Archive for August, 2013

China Visa Processing Changes Take Effect on September 1, 2013

September 1, 2013 will bring some much welcome changes to visa processing in China. After September 1, the processing time for visas should take no more than 15 days, according to the Ministry of Public Security.  The same 15 day time limit will also apply for changes, extensions, and replacement of residence visas.  Further, a [...]

Published by admin on August 28th, 2013 tagged Uncategorized | 1 Comment »

Chinese Visa Rules Revision Review

Chinese Visa Rules Revision Review
Some major changes to China’s visa rules took effect on July 12 of this year.  Many of you may have heard about this and are now uncertain about what the new rules are and how they apply. To date there has been much written about these changes but they can still [...]

Published by admin on August 27th, 2013 tagged Uncategorized | 34 Comments »

GENERAL INTRODUCTION TO OFFSHORE ACQUISITION & VIE STRUCTURE(III)

(continued)
Impact of SAFE Circular 75 on VIE structure acquisition
In 2006, China government promulgated SAFE Circular 75 which is intended to regulate the round-trip investment by PRC natural person or company. Under SAFE Circular 75, when a PRC founder intends to establish offshore company and then this offshore company set up a WFOE in China, the [...]

Published by admin on August 26th, 2013 tagged Uncategorized | 36 Comments »

GENERAL INTRODUCTION TO OFFSHORE ACQUISITION & VIE STRUCTURE (II)

(Continued)

Transaction documents required in an Offshore Acquisition
An offshore acquisition should at least include the following document: 1) Series A Preferred Share Purchase Agreement (“SPA”); 2) Shareholders Agreement (“SHA”); 3) Amended and Restated Memorandum and Articles of Association (“Amended M& AA); 4) Restructuring documents (which normally includes service provider agreement, intellectual property right license [...]

Published by admin on August 20th, 2013 tagged Uncategorized | 39 Comments »

General Introduction to Offshore Acquisition & VIE Structure (I)

At present, China governments put more and more off-limits on acquisition of domestic enterprise by foreign investor. Such kind of acquisition should comply with not only regulations regarding merger & acquisition, but also the laws and regulation regarding anti-monopoly and economic security review. Clearly, the aforesaid complicate examination and approval procedure increase uncertainty of the [...]

Published by admin on August 13th, 2013 tagged Uncategorized | 43 Comments »

How Much the Initial Payment for the Registered Capital of a FIE should be?

As we all know, PRC government allows a foreign investor to make capital contribution to the registered capital of a foreign invested enterprise (“FIE”) by installment. However, there are discrepancy existing in rules regarding requirement on the amount of initial payment to the registered capital.
The PRC Wholly Foreign Owned Enterprise Law Implementing Rules (revised in [...]

Published by admin on August 6th, 2013 tagged Uncategorized | 38 Comments »

Shenzhen’s New Good Samaritan Law

Every day I walk along a very busy street in Beijing to and from my place of work.  It takes me about 20 minutes each way. Usually I am walking during rush hour traffic time and I see many, many aggressively driven vehicles interacting and sometimes seemingly targeting countless numbers of pedestrians as they do [...]

Published by admin on August 6th, 2013 tagged Uncategorized | 33 Comments »

China’s Legal Evolution

As China moves inexorably forward with its economic growth and modernization, Chinese law makers are attempting to keep pace with the ever changing need to transform the country’s legal system into one that can evolve and progress with Chinese society as a whole. Chinese law makers are seeking to make the Chinese legal system more [...]

Published by jyin on August 2nd, 2013 tagged Uncategorized | 39 Comments »

Whether a company may return a dispatched employee to temp agency by relying on the ground of a material changes to the objective circumstances

Article 63 Paragraph 2 of PRC Employment Contract Law(“ECL”) give rise to the confusion of whether a company may return the dispatched employee to temp agency on the ground that the objective circumstances relied on at the time of the conclusion of the engagement contract(please note that is not employment contract) between the company and [...]

Published by jyin on August 2nd, 2013 tagged Uncategorized | 41 Comments »