Identify whether disputes go to a named court or to arbitration. For arbitration, address the seat, institution or procedural rules, language, number of arbitrators and scope of covered disputes. The seat is the arbitration’s legal home and need not be the location of every hearing. Avoid copying conflicting court and arbitration clauses from different templates.
Section 7 of the International Arbitration Act 1974 (Cth) addresses enforcement of qualifying foreign arbitration agreements, including circumstances in which proceedings are stayed. Section 8 addresses recognition and enforcement of foreign awards, subject to statutory requirements and refusal grounds. Enforcing an agreement to arbitrate and enforcing an eventual award are different steps. Neither provision guarantees recovery from an insolvent supplier.
In Rinehart v Hancock Prospecting Pty Ltd (2019) 267 CLR 514; [2019] HCA 13, the High Court considered whether disputes about the validity of deeds fell within their arbitration clauses. The contractual context mattered. The case arose under domestic arbitration legislation and was not a China enforcement decision. It nevertheless illustrates why the words used to define covered disputes should be selected deliberately.
Confirm the Chinese contracting entity, authorised signatory and assets against which relief might be sought. Deal expressly with specifications, inspection, payment milestones and evidence of acceptance. Decide which language version prevails and ensure both versions express the same bargain. Coordinate Australian and Chinese advice on interim relief and enforcement before signing, rather than discovering after default that the chosen procedure is disproportionate to the value of the order.
Author: Deanna Ding
Last updated: October 2026
Jurisdiction: Queensland, Australia
Disclaimer: This article provides general information only and does not constitute legal, financial or tax advice. The law may change and its application depends on individual circumstances. You should obtain professional advice before acting on the information contained in this article.