such as the United States for securing a provisional application, which may additionally require obtaining security clearance and permission from a local patent offi ce.

A fi ling date is secured if an application identifi es the applicant and contains a description of the invention and an indication that a patent is sought. There is no requirement for claims at the time of fi ling however a claim must be fi led 12 months from the fi ling date. Although the provisional application may be amended to contain claims, a reason for fi ling another complete application claiming priority to the provisional application is that the start of the 20 year patent term is calculated from the fi ling date of the complete application and not the fi ling date of the provisional application, which can in effect give the patent a 21 year patent term.

A provisional application must provide suffi cient detail with written description and substantive supporting drawings to substantiate the claim to priority for each claim in the complete application. In other jurisdictions, suffi cient detail must also be provided to substantiate and meet requirements for claiming priority. In the United States for example a full description of the best mode in carrying out the invention should be described. Often applicants in the haste to fi le provisional applications to secure a fi ling date prior to a disclosure or publication rehash a presentation or article without including the extra detail, which may result in lack of suffi cient support to substantiate the claim of priority if ever tested in a court in Singapore or other jurisdiction. Professional assistance should be obtained in drafting provisional applications as well as complete patent applications to ensure a strong patent with the broadest claim scope that the applicant is entitled.

Nevin CarmichaelPatent AttorneyIntellectual Property and Technology GroupAlban Tay Mahtani & de Silva LLPPhone 65 6428 9801Email [email protected]

IP UPDATESingapore Provisional Patent Applications, the importance of providing suffi cient support to ensure applicants obtain the strongest patent claims entitled

Nevin Carmichael

John Grobowski, Baker & McKenzie


17


HONG KONGHong Kong law fi rm joins international alliance

MSI Global Alliance (MSI) has expanded its law fi rm presence in Asia by appointing independent full-service fi rm Or, Ng

& Chan as its Hong Kong member. Established in 1992, Or, Ng & Chan has grown organically to

25 lawyers and a total staff of over 60 people. The fi rm is focused on the Hong Kong and China markets, but has clients from the rest of Asia, the US and Europe. Or, Ng & Chan’s services include M&A, commercial litigation & ar-bitration, banking, fi nance & se-curities, shipping & logistics, IP, trust & probate, real estate and property transactions.

MSI’s chief executive James Mendelssohn said Asia is an im-portant growth area for the alli-ance. “Hong Kong remains a dis-tinct legal market from Mainland China, and Or, Ng & Chan was able to demonstrate the qualities we were looking for,” he said.

MSI is targeting growth in Asia over the next 12 months, and hopes to appoint member fi rms in Indonesia, the Philippines, South Korea and Vietnam. The alliance already has members from China, Japan and Singapore. ALB

Financial UPDATEInterview with the M.D.

How long have you been in Hong Kong and what brought you here?I arrived in Hong Kong in February, 1993 to join Matheson PFC, which was the Independent Financial Advisory (IFA) arm of the Jardine Group, at the time.

What were you doing before then?I was working as an IFA in London. Before that, I spent 10 years working in Birmingham with the likes of UK Provident (now Friends Provident), a provincial stockbroker – Albert E. Sharp, and Lloyds Broker – the Sedgwick Group.

Do you keep in touch with any of your former work-colleagues?Yes, my boss at Sedgwick – Steve Titley who now manages Grant Thornton’s IFA arm in Birmingham. Also my boss from UK Provident, Ian Marsh, who visited me in Hong Kong last year. I hadn’t seen him since 1986! Ian now advises the Egyptian government on tourism!

Why did you move from Matheson PFC to join Horwath?After four years with Matheson I was ready for a new challenge. Horwath was the only accounting fi rm in Hong Kong involved in fi nancial planning services. However, Horwath Financial Services hadn’t really progressed since it was set up in 1996 and the M.D. had decided to return to England. This created an opportunity for me to develop the business virtually from scratch.

Describe Horwath Financial ServicesA long established fi nancial advisory fi rm with an excellent reputation and a loyal clientele. Provides a bird’s eye view of a client’s fi nancial affairs, liaising with other professionals as necessary to create a true one-stop-shop.

What do you do at Horwath?As M.D. I get involved in almost everything! Compliance, accounts, marketing, recruitment, client servicing and so on. Last year however HFS was acquired by Australia’s largest IFA group, Professional Investment Services www.profi nvest.com.au and we have gradually been plugging into the resources that PIS provide.

Has your role changed since PIS acquired Horwath Financial Services?Not really. If anything, I’m actually spending more time now working with clients, new and old, which I enjoy.

What constitutes your ideal client?A mid to high level executive or entrepreneur with liquid capital of USD 250,000 or above, or the ability to accumulate capital. Corporate clients are also very welcome since we specialize in tax-effi cient retirement planning and key person arrangements.

How do you charge for your services?Introductory meetings are free of charge. Thereafter, we provide three options: fee for time, commission rebate and ‘hybrid’ or in other words a combination of the former, depending on the circumstances.

Please contact David to arrange a review of your fi nancial affairs!David R. BojanManaging DirectorHorwath Financial Services Ltd.Tel: (852) 2511 8337Fax: (852) 2802 7613Email: [email protected]

David R. Bojan

ASIAHeller Ehrman looks to Nick Seddon for expansion

Former DLA Piper managing director for Asia Nick Seddon has joined US-based law fi rm Heller Ehrman as its regional

managing shareholder to spearhead expansion plans.Seddon has been credited with the rapid expansion of DLA Pip-

er in the region, which demonstrated rapid revenue and head-count growth under his leadership, as well as two new offi ces. He steps into a role previously held by Jonathan Palmer, who has relocated to Seattle after three years in Hong Kong as head of the fi rm’s Asia practice.

The move is an indication of Heller Ehrman’s plans for expan-sion in Asia. The fi rm has seen steady growth since the opening of its fi rst Asia offi ce in Hong Kong in 1993, and later extending this to Beijing, Singapore and, most recently, Shanghai.

“Based on his past success in Asia and Europe, we are confi -dent that Nick will rapidly expand our Asia practice consistent with maintaining the highest quality,” said Heller Ehrman’s chairman, Matthew Larrabee. “Our confi dence is based on Asia’s explosive growth and what we are seeing as opportunities, not only in the areas of international dispute resolution and corpo-rate, venture fi nancing and real estate transactions, but also in the IP area, which led us to open our offi ce in Shanghai earlier this year.” ALB


18


The Chancellor of the Exchequer Alistair Darling made his fi rst Budget speech on 12th March 2008, which included many predicted changes to the rules on UK tax residence, and, more extensively, on the taxation of non UK domiciled

individuals who are not ordinarily resident in the UK.

NON UK RESIDENCEDay Counting Rule - Currently days of arrival and departure from the UK are not counted towards the number of days a person spends in the UK to determine UK tax residency. The Government had proposed to change this so that days of departure and arrival both count. In the end they compromised and decided that, from 6th April 2008, any day an individual spends in the UK at midnight will be counted.

NON UK DOMICILEThe Remittance Basis - Non UK domiciled individuals living in the UK have been treated very generously in the past such that their worldwide (non UK) income and gains would only be taxed when remitted to the UK. From 6th April 2008, this has changed as follows:(a) Individuals can choose each year whether they wish to use to

the remittance basis.(b) Anyone choosing the remittance basis will no longer be eligible

to claim personal allowances (of £5,435 for 2008/09) or the annual exemption for capital gains (£9,600 for 2008/09).

(c) There is an annual charge of £30,000 for remittance basis users who have been resident in the UK for more than 7 out of the last 10 years. This charge will be creditable against foreign taxes and the Government have exempted children from being required to pay the charge. However, the payment of the £30,000 charge from offshore income or gains will itself be a remittance to the UK, and thus taxable unless directly paid to HM Revenue & Customs.

(d) Those with small offshore income and gains (less than £2,000 per year) will be exempt from the above changes.

Closing Remittance LoopholesThe Government has closed various loopholes previously exploited by remittance base taxpayers, such as:

The “ceased source” loophole. Previously if the source of income • ceased and the income subsequently remitted to the UK in later years, there was no tax. Now the income will be taxed.Previously income or gains made and converted to an asset • that was then imported to the UK was not taxed until the asset was sold. In future, such imports will be taxed. But there is exemption for all assets owned at 11th March 2008, and also a minor exemption for assets that are personal effects costing less than £1,000 each (clothes, jewellery, watches, etc).Previously if overseas income and gains were “alienated” – • transferred offshore to another person – and then remitted to the UK, this would avoid tax. In future, these will be taxed on remittance to the UK if the funds had been “alienated” to a close family relative.

Debbie Annells, Managing Director,AzureTax Ltd, Chartered Tax Advisers Suite 4708, The Center, 99 Queen’s Road, Central, Hong Kongwww.azuretax.com, a member of AzureTax Group(Tel) +852 2123 9339 (direct line), (Main Line) +852 2123 9370,(Fax) +852 2122 9209Registered with the Chartered Institute of Taxation for purposes of anti money laundering legislation.

International Tax UPDATEResidence and DomicileThe 2008 UK Budget Changes

Debbie Annells

CHINATaylor Wessing gets set for Beijing launchEurope-focused law fi rm Taylor Wessing is preparing to

open a new offi ce in Beijing, which will build on its exist-ing Shanghai offi ce, when its second licence is approved.

The plan is for the new offi ce to work in tandem with Shanghai to service the growing number of Chinese com-panies looking to move into Europe, as well as European entities looking for growth in China. The fi rm is particu-larly known for its IP expertise.

Although Taylor Wessing has grown in Asia and recently opened in Dubai, it has been reported the fi rm will retain its core European focus and will particularly look for further growth in new European Union member states. ALB

CHINAReed Smith forges new Beijing corporate team

Relative newcomer to Asia, Reed Smith, has added two partners and a group of attorneys to its Beijing offi ce

after capitalising on their exclusion from a Dewey Bal-lantine merger.

New partners Sharon Mann and Hugh Scogin Jr, as well as new counsel Michael Dardzinski, were part of the Bei-jing offi ce of Dewey Ballantine but were not part of the New York fi rm’s union with LeBoeuf Lamb Greene & MacRae in January. They were joined by other lawyers and legal professionals in their move over to Reed Smith.

Mann is a former senior director of the Trade Facilitation Offi ce at the US Embassy in Beijing, and advises on Chinese investment, capital markets and trade issues, while Scogin is a corporate partner focusing on investment and other cor-porate transactions. Dardzinski also has a corporate focus, with experience in M&A and disputes.

Reed Smith offi cially began operations in Asia when its merger with Richards Butler’s Hong Kong and China arm became effective at the start of this year. ALB

INDIA

Local Indian law fi rm Trilegal has succeeded in sealing a formal referral deal with Magic Circle fi rm Allen & Overy, which will

see it handle the bulk of A&O’s cross-border client work in India and benefi t from training, consulting and joint marketing.

Trilegal’s deal positions the fi rm as A&O’s local arm in In-dia, although no actual profi t-sharing is involved. The fi rm will benefi t from A&O’s training programs, systems, processes and branding exercises. However, as the deal is being touted as “non-exclusive”, it does not restrict Trilegal from undertaking work for A&O’s competitors.

Trilegal links up with


19


The UK reportEnd of an era for Sullivan’s London chiefSullivan & Cromwell shook up its management structure last month with the appointment of partners Vanessa Blackmore and Robert Schlein as co-managing partners of the fi rm’s London offi ce. They replace William Plapinger, who has served as managing partner of the City base for the past 13 years.

Plapinger, however, will remain in London and continue as coordinator of the fi rm’s European offi ces.

Management still on the move at SlaughtersThe management revamp at Slaughter and May has continued, with real estate partner Graham White and corporate lawyer Paul Olney set to take up the roles of executive partner and practice partner respectively in May.

Both positions will be for a fi ve-year term, White being responsible for the fi rm’s overall management strategy with particular focus on people, systems, compliance and fi nance, and Olney taking on the task of developing the fi rm’s practice internally and facilitating relationships with international fi rms.

Chris Saul, currently head of corporate, will join them in May, when he becomes senior partner and takes over from Tim Clark, who has held the position for the previous two terms.

Redundancies to hit Halliwells in London and ManchesterHalliwells has resorted to a redundancy consultation process across its London-based corporate team, in response to the group lagging behind budget. An unconfi rmed number of support staff in the Manchester offi ce could also face redundancy as a result the fi rm’s move from fi ve offi ces to a more expensive single site.

Morley and Dejonghe to head up A&OAllen & Overy will enter into new leadership late April, with managing partner David Morley recently getting the green light to take over from Guy Beringer as senior partner of the fi rm.

Belgian managing partner and co-head of corporate Wim Dejonghe will join Morley at the helm as managing partner – he beat London fi nance partner and management board member Boyan Wells to the post and is to become the fi rst non London-based partner to lead the fi rm. Dejonghe, who will make his way to London to succeed Morley, faced him in 2002 for the role of managing partner but was beaten to the position.

