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United States And China Law Blog

Understanding China’s new foreign investment legislation

China’s new foreign investment law, which takes effect January 1, 2020, aims to level the playing field between domestic and foreign investors in the country. Delegates at the National People’s Congress (NPC) voted overwhelmingly in favor of the measure in March - just three months after it was introduced. Delegates proposed another version of the law back in 2015.

Important aspects of China’s Foreign Investment Law include:

Intellectual property dispute between the U.S. and China on hold

A World Trade Organization dispute panel announced Friday that the intellectual property case between the United States and China will now be on hold until December 31. According to Reuters, the United States requested the hold on the case - which challenged China’s approach to intellectual property - but did not disclose its reasons for the request.

Resolving business disputes in China

When an American business encounters a dispute with a Chinese company, the procedures for resolving the dispute are different than if they simply wanted to sue another organization in the U.S. Today, we cover the basics of resolving disputes in China.

The basic options for dispute resolution in China are the same as we find here in the United States: negotiate, arbitrate, or litigate. Below, we focus on arbitration and litigation in China.

Tips for negotiating licensing deals in China

Many businesses look to licensing deals with Chinese companies as a low-cost way to enter the Asian market. However, while an agreement to license your product in China can provide many benefits there are a few important differences between the U.S. and China that come into play.

If a business is considering a licensing deal in China, here are a few tips to keep in mind during negotiations:

New trade restrictions affect both China and America

In many business decisions, you can look at your market competition, location and customer demand to determine the probability of your success. But when you consider starting a business in China, there is much more at stake.

Many American companies manufacture their products in China because of the cost savings. But considering the current political climate, which will potentially affect trade between the United States and China, you may want to think about how new tariffs may impact a business.

U.S. companies feeling the pain of trade dispute with China

A survey released last week revealed that American companies are facing backlash in China over continuing trade disputes between the two countries. Less than two weeks after the U.S. increased tariffs on Chinese imports, nearly half of members of the American Chamber of Commerce in China reported facing retaliatory measures by the Chinese government.

Understanding proposed “China Technology Transfer Control Act”

Senator Josh Hawley (R-Mo.) introduced a bill yesterday aimed at curbing intellectual property theft and unfair trade practices in China. If passed, the China Technology Transfer Control Act would place export controls on technology and intellectual property “important to the national interest of the United States.”

In light of continued trade tensions between the U.S. and China, this new legislation is worth a second look.

How to “serve” someone in a foreign country

In today’s global economy, many companies will encounter disputes with firms in another country. Many may wonder, how does an international lawsuit begin? We often take service of process for granted in domestic lawsuits – people view it as a given. However, when international firms are involved, the rules change.

Today, we cover the procedures for international service of process – with a focus on serving defendants in China.

Chinese trademark office fights back against trademark squatters

Last week, China’s State Council adopted new trademark regulations aimed at combating bad faith registration. The amendments, based on draft regulation published by the China Trademark Office back in February, address long-standing issues of “trademark squatters” holding trademarks ransom.

Before passing these new regulations, China’s trademark system provided little protection against fraudulent trademark applications. Someone could register a trademark without proving actual use. Under the new rules, companies in the United States and across the world may be able to worry less about having their marks pulled out from under them in China.

Want to go green? Try China.

Many business owners struggle with balancing the development of a profitable product or service with taking care of the earth. And in some international business endeavors, you might find different definitions of what encompasses “going green.”

If you are committed to conducting business in an eco-friendly manner, you might be interested in the dedicated efforts taking place throughout China. Through the release of China’s new Green Industries Guidance Catalogue, you can gain an understanding of the country’s plans to increase sustainability in the world’s largest market of earth-friendly goods and services.

Shi Yan grid lawyer
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