The 2023 Company Law not only governs new companies established after its effective date, but also has significant implications on companies existing as of its effective date. Yet, the implementation of quite many articles is still subject to further interpretation and/or guidance of the Chinese aut...
small LLCs have the option to appoint one to two supervisors instead of establishing a board of directors. In the case of JVs, it’s common for practical considerations to lead to the appointment of two supervisors, with each side (Chinese and foreign shareholders)...
Key changes to China’s 2023 company law for multinational businesses, with an emphasis on corporate governance requirements for limited liability companies.
(7) The current Company Law provides for a derivative action system, allowing shareholders to take legal action on behalf of the company if directors, supervisors and senior management personnel harm the interests of the comp...
However, with the evolution of company law practices and the maturation of investors in the Chinese market, the need to view promoters as exclusive "advocates" of a joint-stock company has gradually diminished. Additionally, in pr...
Chinese sanctions partly also recognised in Germany In severe cases, financial and criminal penalties may be imposed. Similar to German law, personal liability for directors exists in both jurisdictions. Breaching duty of care or loyalty can lead to “piercing the corporate veil,” allowing access ...
Discusses several changes to the Chinese corporate law as of March 2006. Relaxation of the requirements for company incorporation; Introduction of new rules and principles to better protect the interests of investors; Applicability of the amendments to the Chinese corporate law to foreign-invested ...
The revised Company Law aims to regulate the organization and behavior of companies, protect the legitimate rights and interests of the company, shareholders, employees, and creditors, improve the modern enterprise system with Chinese characteristics, promote the spirit of entrepreneurship, maintain social...
a这与中国新颁布实施的《公司法》中所规定的要求相比,“有限责任公司董事会为3---13人” This “the limited liability company board of directors which "Law of corporation" stipulated with the Chinese new promulgation implementation is 3---13 people” the request compares,[translate] ...
Compliance with the Company Law will entail proactive engagement with legal counsel and advisors specialising in Chinese business law. This, by extension, highlights an important point. Whilst compliance with the Company Law ...