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By Susan Ning, Huang Jing and Yin Ranran

On January 26, 2010, three GPS operators filed a complaint to the Guangdong Administration for Industry and Commerce ("Guangdong AIC") claiming that the municipal government of Heyuan city, Guangdong province ("Heyuan Government") abused its administrative power in the course of promoting the global positioning system ("GPS") for automobiles and eliminated and restricted competition in this industry.  After investigation, the Guangdong AIC officially proposed to the Guangdong Government asking for rectification of Heyuan Government’s abusive conducts.

According to news reports, after receiving the complaint, the Guangdong AIC initiated investigations and identified the following facts:
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 Continue Reading First Enforcement Action under Anti-Monopoly Law against Administrative Monopoly

by Cecilia Lou and Vincent Yu of King & Wood’s Interllectual Property Group

Service inventions created by employees ("Service Invention") are valuable intangible assets for employers, which makes it important to distinguish Service Invention from non-service invention. The Patent Law of the People’s Republic of China ("PRC Patent Law")(1)provides a rudimentary definition of Service Invention leaving many questions unanswered, such as what is the definition of "employee" for purposes of defining Service Invention, and what "tasks of the Entity" should include. Due to those uncertainties, many disputes arise as to the ownership of the right to patent inventions. This article summarizes the requirements and burden of proofs of Service Invention by analyzing actual cases, followed by a comprehensive strategy to avoid those disputes from the perspective of an employer.Continue Reading How to Interpret Service Invention in China

By Yuan Min and Kirby Carder of King & Wood’s Finance Group

With the implementation of the revised insurance law in October 2009, the China Insurance Regulatory Commission ("CIRC") turned its attention to revising the Provisions on the Administration of the Reinsurance Business ("Reinsurance Provisions" or "old Provisions") that it originally promulgated and implemented in 2005. The CIRC promulgated the revised Provisions ("new Reinsurance Provisions") in April 2010, and the measures officially came into effect on July 1, 2010. Overall, the new Reinsurance Provisions are more in depth, and provide more detailed instructions for direct insurers and reinsurers, which the CIRC probably believes will allow it to more effectively regulate the Chinese reinsurance market, and promote stable and sustainable growth of the Chinese direct insurance market.Continue Reading New Disclosure and Methodology Requirements–New Reinsurance Provisions Broaden Offerings to International Reinsurers

By Meg Utterback and Holly Blackwell of King & Wood’s Dispute Resolution Group 

 

Whether you are building a manufacturing plant, a petrochemical plant or just fitting out an office, local rules and local authorities can play a significant role in your project. Local regulations and practice varies widely, from designer and contractor qualifications to requirements for building completion. Finding the right contractors for design and construction can make the difference in completing on time and on budget.

Here are some tips to avoid common pitfalls:Continue Reading Owner Tips for Managing Construction Projects in China

By Linda Liang of King & Wood’s Corporate Group

In recent years, the All-China Federation of Trade Unions ("ACFTU") has been actively promoting the establishment of trade unions in enterprises. Many enterprises have received notices from trade unions at higher levels requiring them to set up their own unions. In addition, since last year, there have been several collective labor disputes and mass labor disturbances taking place around China, posing great challenges to the industrial relations and the human resource management of the enterprises. In view of the above, this article provides a brief summary of the latest development and characteristics of Chinese trade unions, with an aim of assisting enterprises dealing with issues they may face during the process of the establishment of trade unions.Continue Reading Latest Development and Characteristics of Chinese Trade Unions

By Linda Liang of King & Wood’s Corporate Group

The Law on Mediation and Arbitration of Labor Disputes of the People’s Republic of China ("Mediation and Arbitration Law") was adopted on December 29, 2007 and became effective as of May 1, 2008. The law has significantly streamlined China’s labor dispute mediation and arbitration regime. This article will analyze these changes by comparing the old and new systems.Continue Reading New Developments in the Mediation and Arbitration of Labor Disputes in China

Susan Ning, Ding Liang

On July 27, 2011, the National Development and Reform Commission (NDRC), the Ministry of Commerce (MOFCOM) and the State Administration for Industry and Commerce (SAIC) signed Anti-trust Memorandum of Understanding (MOU) with their US counterparts, the U.S. Federal Trade Commission (FTC) and Department of Justice (DOJ).

The MOU provides for high-level consultations among all five agencies as well as separate communications between individual agencies.  The MOU also lists several specific areas for cooperation, including:
 Continue Reading The PRC Antimonopoly Enforcement Agencies and the US Antitrust Agencies signed Antitrust MOU

Susan Ning, Ding Liang

According to officials of the National Development and Reform Commissions (NDRC), the Department of Price Supervision of NDRC was renamed as the Price Supervision and Anti-monopoly Bureau and the internal offices are under reconstruction[1].

The following is a diagram of the current State Council Anti-monopoly Enforcement Agencies’s organizational structure:Continue Reading The Department of Price Supervision of NDRC was renamed the Price Supervision and Anti-monopoly Bureau

By Huang Tao and Dai Yue of King & Wood’s Dispute Resolution Group

Lacking knowledge of and exposure to China’s judicial and arbitrational system, foreign companies usually worry about dispute resolution clauses more than any other clause in a contract. Deciding which arbitration tribunal and what arbitration rules to specify becomes a sensitive and important aspect of contract negotiations for wholly foreign owned entities ("WOFE") and cooperative joint ventures ("CJV").

Continue Reading Forum Shopping in China: CIETAC vs. UNCITRAL

By Susan Ning and Yin Ranran

On June 30, the Ministry of Industry and Information Technology ("MIIT") issued the Opinion on Regulating Conducts of Basic Telecoms Enterprises on College Campuses ("MIIT Opinion").  The MIIT Opinion governs specified conduct by basic telecom enterprises1  -in relation to unfair competition issues within college or university campuses.

Continue Reading MIIT Issues Guidance to Maintain Fair Competition Order among Basic Telecom Operators on College Campuses