All posts by legal

As intellectual property plays a more and more important role in competition, disputes over ownership of patent increase. Among which, the disputes triggered by application of patent by former technologists are usually too complicated to be settled. Service Invention (‘SI’) refers to a job-related invention-creation made by any person in execution of the tasks of the entity to which he belongs or by primarily using the material resources of the entity. (Patent Law, Article 6). Currently, SI is mainly defined according to the Detailed Rules for the Implementation of the Patent Law, Article 11, 12. According to Article 12, ‘a…

Yang was engaged in a labor dispute with Company A, and applied to the Labor Dispute Arbitration Committees (‘Committees’) for arbitration. Yang offered a ‘Proof of Income’ affixed with the official seal of Company A, and asked for corresponding salary and economic compensation. Company A, however, denied having issued such ‘Proof of Income’, and offered all pay sheets Yang signed to prove the unconformity between ‘Proof of Income’ and the fact. According to the Committees, Company A denied the authenticity of ‘Proof of Income’, but it failed to provide relevant evidence, so verdict was made based on ‘Proof of Income’.…

In practice, the anonymous investment is quite common. However, under the existing laws and regulations, the legal risks faced by dormant shareholders are noteworthy, there are mainly as follows: I. The dormant (“D”) shareholders may not obtain the shareholder status. In practice, there is none unified criteria on dealing with such identification cases, generally speaking, the judges would be strict to such appeal. II. The nominal (“N”) shareholders may bring risks to the D shareholders. Such as, a N shareholder may transfer or pledge shares at his own discretion, and then a D shareholder can only claim for breach of…

Company A works on the manufacture and sale of electronic products, which are sold in the domestic market, or to the overseas market by processing on order. It arranges production according to orders, and the raw materials supply will be in short when the clients’ demand is urgent. Because the brand and standard of raw materials for domestic-sale and overseas-sale products are the same, in order to follow up with the due date, manager of production Dept. use non-bonded raw materials for domestic-sale products occasionally. Besides, the general manager who is also the legal representative has to examine and approve…

The reversion of “Company Law of PRC” (“New Company Law”) has been released on Dec. 28, 2013, which cancels the requirement of the minimum amount of registered capital for those limited liabilities companies, changes the paid-in capital into the capital subscribed by the shareholders, except those industries regulated by specified regulations, and eliminates the requirements of capital verification. New Company Law will come into force on Mar. 1. 2014. The amendments aforementioned arouse the concern and worry of enterprises on the security risk for the future transactions. Then, what are the impacts of New Company Law on the transaction security?…

Company A had made a contract named as “Research on Particular Conditions of Construction Contract 2009” (“2009 Contract”), and obtained “Copyright Registration Certificate” in 2010. 2011, Company B published its announcement of tender, together with Particular Conditions. Company A found that Particular Conditions is similar with 2009 Contract both in structure and content, and it sued Company B for copyright infringement. Upon investigation, it was found that 92.9% of the content of Particular Conditions is the same as 2009 Contract. Company A’s appeal was supported by the court of first instance, however, the court of second instance overrode the decision…

From Sep., many companies consult about investing in SFTZ, some foreign investors whom have invested companies in Shanghai, are also interested in the benefits of SFTZ. Actually, whether an investor shall invest in SFTZ, the special benefits of SFTZ and its own demand shall be both taken into consideration, which means the investor shall be acknowledged about whether its demand can be satisfied by taking advantage of the policy of SFTZ. Currently, the released special policies related to foreign investment in SFTZ are mainly focusing on the following aspects: 1.Opening up of investment sectors Firstly, for 6 sectors, including the…