Study highlights implications of e-discovery in Asia.

• Position: E-DISCOVERY

In a global marketplace, it should come as no surprise that e-discovery is becoming a global process. E-discovery in Asia tends to be especially challenging for multinational enterprises because of growing data privacy concerns, new regulations, and Chinese state secrecy laws.

"E-discovery is an increasingly global process, whereas the challenges become less about data volume and more about jurisdiction," said Rod Sutton, senior managing director and regional chairman for FTI Consulting in Hong Kong.

FTI recently released the findings of a study that highlights more than 20 factors encountered in dispute resolution unique to Asia. FTI queried 70 Asia-based law firm and corporate e-discovery professionals about the evolving e-discovery trends in this complex region. Key findings of the study included:

* 67% of respondents cited regulatory investigations as the biggest driver of e-discovery.

* 79% said managing data privacy laws and confidentiality are the biggest challenges.

* 40% think new laws in China will have a large impact on managing electronic data in legal review--particularly the Law of the People's Republic of China on Guarding State Secrets, which broadly requires documents to be reviewed and cleared of secrecy concerns before leaving China.

Discovery in Hong Kong

To facilitate the discovery process in Hong Kong, the Hong Kong judiciary recently introduced a "framework for reasonable, proportionate, and economical discovery of electronic documents."

Hong Kong's current discovery rules do not distinguish between paper and electronically stored information (ESI). Both parties are expected to disclose all documents within their possession, custody, or power. They are obligated to disclose not only documents...