Most of what we write about frauds involving China are about frauds perpetrated by Chinese companies against foreign companies. But as a reader recently emailed me, frauds perpetrated within foreign companies in China “are at least as common and every bit as damaging.” I agree, and today’s post highlights six of the most common internal
A while back (I am being intentionally vague here to avoid identifying anyone) a U.S. client company contacted our China lawyers about shutting down its China WFOE and/or terminating all of its roughly 47 China employees in one fell swoop. The U.S. company had discovered rampant corruption among its employees and its CEO wanted the
In late 2017, an old and yet important set of China Employment laws —the Measures for Severance Payment due to Violation or Termination of Employment Contracts — issued by the then-Ministry of Labor back in 1995 was abolished by the PRC Ministry of Human Resources and Social Security. Since our China employment lawyers keep getting
PitchBook reports that even though 2022’s dry powder was lower than in either 2020 and 2021, a significant amount of capital has been deployed and remains to be deployed, including in deals involving Chinese companies and assets in China owned by U.S and non-Chinese companies. We know this because we are part of some of
Even though China private equity (PE) activity has cooled down (see here and here), our law firm has even this year been involved in many U.S. PE transactions involving China entities, employees, and assets. These deals are typically conducted at the U.S. entity level between two private equity groups, with the seller in each instance
Blockchain technologies are inherently international, and China has had its share of news lately. I have spoken on China and web3 from both business and national security perspectives. These new technologies present challenges and opportunities both inside and outside China. This post focuses on the for-profit blockchain developments and opportunities in China.
We have put the kibosh on many China-related deals, and that is what this post is about, especially in this environment with financially distressed companies popping up all around thanks to the trade war and Covid. For ease of explanation and to camouflage the identities of those involved, I have amalgamated a bunch of them into one. This scenario is incredibly typical, including the retirement of the owner precipitating the need for the deal.
Contents of this Article: Mexico is Highly Focused on the USMCA Mexican Agriculture Has Lessons for the U.S. and Beyond Mexican Manufacturing Cannot Replace China Yet Mexican Business Leaders are Ready in Spite of Their Government Utah is Focused on Mexico’s Success as a Solution to Several Problems All together now: “¡Bienvenidos a México!” The
At the end of each calendar year, many nonprofit organizations, including nonprofits in China, start to appear more frequently on everyone’s radar. Recently I counseled a nonprofit organization that wanted to set up China operations in some way. Technically they are a U.S. not-for-profit (501(c)(6)) organization, rather than a 501(c)(3) charitable nonprofit, but I use
China WFOE Closures Are Increasing China WFOE closures/shutdowns are rising due to China’s economic slowdown, its deteriorating relations with the rest of the world, and the difficulty and risks of sending people to China. There is an old saying about how lawyers do well in good times and in bad times, just not in times
