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  • 2017-06-27
  • 4 minutes Read
The Inheritance of the Shares in a Limited Liability Company

Lee, the shareholder of a limited liability company was dead. He did not make a will. His successors included his wife and son. Both wanted to be listed as the shareholder of the company, and recommended Lee’s wife to take over the chairman of the board, which was Lee’s position. The other shareholders did not willing to accept their requests. But they did not know whether they had the right to refuse such requests. This is not rare in practice. Such cases shall be regulated in accordance with the “Law of Successor” and the “Company Law”. The share is a…

  • 2017-06-26
  • 2 minutes Read
Rules for Handling Arbitration Cases about Employment and Personnel Disputes has come into force on July 1st, 2017

In order to handling with labor disputes properly under the new situation, Ministry of Human Resources and Social Security amended “Rules for Handling Arbitration Cases about Employment and Personnel Disputes”. Comparing to the 2009 Version, the 2017 Version has amended a lot. Some key contents are listed as follows. 1. To further define the Jurisdiction 1) Considering the registration place of an employer may be different from the place where the employer is actually located, the 2017 Version added that the arbitration committee of the main place where the employer is actually located shall have the jurisdiction over it. 2)…

  • 2017-06-26
  • 5 minutes Read
New Trends of Legal Regulation on Personal Information Protection in China and the Relevant Practical Measures

“Tele sales may be in jail”, “It is convenient for employees to conduct leave request procedure and check wages via APPs, but I was told there might be huge risk.” …… Recently, a series of laws, regulations, judicial interpretations related to the protection of personal information (hereinafter referred to “PI”) are released, and many news related to risks are reported, which make more and more enterprises feel upset about the relevant risks. However, a comprehensive knowledge of this topic is very important in managing the relevant risks. Enterprises shall get to know 2 key aspects: 1) which regulations on the…

  • 2017-06-19
  • 3 minutes Read
The Retroactive Wages related to a Resumed Labor Relationship

Company A dissolved the labor contract with Zhang. Then Zhang filed a labor arbitration on the grounds that company A illegally dissolved the labor contract. Hang also requested Company A to resume the labor relationship, and provide retroactive wages from the date when Company A made the dissolution decision, until the date of entry into force of the judgment. In addition, Zhang also request a compensation amount to 25% of the retroactive wages. After the labor arbitration and litigation, the court judged Company A to resume the labor relationship, and pay the retroactive wages. But the court did not order…

  • 2017-06-13
  • 1 minute Read
Lawyer Kitty Kim was invited to provide a special training on trade secrets to Noritz (China) Co., Ltd.

On May 31, 2017, Kitty Kim, as a lawyer of Hiways Law Firm, was invited to provide a wonderful trade secrets training to Noritz(China) Co., Ltd. The staffs from more than 10 departments of Noritz(China) Co., Ltd. participated in this training. Ms. Kim delivered a speech by case and in the easy-to-understand language, arising the positive thinking and discussion of participants. This training was welcomed by Noritz(China) Co., Ltd.

  • 2017-05-13
  • 3 minutes Read
Administrative Regulations for Special Tax Audit Adjustments and Mutual Agreement Procedures (“[2017] No.6”) has come into force on May 1, 2017

After the SAT has released the “Implementation Regulations for Special Tax Adjustments(Trail)” (“[2009] No.2”) in 2009, in order to furtherly regulate the related party transactions, and integrate with the international taxation policies, SAT has released several detailed rules. Recently, SAT releases the “[2017] No.6”, in which it has furtherly stipulated the special tax audit adjustments and mutual agreement procedures. Compared with “[2009] No.2”, “[2017] No.6” has amended and refined the following main aspects: 1. To add the risk characteristics of the enterprises which shall be paid special attention to. (1) Enterprises with the benefits received do not match with the…

  • 2017-05-13
  • 4 minutes Read
Risk Prevention for Software Development Contracts

With the development of information technology, it is very normal for a company to appoint another company to develop software for operation, production or promotion, such as an official website, mobile APPs, management system software and so on. However, the disputes related to software development contracts raised accordingly. The main reason of these disputes has 2 aspects. Firstly, the commissioning party is not familiar with the relevant technologies, and too many IT jargon words are involved in the contract, which make the commissioning party fails to design a specific contract; secondly, the developed achievement is intangible, which brings uncertain factors…

  • 2017-05-13
  • 4 minutes Read
Common Mistakes Related to Wages In lieu of Notice

Zhao was a sales manager of a Shanghai company, and his monthly base salary was RMB17,000. In September, his actual income was RMB37,650, which included the monthly base salary and the sales commission. Due to the adjustment of the management structure, on 3rd October, the company made the decision to cancel Zhao’s position, and then informed Zhao to dissolve the labor contract after 15 days. Afterwards, Zhao filed an arbitration request, in which he insisted the company failed to notify him in written 30 days in advance, and required the company to pay the “Wages in lieu of Notice” (hereinafter…

  • 2017-04-27
  • 2 minutes Read
“Opinions on Further Enhancing the Mediation and Arbitration of Labor Disputes and Improving the Multi-Dimensional Mechanism for Dispute Resolution” (the “Opinions”) has been released on March 21, 2017

The Ministry of Human Resources and Social Security, the Central Public Security Comprehensive Management Commission, the Supreme People’s Court, the Ministry of Justice, the Ministry of Finance, the All-China Federation of Trade Unions, the All-China Federation of Industry and Commerce and the China Enterprise Confederation/China Entrepreneurs Association jointly issued the “Opinions “. Although the “Opinion” shall not be directly applied as the judicial basis in hearing labor dispute cases, it reflects the tendency and trend in dealing with labor disputes in the near future. It has a guiding significance. Hereinafter partial of the contents have been selected which are highly…

  • 2017-04-19
  • 6 minutes Read
To Determine the Statutory Compensation in Trademark InfringementCases in China

China’s current “Trademark Law” stipulates 4methods on calculating the compensation for infringement: theplaintiff’s loss, the defendant’s benefits, the reasonablemultiples of the royalties of a registered trademark, and thestatutory compensation. However, the data [1] shows that thestatutory compensation has been applied in more than 90% of thetrademark infringement cases, in which the courts are in favor ofthe plaintiff, in practice. According to paragraph 2, Article 16 of the“Interpretation of the Supreme People’s Court on Certain IssuesConcerning the Application of Law in the Trial of Civil CasesInvolving Trademark Disputes” (hereinafter referred to as to the“Interpretation”), when determining the amount of compensation,many factors…