ROUNDUP

■ Niche Scottish property fi rm Bell & Scott gets a new managing partner in November, newly elected partner Paul Jennings.

■ John Fordham is the new departmental managing partner for real estate in Freshfi elds Bruckhaus Derringer’s London offi ce, taking over from Mark Wheelhouse.

■ Independent French fi rm Gide Loyrette Nouel announced plans to expand its London offi ce space by a move to new premises, due to a sharp rise in revenue. It has also hired three partners.

“Trilegal has a solid reputation in the market, having ad-vised Vodafone on its US$11.1bn acquisition of a 67% stake held by Hutchison Telecommunications International Ltd. in Hutchison Essar, India's fourth-largest mobile phone opera-tor.”

The arrangement follows a similar “non-exclusive” alliance struck by Linklaters in 2006 with Mumbai-based fi rm Tal-war Thakore & Associates. Other fi rms, such as White & Case, have preferred to develop relationships with a variety of fi rms. ALB

Allen & Overy


20


LATERAL HIRES

Name Leaving Going to Practice Location

John Grobowski Baker & McKenzie Faegre & Benson Corporate/M&A Shanghai

Nick Seddon DLA Piper Heller Ehrman Corporate Hong Kong

Mao Tong Hogan & Hartson Bryan Cave Corporate & Commercial Hong Kong

Harvey Weaver Linklaters Ashurst Project fi nance Tokyo

Ong Sim Ho Ong Sim Ho Drew & Napier Tax Singapore

John Fadely Skadden Clifford Chance Funds Tokyo

RELOCATIONS

Firm Name From Going to Practice

Baker Botts Stephen Lim Singapore Hong Kong Dispute resolution

Lovells Kirstie Nicholson Brussels Shanghai Competition & Anti-trust

PROMOTIONS

Firm Name New role Practice Location

Ashurst Mark Davies Counsel Project fi nance Tokyo

Mori Hamada & Matsumoto Yukinaga Kojima Partner Financial regulations/corporate

Tokyo

Mori Hamada & Matsumoto Yuko Noguchi Partner IP/dispute resolution Tokyo

Mori Hamada & Matsumoto Yasuhiko Fujitsu Partner Corporate fi nance/capital markets/ M&A

Tokyo

Mori Hamada & Matsumoto Yoshifumi Onodera Partner Patents/litigation Tokyo

Mori Hamada & Matsumoto Airo Inoue Partner Bankruptcy & restructuring/litigation/ M&A /corporate governance

Tokyo

Tan Peng Chin Susan Tang Head of retail funds

Funds Singapore

Skadden Clifford Chance

Funds specialist joins Clifford Chance in TokyoClifford Chance has cherry-picked Tokyo-based funds lawyer John Fadely from his role as head of Skadden Arps’ Asian private funds practice and brought him in as a partner.

Roger Denny, Clifford Chance’s head of corporate in Asia, said Fadely brings “an exciting and complementary set of skills” across from competitor Skadden.

“As a US-qualifi ed lawyer, he can offer a great deal of experience and expertise to our US funds clients,” Denny said. “He is also fl uent in both Japanese and Mandarin, enriching our funds practice in both Japan and Mainland China.”

Clifford Chance has one of the leading funds practices in Asia and

regularly advises fi nancial institutions, fund managers, multinationals and governments.

Mori Hamada & Matsumoto

Mori Hamada rewards six of its best with partnershipTop-tier Japanese fi rm Mori Hamada & Matsumoto has promoted six new partners from among its associates and of counsel as part of an annual round of promotions. The fi rm said the new partners are an “energetic, experienced and skilful” group.

The fi rm’s new partners are Yukinaga Kojima (fi nancial regulations/corporate), Yuko Noguchi (IP/dispute resolution), Yasuhiko Fujitsu (corporate fi nance/capital markets/ mergers & acquisitions), Yoshifumi Onodera (patents/litigation) and Airo Inoue (bankruptcy & restructuring/litigation/ mergers & acquisitions/corporate governance).

The promotions come in addition to the recent appointment of Kazuyo Ikeda, who practised as a civil and commercial law attorney at Kitayama & Doi Law Offi ces in Kobe before working on the drafting of the Financial Instruments and Exchange Law, among others, at the Financial Services Agency between May 2005 and December 2007. The fi rm also recruited 19 newly qualifi ed lawyers in January as part of its annual intake.

One for Lovells in competition practice competitionLovells has fl agged the impending relocation of competition law specialist and of counsel Kirstie Nicholson to Shanghai, in response to an expected infl ux of competition-related legal work following the introduction of China’s new Anti-Monopoly Law.

Currently based in Brussels, Nicholson will make the move to China in April, where she will join Lovells’ Shanghai-based corporate partner Andrew McGinty, who has been a vocal participant in the debate leading up to the law’s introduction. Nicholson has acted on both transactional and contentious competition law proceedings, including merger fi lings, investigations and litigation before the European courts.

The relocation comes as a number of foreign fi rms make similar moves to beef up their competition practices.

Hogan & Hartson Bryan Cave

Hogan & Hartson Hong Kong co-head runs to Bryan CaveShortly after losing Hong Kong managing partner Mary Ellen Hutton to UK fi rm Withers, Bryan Cave has hired a senior partner from US rival Hogan & Hartson to maintain its commitment to the Hong Kong and Asia market.

Mao Tong, the former co-managing partner of Hogan & Hartson’s Hong Kong offi ce, has joined Bryan Cave as a partner based in Hong Kong. His practice focuses on corporate and commercial transactions, cross-border M&A, private equity, securities and international joint ventures.

Tong has a JD from Columbia University Law School and a BA from Wesleyan University, and has spent most of his career practising law in China.

Mao Tong John Fadely

Yuko Noguchi

Lovells


21


The US reportLatham to boost Middle East presence Top US fi rm Latham and Watkins announced plans in February to expand its Middle East reach with the set-up of three new offi ces in the region. The fi rm will open shop in Dubai, Abu Dhabi and Doha over the next few months with recently hired corporate partner Rindala Beydoun heading the practice across the region.

The offi ces will focus on M&A and private equity as well as project development and fi nance. Latham plans to transfer a number of partners and associates to boost staff count.

Milbank loses outsourcing partner to NYSE EuronextUS fi rm Milbank Tweed Hadley & McCloy suffered a blow last month, when it lost its renowned outsourcing partner John Halvey to NYSE Euronext. Halvey joins NYSE Euronext as its new general counsel in March after almost 22 years at Milbank, where he founded the fi rm’s global IT outsourcing group and made his mark on outsourcing as a practice area. As general counsel, Halvey will report to CEO Duncan Niederauer and be responsible for all the group’s legal functions and will be a member of the management committee.

Cadwalader management overhaul Cadwalader Wickersham & Taft recently appointed global fi nance head Chris White as fi rm-wide chairman as part of a management restructure. The new role, which will begin in March, means an expansion of Cadwalader’s executive function into two offi ces, those of chairman and managing partner. Cadwalader’s current managing partner, Bob Link, will continue in his role.

Dechert initiates 13 layoffs Despite reports of a record fi nancial year – with US$836m in gross revenue and more than US$2.3m in profi ts per equity partner – US fi rm Dechert recently issued lay-off notices to 13 associates in its fi nance and real estate practice.

The fi rm cited recent market conditions and a slowing economy for the lay-offs; however, recent reports suggest that the 13 will be offered positions in other practice groups.

ROUNDUP

■ US fi rm White & Case has opened an offi ce in Bucharest, Romania, bringing the fi rm’s international offi ce count to 37. Former Linklaters lawyer Todd Shollenbarger will head the new offi ce, which will include a team of 10 lawyers and focus on real estate, fi nance, energy and private equity.

■ Chicago-based fi rm McDermott Will & Emery set up an offi ce in Houston this March. The offi ce is the fi rm’s 15th and will be staffed by three energy lawyers from Houston fi rm Bracewell & Giuliani. The fi rm hopes to expand its operations in Houston and eventually bring the offi ce up to 50 lawyers.

Freshfi elds recently parachuted former London-based partner Alex Potter into Beijing and promoted a senior associate in the practice to counsel.

Lovells’ McGinty has warned that the new law requires more clarifi cation, and for now the watchword, particularly for foreign investors, remains “Caveat investor”.

“A lot of things need to happen before domestic and overseas businesses get comfortable with the new system and how it will work; only time will tell whether the system will work in a completely fair, transparent and even-handed way,” he said.

Tan Peng Chin

Tan Peng Chin promotes funds lawyerSingapore fi rm Tan Peng Chin has elevated director Susan Tang to the position of head of retail funds, just two years after her original appointment at the fi rm.

Heading the funds practice within the asset and wealth management department, Tang will be the main port of call for local and offshore fund managers who have legal or regulatory queries on the offer of retail fund products in Singapore.

Melvin Khoo, head of the asset and wealth management department, said Tang’s appointment comes as the market is maturing to allow retail investors access to products that were previously sold exclusively to high-net-worth investors.

Susan is the most senior lawyer in this area of practice who has in-house experience with a fund management company. “Since returning to practice, she has supplemented her retail funds expertise with private and alternative investments funds.”

Linklaters Ashurst

Ashurst adds two counsel to Tokyo projects teamAshurst has recruited project fi nance lawyer Harvey Weaver from Linklaters and appointed him as counsel in the fi rm’s Tokyo offi ce, at the same time as internally promoting Mark Davies, also a project fi nance specialist, to an equivalent role.

Weaver, who has worked for Linklaters for the past 12 years in Hong Kong, London and Singapore, most recently as a managing associate in its energy and infrastructure group, specialises in both the fi nancing and development of infrastructure projects and has particular experience in ports and transportation, PPPs and energy projects.

Davies joined Ashurst’s Tokyo fi nance practice in 2002, and specialises in banking and project fi nance transactions, oil and gas projects, and cross-border M&A and JVs. He also advises on private equity fund establishment and investment.

Baker Botts grows Asia disputes teamInternational arbitration lawyer Steven Limhas joined Baker Botts as a special counsel inHong Kong, moving from a previous role basedin Singapore.

Lim has more than 13 years of experience in arbitration and dispute resolution proceedings, having worked throughout the region on arbitration matters.

Baker Botts cited a growing number of international arbitration proceedings as the reason for boosting its practice headcount through the addition of Lim.

Harvey Weaver

Steven Lim

Baker Botts


22


Strength in numbersBefore 2008, Chicago-based behemoth

Mayer Brown had only dipped a toe into the China market; with the JSM merger announced recently, it has jumped into the deep end.

And while Mayer Brown has certainly stolen a march on some of its US rivals in China (many of whom are still scrapping it out even to secure a managing partner with local experience), and to effect what in American eyes may be something of a Copernican inversion, more eyebrows will be raised in this part of the world by what is manifest in the JSM decision.

JSM has held a premium position in the Hong Kong market for much of its 105-year history, and its 800-strong staff has brought it the ALB Hong Kong Law Firm of the Year award for fi ve of the past six years. Its China play – offi ces in Beijing, Shanghai and Guangzhou – is reaping rapid growth and healthy profi ts. This is not a fi rm that appears to be in need of an extra arrow in its marketing quiver.

The fact that JSM has thrown in its lot with a fi rm already strong in the US and

Europe should be a harbinger of what is ahead for many – perhaps all – of the region’s leading fi rms.

The fi rm realises that to be competi-tive in bidding for the most lucrative instructions, a tried and tested plat-form not just across China but across the globe is going to be increasingly necessary. In the case of JSM’s merger, the requirements of key client HSBC and its conspicuously global operation may have been the catalyst. But name a leading fi rm here none of whose key clients have similarly international aspirations…

tiao tiao da dao tong luo ma. 條條大道通羅馬 Leading fi rms don’t have to obtain that crucial global capability overnight through a JSM-style merger. They can build it organically; they can enter into an array of separate alliances (with several other fi rms in Asia and the West); or they can sign up with a single alliance that attempts to deliver global coverage (the Lovells-driven Sino Global Law Alliance, for example).

Indeed, leading fi rms do not have to obtain global capability at all. But they should be aware that short-term feasting on the China market could lead to long-term mediocrity on the international scene. And they should also be aware that the pressure the WTO inspectors, the Magic Circle and Wall Street are placing on China’s protectionist barriers to entry is growing every year. ALB

OPINION

While Mayer Brown has stolen a march on some of its US rivals, more eyebrows will be raised here in Asia by what is manifest in the JSM decision


23



24


Re

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s Each month, ALB draws on its panel of country editors to bring readers up to date with regulatory developments across the region

For more information about ALB regional updates and how to participate, contact Peter Chau (+852 2815 5988)

CHINAPaul Weiss

PHILIPPINESSyCip Salazar Hernandez & Gatmaitan

MALAYSIATay & Partners

SINGAPORELoo & Partners

Reforms in the PRC Labor Dispute Mediation and

Arbitration Law

The new Labor Dispute Mediation and Arbitration Law of the PRC will take effect as of May 1, 2008 (“New Law”). The New Law streamlines the existing labor dispute regime and aims to lower costs and resolve labor disputes “fairly and timely”. Major highlights are as follows: 1. Initiating mediation and arbitration

of labor disputes will be free of charge.

