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  • 2016-09-15
  • 4 minutes Read
How to Claim for Loss Effectively if a Golf Course is Shut Down?

Mr. Wong paid a membership fee amount to 250,000 for a life membership of a golf course in 2011. Unexpectedly, 5 years later, the course was ordered to suspend the business due to the illegal land occupation. So Mr. Wong required the course to refund the membership fee, and the appreciation part. Finally, the court only decided the course to refund partial of the membership fee. Recent years, due to the regulations on clean up and rectify golf courses issued by the National Development and Reform Commission and other authorities, many golf courses were shut down, which are followed up…

  • 2016-08-15
  • 2 minutes Read
Measures for the Rating of Enterprises' Labor Security Compliance Credit (the ‘Measures’) will come into force on January 1, 2017

In the recent 8 years, a series of laws, regulations entered into force, such as the ‘Law of Labor Contract’, the ‘Social Insurance Law’ and the ‘Interim Provisions of Labor Dispatch’, in addition with the abolishment of the ‘Regulations on Reward and Penalty for Employees of Enterprises’, the employment situation has a huge change. In order to reduce the legal risks, how to manage the employees legally and reasonably, has become an important task to the employer. The Ministry of Human Resources and Social Security has recently released the ‘Measures’. The content of the ‘Measures’ and the trend of the…

  • 2016-08-15
  • 4 minutes Read
‘Stealing an Order’, Embezzlement or Bribery?

In 2008, Company B purchased products from Company A. The price was decided in a special procedure, which said as Wong the employee of Company A provided the proposal to Jiang the employee of Company B, and Jiang submitted the proposal to the manager of Company B for the final determination. In 2010, Wong and Jiang colluded in malicious, and planned that, 1) Jiang transferred the payment paid by Company B to Company C (established by Wong and his wife Chen) instead of Company A; 2) Wong reduced the price of the products of Company A, and received payments from…

  • 2016-08-15
  • 4 minutes Read
Work Overtime, Overtime Pay?

Jiang was a business receptionist. He was assigned to be on duty for 6 days during the National Day and the New Year’s Day. 1 year later, Jiang dissolved the labor contract, and requested the employer to pay the economic compensation, because he insisted that the employer had failed to pay the full amount of overtime pay. Finally the court dismissed Jiang’s complaint. A series of laws and regulations, such as the ‘Labor Law’, have stipulated that an employer shall pay for the overtime work if an employee has worked during the statutory holidays. Why the court dismissed Jiang’s complaint?…

  • 2016-07-15
  • 2 minutes Read
Measures for Chattel Mortgage Registration will come into force on September 1 2016

With the increasing needs of financing and transitions of commodities, the disputes on the chattel mortgage are increasing rapidly. In order to protect the guarantee of the creditor’s rights more effectively, recently, the SAT has amended the Measures for Chattel Mortgage Registration. The highlights of the amendment are as follows: To clarify that the right to chattel mortgage shall be established when a chattel mortgage contract comes into force Article 2 has added that ‘the right to chattel mortgage shall be established when a chattel mortgage contract comes into force’. In order to avoid the disputes on whether a chattel…

  • 2016-07-15
  • 4 minutes Read
The Exclusive Distributor Breaches of Contract by Distributing the Competitor’s Goods, Who Shall Bear the Liability? –From the perspective of the Third Party Encroaching upon Creditor’s Rights

Company A and Company B signed a contract, in which it has stipulated that B would be A’s exclusive distributor by selling A’s digital products, and B should not sell the other similar products. B promoted A’s products very well, and its sales amount was increasing step by step. Company C, the competitor of A, found B’s talent, and proposed a distribution contract with high profit to B. B accepted this proposal and signed another distribution contract with C, which said that B had to sell C ’s products. Hearing of this, A’s in-house counselor proposed to request B to…

  • 2016-07-15
  • 4 minutes Read
The Legal Risks and Tactic of Allograph

Lee and Wang jointly assigned an agency to handle the registration procedures for the establishment of their company. Because Wang was located in the other city, the agency signed Wang’s name on the documents without authorization. 3 years later, Wang planned to transfer his equity to a third party. While handling the registration procedures for the equity transition, the registration authority rejected his application for the reason that his signature was different from the previous signatures. Wang was caught in a dilemma. A series of laws, regulations, such as the ‘Company Law’, the ‘Regulations on Administration of Registration of Companies’,…

  • 2016-06-15
  • 2 minutes Read
The newly revised ‘Measures for the Administration of Contingency Plans for Work Safety Accidents’ (the ‘Revised Measures’) will be come into force on 1 July 2016

In view of Tianjin explosion, Kunshan factory explosion and many other work safety accidents are frequently happened recent years, the State Administration of Work Safety released the ‘Revised Measures’. Compare with the ‘Measures for the Administration of Contingency Plans for Work Safety Accidents’ (the ‘Original Measures’)released in 2009, there are several highlights: To specify the responsible person for the contingency plans Article 5 has specified that the main responsible person of an entity shall be responsible to organize the drafting and implementation of the entity’s contingency plans, and shall guarantee the contingency plans are true and practical. To add the…

  • 2016-06-15
  • 4 minutes Read
Can a Director Resign Voluntarily?

Mr. Wang was the director of Company A, a limited liability company. Because Wang had a different view on the theory of the business with the other directors, he wanted to resign. Unexpectedly, the shareholders of Company A were afraid that Wang would compete with the company after his resignation, so the shareholders rejected his resignation application. Wang was in the dilemma. The ‘Company Law’ has prescribed the provisions on the selection and change of the director of a limited liability company, however, it fails to prescribe the procedures on the resignation of the director. Then, where the Articles of…

  • 2016-06-15
  • 4 minutes Read
Silence Gives Consent?

Mr. Pei is Company A’s employee. One day, Company A sent a ‘Notification on the Negotiation of the Termination of the Labor Contract’ to Pei, which stated, ‘……The company is going to negotiate with you on dissolving the labor contract, please respond in written to the company within 3 days after you have received this notification, otherwise, it shall be deemed that you are agree to dissolve the labor contract.’ 11 days later, Company A sent a ‘Notification on the Dissolution of the Labor Contract’ to Pei. Then the dispute arose. After the second trial, the court decided that Company…