One of the more sophisticated and costly scams we see is what we call the "investing in your business to steal your IP scam." We see this scam maybe 4-5 times a year, mostly before they happen and mostly before the company realizes a scam is about to take place.
In our initial post, Russia's War Will Impact Your China Business, we talked about why there would be an impact. That post was less than a week ago, but since then we have become more certain that Russia's war will impact your China business and we now view that impact as likely to be even greater than what we posited it would be just days ago.
Russia's invasion of Ukraine starkly illustrates the risk of cozying up to China, which Latam governments and countries should heed.
The international community's strong repudiation of Russia's invasion of Ukraine highlights the risks of snuggling up to autocracies, in particular those with military adventurism in mind. As governments and companies in Latam increase their China exposure, they should be mindful of these risks, with Chinese characteristics.
Russia's war will impact your China business. We live in an interconnected world and what is happening with Ukraine will impact doing business with China. It's just a question of how and by how much. In this post and in its follow-up post, I will discuss how Russia's war against Ukraine is likely to impact doing business in and with China and what you can do to try to minimize that impact.
Listen HERE or stream on Spotify, Apple Podcasts, Amazon Music, Stitcher, or Soundcloud! At Harris Bricken, we keep close tabs on what is happening around the world, and we know that our friends and clients do, as well. We are happy to provide this podcast series: Global Law and Business, hosted by international attorneys Fred Rocafort and Jonathan Bench, where we look
This post sets out the four most important steps you should take to protect your IP from China. These steps will minimize the likelihood of you having a China IP problem and maximize your chances of prevailing should such a problem actually arise.
A few weeks ago, we did a webinar on moving manufacturing from China to Mexico. To watch the webinar, go here. To see the Powerpoints from the webinar, go here.
During the webinar we promised to post answers answers to questions we were asked but were unable to answer during the webinar. The below are an initial set of questions and answers. We will follow up with a part 2, with more questions and answers, in a few days. These questions are in no particular order. We received a number of questions that were very particular to a company or an industry and we will not be answering those questions on here, but if you email us, we will do so to the extent possible.
This post explains how to protect your product from China when having your product made in China.
One of the first things our international manufacturing lawyers do when working with a company having products made in China is to figure out the contracts and IP registrations that will ensure our client's intellectual property and other rights will be protected against its Chinese manufacturer and the rest of the world.
Not surpisingly, our China lawyers have been getting a ton of questions on how to close a China WFOE.
It is difficult and time consuming to form a WFOE in China. As you might expect, the procedure for shutting down a WFOE is also subject to formal procedures and regulations. You cannot simply abandon your company; PRC law requires a formal de-registration procedure be followed for the shutting down of all companies. The most important part of this de-registration process is a formal liquidation of the company, similar to a Chapter 7 bankruptcy proceeding under U.S. law. Many foreign investors figure they have already suffered enough from Chinese bureaucracy so they avoid this formal process and simply abandon their WFOE. In taking this course of inaction, they assume there will be an administrative dissolution and that will be the end of the matter.
They are wrong.