A China-centric written contract is an effective tool for doing business in or with China. A first step in creating this effective tool is to carefully follow the rules for execution. Chinese courts are bureaucratic and formalistic. Make use of that tendency so you can prevail. Don’t blunt the edge of your instrument with sloppy
Our China employment lawyers constantly hear misinformation about China employment contracts and double wage claims. In this post, I will try to set the record straight. China’s employment laws require full-time employees be employed pursuant to a written employment contract. But what happens with employees without a written employment contract? As with pretty much everything
Contracting in China: The Old and the New It used to be common for OEM manufacturing in China to be done on a purchase order basis, with no underlying contract. Much service work done by foreigners for Chinese clients was based on an exchange of emails. Today, however, to be able to bring a plausible
Since 2006, we have been writing about fake China law firms. See China Where Even The “Law Firms” Are Fake. In that post we talked about fake Chinese lawyers taking money from American companies for trademark registrations: There are those who take money to file trademarks in China and then simply run away. A new client
Way back in 2006, I wrote about fake China law firms in China: Where Even The “Law Firms” Are Fake. In that post I talked about fake Chinese lawyers taking money from foreign companies for trademark registrations: There are those who take money to file trademarks in China and then simply run away. A new
China’s recently stepped up efforts to root out unregistered foreign businesses in China has caused a rash of China consultants to retain the China lawyers at my law firm. From our work in forming China WFOEs (wholly foreign owned entities) for these consultants, we have discovered that many China consultants are falling dangerously short in
China Contract Formalities Contracts with Chinese companies often generate a unique set of legal and procedural intricacies. China’s legal landscape differs significantly from that of American, European, or Australian jurisdictions, primarily due to its distinct regulatory frameworks and business culture. These differences require a China-centric approach to both the drafting of China contracts and to
Most of our clients know little about China employment law, but most know well that China has high expectations on how China employers must treat pregnant and nursing employees. Our clients know this because they all seem to know of a foreign company that had to pay a lot of money for not knowing this.
China has liberalized its minimum capital requirements for WFOEa and the amounts required have been reduced in many Chinese cities. But even if the Chinese government is going to let you get away with very little registered capital, you may want to pay more. You should think about the registered capital you should be paying
In China, employment offer letters (录用通知书) are written documents employers give to employees stating the employer’s intent to enter into a labor relationship with the employee. These offfer letters typically propose the employee’s work title, work location, wages, and the term of the employment arrangement. Despite the relatively common use of employment offer letters in
