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When transitioning between manufacturers in China, ensuring the security of your molds and toolings is paramount. These assets are essential for your production process, and safeguarding them requires a comprehensive understanding of legal ownership and rights. This guide provides detailed insights into the key legal considerations to keep in mind during this critical transition. Ownership […]

A supply agreement is a fundamental contract that dictates the terms under which goods are supplied from a seller to a buyer. For businesses operating in China, ensuring that these agreements are enforceable under local law is crucial. This article explores the key components necessary to create an enforceable supply agreement in China, highlights the

When conducting business in China, it is crucial to ensure that contracts are clear, enforceable, and legally robust. A key strategy to achieve this is by drafting contracts in Chinese and having them legally verified according to Chinese laws and jurisdiction. The Chinese legal system prioritizes contracts written in the local language, making this practice

Introduction In today’s competitive global marketplace, trademarks are crucial in establishing brand identity and consumer trust. However, entering the Chinese market presents unique challenges, particularly due to the phenomenon of trademark squatting and the complexities involved in Original Equipment Manufacturer (OEM) relationships. This article delves into the mechanisms of trademark squatting and its impacts, especially

In international business, utilizing intermediaries based in Hong Kong and Macau for transactions involving mainland Chinese manufacturers has become common. These intermediaries offer streamlined transactional processes, such as payment collection and invoice issuance, but they also introduce a web of legal complexities and risks. Understanding these risks is crucial for businesses looking to engage in

In the complex arena of international trade, particularly with Chinese manufacturers, choosing the right shipping terms is a critical decision that can impact the entire supply chain. Two common terms that businesses often grapple with are EXW (Ex Works) and CIF (Cost, Insurance, and Freight). Each has its own set of benefits and drawbacks, and

In the globalized business environment, engaging with international partners is crucial for growth and competitiveness. China, as one of the largest economies and manufacturing hubs in the world, presents vast opportunities. However, entering into business agreements with Chinese companies requires meticulous due diligence, especially regarding their legal track record. Scrutiny of their history of adhering

Changing the legal representative of a company in China is a multifaceted process that demands careful planning, thorough documentation, and a deep understanding of legal requirements. This guide provides a detailed walkthrough of the essential steps and considerations to ensure a smooth transition. Step-by-Step Procedure 1. Obtain a Company Resolution The journey begins with securing

Foreign companies seeking to leverage the manufacturing capabilities of Chinese original equipment manufacturers (OEMs) often face significant intellectual property (IP) risks. These risks, if not properly managed, can lead to substantial financial losses, reputational damage, and the erosion of competitive advantages. The primary IP risks include unauthorized overproduction, counterfeiting, unauthorized subcontracting, component substitution, design violations,

When engaging in business operations in China, particularly those involving intellectual property (IP) and manufacturing, it is essential to navigate the complexities of the local legal landscape. One crucial tool for safeguarding business interests in these dealings is the NNN (Non-Disclosure, Non-Use, Non-Circumvention) contract. Here, we delve into ten key reasons why adapting NNN contracts