Brett Stewien, a partner and one of the co-founders of GPS Legal, talks about the firm's progress in establishing itself as a leading corporate and disputes law firm in Hong Kong. Despite industry challenges, the firm focuses on providing high-quality services to clients and adapting to their needs.
Congratulations on once again being named one of Hong Kong’s Firms to Watch! Could you briefly introduce the firm?
Founded in 2017, GPS Legal’s vision is to be a leading corporate and disputes practices law firm in Hong Kong. Over the last 7 years, we have committed to achieving that goal by delivering high-quality services to a broad range of global and local clients. Our partners – Sonny Payne, John Koh and myself – have worked in Hong Kong for over 25 years each. We each have extensive experience working at different international law firms in Hong Kong.
I lead our M&A and corporate practice and am ably supported by the very experienced John Koh. Over many years, we have successfully managed and negotiated a diverse portfolio of deals for multinational corporations and private equity firms. Our expertise spans M&A, strategic investments, joint venture formations, corporate restructuring and complex financing arrangements. We have particular experience acting for clients in the technology, financial services and retail sectors.
Sonny leads our dispute resolution practice and is one of a small group of (less than 100) solicitor advocates in Hong Kong with full rights of audience in all levels of the court. He also frequently represents parties in arbitration proceedings, as well as undertaking appointments as an arbitrator.
What do you think of the state of the legal market in Hong Kong and what firms are doing well at the moment?
The Hong Kong legal industry certainly has been through a difficult period. The combined impact of COVID-19, national security laws, geopolitical tensions and weak economic sentiment in China have all affected the reputation and standing of Hong Kong in different respects. As such, there has inevitably been turbulence in the legal market – with some seasoned leading legal professionals leaving Hong Kong and a general contraction in the presence of international law firms in Hong Kong.
With that said, Hong Kong remains the largest legal centre in Asia. Reduced presence of international firms has given rise to an increased strengthening and growth of independent law firms established by ex-international law firm partners and those established by national Chinese law firms. The focus on China remains paramount, with Hong Kong continuing to be the preeminent centre for outbound activity for Chinese companies and for foreign companies to transact with global Chinese heavyweights.
Further, in part spurred by the rising costs and bureaucracy in Singapore, the interest in Hong Kong as a base for regional activity will undoubtedly increase. This activity is already increasing (especially in regard to family offices) – with more investors and entrants originating from more diverse origins than before, such as the Middle East, other parts of Asia and Central Asia and South America.
How has GPS Legal progressed during this period? How have you been successful in this current market?
We believe our timing to set up GPS Legal in 2017 was fortuitous. We have found that, in the current geopolitical climate, there are many clients who have a preference for strong independent Hong Kong law firms over traditional international law firm brands. We have also benefited from referrals from legal friends across the world. The current state of the legal industry has resulted in an excel-lent environment for us to grow.
Whilst our clients are quite diverse, they share the same priorities when it comes to acquiring legal services. They must have:
- certainty, clarity and fairness around fees; and
- quality services and clarity around who will deliver those services.
One of the hugely rewarding features of starting GPS Legal has been the ability to invest time into developing services and fee structures that best suit clients, including risk-sharing fixed fee structures, even in contentious matters. This gives clients better certainty and comfort about the quality and cost of the legal services to be delivered. In our experience, collecting fees from clients where there are no surprises in the quality and cost of the services is far easier and leads to repeat business/ referrals in a way that no amount of marketing can achieve.
What is the future for GPS Legal?
Despite hot activity in certain foreign markets, we remain wholly committed to Hong Kong. We still see Hong Kong as a vibrant legal centre and a top choice for clients looking for certainty and fairness when selecting governing law and dispute resolution clauses, with HKIAC arbitration remaining a forefront globally for its efficiency and talented arbitrators. No other global hub can rival Hong Kong in efficiency and convenience, with its moderate tax, USD-pegged currency, open internet, experienced bureaucracy, credible judiciary and geographical proximity to the rest of Asia.
Further, with the completion of several major transportation infrastructure projects – including the Express Rail Link connecting Hong Kong to Shenzhen and Guangzhou, and the Hong Kong-Zhuhai-Macau Bridge – Hong Kong stands to benefit massively from its status as a Chinese hub, with increased accessibility to talent and commercial and residential real estate in the Greater Bay Area. Hong Kong is well positioned and fully equipped to be the premier business centre for China as Chinese economic engines become re-energised. As a result, much of the activity in Hong Kong will continue to be multi-jurisdictional and it is essential for us to maintain our deep working relationships with our legal friends in the GBA and across the rest of China.
Our M&A and arbitration practices are growing and we are looking for leading lawyers in their fields to join us. We see the accelerated departure of some international law firms from Hong Kong as a fantastic opportunity to attract and invest in talented lawyers.