2. The New Law provides for mandatory mediation prior to an arbitral award is given; and arbitration may be by-passed if the labor dispute concerns arrears in salaries, recovery of medical expenses for work-related injuries, severance payments or penalties under a mediation settlement agreement so that employees may apply to a court directly for payment orders if mediation has failed.

3. Employee’s grounds of appeal to labor arbitral awards are expanded. Employees may now appeal to a court for any adverse arbitral decision for disputes relating to non-payment of salaries, medical expenses for work-related injuries, severance and penalties regarding a disputed amount not exceeding 12-months of local minimum monthly wages, working hours, leave entitlement and social insurance contributions, in contrast with the limited circumstances under the Arbitration Law of the PRC that an employee may have recourse to.

4. Employers are placed with a greater evidential burden. Generally, the burden of proof rests on the asserting

party; however, under the New Law, the arbitration tribunal has the power to order an employer to produce evidence in its control, and the employer shall bear the “unfavorable consequences” if it fails to do so.

5. Time limit to apply for arbitration is extended from 60 days to one year from the date when the party knows or should have known that his rights have been infringed. An exception to this rule is for disputes over arrears in remuneration, in which case the limitation period does not run until the relevant employment contract has been expired or terminated.

6. The time to settle labor disputes is signifi cantly shortened. Previously, a labor arbitration case must be concluded within 60 days from the date on which the case was fi led (and a possible extension to 90 days in exceptional cases). Under the New Law, an arbitration case should be concluded within 45 days from the date of the commission’s acceptance of the case, with a possible extension up to 15 days for complicated cases.

Written by:Jeanette Chan, partnerOlivia Wong, Hong Kong solicitorPaul, Weiss, Rifkind, Wharton & Garrison

For more information please contact:Paul, Weiss Rifkind, Wharton & Garrison Unit 3601, Fortune Plaza Offi ce Tower ANo. 7 Dong Sanhuan ZhongluChao Yang District, Beijing 100020PRCJeanette K. Chan, partner Email: [email protected] Ph: (8621) 5828-6300 or (852) 2536-9933

CHINA

Jeanette K. Chan

24-27 Regional Updates_hk.indd 2424-27 Regional Updates_hk.indd 24 4/29/2008 11:23:38 AM4/29/2008 11:23:38 AM

25


Executive Order 672: Rationalizing Inter-

Agency Coordination in Philippine Reclamation

Projects

The implementation and approval reclamation projects in the Philippines, whether foreshore or inland is limited and controlled solely by the National Government. However, by virtue of Presidential Decree No. 3-A, the National Government is authorized to delegate this function to any government agency. At present, there are two (2) government agencies that play key roles in the implementation of these projects.

The Public Estates Authority (“PEA”), now the Philippine Reclamation Authority (“PRA”), was crated by virtue of Presidential Decree 1084. It serves principally as the clearing-house of all reclamation projects in the country. Prior to the enactment of Executive Order No. 543 dated June 24, 2006, it originally functioned as a recommendatory or advisory arm of the President of the Philippines with respect to the approval of proposed reclamation projects. However, by virtue of the said Executive Order, PRA now has the power and authority of approving or disapproving all applications for reclamation projects in the Philippines.

The Administrative Code of 1987 also empowers the Department of Environment and Natural Resources (“DENR”) to exercise exclusive jurisdiction on the management and disposition of all lands of the public domain. This also includes the supervision and control of the exploration, development and utilization of the country’s natural resources.

Initially, there has not been any overlapping of powers between

these two agencies until after the DENR, on July 31, 2007, issued DENR Administrative Order (“AO”) No. 2007-20. Pursuant to the said AO, applicants are required to secure permits to reclaim from the DENR. These permits are valid only for a period of one (1) year. This requirement caused confusion among the applicants as it conveys the impression that the DENR is the regulatory and approving agency tasked for these projects.

In order to streamline inter-agency roles and duties and to eliminate any confusion, the President issued Executive Order (“EO”) 672, which took effect immediately after its publication on October 19, 2007. The EO reiterates PRA’s exclusive responsibility of approving all reclamation projects and also directs the PRA to coordinate and secure from the DENR a Permit or Site Clearance prior to the approval of any reclamation project. In addition to a Site Clearance, an Environmental Compliance Certifi cate (“ECC”) must be secured from the DENR.

Upon the project’s completion, the EO directs the PRA and the DENR to undertake a survey of the completed reclaimed land in accordance with the DENR rules and regulations. To which, the President may then issue a Proclamation declaring some portions of the reclaimed land to be alienable while leaving certain portions for public use or service. The said Proclamation is issued only upon the recommendation and endorsement of the DENR after prior clearance of the PRA.

After the issuance of the Presidential Proclamation, the DENR and the Land Registration Authority (“LRA”) are mandated to issue a Special Patent and Original Certifi cate of Titles. The titles to the reclaimed lands that are declared to be devoted for public use or service are to be named in the name of the Republic of the Philippines while those that are proclaimed alienable and disposable are issued in the name of PRA. Thereafter, PRA is authorized to alienate or transfer these lands to qualifi ed persons or entities in accordance with the limitations provided in the 1987 Philippine Constitution.

Written by: Leighna Katrina S. SitoyLeighna Katrina S. SitoyAssociateSycip Salazar Hernandez & Gatmaitan +632 817-98-11 loc. 326

FIC Moving Forward

The Malaysian Foreign Investment Committee (FIC) is a committee and not a statutory body. The guidelines issued by FIC are not issued pursuant to any power granted by legislations. The guidelines are essentially administrative guidelines and do not have the force of law. Notwithstanding, may foreign investors choose to comply as non-compliance may have practical consequences particularly in respect of any governmental licence, permit or approval for employment of expatriate personnel where most governmental departments in Malaysia choose to conform to the views of the FIC.

Recently, FIC on 1 January 2008 issued fresh guidelines in relation to:a) acquisition of interests, mergers

and take-overs by local and foreign interest; and

b) acquisition of properties by local and foreign interest.

It is noticeable that the guidelines were amended to refl ect greater administrative control over foreign investments whether via purchase of properties or of shares of a company. It additionally set outs new transactions where FIC’s approval is now required. Particularly, with regard to the acquisition of properties, amongst the transactions which will now be subjected to the guidelines are: (i) acquisition of a commercial property

valued of less than RM10,000,000;(ii) acquisition of an entire building or

an entire property development valued at RM10,000,000;

(iii) acquisition of land or land with building for redevelopment purpose;

(iv) charging of property in Malaysia to foreign banks and fi nancial institutions;

(v) acquisition of property by Real Estate Investment Trust (REIT) management company through private REIT fund; and

Leighna Katrina S. Sitoy

MALAYSIAPHILIPPINES


26


SGX and “Watch-List”

On 6th December 2007, the SGX has amended its Listing Manual and introduced a “Watch-list” for companies listed on the Mainboard (“Mainboard companies”). This is part of the SGX’s ongoing efforts to promote investor confi dence, and improve the overall quality of listed companies in Singapore. It should be noted that the Watch-list rules do not apply to real-estate investment trusts, business trusts, investment funds, global depository receipts (GDRs) and secondary-listed companies listed on the Mainboard.

The Watch-List rules came into effect on 1 March 2008. Quarterly reviews will be carried out on the Mainboard companies and the Watch-List will be revised accordingly, where necessary.

Under the new Part V of Chapter 13 of the Listing Manual, Mainboard companies will be placed on the “Watch-List” if they register:-

1. pre-tax losses for the three most recently completed consecutive fi nancial years (based on the latest announced full year consolidated accounts, excluding exceptional or non-recurrent income and extraordinary items); and

2. an average daily market capitalisation of less than S$40 million over the last 120 market days on which trading was not halted or suspended for the full day.

Trading in the Watch-List companies will continue as usual, unless a trading halt or a suspension is effected.

The Watch-List companies may apply for removal from the Watch-List upon meeting either one of the following requirements:-(a) it records consolidated pre-tax profi t

for the latest completed fi nancial year and has an average daily market capitalisation of $40 million or more over the last 120 market days of full-day trading; or

(vi) those transactions which requires approval from any governmental ministries, agencies or statutory or regulatory bodies even if the approval of FIC is not required.

The FIC has also tighten the time line which a company has to comply with the equity conditions if any is set in its approval letter from 12 months to 6 months.

Notwithstanding, there are few new exemptions which may spur growth in various areas. Those exemptions relate to any acquisition of properties or shares in a company:i) operating in the approved area in

the Iskandar Regional Development and have been granted the status by the Iskandar Regional Development Authority;

ii) which have obtained the endorsement from the Secretariat of the Malaysian International Financial Centre; and

iii) that have been granted status of International Procurement Centre, Operational Head Quarters, Representative Offi ce, Regional Offi ce and such other special endorsements by the Ministry of Finance, Ministry of International Trade and Industry;

Overall, the responses to the amendments had been encouraging, particularly from investors in the Iskandar Regional Development.

Written by: Geraldine Chan

Tay & Partners6th Floor, Plaza See Hoy Chan,Jalan Raja Chulan50200 Kuala Lumpur, MalaysiaPhone: +603-2050 1888Fax: +603-2031 8618E-mail: [email protected] .Website: www.taypartners.com.my Geraldine Chan

(b) it satisfi es the Mainboard admission criteria contained in Rule 210(2) (a) or (b) of the Listing Manual.

On 4th March 2008, the SGX took steps to place nine Mainboard companies under its fi rst watch list. These companies were required to make an immediate announcement of the Watch-List status, and to provide the market with quarterly updates on their fi nancial situation, including their future directions and any other material developments that may have a signifi cant impact on their fi nancial position.

Unless a Watch-List company satisfi es the criteria for removal from the “Watch-List” within 24 months from the date on which it acquires the Watch-List status, the SGX may either delist it or suspend its trading with a view to delisting.

Written by:Ms Eng Hui Ting & Ms Chen Shu

Ms Eng Hui TingCorporate Finance ExecutivePh: (65) 6322-2237Fax: (65) 6534-0833E-mail: [email protected]

Ms Chen ShuLegal Executive, Corporate PracticePh: (65) 6322-2230Fax: (65) 6534-0833E-mail: [email protected]

Loo & Partners, 88 Amoy Street, Level Three, Singapore 069907.

SINGAPORE


27

www.asianlegalonline.com >> NEWSPROFILEwww.asianlegalonline.com

FIR

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FILE

Interviewing tips

When it comes to interviewing for a new job, a healthy dose of common sense goes an awfully long way.

Making absolutely certain that you are not late by assuming you will be delayed on the way, dressing smartly and conservatively, ensuring your shoes are newly polished, that your hair is well groomed and your face clean shaven. Any lawyer worth his salt should not need to be reminded of such basic considerations.

A true professional should also not need to be reminded to take the time necessary to prepare properly for a meeting. Prior to an interview, one should not only research the interviewer and the fi rm/business he or she represents, but also make sure to have re-read the contents of your own CV to ensure any reference to it by the interviewer is clearly understood. Giving some thought to the kind of questions you might ask of your interviewer is also a good idea, even though questions may have to be modifi ed dependent on what is discussed earlier in the interview.

When it comes to preparation, it is sensible to make full use of your recruitment consultant. A good consultant will be able to provide invaluable insight into fi rms, departments and individuals, often the kind of stuff you won’t fi nd elsewhere, providing guidance on matters such as personalities and corporate identities.

It is also a good idea to think about how you are going to answer certain typical lines of questioning. For example, what is it that interests you about this particular employer? Your reasons for considering leaving your present job? What interests you about your chosen specialization? What are your particular strengths, and weaknesses? What are your ambitions? Wherever possible, it is advisable to have examples ready, which you can use as part of an answer to a particular type of question.

Nerves can sometimes make certain individuals do things that ordinarily they would not. That said, a majority of lawyers should be reasonably good at speaking articulately in pressurized

situations, although it is not necessarily something at which more junior practitioners will have a great deal of experience. In an interview, it is important to focus upon keeping answers precise and to the point. Avoid the pressure to fi ll silence by waffl ing. Candidates sometimes attempt to answer a question in spite of the fact they may not have heard it properly or may not have fully understood what it is getting at. You should not be afraid to seek clarifi cation.

Confi dence and enthusiasm are both good, but must be controlled. Over confi dence and arrogance will not go down well, whereas being overly enthusiastic does not create the right impression of maturity.

