- The State of Council Promulgates the Newly Amended Implementing Regulations of the Trademark Law of the People’s Republic of China
On 29 April 2014 the State Council promulgated the newly amended Implementing Regulations of the Trademark Law of the People’s Republic of China. The Regulations took effect on 1 May 2014.
The newly amended Implementing Regulations of the Trademark Law provides supplementary provisions to the new Trademark Law, in connection with renewing the trademark application division system, in which the part of any patent application that does not be refused may be registered before the refused part of the same application is completely reviewed, initiating the trademark agency filing system, clarifying legal responsibilities for illegal acts of trademark agencies, imposing tougher punishment on those who infringe others’ exclusive trademark use rights and adding a chapter entitled ‘international registration of trademarks’.
(Authorized to be published on
http://news.xinhuanet.com/legal/2014-05/01/c_1110495197_4.htm)
- Pilot Intensive Operational Management of foreign exchange funds of headquarters of multinational companies in Shanghai Free Trade Zone
On 16 May 2014 the signing ceremony was held, where twenty-one enterprises and thirteen banks signed cooperation contracts respectively, for the purpose of launching the pilot program of intensive management of foreign exchange funds of headquarters of multinational companies in Shanghai Free Trade Zone.
The pilot program of intensive operational management of foreign exchange funds for headquarters of multinational companies in Shanghai Free Trade Zone is intended to create multinational account system, optimize the simplified document review and approval procedures, facilitate financing of multinationals , introduce a negative list for capital settlement administration, improve the statistical supervision and measurement system to prevent and control risks.
Specifically the pilot program offers multinationals permission to simultaneously or independently open domestic or international foreign currency principal accounts, intensive collection and remittance of funds, netting settlement, application of the same foreign debt and loan limits to all or a part of funds in an account, removal of quota restrictions on funds transferred between international foreign currency principal accounts and overseas accounts, implementation of the voluntary capital settlement system.
(Officially published on http://finance.caixin.com/2014-05-16/100678346.html)
- China Securities Regulatory Commission Publishes IPO and GEM Listing Regulations and Provisional Regulations of GEM Listed Companies’ Securities Offerings
On 17 May 2014 China Securities Regulatory Commission published IPO and GEM Listing Regulations and Provisional Regulations of GEM Listed Companies’ Securities Offerings. The two Regulations became effective on the same day.
The IPO and GEM Listing Regulations mainly included provisions in connection with moderately lowering the entry criteria of financial indicators, nullifying the requirement of a continuous increase in profits, removing the restriction that confines GEM companies in nine major sectors, improving the merger & acquisition mechanism to encourage and promote business innovation and development.
The Provisional Regulations of GEM Listed Companies’ Securities Offerings mainly included provisions in connection with creating the non-public minority share issuance mechanism, in which applications for share issuance without being sponsored or underwritten may be filed and decisions should be made within 15 business days upon the date when such applications were filed.
With publication of the above two regulations, the IPO financial entry criteria was lowered as a continuous increase was no longer required, the confinement removed, and the listing threshold reduced, which was an incentive for the GEM listing.
(Official Website of China Securities Regulatory Commission:
http://www.csrc.gov.cn/pub/zjhpublic/G00306201/201405/t20140516_249060.htm
http://www.csrc.gov.cn/pub/zjhpublic/G00306201/201405/t20140516_249061.htm)
- The updated version of the Environmental Protection Law of the People’s Republic of China
On 24 April 2014 National People’s Congress Standing Committee published the updated Environmental Protection Law of the People’s Republic of China.
The amended Environmental Protection Law imposes tougher punishment on enterprises illegally polluting the environment by, for example, stipulating in Article 59 that enterprises, institutions and other business entities illegally emitting or discharging pollutants, who are required to pay penalties and ordered to redress their wrongdoings by administrative authorities, but refuse to abide by such orders, shall pay to the authorities who give such orders the aforesaid required penalties each day following the date when such orders are given.
(Authorized to be published on
http://news.xinhuanet.com/2014-04/25/c_126431703.htm)
- Results of A Survey Released by Coface Group Suggest Accounts Receivable of Chinese Companies Deteriorated More Sharply in 2013 than Recently Before
Results of a ‘survey on credit risk management of Chinese companies’ released by Coface Group, a globally leading credit insurance company suggested accounts receivable of Chinese companies deteriorated more sharply in 2013 than those in any one of the past three years. 80% companies were beset by overdue payments for goods accountable to their buyers. The amounts of and the duration of delay in such overdue payments were greater in 2013 than those in previous years, especially in chemical, mechanical, consumer electronics, electrical appliance, etc. sectors.
According to the survey, 82% enterprises selling products on credit had overdue receivables owed by buyers of their products in 2013, hitting the highest level over the past three years, while in 2012 the number of such enterprises was 5% smaller than that in 2013. 45% enterprises with overdue receivables owed by others complained of having more overdue receivables in 2013 than in 2012. Meanwhile, the number of days overdue was larger than before. In 2013 18% enterprises had receivables that were more than ninety days overdue, while the number of such enterprises was 5% smaller than that in 2012. Researchers are concerned that enterprises in such a situation may encounter serious cash flow problems and incur a series of chain reactions.
(For details about the survey please refer to the official website of Coface:
Lawyer Contacts
You Yunting：86-21-52134918 youyunting@debund.com/yytbest@gmail.com
Disclaimer of Bridge IP Law Commentary
Short Link: