Legal News

Provisions will become effective as of 15 March 2014. Provisions has regulated the guarantee of defective products, claiming for breaching of contract or tort, burden of proof for disputes involving food and drugs. Principle for the guarantee of defective products Where any buyer claims rights against producer and seller, because the buyer purchases food or drug in the condition of having known quality problem in a dispute relating to food or drug, the producer and seller still undertake the liabilities. As we all know that food and drugs are special products which are important to health, so the producer and…

“Notice” has been issued on Dec. 6, 2013, which will come into force on Jan. 1, 2014. The highlights of this “Notice” on Individual Income Tax (“IIT”) on enterprise annuities or occupational annuities are as follows: Deferred IIT treatment. According to the previous regulations, contributions for enterprise annuities shall be combined with the regular salary and calculate the IIT payable accordingly. “Notice” states that Deferred IIT treatment shall be applied according to the following circumstances. For contributions made by companies，no IIT will arise at the time of contribution; For contributions made by employees, the amount no more than 4% of…

With the development of E-commerce, Chinese government encourages and promotes the development of E-commerce, while also strengths the management of the transaction security of E-commerce. In 2013, the State Council and MOFCOM have released relevant new regulations. Meanwhile, MOFCOM and SAIC have published the draft for soliciting opinions on the management of cyber transaction, and the relevant regulations are likely to be released. In Aug. 2013, the State Council issued Opinions on Boosting Information Consumption to Expand Domestic Demand (Guo Fa [2013] No. 32), which proposed to encourage the development of compound business, such as Internet Protocol Television (IPTV), mobile…

The Decision of the Standing Committee of the National People’s Congress on Amending the Law on the Protection of Consumer Rights and Interests (“Decision”) , which had been adopted by the National People’s Congress on Oct. 25. The Amendment will come into force on Mar. 15, 2014. The Decision includes 31 articles. Hereinafter is the brief introduction of those articles. “Right of Revocation” for consumers without giving reasons. Article 25 of Amendment stipulates that consumers shall be entitled to return commodities ordered online, such as on internet, television, telephone, or by mail, except otherwise required by Amendment, within seven days…

On September 5th, 2013, the Supreme People’s Court (“SPC”) issued Provisions, effective as of September 16th, 2013. The Provisions include 48 articles, specifying the concerns relating to the property of the debtor in such perspectives as the definition for the property of the debtor, the right of rescission, the right of recall, the right of setoff, the release of preservation for the property of the debtor and the termination of implementation, and hearing of the relevant derivative actions of the debtor, etc. Hereinafter 3 aspects for your reference: To clarify the rules on the implementation of debtors’ joint-owned property. In…

Amendment of “Trademark Law” is adopted at the 4th Session of the Standing Committee of the Twelfth National People’s Congress of the People’s Republic of China on August 30, 2013, which will come into force in May, 2014. The highlights of Amendment lie in: Clarify the definition of “Trademark Use” Amendment has stipulated the methods and aim of “Trademark Use”, which can manage “Token Use”. In practice, for those trademarks which have not been used for an uninterrupted period of three years, by applying this Article, there would be more trademark removal application, and more application may be supported. List…

Guideline was formulated at the end of June 2013, for reference by courts in Shanghai in hearing relevant cases. The following provisions stipulated in Guideline are very important for enterprises practically: Guideline has stated that the agreement between the unit and the inventor shall be prior to the statutory standard, and the standard listed in the agreement can be lower than the statutory standard. In order to avoid the direct application of statutory standard, enterprises shall add the relevant issues into their rules and regulations, or stipulate in the labor contract. According to “Guide” Article V, Article VI, the court…

Measures has been taken into effect on May 13th 2013, it mainly has clarified and regulated the following aspects: Measures simplify the procedures for registering foreign debt and eliminate several approval requirements stipulated in the previous SAFE regulations. For example, except for registration of foreign debts, the opening of a foreign debt account, foreign exchange settlement of funds, repayment of capital and interests, etc., shall be directly examined and verified by a designated foreign exchange bank. Measures further clarify the management of foreign debts account, usage of capital and conversion of foreign exchange. For example, proceeds of foreign debt borrowed…

2013 Catalogue will be taken into force on 10th June, 2013. Compared with Catalogue of Priority Industries for Foreign Investment in the Central-Western Region (2008 Revision), 2013 Catalogue has new features as following: To expand the scope of industries under the encouraged category. 2013 Catalogue has listed 500 industries, in which 173 kinds are newly added. For example, in the manufacture industry, for Anhui province, it has added distributed control system for important technical equipment such as complete production lines of metallurgical equipment. To optimize the direction of industries. It has added many items in the service industry, e.g. for…

Opinions has been released on 25th April, 2013, it has further explained the issues regarding the implementation of Regulations on Work-related Injury Insurances in the following aspects: To further define the definition of “work-related travel”, “employee’s non-primary liability”, “intentional crime”, “”intoxication or drug abuse”. For example, “work-related travel” shall be considered whether such travel of the employee is related to the work assigned by the employer and whether such accident and injury the employee suffers from is attributable to the work. To further regulate the issues related to occupational disease, such as the procedure and period of diagnose, standards of…