Everything about an interview should be positive. Accordingly, one must be careful to avoid negativity, especially when giving reasons for seeking a new job. In particular, avoid criticizing your current employer. You should have positive, forward thinking reasons for considering a career change.

Perhaps the greatest potential pitfalls in an interview are questions relating to salary and package. In the vast majority of cases, an interview is not a good time to start discussing such things. Finding a new job is a process with several steps. Interviewing is one step whereas discussions upon and negotiation of salary is another, usually to be taken later.

However, this does not necessarily stop interviewers from asking questions relating to this very subject. They may ask for details of your current package and there is generally little harm in providing details. However, when it comes to discussing your expectations, it is usually best to avoid the issue. A good way to do so is to reply that the most important thing is to fi nd the right job in the right environment. You should add that if the position is a good fi t, so long as a fair market salary is offered, you wouldn’t anticipate there being any problem. After the interview, if you choose to do so, you can use your recruitment consultant to provide the prospective employer with guidance on

what kind of package you are seeking. To discuss fi gures in an interview has great potential for doing far more harm than good.

At the end of the day, we are who we are and nothing is going to change that. However, an interview offers only a short time and thus a limited opportunity to show yourself at your best. The advice contained above provides useful guidance on how to do exactly that most effectively.

Conor Greene,

Managing Director

Law Alliance

www.law-alliance.com

HONG KONG OFFICE

Room 37, 3rd Floor, New Henry House

10 Ice House Street, Central

Hong Kong

Tel (852) 2521 0306

Fax (852) 2521 0380

SINGAPORE OFFICE

37th Floor, Singapore Land Tower

50 Raffl es Place

Singapore 048623

Tel (65) 6829 7155

Fax (65) 6829 7070

Conor Greene

24-27 Regional Updates_hk.indd Sec1:2724-27 Regional Updates_hk.indd Sec1:27 4/29/2008 11:24:00 AM4/29/2008 11:24:00 AM

28

IN-HOUSE SURVEY asian legal business ISSUE 8.4

In-house counsel mind their own business


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29

IN-HOUSE SURVEYwww.asianlegalonline.com

Gone are the days when in-house counsel played second fi ddle to management or relied on external counsel for the bulk of their legal advice. Today’s in-house teams are taking fi rm control of their legal risk, and are increasingly discerning in their choice of law fi rms

Gillian Meller is experiencing an in-house evolution. As general manager of legal at Hong Kong’s mass transit railway operator MTR Corporation, Meller presided over the group’s merger with fellow state-owned railway com-

pany KCRC last year. The melding of two legal teams has forced her to take a fresh look at what it means to be in-house.

“It’s a bit like the story of the blind men and the elephant,” Meller says. “Everyone can describe a little bit of the role, but it’s hard to see the whole picture properly.” But that is changing. Meller says the in-house function at MTR Corporation is fast becoming more holistic and strategic. “We aren’t just dealing with contractual is-sues as they arise, but trying to take a proactive role and adding value to the business as legal risk managers.”

In fact, Meller says this evolution of the department is now her key management brief.

“The fi rst thing is really defi ning what the role of the in-house team is, and the second is delivering on that,” Meller explains. “I have to prove we can add more value by knowing the business and providing sound commercial advice – not just legal solutions.”

Samantha Chia, Singapore-based head of legal and compliance for Nokia Siemens Networks, has also seen her in-house role shape-shift as a result of a merger. When Nokia and Siemens announced they would combine their mobile and fi xed line phone network equipment businesses in 2006, little did either group know that a very public corruption and bribery scandal was about to engulf Siemens in Germany, forcing management to place renewed atten-tion on a fast-growing area for in-house counsel – compliance.

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30


“I didn’t know how widespread these issues were, as it’s some-thing quite new for us,” Chia says. However, discussions with in-house and compliance coun-sel at an anti-corruption summit in Hong Kong this year revealed otherwise. “Anti-corruption and compliance are a huge concern for many companies, and par-ticularly those who do business in the US or have US parents, as they’re subject to the For-eign Corrupt Practices Act and Securities and/or the Exchange Commission (SEC) rules,” she says. Chia reveals that now her most pressing task is to appoint a compliance counsel.

The stories of these two leading in-house lawyers are revealing, and are echoed by their peers. The in-house function in Asia is fast becoming a more strategic, forward-thinking proposition, demanding that in-house general counsel become proactive managers of legal risk. Compliance issues is also a rapidly grow-ing area of the mix. However, rather than shying away from the change, lawyers are stepping up to the plate.

“As a result of the merger [MTR/KCRC] process, you realise you have a broader role – that of a trusted advisor,” Meller explains. “The thing that appeals to me about being in-house is being asked to produce legal judgments in this commercial context.”

Proving the value of in-house counselThe majority of in-house legal teams in the Asia-Pacifi c region are either stable (49%), or growing in numbers (40%), according to the results of the ALB In-House Issues Survey. Only a pre-cious few (11%) are actually contracting in the current business environment. Likewise, 58% of respondents say the proportion of legal work being done in-house is increasing, with only 14% saying they are increasingly outsourcing work.

Team growth can be attributed to the booming economies and growing amount of legal work that is taking place in the region. However, there is another reason, say lawyers – companies are starting to see the value of in-house advice, which is the reason they are choosing to keep an increasing amount of legal work under their own roof.

“Having a department in-house, as opposed to farming work out to law fi rms, is more cost-effective,” Nokia Siemens Networks’ Samantha Chia argues. “Having a department right there also means they can easily handle the whole gamut of company legal issues.”

MTR Corporation’s Gillian Meller agrees, saying that com-panies are seeing the value lawyers can add to situations, and

Your in-house team is:

Your legal work is increasingly:

Your legal team sits:

In-house teams in Asia

Paramjit Dhillon, Total Sports Asia

How many in your in-house team?

58%28%

14%

49%

40%

17.6%

4%

63.6%5.7%

3.4%

1.7%

4%

67% 33%As a central teamWithin relevant

business units

Done in-house

Stable

11%Contracting

Growing

6–10

1–5

50+

26–50

21–25

16–20

11–15

No change

Outsourced

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31

IN-HOUSE SURVEYwww.asianlegalonline.com

Your annual legal spend is:

Your annual legal spend is:Counting the cost

ALB IN-HOUSE SURVEY

The ALB In-House Survey 2008 is a poll

of the top general counsel and their

legal teams across the Asia-Pacifi c region.

Covering a variety of hot topics from external

legal panels and legal spend to what in-house

counsel are really demanding from their external

legal providers, the survey presents a detailed and

accurate picture of the in-house legal landscape in

2008. The results, tabulated and graphed on the

following pages, is the region’s most up-to-date

guide to the in-house lawyer’s mindset.

41%

17%

17%6%

5%

7%7%

US$10,000–99,999

US$100,000–249,999

US$250,000–499,999US$550,000–1m

US$1m–5mUS$5m–10m

US$10m +

33%

7%

60%Increasing

No change

Decreasing


32


that legal spend targets define what can be out-sourced. Paramjit Dhillon, vice president of legal and HR at sports marketing group Total Sports Asia in Malay-sia, argues convenience is also a key factor. “They’re relying less and less on external lawyers because when they need you, you’re there,” she says. “We try and turn around docu-ments in 24 hours, which is something you can’t get from external fi rms.”

The survey also found that, alongside the growth of in-house legal departments, the majority of in-house teams have increased legal budgets to play with, as their total legal spend increases. Though in-house counsel do not appear to be looking to law fi rms for advice quite as much, legal spend fi gures show the size of the pie is growing in Asia, and there is no doubt that law fi rms are benefi ting from this increased workfl ow.

What in-house lawyers wantExternal counsel can no longer feel safe in simply providing clients recitations of existing law with no commercial overlay. In-house lawyers are increasingly demanding, and commerci-ality is their greatest concern. “While putting the commercial spin on things is our job, we don’t want external legal advice produced in a vacuum,” Meller says. However, when asked how their external counsel could

most improve their level of service, signifi cant portions of respondents also fell into each of the categories calling for increased accessibility, faster turnaround times and accurate fee estimates, showing in-house lawyers expect improvement

Do you have a specifi c external legal panel?

How often do you review your panel?

Panel views

11%11% 14% 15%

6%

6%2%

1%

1%

%

25%

61%

39%

How many fi rms are on your legal panel?

61%

30%

7%

1%

1%

No regular review

Yes

No

Every year

Every two years

Every three years

Every four or more years

“The fi rst thing is really defi ning what the role of the in-house team is, and the second is delivering on that”

GILLIAN MELLER, MTR CORPORATION

Gillian Meller, MTR Corporation


Asia’s most respected monthly legal magazine Asian Legal Business (ALB) - is proud to present Business Law Asia 2008 on 19 & 20 June 2008 in Singapore. This special two day legal event brings together leading private practice lawyers and in-house legal counsel from Singapore and around the region.Business Law Asia 2008 will address the key topical issues facing legal practitioners today via a series of focused practice area workshops, plenary sessions and interactive panel discussions.

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For further

Sheena JacobPartner and Head (Intellectual Property & Technology)Alban Tay Mahtani & de

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McCl

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))Justyn JaggerPartnerDLA Piper Singapore

Jane Niven Regional General Counsel, Asia Pacific Jones Lang LaSalle

Karen Wee PartnerWongPartnership LLP

Herman JeremiahPartnerRodyk & Davidson LLP

Patrick J. FlanaganPartnerLatham & Watkins LLP

James HarrisManaging PartnerLovells Lee & Lee

Lawrence TehPartnerRodyk & Davidson LLP

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Pacific

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34


Essential criteria for choosing a law fi rm

Lawyers were asked to rate the importance of the criteria on a scale of 1 to 5 (‘essential’ – ‘totally irrelevant’). The above percentages are the combined portion of respondents that ranked these criteria as either 1 or 2.

Choosing a law fi rm: The key criteria Irrelevant criteria for choosing a law fi rm

The above percentages are the combined portion of respondents that ranked these as criteria 1 or 2 on a scale of 1 to 5 (‘essential’ – ‘totally irrelevant’), and are the least sought after criteria.

across the board. “We look for good practical business-oriented advice – nothing too legalistic,” Chia from Nokia Siemens Networks says. “We’re also looking for fast turnaround times and value for money.”Providing a warning – or perhaps a glimmer of hope – for law

fi rms in Asia, Meller says in-house lawyers “are less loyal to fi rms as a whole than they used to be”. While she has inherited existing relationships with Deacons, Slaughter and May, Lovells and Simmons & Simmons, as well as Mayer Brown JSM from the KCRC business, she argues the case that “individuals are more important” than the fi rm as a whole. Chia agrees. “We have some established relationships with fi rms from our time as Nokia, but we’re always on the lookout for good law fi rms and lawyers – we believe in healthy competition.”The ALB survey results cement this idea. The majority of com-

panies have a formal panel of external providers, with many in the 1–5 fi rm range. However, more and more are relying on a much broader talent pool of over 10 law fi rms. Most in-house counsel also review their panels regularly, giving newer players the opportunity to source work.Refl ecting the point that it is the individual lawyer that counts,

by far the most important criteria fi rms demand from their exter-nal counsel is specifi c legal expertise. A whopping 98% of in-house respondents to ALB’s survey nominated specifi c legal expertise as essential when outsourcing their work. Dhillon from Total Sports Asia says the sports marketing group looks for specifi c expertise. “If we needed a sports lawyer, we would go to someone strong in their knowledge of sports law; if it was a labour dispute, we would go to a labour lawyer,” she says.

Companies are starting to see the value of in-house advice, which is the reason they are choosing to keep an increasing amount of legal work under their own roof

30%

31%36% 42%

98%

94%

88%

88%87%Specifi c legal

expertise Newsletters and seminars

International offi ce networks/connections

Size of fi rm/department

Regional offi ce networks and connections

Turnaround time

General expertise and ability

Understanding of your business

Commerciality



36


Private practice? Never again Most in-house lawyers say they would not consider moving into private practice. Though many have cut their teeth as associates, senior associates and even partners at private practice law fi rms, being closer to the heart of a business and giving commercial legal advice – with the added lifestyle advantages – is proving satisfying for most.

“I didn’t really enjoy private practice,” Chia admits. “I wanted to be close to the business, and to contribute to those internal business decisions as a legal practitioner. You don’t see that very much in private practice – you may have a client come to you with a problem or issue, and you send off an opinion, but you would have to be lucky to be intimately involved in a project from start to fi nish,” Chia says.

Dhillon says her eight years in private practice litigation were both “challenging and exhilarating”. But after getting married and having children, she decided to take a break from legal practice and chose to make her second foray into the legal world as an in-house counsel.

“Being younger, I could handle a lot more of that stress. Private practice requires you to be absorbed in your work day and night, and I can’t afford that much time now,” she says.

