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Stiffed By Your China Manufacturer? It’s Probably Your Own Fault.

Posted in Basics of China Business Law, Legal News

In the last five years, the China lawyers at my firm have been contacted literally hundreds of times by foreign companies (mostly American, Canadian, British, German and Australian) that have received bad product or no product from their suppliers in China. And no exaggeration, I cannot remember a single time where the foreign company did… Continue Reading

China Commercial Contracts: Writing the Contract Damage Provision

Posted in Basics of China Business Law, Legal News

In our standard commercial contracts we often include a specific damage amount for certain (not all) violations of the contract terms. We work with our clients to ensure that such provisions are not a penalty, but rather an honest assessment of what real damages might result from the breach. This system has worked well in… Continue Reading

China Dispute Resolution Clauses. Choose Certainty Over Flexiblity.

Posted in Basics of China Business Law, Legal News

When my firm’s China lawyers draft a contract concerning China, we nearly always use a simple and clear dispute resolution provision: The contract is governed by Chinese law. Chinese language controls. Disputes will be resolved in China. On the third point, we work with our client to choose either litigation in the PRC courts or… Continue Reading

When To Register Your China Trademark? Ask Tesla.

Posted in Basics of China Business Law, Legal News

Electric car maker Tesla Motors is being sued in China for trademark infringement, in what Reuters calls “a surprise development that casts a shadow over CEO Elon Musk’s ambition to expand rapidly in the world’s biggest auto market.”  The plaintiff is seeking a court order stopping all Tesla sales and marketing activities in China and… Continue Reading

China Business. China Law. Go Here For Great Discussions On Both.

Posted in Basics of China Business Law, China Business, Legal News

We started a China Law Blog Group on Linkedin with the goal of creating a spam-free source for China networking, information and discussion. We just today added our 9,000 member.  I am proud of the absolutely terrific discussions we have within our group, both based on the numbers (a number of the discussions have received around 100 comments and… Continue Reading

Foreign Company Corruption In China. If You Have To Ask…

Posted in Basics of China Business Law, Legal News, Recommended Reading

Just read a fascinating/spooky article by Reuters Shanghai reporter, Adam Jourdan, entitled, Spooked by probes, pharma executives ask: should I leave China? Here’s our easy answer: if you are worried about getting arrested in China for something that your company has done, you should leave. Now. The article starts out talking of how China’s recent and ongoing… Continue Reading

China’s Forty Hour Work Week Is Mandatory. Except When It’s Not. Part II.

Posted in Basics of China Business Law, Legal News

In China’s Forty Hour Work Week Is Mandatory. Except When It’s Not, I wrote of how China’s labor law permits a flexible working hours system for senior management as an exception to the basic work week rule (it seems most municipalities enforce a 40-hour work week). This system can benefit employers needing greater employee hour flexibility,… Continue Reading

Kickstarter And China Manufacturing. You Are So Wrong On Your China Risks.

Posted in Legal News

Every so often we get calls from companies either in the process of raising funds on Kickstarter or just having completed their Kickstarter fund-raising. Almost invariably, our conversation goes something like the following: Company with product:  We just raised money on Kickstarter and we have lined up a China manufacturer for our product and we… Continue Reading

China’s Forty Hour Work Week Is Mandatory. Except When It’s Not.

Posted in Basics of China Business Law, Legal News

China’s labor law provides for a 44-hour work week, but its regulations provide for a 40 hour work week and most municipalities (it seems) enforce the 40-hour work week, but recognize that this workweek may not be practical for certain employees. A “flexible” working hours system is thus permitted for “senior management” as an exception… Continue Reading

China’s New Trademark Law And The Law Of Unintended Consequences

Posted in Legal News

China’s new Trademark Law went into effect on May 1, 2014, to great fanfare from the international IP community. The law ostensibly improves several aspects of China trademark practice: more ways to combat bad-faith filings, more protection of well-known marks, and formal time limits for decisions on trademark applications and appeals, to name a few…. Continue Reading

If You Could Have Only Two Clauses in Your China Contract, What Would They Be? Part II.

Posted in Basics of China Business Law, Legal News

In our first post in this two part series, we wrote about the importance of choosing the right language for a U.S. company contract with China. In this post, we talk about why the jurisdiction and forum for any disputes is so critical and how (generally) to go about choosing that. In choosing the jurisdiction… Continue Reading