A Hong Kong lawyer and arbitrator with vast mainland experience summed up the Special Administrative Re- gion's edge in legal services by citing a case he recently handled.
'A year and a half ago, we were involved in a huge arbitration involving a Taiwanese conglomerate, a huge US investment house and [joint venture] assets located in China,' Iain Seow, partner at law firm Jones Day, said.
'The big US investment house wanted to have the arbitration in New York. The Chinese said they wanted China. What happened was both parties finally happily agreed upon Hong Kong.
'International firms are comfortable with the common-law environment here, while the Chinese and Taiwanese say Hong Kong is still, after all, Chinese. As a result, Hong Kong is chosen.'
The rule of law - described by one senior government official as Hong Kong's strongest ideology - is often cited by bureaucrats as the jewel in the crown of the city's success as a world-class financial centre and attractive base to live and do business.
Solicitor-General Robert Allcock said the rule of law, or lack thereof, had very real implications for businesses.
'If you look at it from the point of view of the international businessman or investor, any place in which he puts his money or business, he's got to see what risks he's facing. If a business wants to do something, the procedure and regulations are set out in law so he knows exactly where he stands. When you come to Hong Kong, you know what the rules are,' Mr Allcock said.