Meller said life in-house is much more interesting. “I like the commercial decision making process. I also like the variety; at any time of the day, a client can call, and it could be something familiar, or something totally out of the blue.” ALB

Accurate fee estimates

Faster turnaround

Accessibility

Commerciality

28%

22%

19%

31%

Most in-house lawyers say they wouldn’t consider moving into private practice. Being closer to the heart of a business and giving commercial legal advice is proving satisfying

How could law fi rms best improve their service?



38

asian legal business ISSUE 8.4REPORTSPECIALALB

VIETNAM

ALB

Riding the Vietnamese roller coaster

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39

REPORTSPECIALALB

VIETNAM

Law fi rms in Vietnam are being inundated with deals, but do not have the lawyers they need in order to cope. As Ben Abbott reports, they have to think fast to adapt to the new environment, and will have to invest in the future in order to succeed

Being a lawyer in Vietnam today is as exhilarating as a peak-hour xe om ride. With the sharp growth in foreign interest in Vietnam, lawyers are hurtling through the thick of a new, extremely busy and unpredictable legal

market and, just like a ‘motorbike hug’ through the chaot-ic streets of Hanoi or Ho Chi Minh City, are having to adapt quickly to fast-changing conditions – despite not being sure of just what is around the next corner.

“I’ve been here since 1995 and, fi nally, we’re seeing a period of real, sustainable growth, and a legal framework to support it – everyone is equally excited,” Mayer Brown JSM manag-ing partner Dao Nguyen says. But despite the new interest in Vietnam being an adrenalin-fi lled ride, it is also a trying time for fi rms, who are stretched to the limit. “The volume of work has increased signifi cantly over the past 12 months,” says Vilaf managing partner Tran Anh Duc. “We’re overload-ed with deals, and lawyers in all major practices here in Viet-nam are spending very long hours in the offi ce.”

The challenge of 2008 is how fi rms will respond. “It’s just a question of how do we plan for the growth and the future to expand even more,” Nguyen says. “It’s not worrying about how do I fi nd work, but how do I fi nd the offi ce space and accom-modate client needs?”


40


VIETNAM

The legal marketWhen compared to the current speed of growth, Vietnam’s previous economic growth seems more like the pace of a stop-start Cyclo ride. However, fi rms have long seen the market as holding future poten-tial, and have built strong practices.

Freshfi elds, Baker & McKenzie and Allens Arthur Robinson are considered the market’s top tier law fi rms. Likewise, Frasers, Gide Loyrette Nouel and May-er Brown JSM have long histories in the market, and are the preferred providers of many clients. On the local side, Vilaf and YKVN are the more established full-service brands, while Vision & Associates and a range of fellow mid-tier fi rms provide strong competition. The likes of Indochine Counsel form a new breed of quality boutique fi rm, born out of market growth.

As entry to the WTO has attracted new business to Vietnam, so it has new law fi rms. Much was made of US fi rm Duanne Morris’ entry to the market, while Lovells is rebuilding its on-the-ground team, though it currently manages the prac-tice out of Hong Kong. There are rumours that new foreign law fi rms (such as Allen & Overy) may be looking at on-the ground presences in the market, and interest from fi rms from South Korea has been hot, with a number of offi ces established in the past year.

Local knowledge countsFirms agree on the fact it is local knowledge and experience that counts in Vietnam. “Even if you do a million sophisticated deals offshore, you can’t implement them in Vietnam without the local tweak,” Nguyen says. “You have to be able to under-stand the history and meaning behind the law, as well as how to work within it to structure deals.”

Vilaf ’s Tran Anh Duc says this is how his and other local fi rms differentiate themselves for foreign clients. “We compete

INTEL’S IN-HOUSE INTELLIGENCE

When Intel Products Vietnam approached Lam Vu Thao with an offer to become the company’s fi rst site counsel in Vietnam, it was a temptation he could not resist. Having already spent nine years in private practice, including with local law fi rm Vilaf as a senior associate, the chance to become the sole in-house legal counsel assisting with Intel’s US$1bn investment program in the jurisdiction was too good to miss. “I always knew I would like to become an in-house counsel at some point in my career, and it just so happened that Intel approached me with this fantastic opportunity,” Thao says.

Intel is currently building its seventh and largest assembly and testing factory in Vietnam. After its silicon products are fabricated in the US and Israel, they are shipped to one of its assembly and test sites worldwide (including those in China, Malaysia and the Philippines) for placement into external chipset packaging and functionality testing. The new facility in Vietnam, when it comes online in 2009, will have a total workforce of 2,000.

“My job is to help put the project into operation,” Thao says. With an entire cross-section of legal issues to deal with in implementing Intel’s plan, Thao says his main achievement as site counsel has been ensuring the project has met with no legal roadblocks. But being sole counsel, Thao says, is not without its challenges. “When you’re working in a law fi rm, you always have the colleagues next door to consult for an opinion on a legal issue, but being the sole advisor here, you have to make the decision for yourself.” Thao often relies on help from Intel’s general counsel in Singapore, and other site counsel in Asia.

Vietnam is not an easy place to be in-house. With its ever-changing legal landscape, and regular updates to both law and regulation, keeping abreast of legal obligations can be challenging. “For a company like Intel, we have to comply with every requirement, so it’s necessary to keep up to date with the law and make sure we don’t miss anything.” Thao says this is where law fi rms come in. “I like to use a law fi rm that can proactively give us updates on any laws that could have an impact on the Intel business. We don’t want them to wait until they ask – they’re in a position to get access to more new laws than us, and we’d appreciate it if they let us know about that,” Thao says.

Currently, Intel retains only one law fi rm in Vietnam – Russin & Vecchi. As Thao does not have time for thorough legal research, he often consults Russin & Vecchi when he needs to establish what the laws are in a particular area. For instance, Intel recently needed to know if there were any environmental and construction laws that would effect its erection of power lines for the new factory in Vietnam. However, Thao says he is open to testing new law fi rms. “We have a very big project here, and there’ll certainly be legal issues coming up in the future – we can’t handle everything in-house.”

It is being close to the Intel business that Thao relishes most about his in-house role. “I have to understand the relevant business concerns, and the sophisticated internal structure and processes at Intel,” Thao says. Though the learning curve has been challenging, the role also offers personal rewards. “This is a place where I can see how my legal advice impacts the business, and even impacts the company as a whole.” Lam Vu Thao

Dao Nguyen, Mayer Brown JSM

“In order to give good advice in Vietnam, you need to have been here for a long time”

Nicolas Audier, Gide Loyrette Nouel



41

REPORTSPECIALALB

VIETNAMVIETNAM LAW FIRMS AT A GLANCE

Name Managing partner Total fee earners

Partners Total associates/attorneys

Total lawyers

Offi ces in Vietnam

Most recognised practices Fastest growing practice

ATIM Consulting Trinh Hong Quang 9 2 3 5 Hanoi; Ho Chi Minh City

Corporate law; investment; regulatory & compliance

Investment

Allens Arthur Robinson

Jim Dunstan (Asia) 23 3 19 22 Hanoi; Ho Chi Minh City

Corporate/M&A (including equitisations, foreign direct investment); banking & fi nance; real estate & projects

Corporate/M&A

Baker & McKenzie Fred Burke 45 4 14 18 Hanoi; Ho Chi Minh City

Corporate & commercial (including M&A/FDI); infrastructure projects/real estate; IP

Bizconsult Law Firm Nguyen Anh Tuan 10 8 3 7 Hanoi; Ho Chi Minh City

Foreign investment/corp; M&A; real estate & market analyses

Foreign investment, (corp estab; M&A)

Frasers Mark Fraser 20 1 15 16 Hanoi; Ho Chi Minh City

Real estate/property development; corp & comm; banking & fi nance

Real estate development

Freshfi elds Bruckhaus Deringer

Tony Foster 27 1 24 24 Hanoi; Ho Chi Minh City

Banking & fi nance; corporate & capital markets; M&A

M&A

Gide Loyrette Nouel

Nicolas Audier 29 1 22 23 Hanoi; Ho Chi Minh City

Corporate and commercial; banking & fi nance; dispute resolution

Banking & fi nance

Indochine Counsel Dang The Duc 20 4 12 16 Hanoi; Ho Chi Minh City

Investment (M&A/private equity/funds); real estate & property; corporate & commercial

Real estate/property

Mayer Brown JSM Suong Dao Nguyen 36 2 27 29 Hanoi; Ho Chi Minh City

Real estate; banking & fi nance; dept capital markets; infrastructure

Real estate & commercial

Tilleke & Gibbins Consultants

John King 15 1 14 8 Hanoi; Ho Chi Minh City

IP; foreign investment; labour Foreign investment

Vilaf-Hong Duc Tran Anh Duc 14 9 5 14 2 (Ho Chi Minh; Hanoi)

not supplied not supplied

VNIP Law Firm Susan Nguyen; Kevin Nguyen

6 4 6 5 1 (Ho Chi Minh)

IP; business risk advisory services IP services

Note: Firms have supplied their own data. This table does not purport to be exhaustive


42


VIETNAM

with local expertise,” he says. “We have a strong team of local lawyers. Whereas international fi rms might have only four or fi ve senior local lawyers, we have more than 10, and you can’t simply read the law and advise clients, you need to understand what is behind the law and how it works in practice.”

The necessity for local knowledge is what makes Vietnam a tough market for new fi rms. “In order to give good advice in Vietnam, you need to have been here for a long time,” Gide Loyrette Nouel Vietnam managing partner Nicolas Audier says. Newcomer Duanne Morris recognised this when attract-ing Baker & McKenzie lawyers to start its offi ce. Nguyen says she cannot see new foreign fi rms starting from scratch in the current market, and anticipates the possibility of mergers with local law fi rms. “I can’t imagine a new foreign fi rm set-ting up a new law offi ce now – it would be more logical to me that they’d look at taking over an existing business rather than start afresh,” she says.

Though fi rms are competing on their history and experi-ence, many – particularly local law fi rms and new fi rms – also compete harshly on fees. Local law fi rms charge signifi cant-ly lower rates than international fi rms, and because local cli-ents are very sensitive to fees, it is rare for international fi rms to work on the local side of deals. However, even Vilaf ’s rates have increased by nearly 40% in the past year. New fi rms have also been undercutting established players to get a foothold in the market.

Finding the right peopleHiring and retaining experienced lawyers is the main chal-lenge facing fi rms in Vietnam. All fi rms complain of the inabil-ity to source lawyers with experience, and this is putting more pressure on partners who have to cope with an increased work-load, and lowering general work quality, as inexperienced asso-ciates step into the breach.

“We want to recruit more local lawyers, but they aren’t avail-able,” Tran says. “I think the alternative is to recruit inter-national lawyers, and I can see more and more local fi rms

with international lawyers – we have recruited two, and will look for more.”

This lack of supply and rise in demand is increasing asso-ciate compensation. “The cost of Vietnamese lawyers is more than it used to be,” Audier says. “The salary for lawyers with a few years PQE is US$5,000–6,000 per month. It’s not what we’re paying in London, Paris or New York, but it was US$500 a month fi ve or so years ago.” Audier says that sooner or later, salaries will reach the level that it costs for foreign lawyers.

Much of this upward pressure is coming from the inside of cash-rich investment banks. They are snapping up lawyers from private practice for roles in growing in-house depart-ments. “As you know, the pressure at a law fi rm is very intense, and involves very long hours and a lot of stress,” Audier says. “Now lawyers have a choice of a law fi rm or to join a big com-pany with a good legal department and a more normal life,” he says.

Firms are retaining lawyers through a combination of sal-ary increases, quality work, and training. Audier says that while it is too soon for a local lawyer to be offered partner-ship with the fi rm, Gide offers associates competitive salaries and sends them frequently to European and London offi ces for training. Other fi rms offer quasi-partnerships through share-holding companies in Vietnam, issuing shares to their senior local lawyers. Nguyen says JSM focuses on offering lawyers work and responsibility on quality deals.

Investing to succeedNguyen says the fi rm has really “come from behind” in the local market over the past two years, after committing to investment

“I like to use a law fi rm that can proactively give us updates on any laws that could have an impact on the Intel business”



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in growth. “In the next year, what will be critical for fi rms is the resources they’ll put in place,” she says. “If they don’t put in the resources, they can’t do the big deals – they’ll have to seriously think about their plans for growth, and how they’re going to achieve that.” She gives the example of HSBC, which the fi rm helped incorporate locally as part of the fi rst wave of foreign banks recently. The bank is planning rapid expan-sion of both branch and staff numbers, and Nguyen says fi rms have to commit to growth to service such clients.

