All posts by legal

With the development of electronic information technology, electronic contracts are increasingly widely used in commercial activities. Some electronic contracts stipulate that “the court at the contract signing location shall have jurisdiction”. However, due to the paperless and cross-regional nature of electronic contracts, how to determine the “contract signing location” of electronic contracts? The agreement with a specific location which shall have the actual connection with the agreement. According to Article 35 of the “Civil Procedure Law”, parties to a contract may, by written agreement, choose a court with jurisdiction over a dispute that has an actual connection to the dispute,…

Case 1: In August 2023, a property management company proposed converting the employment form of labor contract to labor dispatch, Miao and several other employees refused such proposal. In early September 2023, the company arranged a training for employees, but Miao and several other employees refused to participate. Instead, they gathered at the residential community where their posts were located for several consecutive days, marched in a line, and chanted slogans. ((2024) Hu 0115 Min Chu No. 34302) Case 2: From October 25 to 28, 2016, employees of an energy company gathered on the green space at the entrance of…

In recent years, debt disputes have occurred frequently. Many companies are short of cash flow, and choose to repay debts with real estate, vehicles, goods, and other items. Many creditors are unwilling to accept debt repayment in kind. Compared with cash, debt repayment in kind involves many risks. However, under the current economic situation, if the risks of debt repayment in kind are fully considered in advance, it can still be a second-best option. Generally speaking, debt repayment in kind mainly involves risks in four aspects: Ownership of the Item Before accepting debt repayment in kind, the creditor should carefully…

Company A notified Long of the termination of the labor contract and paid the economic compensation. Long then filed a labor arbitration application requesting the restoration of the labor relationship, and the labor arbitration commission ruled in favor of Long. After the labor relationship restored, Company A required Long to return the paid economic compensation, but Long refused. Company A initiated a new labor arbitration proceeding, claiming the paid economic compensation and other payments. The labor arbitration commission, the court of first instance, and the court of second instance all upheld Company A’s claim. [(2024) Yue 01 Min Zhong No.…

In business activities, scenarios such as the assignment of creditor’s rights, transfer of debts, or collection/payment on behalf of others are not rare. While all parties may reach an agreement on the flow of funds, but may ignore the tax treatment, specifically, “how to issue invoices”. Article 18 of the “Measures for the Administration of Invoices” stipulates: “Units and individuals that sell goods, provide services, or engage in other business activities and collect payments for external business transactions shall issue invoices to the payers; under special circumstances, the payer shall issue invoices to the payee.” Therefore, business activities are the…

Ms. Wong worked as a Business Manager in a company. Her labor contract stipulated that her salary consisted of a basic salary and a performance-based salary. The performance-based salary was CNY1,500 per month during the probation period and CNY2,500 per month after the probation period expired. She found the company had not paid the performance-based salary during the maternity leave, then filed an application for labor arbitration. The labor arbitration commission, the court of first instance and the court of second instance all ordered the company to make up the difference in the performance-based salary (see details in the Judgment…