Exploring Effective Financial Dispute Resolution Design Models Through a Learning Orientation: Experiences from East Asia

Abstract

In recent times, global financial dislocation has provided an impetus for examining effective avenues for the resolution of financial disputes. Hong Kong, like many financial centers throughout the world, has been directly affected by the collapse of Lehman Brothers. Its response to the collapse can partly be described by a learning orientation which first sought to examine existing institutional dispute resolution design mechanisms from which it could explore possible solutions. Based on its findings, its response included a creative mix of regulatory strengthening and government sponsored mediation and arbitration. This process of policymaking provides a useful case study of the prospects of using a learning orientation process to address policy challenges.