With such rapid growth in the jurisdiction, fi rms will have to adapt fast to change. Though some foreign fi rms have built strong practices over periods of slower growth, they will have to change their mindset if they are to continue to compete. ALB


44

OFFSHORE FINANCIAL CENTRES asian legal business ISSUE 8.4

Mauritian mission Strategically located in the Indian Ocean off the east coast of Africa, Mauritius has forged a reputation as a premier international fi nancial centre, equipped with a favourable tax treaty network that is positioning it at the crossroads of Asian investment

and optimisation of benefi ts. Any global business company (GBC), including pro-tected cell companies and private trust companies as well as all forms of trusts and societies (partnerships), benefi t from a low to nil tax rate. An entity holding a GBC Category 1 licence can benefi t from the 33 double tax avoidance treaties that Mauritius has ratifi ed with other coun-tries, including India. There are present-ly over 33,000 entities engaged in GBCs in Mauritius, and over 460 funds licensed by the Financial Services Commission, with a rapidly increasing combined net asset value.

Friend of fi nancial servicesInvestors wishing to establish a presence in Mauritius to provide banking, secu-rities, insurance or fi duciary services will fi nd the offshore oasis a comfort-able home. The business architecture of Mauritius has been redesigned to offer investors a hassle-free environment in which to start and operate. The corpo-rate tax rate for businesses operating in the domestic sector is now 15%. Octo-ber 2006 saw new rules introduced that ensure foreigners can obtain an occupa-tion permit to work and reside in Mauri-tius within three days.

Regulatory frameworkThe success of Mauritius as a fi nancial services centre has depended largely on the maintenance of its reputation of pro-bity through the construction of a robust regulatory framework that is balanced by being business friendly. Mauritius supports international initiatives (FATF, Basel, IOSCO, IAIS) aimed at preventing it from being used for money laundering and terrorist fi nancing, and the jurisdic-tion has never been blacklisted. The two regulators for the fi nancial services sec-tor, namely the Bank of Mauritius and

Boasting a multitude of colours and tastes, the island, set in a tur-quoise sea, is an oasis of peace and tranquility,” claims one Mauritian

tourism website. Sound like a good place for your next getaway? Maybe so, but if by chance you are also a decision-maker at a multinational company or a fi nan-cial institution that is prospecting for investment opportunities in Africa, India or Asia, or a high-net-worth individual looking to minimise one of the only two certainties in life, Mauritius could also be the place for you.

It is unlikely, however, that you are one of the few lucky offshore lawyers who are based in the jurisdiction. Malcolm Moller, managing partner of Appleby Global in Mauritius, is one such individual, and he argues Mauritius is a sound choice for offshore structuring. “The selection of an appropriate offshore domicile for companies will often hold the key to suc-cessfully accomplishing goals of invest-ment appreciation, asset protection and tax planning,” he says. “Mauritius has consistently made clear it remains com-mitted to developing and maintaining conditions conducive to attracting inter-national business.”

Indeed, Mauritius plays host to a grow-ing number of signifi cant investments in India, China and Africa through global business licence (GBL) company struc-tures. “Many of the companies have been formed by large institutional players,” Moller says.

So besides the sun, sand and serenity, what continues to attract businesses to this island republic?

Global business platformMauritius offers services through a mod-ern, developed legal framework, and as a global business platform, it offers inves-tors diverse product choices for planning

MAURITIUS: DOUBLE TAXATION AVOIDANCE TREATIES (DTA)

Barbados Lesotho Seychelles

Belgium Luxembourg Singapore

Botswana Madagascar South Africa

China Malaysia Sri Lanka

Croatia Mozambique Swaziland

Cyprus Namibia Sweden

France Nepal Thailand

Germany Oman UAE

India Pakistan Uganda

Italy Rwanda UK

Kuwait Senegal Zimbabwe

“

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“Mauritius has consistently made clear it remains committed to developing and maintaining conditions conducive to attracting international business”

Malcolm Moller, Appleby

the Financial Services Commission, are both active in the supervision of the bank and non-bank fi nancial services sector.

Other featuresMauritius has a variety of other features that are proving attractive. Its constitu-tion is modelled on the British parlia-mentary system, with the highest court of appeal being the Privy Council of the United Kingdom, giving it political and judicial stability.

The island economy offers businesses a diligent, educated, multilingual and ex-perienced professional labour force, with an 86% literacy rate, and also boasts a low cost of operation. Fiscal incentives for businesses include no tax on divi-dends, no withholding tax on interest, royalties and dividends, no estate duty, inheritance taxes, wealth taxes or gift taxes, and no stamp duties, registration duties or levies.

New developmentsThe Mauritian government has recently introduced a new batch of legislation and regulations to expand the scope of its offering. The relatively new Financial

Services Act aims at streamlining and consolidating the licensing framework for various non-bank fi nancial institu-tions and financial service providers. The framework it has established has set up a new conceptual approach to global business and provides that global busi-ness entities may conduct any fi nancial or non-fi nancial service activity, provided the ultimate purpose of the business is to provide service outside of Mauritius.

Sold on MauritiusAppleby Global’s Peter Bubenzer says the fi rm went into Mauritius at the behest of a client. “So often people say changes and developments are client-driven,” he

explains. “I’m happy to report that it was true in this case. A client indicated they had seen a signifi cant opportunity for us and them, and felt they would like an international fi rm they recognised and could use on the ground.”

The offi ce now has two partners, name-ly Moller and Gilbert Noel, as well as an expanding team of associates, currently numbering six. Bubenzer says it was the existing competitive tax treaty network with fast-growing Chinese and Indian economies in addition to potential Euro-pean and US investment in infrastruc-ture projects in Africa that sold the fi rm on making an entry into this competitive offshore jurisdiction. ALB

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46

TRADEMARK PROTECTION asian legal business ISSUE 8.4

As big business leads the battle to protect intellectual property in emerging Asian markets, ALB looks at the hidden traps to avoid when protecting trademarks in China

Crackdowns on fake designer cloth-ing outlets in Shanghai; confi sca-tion of over 30,000 counterfeit Zippo lighters at a property in

Wenzhou City; the uncovering of 1,556 violations of trademarks relating to the Beijing Olympics: welcome to the fore-front of the trademark protection battle in Asia.

Chinese authorities are certainly keen to get on the front foot in the trademark protection war and, given China’s status as an emerging economic superpower, it is not hard to see why. The World Intellectual Property Organization recently reported that China remains the most designated country in applications under the Madrid system for the international registration of trademarks.

At the heart of all these applications is one simple principle: take active steps to protect your trademark now, and save a lot of hassle later.

“Overlooking proper protection for trademarks may bring with it adverse

consequences, and the remedial steps are often costly, time-consuming and uncer-tain,” says Kenny Wong, partner at JSM. “Sometimes the damage is irreversible, for example when a trademark becomes a generic term and free for use by all.”

Sebastian Hughes, partner at Troutman Sanders, agrees: “It’s very important to register your trademark as soon as pos-sible.” Hughes says he has seen many disputes where the manufacturer or distributor of a product has fi led an ap-plication ahead of the legitimate owner of the trademark. “Of course, you can ap-ply to have a trademark cancelled on the grounds that you’re the legitimate owner of the trademark, but it takes years to get a result and can be quite expensive. By contrast, simply applying to register a trademark in China doesn’t cost much money at all.”

Hughes cautions against making as-sumptions about China’s intellectual property regime. “China gets a lot of bad press relating to infringement, so people

sometimes assume that there’s no system in place. The truth is that China does have a very robust IP regime.”

Lost in translationWe’ve all had a laugh at stories of corpo-rate slogans gone awry when translated for a non-English speaking market. Take the story of Pepsi promoting its ‘Come alive with Pepsi!’ slogan as ‘Pepsi brings your ancestors back from the dead’ in China. But really, coming up with an ap-propriate translation can’t be that hard, right?

Not so, says Jorge Espinosa, an attor-ney with Kluger Peretz Kaplan & Berlin: “Language and the proper selection of a domestic language equivalent to an English language mark is an analysis which requires substantial marketing expertise.” Espinosa says that Chinese in particular presents “mindboggling” challenges. “The foreign registrant has to decide if he or she will register the mark in English or Chinese. If in Chinese you can either translate the mark semanti-cally into the Chinese characters which convey the image, or phonetically into the characters that convey the sound. If the latter, you have to vet the characters to be certain that they aren’t offensive or unfl attering in Chinese. Then you need to choose whether you want the phonetics in Mandarin or Cantonese or Dialect.”

A question of jurisdictionThe Chinese civil law system of trademark protection is a contrast to the common law system which applies in Hong Kong and Singapore.

“For anyone who has worked in a com-mon law jurisdiction, the trademark laws in Hong Kong and Singapore would be very familiar,” says Andy Leck, principal at Baker & McKenzie.Wong & Leow. “The remedies are extensive and it’s fair to say that there’s a high degree of consistency in the way the law is applied.”

Loke-Khoon Tan, head of Baker & McKenzie’s Intellectual Property Group in Hong Kong and China, says that trade-mark protection is stronger in common law countries than civil law countries. “This is because in common law countries, the brand owner can make use of repu-tational rights through usage and fame, which are more diffi cult to protect in civil law countries where the main recourse is for well-known mark protection and unfair competition.”

A recent Chinese case, where interna-tional auction house Sotheby’s succeeded

As big business leads the battle to protect intellectual property in

in cacacoththto un

Quick off the markTM

TRADEMARK PROTECTION

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important because it deals with a mark coined through popular local consumer usage from marks which are well-known to the consumers,” says partner Linda Wang.

Needless to say, the fi rm’s expertise in new technology comes to the forefront in intellectual property cases. Domain name disputes, e-commerce agreements, exploitation of IP rights in the new media and the interplay between the law and the fast evolving new media technology are just some examples of matters that the fi rm handles. The fi rm recently advised the Recording Industry Association of Malaysia on legal issues concerning the use and exploitation of recorded songs as ringback tones and also assisted in settlement discussions and drawing up the relevant settlement documents in the Association’s dispute with a large telecommunications company which had been selling the recorded songs as ringback tones. “This was a landmark settlement because it marks a change to a new fee structure for the licensing of music for use in the new media,” says partner Linda Wang.

Meanwhile, the fi rm’s niche biotechnology work has made its mark. A benchmark study by Tay & Partners across fi ve jurisdictions is to be referred as a basis for the proposed establishment of Malaysia’s fi rst National Depositary Authority to receive the deposit of micro-organisms from research centres in and out of the country. In the fi eld of clinical trials and research, the fi rm has advised both local and foreign clients on regulatory requirements and related documentation.

Tay & Partners6th Floor, Plaza See Hoy Chan,Jalan Raja Chulan50200 Kuala Lumpur, MalaysiaPhone: +603-2050 1888Fax: +603-2031 8618Website: www.taypartners.com.my

On the cutting edge

Pui Keng Lim

Siew Ling Su

Linda Wang

Lawyers at Tay & Partners have always had an eye for fi ne detail. That’s just as well, because the fi rm’s latest work is all about

micro-organisms – or more specifi cally, advising the Malaysian government on the intersection of biotechnology and the law, for the purpose of facilitating a system of patent prosecution and registration.

Tay & Partners is a full service commercial law fi rm based in Kuala Lumpur with a particular specialisation in intellectual property and technology. Its 3-partner and 6-associate team puts a strong emphasis on industry knowledge. “We regularly send our lawyers on secondment to get industry experience in fi elds such as biotech and pharmaceuticals so that they can get a sense of how our clients operate,” says Beng Chai Tay, Managing Partner.

The fi rm is notable for its personable approach, with partners very much taking a “hands on” role with all work. “In contrast to a lot of larger fi rms, our partners are an essential and integral part of the working relationship we have with our clients,” says partner Siew Ling Su.

Tay & Partners has developed a solid reputation for its intellectual property and technology practice and handles the full range of IP work – from prosecuting and registering IP rights, enforcing IP rights by way of litigation and anti-counterfeiting/piracy actions, through to invalidation and rectifi cation actions and being involved in corporate IP including advising on matters such as licensing and franchising.

“Not many fi rms in Malaysia have a particularly strong base in brand protection and anti-counterfeiting work,” says partner Pui Keng Lim, “We are in an ideal position to provide a “one stop shop” with our broad expertise in all patent, trade mark, copyright and industrial design matters.”

Tay & Partners is currently involved in a unique brand protection case dealing with the mark “Neslo”, which is derived from the famous marks “Nescafe” and “Milo”. “The case is unique and


48

TRADEMARK PROTECTION asian legal business ISSUE 8.4

in defeating a copycat registration of a simplifi ed version of its name, is an ex-ample of an application of the “well-known” doctrine.

“The case is a natural follow-up to the more well-known Starbucks decision litigated two years earlier, in which both Starbucks and its Chinese version Xing Ba Ke were afforded well-known mark protection in China,” explains Tan.

The Sotheby’s decision is certainly a very positive example of how a trademark owner can enforce their IP rights in China.

However, Espinosa cautions against reading too much into the decision: “Few trademarks can claim the 100-plus-year history in China which Sotheby’s was able to establish. Also, for non-famous marks this still leaves a substantial registra-tion headache in dealing with phonetic equivalents.”

