In a recent move, the Hong Kong Department of Justice has invited leading dispute resolution institutions to participate in a pilot scheme for sports dispute resolution. This initiative aligns with the Chief Executive’s 2024 Policy Address, which spotlights Hong Kong’s world-class dispute resolution infrastructure as a catalyst for advancing sports arbitration and mediation.
The timing could not be more opportune. As Hong Kong gears up to co-host the 15th National Games of the People’s Republic of China in November, the demand for efficient, specialised conflict resolution mechanisms has never been greater.
Navigating Sports Disputes: From Global Standards to Local Realities
A majority of the international sports dispute resolution is governed by the Court of Arbitration for Sport (CAS). Athletes, federations, and clubs can invoke CAS jurisdiction through arbitration clauses embedded in contracts, by-laws, or regulations. CAS awards are final, binding, and enforceable worldwide under the New York Convention, ensuring swift outcomes.
In Hong Kong, however, local athletes and associations predominantly rely on internal procedures to settle conflicts. Only a handful of sports bodies have proactively integrated arbitration or mediation clauses into their governing documents. This gap leaves many vulnerable to protracted, costly litigation.
Sports disputes span a wide spectrum, from on-field decisions to off-field negotiations. Common types of sports disputes include:
- Disciplinary actions
- Franchise and partnership deals
- Player agency contracts
- Sponsorship and endorsement deals
- Employment matters
These conflicts not only drain resources but also derail athletes’ careers in an industry where timing is everything.
Overcoming Key Hurdles in Sports Dispute Resolution
In Law Chin Pang v. The Karatedo Federation of Hong Kong, China Ltd and Anor [2025] HKCFI 1345, an elite karate athlete sued the Hong Kong Karate Federation after a club transfer policy stripped him of his elite status. This revocation cost him access to professional training, scholarships, and competitive opportunities, effectively stalling his career.
Law argued that the policy penalised his choice of dojo rather than reflecting his performance. The Federation contended that collective welfare trumped individual preferences, insisting the suspension aligned with their rules.
The Court ultimately sided with Law, deeming the restrictions are unfair and unreasonable and violate the purpose of the Federation.
Cases like Law illustrate that disputes often occur when a sports association’s policy disproportionately affect individual athletes. It is important for the regulations and policies of a sports association to strike a balance between the interests of both the athletes and the association. This ensures that association’s decisions are fair, transparent and protect the rights of the athletes.
Further, as sports disputes often involve technical legal issues, such as contract interpretations and disciplinary matters, stakeholders would require assistance from legal professionals, arbitrators or mediators who possess the expertise in both sports law and the sports industry.
Why Choose Arbitration and Mediation? The Clear Advantages
What truly matters to athletes, sports clubs, and associations often extends beyond monetary compensation. Key concerns include the short career lifespan of athletes, access to competition opportunities, and the promotion of their clubs and associations.
Owing to the unique nature of sports dispute resolution, arbitration and mediation offer several key advantages:
- Fast Resolutions: Unlike litigation, these processes allow disputes to be resolved swiftly. This is particularly important given the fast-paced nature of sports competitions
- Cost Effective: By leveraging mediation and arbitration as alternatives to litigation, it will reduce financial burdens for athletes, associations, and other stakeholders.
- Less Adversarial Process: Given that disputes can strain relationships among athletes, associations, and other stakeholders, mediation is often chosen as a less adversarial process to help preserve these relationships by fostering a constructive dialogue and mutual understanding between the athletes and the sports association.
How YTL LLP Can Assist
At YTL LLP, our dispute resolution team comprise of seasoned arbitrators and litigators including a legal advisor to a professional football club in Hong Kong Premier League. Our team can offer assistance to stakeholders in the sports industry in the following areas:
- Advising athletes, sports organisations, and sponsors on their rights and obligations.
- Representing clients in mediation and arbitration proceedings.
- Drafting and reviewing articles, policies, and agreements to minimise the risk of disputes.
| Peter Hon, Senior Associate peterhon@hkytl.com; +852 3468 7099 |
 | James Yeung, Partner jamesyeung@hkytl.com; +852 3468 7203 |
This article is introductory in nature. Its content is current at the date of publication. It does not constitute legal advice and should not be relied upon as such. You should always obtain legal advice based on your specific circumstances before taking any action relating to matters covered by this article. Some information may have been obtained from external sources, and we cannot guarantee the accuracy or currency of any such information.
