The Reinstatement of an Employee Under Chinese Law

Categories: Arbitration and Litigation, Blog, Business In China, Foreign Direct Investments, Labor and Employment Law | By Peter Pang

If you are a Chinese employer and have terminated an employee, it is highly likely the employer may seek redress through the courts in an effort to rescind their termination and be reinstated. Chinese employment law is extremely employee friendly and there are very limited circumstances under which an employee can be terminated when compared…

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Obtaining an ICP License in China: A Business Necessity for Any Web-Based Presence?

Categories: Business In China, China 101 | By Peter Pang

  The Internet has exploded in China, and some of the world’s leading e-commerce and other web-based business like Alibaba, WeChat and others have originated from the PRC.  However, the PRC does exercise stricter control over the Internet and websites than some foreign businesses might be used to. In order to operate a website in…

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Famous Trademarks and the Protections Offered Under Chinese IP Law to Such Marks

Categories: Business In China, Intellectual Property | By Peter Pang

China is a “first registration ” jurisdiction when it comes to trademark protections, meaning that the first individual or corporate entity to register a trademark will generally take priority over subsequent applicants. This can give significant leverage to a “squatter” who applies for a trademark in the name of a famous or well-known person or…

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How to Set up a WFOE in 2017

Categories: Business In China, China 101, Foreign Direct Investments | By Peter Pang

  In 2016, China’s government passed a new foreign investment law (the Foreign Invested Enterprises Law) designed to make the PRC a more attractive environment for foreign investors.  In connection with this new law, the Chinese government, through the Ministry of Commerce (MOFCOM), also issued new regulations regarding the formation and registration of wholly foreign-owned…

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Employee Handbooks in China: Why You Should Have One

Categories: Blog, Business In China, China 101, Labor and Employment Law | By Peter Pang

In many Western countries, written employee handbooks have been standard practice for most employers for decades. These handbooks provide a uniform set of guidelines that the employer follows in terms of employee dress codes, vacation policies, procedures and grounds regarding discipline and termination of employees, and a whole host of other issues that may arise…

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Withdraw from China: Can It Be Done?

Categories: Business In China | By Peter Pang

Although it may seem sheer lunacy to some due to the rapid growth of the Chinese economy in recent decades, particularly with its status as the world’s second largest economy, some iconic Western brands have found themselves unable to achieve any success in the Chinese market. This has led some Western brands to pull out of…

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Independent Contractors in China: Worth the Risk?

Categories: Business In China | By Peter Pang

As its economy has evolved China’s labor laws have also evolved.  While independent contractors, an increasingly common trend in the United States and Japan, the world’s first and third largest economies, respectively, continue to embrace this model with increasing enthusiasm, this labor model has not taken off in the same way in China.  This is…

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Franchising in China: An Excellent Business Opportunity But One Not to Take Lightly

Categories: Business In China, China 101, Foreign Direct Investments | By Peter Pang

Franchising American restaurants in China was recently in the news amid reports that fast food giant McDonald’s has sold its mainland China and Hong Kong businesses to a consortium between the state-owned Chinese conglomerate Citic and the American private equity giant Carlyle Group for $2.03 billion. Among the key points of the deal was that…

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Should You Be Legal Representative in China?

Categories: Business In China, China 101, Foreign Direct Investments | By Peter Pang

Under Chinese law, every company must have a legal representative when starting a company or opening a new business in the PRC.  A company’s legal representative is the individual who serves as the legal embodiment of the company’s interests for purposes of the Chinese government.  His or her name appears on the company’s business license…

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Should You Register Your Trademark in Chinese?

Categories: Business In China, Foreign Direct Investments, Intellectual Property | By Peter Pang

Many foreign businesses are reluctant to register their brand name into Chinese, assuming that the brand will be recognizable, distinctive, and protected by one trademark filing. In reality, it is critical to ensure that the trademark name is also registered in Chinese. To begin with, it is important to understand that if the trademark is…

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