Enforcement“The challenge of protecting a trademark is often not as much in the law itself, but in the enforcement of the law,” says Leck.

But the logistics of identifying and tak-ing action against infringement can be

daunting. Tan says that China presents the biggest challenge of all: “It’s a huge country with good laws but patchy en-forcement. There are many reasons for the piracy problems in China, ranging from lack of knowledge of the brands, protectionism to logistical hurdles and investigation.”

However, Leck says there are positive signs for the future. “Chinese authorities are really making an effort in terms of en-forcement work, although this really needs to be seen in the context of the magnitude of the problem. However, they’re certainly trying to clean up counterfeiting.”

It is also a question of appreciating what tools are available to the trademark owner in a particular jurisdiction, says Wong. “For example, Chinese laws tackling unfair trade practices may potentially have a

Loke-Khoon Tan, Baker & McKenzie

Sebastian Hughes, Troutman Sanders

“The challenge of protecting a trademark is often not as much in the law itself, but in the enforcement of the law”

ANDY LECK, BAKER & MCKENZIE.WONG & LEOW

wider ambit than the Hong Kong trade-mark laws. Also, in appropriate cases, one may enforce trademark rights in Mainland China via administrative routes, trade standard bureaus or customs.” ALB

Published by Key Media International Ltd., Unit 2706-2708, 27/F, 118 Connaught Road West, Hong Kong

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Going Regional – ATMD’S IP practice

Alban Tay Mahtani & de Silva LLP’s IP & Technology practice is well-known in Singapore. The fi rm picked up the Singapore

IP Firm of the Year award for the third straight year at the ALB South-East Asia Awards and also the Asialaw IP Award for Singapore Firm of the Year for two of the last three years, beating much larger fi rms in the process. Says the fi rm’s Managing Partner Alban Kang, “We are proud of these achievements and are grateful to our clients for their support. But we cannot rest on our laurels and we plan to continually work to improve the quality of our service to deliver to clients what they need most: sound and practical legal advice. Our success depends on every member of the team.”

According to the Asia Pacifi c Legal 500 – 2007/2008 “Alban Tay Mahtani & De Silva remains one of the top operators in the IP market, with trade mark and patent infringement matters the core of its practice.” Chambers Asia: Asia’s Leading Lawyers for Business says of the fi rm: “This small, young, full-service fi rm is best known in the market for its “top-class expertise in the IP sphere.”

Its senior IP partners, Alban Kang, Sheena Jacob and Cyril Chua have also been individually recognized in various legal ranking including in the category of Intellectual Property. For a mid-size Singapore fi rm, ATMD, as the fi rm is known, punches well above its weight.

Now ATMD has set its sights fi rmly on the Asian region believing that it can bring its strength and expertise in IP beyond Singapore’s shores. The fi rm has begun consolidating its move into the region by servicing many of its clients in South-East Asia and beyond, traditionally an area serviced only by the much larger international fi rms. Adds Sheena Jacob, partner and head of the IP & Technology Group, “Our clients pushed us to move into the region because they wanted to work with us outside of Singapore. Because of the challenging environment, we have had to rely on our wealth of experience to help our clients solve some of their IP problems in the region.”

This regional push is spearheaded by IP partner Cyril Chua who heads the Anti-piracy practice within the IP & Technology Group. Chua, with more than 12 years of anti-piracy experience, and his team have built on the fi rm’s already strong reputation for Singapore anti-piracy work – the fi rm represents a wide range of clients such as Hewlett-Packard, Nokia, Epson, Canon, Billabong, Chanel, Microsoft, Creative, Daimler, GM and a host of others in Singapore. ATMD now manages the regional anti-piracy campaigns of several large multinationals such as Hewlett-Packard, Nokia, Canon, Samsung and Epson. Says partner Cyril Chua “Our clients expect us to deliver results and we strive to make that happen, even in a diffi cult environment. We understand the client’s expectations and work within each country’s framework to achieve the same goal, albeit by different means.” The anti-piracy team conducts enforcement actions for its clients in countries such as Vietnam, Thailand, Nepal, Sri Lanka, Indonesia, Philippines and Malaysia.

In addition, much of the fi rm’s trade mark and patent practice involves regional and global aspects as both Singapore companies and the large number of

multi-nationals based in Singapore look at protecting their IP in other markets, such as the US, China, Japan and Europe. Because of the importance of the US market to its clients, ATMD moved to hire two senior US patent attorneys, David Sigmond and Nevin Carmichael, to handle the growing amount of patent work originating from R&D in Singapore. In addition, Alban Kang, together with other partners Koh Chia Ling and Karol Goh have been involved in a number of high profi le patent and trade mark infringement cases. Alban Kang, Sheena Jacob and Cyril Chua are also qualifi ed to practice in New York, England and Malaysia giving the fi rm a decidedly international outlook.

The IP & Technology Group also has a unique culture and cohesiveness brought about by working closely together in diffi cult situations. All the partners have conducted criminal enforcement actions and some have faced threats and reprisals. Clearly working at ATMD is not for the faint-hearted. But partner Cyril Chua adds, ”At the end of the day, there is a strong sense of satisfaction from achieving the client’s goals and knowing that we have helped to protect their hard-earned intellectual property rights.”


50

lifeSTYLE asian legal business ISSUE 8.4

TGadget: Mio A701 GPS PDA phone

The Mio A701 is a combination mobile phone and PDA that also comes with integrated global positioning satellite (GPS) capabilities. In addition, it is also equipped to be a virtual offi ce, with Windows Mobile 5.0 providing access to the internet as well as Windows Offi ce functions such as Microsoft Outlook, Word, Excel and PowerPoint.

Why you need it The biggest drawcard is undoubtedly the GPS capabilities of the phone. Using the Mio A701 as your navigational guide means that you should never get lost when driving to a client meeting, nor have trouble fi nding a good restaurant in the area (the MioMap software allows you to search for restaurants and other information in any area you may fi nd yourself in).

If that is not enough to entice you, the Mio also comes with a movie player, camera and MP3 player. Weighing just 150g and measuring 11.7cm × 5.9cm × 21.8cm, it is one of the smallest pocket PCs on the market and will fi t snugly into the palm of your hand.

A phone that knows where you are going

What’s cool about it Besides being one of the smallest mobile phone PDAs around, the Mio is also elegantly designed and fi nished, and it certainly stands up to competition from the likes of the BlackBerry and other hand-held gadgets, which have become ubiquitous accessories for high-fl ying business types. More importantly, for such a small device, the Mio is packed with features, including:

Is well setup in terms of connectivity, • with features such as Bluetooth, USB and GPRSBluetooth connectivity means • you can wirelessly synchronise the Outlook contacts and calendar on your computer with those on your phone

Taking the Mio on the roadThe standout feature of the Mio A701 is undoubtedly the integrated GPS navigation. We put the gadget to the test. One push of the GPS button immediately launches the MioMap navigational program, which comes loaded on the phone. Then it was just a matter of entering the details of the journey and attaching the phone to the car windshield using the supplied mount.

However, it can be a little tricky fi nding a spot on the windshield to mount the Mio – you have to position it so you can see the screen clearly without it clashing with the steering wheel and ensuring that your attention is suffi ciently focused on the road and surrounding traffi c.

However, once that is sorted, it works like a charm. Not only can you see your route clearly mapped out on the screen, with information about speed limits, the area you are travelling through and surrounding roads, there is also a voice prompt telling you when to turn. In short, we arrived at our destination on time without any trouble at all.

It comes with a stylus, making it easy • to access the various features by tapping on the screen – you can also use your fi nger for the bigger buttonsYou can write messages in freehand • directly onto the phone using the stylus as a pen and the Mio screen as a writing tabletIn terms of virtual memory, the • Mio is well setup, with 128MB of ROM and 64MB of RAM already installedThe 1.3 mega pixel digital camera has • an eight times digital zoom

MIO A701 PHONEWhere to get it: www.MIO.com

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Optical touch mouse• Seven hours’ battery life with standard • battery, up to 12 hours for a larger battery (weighing 100g more)WiFi and Bluetooth connectivity• Hard disk drive can be expanded to as • much as 60GB of memoryIncludes pen-based PC add-ons such • as Microsoft’s OneNote application, which turns the screen into a surface for taking notes and interacting with various programs

What’s particularly cool about itIt can function as your personal entertainment device – fi ll it with your favourite music, movies and TV shows.

What’s cool about itIf you use a Sony Cyber-shot camera or a Handycam camcorder, you can view your photographic history on a map by using the ‘picture motion browser’ software that comes with these devices. Activate the ‘map view’ function and a mapped outline of your photographic journey will appear (courtesy of Google Maps) complete with time, date and location details.

Never forget where you took that photoGadget: Sony GPS-CS1 – global positioning system unit for digital cameras and camcorders

What it isThe GPS-CS1 is a device that uses satellite technology to record the time and location of each photograph you take. Simply use the supplied ‘GPS image tracker’ software to apply the location information recorded on the GPS unit to your photos.

Why you need itThere are obvious business benefi ts to keeping the location information of thousands of photographs. Or if you simply want to remember all the places you visited on your last holiday, the GPS-CS1 is still a handy tool.

Key featuresIt weighs just 55g, has up to 14 hours of location recording time and can accumulate data for up to a month.

What it is The Everun is billed as the world’s smallest and lightest UMPC.

Why you need it The Everun has all the functionality of a laptop but is about twice as big as a BlackBerry or PDA – its portability makes it perfect for taking to client meetings or even on short business trips.

Key featuresWeighs just 460g• Dimensions of 170mm (w) x 83mm (h) x • 25mm (d)Windows XP operating system• Fully functional internet surfi ng, • e-mailing, presentation, music listening and movie watchingBuilt-in QWERTY keypad with all the • functionality of normal PC keyboardAuto rotating 4.8 inch-wide VGA LCD • screen (800 x 480 native res)

‘Darlings of mobile salesforce’Ultra mobile PCs (UMPCs) are mid-sized, hand-held computers with touch-sensitive screens.

These products were launched last year by Microsoft, yet were not a huge success at fi rst. They have since been improved, and awareness of this PC gadget has – according to cnet.com.au – made them the “new darlings of the mobile salesforce”.

Their screens are bigger than a PDA, but smaller than that of a notebook. They offer the full functionality and connectivity of a Windows XP computer, but in a much smaller, more portable package. For more information on UMPCs, visit: www.umpcportal.com

Not too big, not too small…

Gadget: Raon Digital Everun

RAON DIGITAL EVERUNWebsite: www.raondigital.com

GPS-CS1 GPS UNITGPS-CS1 GPS UNITCost: The GPS-CS1 retails for HK$880Website: www.sony.com.hk


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lifeSTYLE asian legal business ISSUE 8.4

What it isThe Oregon Scientifi c Body Fat Monitor allows you to automatically calculate your weight body mass index (BMI), body fat percentage and body water percentage/weight.

Why you need it Lawyers are by and large leading high-paced, stressful lives with little time for rest, exercise or healthy eating. For those wanting to change their lifestyles for the better and monitor their health more closely, the Body Fat Monitor accurately measures progress made in getting your body back in shape.

As it occupies no more space than your standard bathroom scales it’s a perfect device to have in the offi ce.

What’s particularly cool about it Oregon Scientifi c is noted for its clever, user-friendly devices – and the Body Fat monitor is no exception. It is sleek, well designed, easy to use and easy to carry. In addition, it comes with the following features:

Wireless remote monitor comes with a LCD display• Patented step-on technology automatically turns on the scale • whenever you step on it Storage of height and age information for up to four different • users, by means of a large button for each user Body Fat Monitor automatically stores up to 30 previous • measurements “Guest Mode” feature allows you to measure your weight and • BMI without setting up a user profi le

Monitoring weighty issues

Gadget: The Oregon Scientifi c Body Fat Monitor (GR 101)

Let’s talk about the weatherWhat it is Depending on the model, the Oregon Scientifi c range of Weather Stations can calculate such things as the indoor/outdoor temperature, humidity, wind speed and direction, barometric pressure, rainfall reading, heat index, wind chill and provide a 24-hour weather forecast, while also acting as a fully functioning alarm clock with time display, calendar and snooze function.

Why you need it It would be hard to argue that a weather station is a ‘needed’ gadget for a lawyer – unless they are stationed in the middle of nowhere or on some far-fl ung windswept peninsula – but it would certainly be a stylish addition to any offi ce, while providing up-to-date information on weather conditions that will surely impress your clients… or your kids!

What’s particularly cool about it The Oregon Scientifi c range provides a host of cool features depending on the model you choose:

The Easy Weather Station displays indoor and outdoor • temperature as well as 12–24 hour weather forecasts to help you plan your day. Key features include clock, calendar, alarm and snooze, as well as a moon phase indicator.In addition to these features, the Easy Weather Station • Advanced also monitors humidity. The Easy Weather Station Pro includes barometric pressure • measurement, trend indicators (temperature, humidity and barometric pressure) and a backlight for easy viewing at night.The WeatherBox Weather Station, designed by world-• renowned designer Stefano Giovanonni, features a unique display concept with no obvious screen. It displays the weather forecast, indoor and outdoor temperature and humidity.

