Does the “Significant damages” equal to the “Significant economic losses”?

Z was a company’s chief accountant who is responsible for accounting work. He should review reimbursement receipts as the first reviewer, then collect, bind, and double check the final reimbursement receipts after the whole review process had been accomplished. Z’s colleague L and H fabricated several diesel invoices, by which they had reimbursed RMB 640,000. During the review process, Z…

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What’s the judicial opinion regarding a claim of high liquidated damages?

In commercial transactions, the parties often agree on high liquidated damages in the contract, by which they hope that the counterparty’s behavior could be bound more effectively, and the observant party could obtain maximum relief in the event of a breach of contract. For example, in the “Agreement on Exclusive Purchase of Audio and Video Programs", Company A and Company B agreed that if…

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The right way to fire senior management personnel

Lau was the general manager of Company A. A terminated the labor contract with Lau on the grounds that the board of directors had made a resolution to dismiss him. Lau filed a labor arbitration. The labor arbitration committee, the court of first instance and the court of second instance all held that the dismissal is illegally. Why Company A lost…

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The “Provisions on Intellectual Property Credit Management of CNIPA” has been released, and those entities which have dishonest IP records would be listed in the “blacklist”

On January 24, 2022, the "Provisions on Intellectual Property Credit Management of CNIPA " (hereinafter referred to as the " Provisions") has been released and came into force on the same day. The main contents of this “Provisions” are as follows. 1. The categories of behaviors would be considered as dishonest behaviors. Article 6 of the "Provisions" clearly lists 6 categories of specific…

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How to protect anime images in China?

Speaking of anime images, several famous images might jump out of your minds, such as One Piece, Crayon Shin-chan, Pleasant Goat and Big Big Wolf. If an anime image becomes popular, it might be pirated, (Note: normally the rights holder could claim for copyright infringement, due to space limitations, this article will not go further on this aspect.), and its…

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Checklist of female employee’s various leaves in Shanghai

In order to increase the fertility rate, the national and local governments have released many favorable polices which include those welfare policies regarding fertility. Female employees have various leaves which have been adjusted from time to time. In order to help HRs, this article lists the latest regulations on various leaves in Shanghai for reference. Title Duration Remark Prenatal inspection…

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Have you gotten the new rules of the “Standard terms”?

The “Standard Terms” (“STs”) refers to the clauses which have been drafted by one party in advance for repetitive use, and would not been or could not be negotiated with the counterparty. STs is very common in telecommunication service contracts, insurance contracts, various online shopping contracts, and etc. Normally, the providers are mightier, in order to maximize their rights and…

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The use and risk management of big data

The application of internet in various fields has produced massive amount of data, such as the data from online shopping, online ticket booking, various APPs and so on, which are very valuable to many companies. For example, companies could make a better business decision through big data analysis in the process of early product development and user demand surveys; or…

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Traps of Labor Secondment

Lee signed a labor contract with Company A, an ink company, with a monthly salary of 50,000. Company A temporarily suspended production, and Lee was arranged to work for A’s affiliate Company B. During the secondment period, B paid 30,000 to Lee every month. 4 months later, Lee terminated the labor contract with the reason that A failed to pay…

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