Know why it is important to consult with an experienced China business lawyer at the time of suing a Chinese company.

Drafting a solid contract with a Chinese company is the first step to successfully suing it. When suing a Chinese company, the first thing you should do is to carefully draft the suit papers with an experienced China business lawyer.

Angry businessman talking to his crying female assistant

Business disputes between a Chinese company and a foreign firm are quite common. Knowing the process of how to sue a Chinese company should be your first priority. If you don’t have the knowledge, it is a good idea to hire a China business lawyer with extensive knowledge of dealing with China litigation cases.

 

When it comes to suing a Chinese company in Mainland China, the US and the European firms face no jurisdictional restriction. Articles 3 and 237 of the PRC’s Civil Procedure Law grant the Chinese court’s jurisdiction over international cases involving foreign plaintiffs against Chinese companies.

 

There 3 things you must know about suing a Chinese company

 

1- Where to sue?

Jurisdiction will usually be the first issue you will need to resolve in figuring out your litigation strategy against a Chinese company. Before attempting to sue a Chinese company, make sure that you qualify to use the Chinese court system. Review your case and compare it to the guidelines that a local Chinese court offers. If you are unsure, consult with an attorney.

 

2- Sue in what language?

Your English document must be translated into Chinese first by the authorized party. Some Chinese courts don’t enforce English language contracts at all. It is extremely important that you preserve all records that have any relationship to the case.

 

3- Determine the claims

Determine what claims you have and what type of damages you are interested in. Damages can take many forms, such as monetary compensation or a replacement product. This may seem obvious, but you need to have a genuine legal claim or “cause of action” in order to have a court support your position.

 

Drafting a solid contract with a Chinese company is the first step to successfully suing it. It is essential to set what will happen under which conditions. The US and the European firms will often have a standard contract, which is unlikely to be optimal when engaging in business with Chinese companies. Make sure your China attorneys really understand the case. And they need to work closely with you to ensure you understand the Chinese legal system and its nuances and processes.

 

You need to draft your suit papers in the right way. If the information in suit papers is incorrect in any way, China company may move to dismiss the action in its entirety. When suing a Chinese company, the first thing you should do is to carefully draft the suit papers with an experienced China business lawyer.

 

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A general idea of China’s New Copyright Law & It’s Significance

PRC National Copyright of Administration (CNAC) is responsible for nationwide copyright registration, including in provinces, autonomous regions, and municipalities. This Law is enacted, in accordance with the Constitution for the purposes of protecting the copyright of authors in their literary, artistic and scientific works and rights and interests related to copyright, of encouraging the creation and dissemination of works which would contribute to the building of an advanced socialist culture and ideology and to socialist material development, and of promoting the development and flourishing of socialist culture and sciences.

For the purpose of Copyright Law,the term “works” includes works of literature, art, natural science,social science,engineering technology and the like which are created in the following forms:

  • written works
  • oral works
  • musical, dramatic, and choreographic works
  • Works of fine art and photographic works
  • cinematographic, television and video-graphic works
  • drawings of engineering designs and product designs, and descriptions thereof
  • maps,sketches and other graphic works
  • computer software
  • other works as provided for in law and administrative rules and regulations

 

Are there any specific provisions of your copyright laws that address the digital exploitation of works? Are there separate statutory provisions that do so?

Information network transmission rights are covered by the Copyright Law. Moreover, the Regulation on Protection of Information Network Transmission Right specifically addresses this issue. According to the Article 6 Reg. A copyright shall subsist on the date when a work is created.

 

  • Prima facie proof of ownership. Generally favored over testimonial evidence of copyright ownership
  • Lowers evidentiary red tape (notarization, etc)
  • Can be used to strengthen claims of infringement, including to secure takedown from websites
  • Particularly critical if using copyright as a back up to other forms of intellectual property protection

 

Copyright owners and the obligees related to copyright may authorize a collective management organization of copyright to exercise the copyright or the rights related to copyright. The collective management organization of copyright may, after being authorized, claim rights in its own name for the copyright owners and the obligees related to copyright, and may, as a party concerned, participate in the litigation and arbitration activities involved with copyright or the rights related to copyright.

A collective management organization of copyright shall be a non-profit organization, and the method of its establishment, its rights and obligations, the collection and distribution of the royalty for copyright licensing, as well as the supervision and management over it shall be separately provided by the State Council. Copyright owners or owners of the rights related to the copyright may authorize collective copyright administration organizations to exercise their copyright or rights related to the copyright.

Upon authorization, a collective copyright administration organization may exercise the copyright or the rights related to the copyright in its own name for the copyright owner or the owner of the rights related to the copyright and participate as a party in legal or arbitration proceedings concerning the copyright or the rights related to the copyright.

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