Month: May 2023

CHINA | Selecting a Legal Representative

The legal representative is a key role in corporate governance. Selecting the wrong person for the position can significantly expose your Chinese subsidiary to high legal risks. Often, the European or American headquarters do not conduct thorough due diligence on candidates or understand the legal liabilities of the role. Under such circumstances, an unqualified candidate…

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CHINA | Concluding Contracts Checklist

Companies concluding contracts in China shall formulate robust contractual terms for protection during a contractual dispute. At Horizons, we often find contracts missing mandatory clauses which can increase legal risks. It is crucial for companies doing business in China to construct robust contracts. In the below, we outline a checklist for companies concluding contracts in…

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CHINA | Stop Social Insurance Payments via Agents

Social insurance payments through a third-party agent without establishing a labour relationship is deemed as fraud and illegal. Several Articles issued by the Human Resources and Social Security authorities stipulate that utilising a third-party agent to pay social insurance without establishing a labour relationship between the agent paying the social insurance and the relevant individual(s)…

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