Find useful legal information for your business in China!

Establishing a business in China

Establishing a business in China

In general, it depends on your requirements to decide what kind of entity to establish. All procedures need you or your company to prepare your legitimacy documentations which need to be notarized by a public notary and attested by the Chinese embassy or Consulate in the country in which you are based. A Credibility letter shall be prepared by your bank so that the Chinese government shall review your capital qualification and capacity to invest in China.

Legalization of purchase from a Chinese supplier

Legalization of purchase from a Chinese supplier

China is becoming the biggest “world manufacturer” and there are more and more foreign buyers taking part in all kinds of Chinese trade fairs (e.g. Canton Fair), trying to find good suppliers and purchasing Chinese products. Therefore it is very important for those buyers to conclude purchase contracts and also to perform the contract in the right way, complying with the framework of Chinese law.

Common Legal risk in International trade from side of foreign Buyers

Common Legal risk in International trade from side of foreign Buyers

With the development of Chinese economy and China is famous for its commodity of high quality but with low prices, more and more merchants prefer to purchase from China online. Some lawbreakers take advantage of the international transaction to defraud foreign buyer. Our team handles dozens of these kinds of cases and hereby we remind you of the following points based on our experience from the side of foreign Buyers.

Undertaking Statement of confidentiality

Undertaking Statement of confidentiality

I, ,am hereby undertaking to my employer __________ Co.,Ltd(hereafter refer to A) that during my work in my employment, I will respect and not-infringing the commercial secrets owned by A which are listed in the Appendix. Especially I undertake that I will use A’s customer data base to send commercial advertisement.

legal provision on releasing goods without original bill

legal provision on releasing goods without original bill

A bill of lading is a document which serves as an evidence of the contract of carriage of goods by sea and the taking over or loading of the goods by the carrier, and based on which the carrier undertakes to deliver the goods against surrendering the same. (“maritime law” Article 71), A bill of lading is shorted as the B/L. In international trade, the carrier issues a B/L to the consigner, then the B/L will be delivered from the consigner to the consignee and the consignee will take delivery of goods at the destination port by presenting the B/L original. The delivery of the original B/L to the consignee is mostly on condition that the full payment is received.

Main differences between trademark and decoration of products

Main differences between trademark and decoration of products

First of all, the definition of each is different. A trademark is a recognizable sign, design, or expression which identifies products or services of a particular source from those of others. The owner of the trademark shall have the right to license others to use the trademark, to pursue legal action against trademark infringement and to do any others in accordance with the Intellectual property law.

Overtime inclusive Salary

Overtime inclusive Salary

Some employers, especially Chinese foreign invested companies, pay their staff comparably higher salary. They may agree with staff orally that the salary paid includes overtime hours without any written provision. This oral agreement may cause very high risk that, in the case of a labour arbitration, an arbitrator may request that the employer pay additional overtime salary based on the agreed salary if the employee denies the oral agreement.

Investigation an overtime salary claim in a labor arbitration

Investigation an overtime salary claim in a labor arbitration

Many employers or even lawyers engaging in labour law in a labor arbitration hearing are often unsure how, by what procedure, and by what applied rule of burden of proof will an arbitrator use to conduct an investigation into claims of overtime salary. This procedure only became clear to me after I became a labour arbitrator in Shenzhen.