Gadget: The Oregon Scientifi c range of Weather Stations

OREGON SCIENTIFIC WEATHER STATIONSWhere to get it: www.oregonscientifi c.com.hk

52


53

www.asianlegalonline.com lifeSTYLE

Yellowglen is one of the biggest selling Australian sparkling wines, although it has never been considered one of Australia’s top bubblies.

Therefore, Yellowglen’s premium offering Perle has had a challenge to establish itself in the pricier end of the scale since it released the 2001 vintage.

The latest release (2005 Vintage Perle, RRP A$29) should put Perle fi rmly on the radar for buyers in this price range. For the fi rst time, the wine includes fruit from the old Seppelt Drumborg vineyard (in the Henty region of far southwest Victoria), and looks the goods.

Perle is made using the ‘transfer’ process – as opposed to the ‘methode champenoise’. The chief difference between these methods is after the secondary fermentation in the bottle. With the transfer method, the entire batch is re-blended in tanks (under pressure). Although the purists may turn their collective noses up at this production method, it allows the winemaker to make last-minute adjustments, as well as ensure there is consistency across all bottles.

The 2005 vintage will probably be disgorged (ie bottled) in fi ve separate bottling runs, with the later bottlings building a little more creaminess from the extra time in contact with the lees (dead yeast cells from the secondary fermentation). The fi rst disgorgement was released in February 2008 and is a very delicate wine with good length on the fi nish and excellent integration of the three fruit varieties (Pinot Noir – 62%, Chardonnay – 35%, and Pinot Meunier – 3%). The 2005 Vintage Perle should be widely available.

This year it is also joined by a non-vintage Perle Rosé, which has been made in limited quantities (1,500 cases), and will mainly be available through restaurants and cafes. With 42% Pinot Noir and 34% Pinot Meunier, the Rosé has distinct strawberry characters on the nose and palate and, with a blend of wine from the 2005, 2004 and 1998 vintages, has good balance and complexity (RRP A$29).

James Omond is a lawyer who specialises in

providing legal services to the wine industry.

www.TheWine-O.com

By James OmondA real pearler

BMI and body water – what does it mean?The BMI measure (a height to weight ratio) is used to determine obesity levels:• Less than 20% – you are underweight• 20–25% – you are at a healthy weight• 25.1–29.9% – you are overweight• 30% and higher – you are obese (and at risk of

heart disease)

Total body water is the amount of water retained in the body and comprises between 50% and 70% of the total body weight. Athletes generally have 5–8% more total body water due to more muscle mass. Staying within the proper range is very important for staying healthy. Generally speaking, a healthy body water level is between 53% to 65% for men and 50% to 60% for women.

‘Carpet feet’ for using on carpet, and an alarm to remind you • when you next need to weigh yourself

Tested by ALBALB tested the Body Fat Monitor and found it to be an easy-to-use gadget. Setting it up was no problem (the instruction booklet is very clear and easy to follow) and the big LCD display on the wireless remote was simple and straightforward to read, giving a comprehensive snapshot of the current state of health.

OREGON SCIENTIFIC BODY FAT MONITORWhere to get it: www.oregonscientifi c.com.hk


54

asian legal business ISSUE 8.4lifeSTYLE

Wheels

IIn a bid to attract a younger, more hip buyer, Volvo has unveiled the smallest car in its fl eet with the launch of a sporty, compact hatchback. Although small, the new model hasn’t jeopardised Volvo’s badge as one of the safest cars.

The three-door Volvo C30 hatchback is distinctively smaller than any other car in the Volvo fl eet, and is in fact 90mm

Is that a Volvo?

shorter than the Ford Focus hatchback. First unveiled as a concept car at the Paris Auto Show last year, the design has barely changed, offering a radically new foray by Volvo into the market. Aimed at the young, inner-city professional as well as the traditional Volvo driver, the four-seater is quick off the mark and the turbo version tested felt more like a sports car.

The C30 T5 comes fi tted with a 2.5 litre turbo-charged engine offering 162kW of power and can do 0–100km in 6.7 seconds.

City driving was a breeze. Due to the small size of the car, it was easy to park in tight spots. Parking assist can be added as a feature if you wish. The C30 hugged the road, offering a sturdy yet agile drive along curvy roads and tight corners. The car had aggressive and speedy acceleration, but didn’t feel jumpy.

The interior of the car offered a simple and sophisticated dashboard, while dual climate control, heated seats and an interior air quality system all gave a touch of luxury. The C30 also had a ridiculously powerful 12-speaker sound system. Four deep leather-clad

seats offered a comfortable and smooth ride, but back leg room performance faltered. Another ergonomic issue was evident when exiting the rear seats – passengers need to operate two buttons to slide the front seats up in order to exit, and then manoeuvre their way over the seat belt which could easily trip a passenger.

Fuel consumption for the C30 Turbo is about 9.4 L/100km, which is a bit on the high side for a small car.

Safety remains of critical importance. Dynamic stability traction control, dual stage airbags, infl atable curtains for

front and rear seats, ABS brakes, side impact protection systems, whiplash protection systems, an intelligent driver information system – and the list goes on – are all standard features that make Volvo one of the safest cars on the road.

The car had aggressive and speedy acceleration, but didn’t feel jumpy

VOLVO C30 T5 AUTOKey features: • 162kW 2.5 litre turbo-charged

engine• 320Nm at 1500–4800rpm • Intelligent driver information

system• Premium 12-speaker sound system• Side impact protection system and

infl atable curtain • Dynamic stability traction controlHigh point: Sporty, safe and compactLow point: Poor mileage, some ergonomic issuesRating: 8/10Reviewed by: Phil Han

GPS-CS1 GPS UNIT


55-63 Adverts FINAL_hk.indd 5555-63 Adverts FINAL_hk.indd 55 4/29/2008 12:12:11 PM4/29/2008 12:12:11 PM









PRIVATE PRACTICE IN-HOUSE

Please contact James Garzon at (852) 2521 0306 or email [email protected]

Please contact Jeremy Small at (65) 6829 7155 or email [email protected]

HONG KONG OFFICE

SINGAPORE OFFICE.

www.law-alliance.comVisit our website to see the latest in-house and private practice vacancies worldwide

MAJOR PROJECTS – HONG KONG

Excellent opportunity to join a global law firm with a leading projects practice that spans from energy to infrastructure. Develop your experience working on high profile commercial deals in Asia. Lucrative package on offer. (PT1845) 5 YRS+ PQE

CORPORATE FINANCE – HONG KONG

Premier global law firm seeks corporate finance lawyer to join its Commercial & Securities Practice Group. Public corporate deal experience and familiarity with the HK Listing Rules and the Takeovers Code are essential. Lucrative package on offer. (PT1846) 3 YRS+ PQE

US SECURITIES – HONG KONG

Global law firm with strong worldwide US Securities Practice seeks US securities associate to join its team in HK. Relevant international US securities experience required. Must be US qualified. English and Chinese fluency are essential. (PT1847) 4 YRS+ PQE

CORPORATE / PE – BEIJING

Premier global law firm with strong transactional practice in China wants a corporate/PE partner to join its Beijing office. Book of business or the ability to develop business is essential. Excellent remunerative package on offer. (PT1841) 7 YRS+ PQE

FINANCE/M&A – SHANGHAI

Work on leading deals, make a Wall Street salary and have a work/life balance - join this global firm’s PRC team if you are an ambitious Chinese speaking candidate. A US LL.M. and 2 years experience at an international law firm are required. (PT1842) 3 YRS+ PQE

REAL ESTATE / HOSPITALITY – BEIJING

Excellent opportunity for a RE lawyer to extend his practice in China by joining this premier global law firm. Prospect to engage in hotel development matters in the PRC. Superb package and the opportunity for further career development. (PT1844) 3 YRS+ PQE

TRADEMARK COUNSEL – HONG KONG

Iconic FMCG requires a senior trademarks lawyer with strong Asia experience to join its elite legal team. You will get the opportunity to work on very high-profile matters. Superb benefits package offered by one of the world’s strongest brands. (IS949) 10 YRS+ PQE

MNC GENERAL COUNSEL – HONG KONG

This listed company requires an experienced lawyer to work closely with the business team and advise on commercial and IT contracts, cross-border M&A projects, and compliance matters. Candidates from local firms are encouraged to apply. (IS950) 4 YRS+ PQE

PROJECTS & CONSTRUCTION – HONG KONG

This company has an impressive presence across the world. As Legal Counsel, you will have the opportunity to build on your existing experience by advising on construction, commercial, and project finance matters. Competitive package. (IS951) 3-7 YRS PQE

REAL ESTATE INVESTMENT COMPANY – HONG KONG

As in-house counsel, your work will comprise of fixed income and real estate investments, with real scope for developing your career in business. You should have corporate experience and an accounting background would be a bonus. Lucrative salary. (IS952) 3 YRS+ PQE

ENTERTAINMENT IP – SHANGHAI

A new position has been created in the Shanghai office of this global giant. Working closely with other offices, you will focus on anti-piracy and IP enforcement issues for a diverse range of products. Fluent Mandarin is essential. Attractive salary. (IS946) 5 YRS+ PQE

M&A / INFRASTRUCTURE – HONG KONG

One of the largest developers in the market has an opening for an M&A lawyer to advise on its projects. Reporting to the Group General Counsel, you will have the opportunity to travel to Europe and Australia. Competitive salary. (IS953) 4-6 YRS PQE

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LIVING asian legal business ISSUE 8.4

Sign offasian legal business ISSUE 8.4

Confectionary company Nestlé recently booted

Freshfi elds Bruckhaus Deringer from its team during its fi rst European panel review in almost fi ve years, due to a business confl ict of interest with Nestlé’s arch-rival Mars.

The fi rm also serves as a key advisor to Mars and – when

it came to the crunch – it seems that Nestlé just could not handle having part of its legal team working with the enemy, despite apparently being pleased with the quality of work delivered by Freshfi elds.

Howrey will take over from Freshfi elds as Nestlé’s lead antitrust counsel in Brussels. ALB

While in-house counsel may not share the sentiment, it seems partners working for the Magic Circle fi rms certainly have

something to smile about. According to a recent study, average partner hourly rates at

Magic Circle fi rms have risen by 67% during the past four years, from £375 to £625 – with the cost for specialist tax or regulatory advice weighing in at a costly £700 per hour.

Also riding the rate rise, UK national fi rm partner rates have increased by about 89%, from £185 to £350 an hour. ALB

London lawyers sitting pretty as rates sky-rocket

C f i i h h i

Not the sweetest thing

M&A fi nancing leaderboard

Y/E 2007

1

4

3

9

10

8

2

7

6

5

22

21

12

14

201

16

35

19

24

-

Q1 2008

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

Company name Value (US$m)

No. of deals

UBS 222,658 14

Citigroup 221,382 13

Morgan Stanley 218,883 7

Credit Suisse 218,185 6

Merrill Lynch 216,681 7

Lazard 215,815 4

Macquarie Group 214,688 9

JPMorgan 214,361 7

Goldman Sachs 213,998 7

Deutsche Bank 212,134 8

BNP Paribas 211,871 4

Rothschild 211,273 7

HSBC Bank 210,938 2

Gresham Advisory Partners 210,932 2

SG 210,868 1

Lehman Brothers 18,658 6

China International Capital 12,740 1

PricewaterhouseCoopers Corp Fin 6,486 6

Ernst & Young 5,054 8

Dalal and Shah 4,756 1

LEAGUE TABLE OF FINANCIAL ADVISERS TO ASIA-PACIFIC (EX JAPAN) M&A: VALUE

Source: Mergermarket

DLA Piper is revamping its training approach in a bid to improve communication with future trainees – many of whom

would belong to the YouTube generation. The London-based fi rm recently launched an internal social

networking site for its future trainees, similar to that of the popular portal ‘Facebook’.

DLA’s version, called ‘Inside the Tent’, will allow DLA’s graduate recruitment team to interact with students and will post regular updates, news about the fi rm and advertise forthcoming fi rm events and social activities. ALB

DLA gets interactive to mesmerise new recruits

Offering a stark reminder that

sometimes cupid misses the mark, a Charleston attorney handled the fi ling for free divorces offered by a Charleston, WVa, radio

Dishing out the heartbreak on Valentines Day

station on Valentine’s Day. WKLC-FM, better known as Rock 105, offered its listeners the

chance to win a free divorce between 4pm and 5pm, with the winner being drawn at the end of the hour.

However, there was a catch, with program director Jay Nunley apparently stating that the contest win would only cater to a relatively uncomplicated divorce. ALB

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Asian Legal Business Apr 2008