China Laws as Written Versus China Laws in Real Life
Chinese laws as written do not equal Chinese law in real life. Sorry.
Reviewing China Contracts
The contracts Chinese companies provide to their foreign counter-parties are typically terrible because the Chinese company wants them to be terrible.
China LOI and MOU: Don’t Let Them Happen to You
At least once a month, an American or sometimes a British company will come to one of our China attorneys after having spent considerable time negotiating a complex transaction with a Chinese company. They then show us a Letter of Intent (LOI) or a Memorandum of Understanding (MOU) that sets out in great detail the
China Contracts That Work: Get the Company Chop Right
Avoid China contract problems with the proper company chop or seal.
How Do I Decide Which Type of Foreign Entity to Use When Taking My Company Overseas?
In two recent posts, How To Succeed When Taking Your Company Overseas and Do I Always Need to Form a Company in a Foreign Country?, I discussed some common issues companies need to wrestle with when deciding whether and how to take their company overseas. Among those are the pitfalls of having a foreign entity
Splitting Salaries of Non-Chinese Employees: The Legal and Tax Issues
Our China lawyers are often asked whether it is legal to pay non-Chinese employees from both their China WFOE and from a company outside China (usually their home country parent company). The answer is an easy yes, but the tax issues that arise from doing so are where things get really difficult and why we
China Distribution Contracts: The Basics
China Distribution Contracts: Same-Same but Different Ever since COVID, our China lawyers have been seeing a big increase in foreign companies entering into distribution contracts with Chinese distributors, due mostly to the difficulties and risks foreign companies face when they go into China directly. Many of the companies that come to us to draft their
Do You Know What Your Chinese Language Contract Says?
If you don’t know this yet after reading our blog, you should tattoo on your forearm that “there is no such thing as boilerplate in a China contract.” That’s really true for any contract. I don’t care how long or short, important or casual. The boilerplate (or standard terms and conditions) section of a contract