Payment Terms Legislation In Hong Kong

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Hong Kong

Please scroll down for a summary of payment terms in Hong Kong and the various industries across which payment term legislation appears.

To access the complete international payment terms data, download the international payment terms whitepaper.

Industries Laws Codes Notes Interest Rate
Government
Comm_terms_law
Construction
Manufacturing
Retail_agriculture
Services

Laws

Cap. 652 prohibits conditional payment terms (including pay-when-paid) under s.17. The paying party must pay the admitted amount within 60 days of receipt of the payment claim. Either party may refer disputes to statutory adjudication.

Comm_terms_law Construction
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Interest Rate

Cap. 652 does not prescribe a late payment interest rate. In the absence of a contractual rate, judgment debt interest is set quarterly by the Chief Justice under High Court Ordinance (Cap. 4) s.49 — currently 8.00% p.a. (effective 1 April 2026). Pre-judgment interest is at the court’s discretion, typically prime rate + 1%.

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