The foreign - invested enterprise which is approved by the Chinese Government
to set up in Jinagsu and meets the requirments for being a legal person, after
registration has according to law the status of a legal person.
The legitimate rights and benefits of foreign - invested enterprises,
including property ownership right and disposal right of foreign investors and
their right to dispose of their legitimate income shall be protected by the
Chinese laws.
1.The government guarantees according to law the autonomy of enterprises in
management and supports them to manage their enterprises according to the
international practice. The foreign-invested enterprises, by themselves, have
the right to determine, within the scope of their approved contracts, on their
production and business plans, and to raise and use the funds, to purchase the
materials and sell their products.
2.The foreign - invested enterprise, based on their production and operation
requirement, can on their own determine the structure and size of their staff,
employ or dismiss administrative personnel at all levels.
3.The net profits distributed to the foreign investors in the
foreign-invested enterprises after having fulfilled their obligations stipulated
in the law, and the contract, the share of capital or other funds upon the
termination or expiry of the joint venture, the after-tax salaries and other
legitimate earnings of the foreign personnel in the enterprises can all be
remitted abroad.
4.The foreign - invested enterprise can insure with Jiangsu branch of the
People's Insurance Company of China or other approved organizations.
5.The Proprietary technology approved in China and provided for the
foreign-invested enterprise in Jiangsu by the foreign investors and registered
trademark are both protected by China Patent Law and Trade-mark Law. When the
right is being infringed, the injured party can ask the patent authority or the
Administration Bureau for Industry and Commerce to handle the case, or bring the
suit directly to the court.
6.The disputes, raised between the parties in joint venture or cooperative
venture during the implementation of the contract(agreement), and can not be
settled through consultation of negotiation, may be settled through arbitration
according to the relevant written arbitration agreement. If there is no written
arbitration agreement between two parties, either party can sue at people's
court for settlement.
7.The state will not nationalize or expropriate the foreign-invested
enterprises. Under extraordinary circumstances, when it is deemed necessary in
public interests, the requisition would be carried out through legal procedures
and reasonable compensation will be given accordingly.
8.The government especially encourage foreign investors to set up
export-oriented or technologically advanced enterprises and will give them, then
, the preferential treatment with respect to taxation, credit, supply of water,
electricity and gas, and telecommunication and transportation facilities.
9.The foreign-invested enterprises may appeal to relevant government
departments to solve their difficulties in the process of their investment,
construction, production, management of liquidation.
10.The rights and interests of foreign investors in China are also protected
by bilateral agreement of the investor's country, such as agreement on
investment insurance of investment protection, and agreement on avoiding double
taxation.