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International Law

China Law Blog

Focuses on business law in China.
By Dan Harris and Steve Dickinson

Post Frequency: 5.3/day

Last Entry: November 04, 2020 at 13:55:07

How To Collect On A U.S. Judgment Against A Chinese Company.

Posted on August 17, 2010
We have written many times of how Chinese courts will not enforce United States judgments. Because of this, U.S. judgments have pretty much no value in China and if your only collection plan is to sue in the United States and then take your judgment to China, you are making a big mistake...

Xinjiang, China, As A Place To Go.

Posted on August 16, 2010
For years now, Beijing has been doing its darndest to encourage foreign investment in Xinjiang and for years now, it seems very little of that has been happening. My firm did some work for a German food company that was buying product from there and for an oil services equipment company that was supplying product to there and I came "this close" to going to Urumqi for a couple of depositions in a case that settled only weeks before the depositions were to occur, but that is it...

Imagining China....

Posted on August 16, 2010
I am always being asked what China is like and I usually freeze in response to that question. I could tell them that I went to three or four places in China and that they were all as different from each other as Seattle is from Kalamazoo or New York, but that would make me sound really condescending and it would not give the person asking the question any more of a clue...

SME Success In China. It's All About The People.

Posted on August 15, 2010
By Simon Malinowski, a Harris & Moure 1L summer associate. Technomic Asia has done yet another excellent podcast on what it takes for Small and Medium-sized Enterprises (SMEs) to succeed in China This one is entitled, "Challenges for SMEs in China: an interview with Steve Crandall," and it focuses on the hiring of personnel in China...

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China M&A. The Extreme Basics On Due Diligence.

Posted on August 14, 2010
Been spending my Saturday deleting old e-mails and came across one that we sent to a client setting out the starting point for the due diligence we would need to undertake surrounding its stock purchase of a small to mid-sized existing China WFOE. This was the initial email where we were setting out the sorts of things we would need to do as part of the due diligence investigation to make sure that what our client thought it was buying was what it was actually buying...

Five Rules For Negotiating Your China Deal.

Posted on August 14, 2010
When an American company calls me and says they are about to go to China to "finalize" a big deal with a Chinese company, my first thought is usually along the lines of "let's talk again in three or four months." If the potential deal is with an Chinese SOE (State Owned Entity), I mentally add a month or so, and another month still if it is with a Chinese city...

The Basics Of Getting Paid When Selling To China.

Posted on August 13, 2010
I have a lawyer friend who is always saying "it's incredibly easy to get clients...what's difficult is getting paying clients." The same holds true for selling product to China. The tough part is getting paid. If you are going to sell product into China (or anywhere else internationally), you should consider employing the following to increase your chances of not getting stiffed: Secure all of the payment in advance...

On The (Not Too Deep) Meaning of China Shipping Terms.

Posted on August 12, 2010
Very clear and very helpful post up today on the China Works Blog. The post is entitled, "China shipping terms – what do they mean?" and it, not unexpectedly, explains the meaning of a handful of key shipping terms. Nothing fancy here, but it is stuff like this that matters...

China "Laws" Are Local And Don't You Forget It.

Posted on August 11, 2010
By Steve Dickinson, from "neighboring"Qingdao On August 4, 2010, the Dalian Labor and Social Security Bureau (????????????) posted on its website a new list of requirements for foreign nationals seeking employment in Chinese companies based in Dalian...

Sending Your Employee To China Again And Again. What If The Well Runs Dry?

Posted on August 10, 2010
Mega law-firm Mayer-Brown (f/k/a Mayer, Brown and Platt) just did what it calls a "bite-size" article on foreigners working in China for the home office. The article asks and then answers the following question: If a foreigner will not be employed by any PRC company, and will frequently travel to the PRC as an employee of a foreign company to deal with business in the PRC, does he/she need to obtain a work permit from the PRC authority? The answer given is that, generally, foreigners who enter the PRC for business can enter with a business visa and do not need a work permit so long as they stay three months or less...

China, Malaysia, Korea And The "Middle Income Trap."

Posted on August 10, 2010
I just learned a new term today that I know I will be using frequently in the future. The term is "middle income trap" and it crystallizes some of my previously discombobulated thoughts I have had regarding economic development. Let me explain. This new term (for me) comes from a post by Michael Schuman on Time Magazine's Curious Capitalist blog, entitled, "Escaping the middle-income trap...

An Environmental Tax Is Coming To China And My Hair Is Just Fine.

Posted on August 09, 2010
I went to Grinnell College in Grinnell, Iowa. Grinnell, Iowa is a tiny town in the middle of Iowa farm country, which is itself in the middle of the United States' farm belt. Iowa has more pigs than people. I never met anyone at Grinnell remotely involved in farming and, in fact, probably more Grinnell students came from New York City than anywhere else...

OEM Agreements With Your China Supplier. Not Just For The Big Boys.

Posted on August 05, 2010
A good portion of my law firm's work comes from China outsourcing consultants. The smart ones are sure to tell their clients they need to register their trade names in China and have a China lawyer draft their OEM agreements with their China suppliers...

On The State Of The China Blogosphere.

Posted on August 03, 2010
I know I am really late to this party, but I did not get around to listening to this until tonight, and now that I have, I have to recommend it. The "it" is a podcast discussion, entitled, "Death of the China Blog," between veteran bloggers Kaiser Kuo, Will Moss and Jeremy Goldkorn, in an always lively no-holds barred discussion/lamentation on the history of China blogging and its present...

THE Book On The FCPA, Including China.

Posted on August 03, 2010
New York mega-firm Hughes Hubbard & Reed (home of eDiscovery guru and friend Ross Lipman) has just come out with its incredibly current, helpful and thorough "FCPA/Anti-Bribery Mid-Year Alert 2010" (h/t The FCPA Blog). If you are doing business in or with China or with any foreign country, you must put this Mid-Year Alert on your reading list and then you must actually read it...

No China Translation. What Were You Thinking?

Posted on August 02, 2010
The other day I was stressing to a client how important it is to have a lawyer translate any Chinese-English contract and to emphasize that, I told him of two very similar situations involving United States companies that had fallen way down on their translations...

Rising China Wages, Industrial Clusters, And Cambodia.

Posted on August 02, 2010
Andrew Batson, one of the Wall Street Journal's best and most experienced China journalists (and that is truly saying a lot) has written an important article, entitled, "Rising Wages Rattle China's Small Manufacturers." "Important" is not an exaggeration...

China's Property Bubble. Bad For Business?

Posted on August 01, 2010
China's major city property prices have been going really crazy of late, after having gone just crazy for years. As one would expect, there are two camps regarding China real estate. There are those who see it as a bubble that can and will pop any day now and there are those who say prices are just playing catch up and there is plenty of value to be had...

China's Middle/Upper Class. A Lot Richer Than The Official Statistics Indicate.

Posted on July 31, 2010
Fascinating post (graph, really) over at China Tells, entitled, "The Mystery of China's Grey Income." The post discusses a recent academic study finding household income in China is actually double that which is officially reported and for those earning at the top 10% of Chinese society, the real income is 2...

China Business Regulation Rising.

Posted on July 31, 2010
Neither I nor my firm have ever represented a Chinese company within China. There are many reasons for that, chief among them that we are not licensed Chinese lawyers and it makes no sense to use American lawyers for domestic Chinese legal work. I mention this by way of explaining why we lack knowledge of how the Chinese government treats its domestic Chinese companies...

Bribery In China. Does Your Home Country Even Care?

Posted on July 30, 2010
Transparency International just came out with its most recent report on country enforcement levels against foreign bribery (h/t China Bystander). In other words, this is a report on how actively various countries enforce their laws against engaging in bribery overseas...

Giving Gifts In China. Giver Beware.

Posted on July 28, 2010
The China Law Insight blog did an excellent post a few months back on the legal perils of gift giving in China. The post is entitled, "Offering Gifts of Travel and Entertainment in China - What if the Recipient is a State Functionary," and it nicely sets out the risks of giving business gifts...

Chinese Branding. From Moribund To ....?

Posted on July 27, 2010
As just about everyone knows by now, Chinese companies are generally not terribly good at marketing and sales, particularly in the United States. For every Haier or Lenovo, there have to be at least ten thousand Chinese companies with good products with no really differentiation from their competitors...

Shanghai As Global Financial Center, Or Just Another Seoul/Tokyo?

Posted on July 27, 2010
Excellent and thought-provoking article at Knowledge@Wharton, entitled, "Turning Shanghai into a Global Financial Hub: So Much to Do, So Little Time." The article focuses on Shanghai's very public plans to become an International Financial Center by 2020 and debates whether that is going to happen: While Shanghai might be big, can it be international? A new Goldman Sachs report titled, 'Shanghai in 2020: Asia's Financial Centre,' argues that although the city will gain in importance, it is more likely to 'become a large domestic market rather than a broader regional market...

Why China Companies Are A Litigation Mark (As In Sucker), Part II.

Posted on July 26, 2010
The other day, in a post entitled, "Why United States Lawsuits Against Chinese Companies Are Trending Up. Just Follow The Money," I talked of how U.S. lawsuits against Chinese companies are rapidly increasing. That post posits various reasons why this is the case, focusing mostly on increased US-China trade and on an increase in Chinese companies with U...

Ten Reasons Chinese Companies Fail In The United States.

Posted on July 23, 2010
Had a piece published yesterday on the Forbes China Tracker, entitled, "Ten Reasons Chinese companies fail in the U.S." I reprise the Forbes article below and then I add to it by discussing a very insightful e-mail exchange I had in response to it. A couple of years ago, I did a post on my blog listing my 10 reasons why Chinese companies were failing in the United States...

Why United States Lawsuits Against Chinese Companies Are Trending Up. Just Follow The Money.

Posted on July 23, 2010
I hate when I have to be vague for attorney-client reasons, but at the same time, I also hate not writing on something really pressing and important. The problem is that the times I have to get vague often correspond with those times when I have important and current information...

Fear The China Joint Venture And Front-Load Your China Licensing Agreements.

Posted on July 22, 2010
The China Economic Review just published a piece on China business relationships by Andrew Hupert, a professor of negotiation at NYU in Shanghai. The article is entitled, "Trouble in commercial paradise," and its thesis is that Chinese companies usually view their relationships with Western companies as short-term...

China Supply Agreements. Why The "Perfect" OEM Agreement Should Cost Less.

Posted on July 20, 2010
My firm virtually always uses flat fee billing for China OEM supply agreements. We have done so many of these that we pretty much know the range of time one of these will take, even allowing for the required customization and the normal back and forth negotiating that will go on between our client and the Chinese supplier...

On The State Of China State Secrets.

Posted on July 19, 2010
China Economic Review just published an article by CLB co-blogger, Steve Dickinson, entitled, "Chinese Walls." Steve starts out his article by discussing the inherent tension between China's desire to manage "economic information" while at the same time wanting to move to becoming a "modern market economy...

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