The Law Society of Hong Kong is a professional association for solicitors in Hong Kong vested with statutory powers to regulate the professional conduct of solicitors, trainee solicitors and foreign lawyers. It was incorporated in 1907 as a company limited by guarantee.
The Law Society speaks for the solicitors’ profession in Hong Kong and ensures our voice are accurately and purposefully communicated to relevant parties
The Law Society is dedicated to providing relevant and effective support to our members including professional training and legal practice updates.
The Law Society is committed to facilitating the attainment and maintenance of the highest professional standards by our members in the interest of the community
The Law Society reaches out and maintains a wide local and global network for knowledge exchange, experience sharing and collaboration between our members and different sectors of both the local and international communities.
The Law Society strives to raise general public legal awareness, facilitate public access to legal services and promote a culture of giving back to the community among our members.
Since its establishment in 1989, the Professional Indemnity Scheme (“PIS”) has provided compulsory professional indemnity coverage to all Hong Kong law firms pursuant to the terms and conditions as set out in the Solicitors (Professional Indemnity) Rules (Cap. 159M) (“Rules”) (a subsidiary legislation to the Legal Practitioners Ordinance (Cap. 159)). The primary purpose of the PIS is to protect the public in need of legal advice, assistance or representation from any Hong Kong law firm.
Pursuant to section 7(d) of the Legal Practitioners Ordinance (Cap. 159), no person shall be qualified to act as a solicitor unless he or she is complying with the indemnity rules made by the Council of The Law Society of Hong Kong that apply to him or her or is exempted from their compliance.
Rule 6(1) of the Rules provides that every solicitor who is, or is held out to the public as, a solicitor in the business of practising as a solicitor in Hong Kong must maintain indemnity under the PIS.
The Rules set out, inter alia, the terms and conditions of indemnity, reporting requirements, the calculation of PIS contributions and deductibles, and coverage exclusions.
Note: Terms highlighted in italics below are defined in rule 2 of the Rules. Please refer to the Rules for the full definitions.
Limit of indemnity for any claim first notified and first made against an Indemnified, on or after 1 October 2019 is HK$20 million in respect of any one claim, inclusive of deductible and costs.
Only an Indemnified can make a claim under the PIS.
Indemnified includes the firm and any person employed or working in connection with the Practice, i.e. the business of practising as a solicitor.
The PIS covers an Indemnified against losses in respect of any description of civil liability whatsoever incurred in connection with the Practice.
Among other exclusions, the PIS does not cover claims brought about by the dishonesty or fraud of a principal or the dishonesty or fraud of an employee unless the Indemnified can prove or show that such dishonesty or fraud did not occur as a result of recklessness, dishonesty or fraud on the part of a principal in the conduct or management of the Practice, or any liability incurred in connection with a Practice conducted wholly outside Hong Kong.
Please refer to Schedule 3 to the Rules (Exclusion and Conditions) for the exclusions.
Whilst registered foreign lawyers employed by Hong Kong law firms are covered by the PIS, the PIS only covers Hong Kong law firms but not foreign law firms.
Rule 6(1) of the Foreign Lawyers Registration Rules (Cap. 159S) provides that a Certificate of Registration as a Foreign Lawyer is subject to the condition that there shall be in existence at all times a policy of insurance under which the foreign lawyer is entitled to be indemnified, in respect of services rendered by him/her while acting or practising as a foreign lawyer, in a manner and to the extent similar to the indemnity provided to a solicitor under the PIS. A foreign law firm is required to obtain professional liability insurance that is comparable to the PIS from the open market and submit the insurance policy to the Registration Section of the Law Society for approval.
For more information about the PIS, please visit the PIS website here (login to the Members’ Zone of the Law Society website is required).
