Review on CEPA’s Dispute Resolution Mechanism
CEPA is an acronym for the Mainland China and Hong Kong Special Administrative Region Closer Economic Partnership Arrangement. The Investment Agreement and Agreement on Economic and Technical Cooperation (Ecotech Agreement) establishes the dispute resolution mechanism for CEPA. Between the Mainland and Hong Kong, because of political reasons, the dispute resolution part is empty for 14 years. And since mediation is part of dispute resolution, it is unnecessary to list them separately. Later, the mediation mechanism is detailed. In this article, the author will discuss the dispute resolution mechanism and mediation mechanism.
In the Ecotech Agreement, Article 19 and Article 20 stipulate the dispute resolution mechanism between the investors and the state. … Read the rest
The problem of indoor air pollution caught the public’s attention because of increasing complaints about air condition in rental houses. It started with a widely spread online accusation. A renter, an employee of Alibaba, accused Ziroom, which is one of the leading leasing companies in China, of providing a rental house that failed to meet the national standard of air quality, which allegedly killed the renter. Accordingly, “Ziroom Formaldehyde Incident” immediately became breaking news. In September 2018, 26 Ziroom renters filed a lawsuit against Ziroom in the Beijing East District Court. On November 29th, the court delivered a judgement holding that Ziroom should refund all rent, service fees and air quality testing fees.… Read the rest
XU Jing 
The Chinese securities industry has been long plagued with a problem that small investors cannot afford the high cost of seeking a remedy through litigation in securities disputes. Finally, on November 13th, 2018, the Supreme People’s Court (“SPC”) and the China Securities Regulatory Commission (“CSRC”) jointly issued Opinions on Comprehensively Advancing Establishment of Diversified Resolution Mechanism of Securities and Futures Disputes (“Opinion”) to provide a practical non-litigation channel for small investors.
This note gives a preliminary assessment of the Opinion’s securities disputes mediation mechanism. Though the latest mechanism improves the credibility and efficiency of meditation, there are still problems with its sector-based scheme, the sustainability of funding, and protection to individual investors.
A. Background… Read the rest
Copyright law is a mechanism of protecting economic and moral rights arising from creations of literature, arts, science, engineering and so on. In the mechanism, authors are granted exclusive rights, including but not limited to right to reproduce, right to distribute, right to reform, right to display publicly, right to perform by means of digital devices, right to authorize others to exercise above rights and so on. The goals of copyright law are to encourage creations of individuals, and to promote cultural creation and development of the entire society. The two goals do not always reconcile with each other. When a copyright holder seeks such protection that copyright law does not allow, various defenses against alleged infringements … Read the rest
(This drawing shows that “being put on the blacklist, a dishonest person who refuse to pay salaries to workers, is denied for applying for”government’s fund, government purchasing, biding for government project, production license, qualification examination, bank loans, market license, tax priority, honors”, copyrighted at http://www.gov.cn/xinwen/2018-08/24/content_5318132.htm)
In China, interagency coordination at the level of the central government is a great challenge. A modern government faces complicated social issues and must divide the responsibility and create agencies for specific things. The government ordinarily creates related agencies to deal with the same or similar issues, while the task for each agency is part of a larger whole.
This way, however, produces redundancy, inefficiency, gaps, and profound coordination challenges.… Read the rest
In the e-commerce market, quite a few platform operators in China – such as JD, Gome, and PDD (PinDuoDuo) – require suppliers to accept a Wide Retail Most-Favored-Nation Clause (“RMFN Clause”).This Clause requires suppliers to promise the platform that it will grant it equally favorable terms as granted to any other platform. VIP.COM,the largest e-commerce platform in South China, also uses that Clause. This article shows the anti-competitive effects of RMFN clause gravely overwhelms the pro-competitive effects. In recent years, RMFNs have been scrutinized by the US Justice Department, the European Commission, as well as the national competition authorities of various EU member states.
China is the biggest E-commerce market in the world. However, … Read the rest
Qianhai Pilot Free Trade Zone (“Qianhai”), an innovative area in Shenzhen, aims to create an effective and more transparent antitrust enforcement mechanism. Qianhai is seeking to serve as a role model for the country by improving the transparency of antitrust investigations. The Guidelines on Anti-monopoly Work (“Guideline”) promulgated by the Qianhai Management Committee (“Committee”) is a big step towards achieving this goal.
This article, divided into five sections, provides an overview of how the Guideline improves antitrust transparency. Section One explains the problem of transparency of antitrust investigation in current laws and practices. The next three sections articulate three important institutional reforms in the Guideline: clarifying investigation authority and the process before investigation, … Read the rest
A statutory damages system is indispensable to intellectual property protection in China. A draft of Shenzhen’s local government legislation, the “Regulations on the Protection of Intellectual Property Rights of Shenzhen Special Economic Zones” sparked many discussions in China’s intellectual property law community because of its proposal of maximum damages of 5 million yuan in cases where the proceeds of infringement are difficult to determine. Commentators praised the draft as the most stringent intellectual property protection regulation in Chinese history. However, the proposal was not included in the final legislation issued in early January 2019. The reason may be that a new approach is stipulated in the draft of the Fourth Amendment of Patent Law, issued … Read the rest
Responding to the social needs and central government policies, the Shenzhen government created and implemented some pilot measures in the new round of nationwide medical reform.1 They were together combined into the Luohu Model of medical reform and legislatively confirmed in the Shenzhen Special Economic Zone Medical Regulations (Regulation), which is considered to be the “basic law” of Shenzhen’s medical industry.2
This blogpost introduces the specific measures of the Luohu Model, and two crucial provisions of the Regulation:
Article 9 requires functions of different levels of institutions be reasonably divided.
Article 19 reforms the measuring of costs and payment of medical funds.3
Such provisions solidified the pilot measures tried by the Luohu government, effected to … Read the rest
This paper focuses on the protection of privacy rights under the Public Security Video Information System (Video System) in Shenzhen. Here, Video System refers to the CCTV used for the purposes of public security. Shenzhen is one of the most important cities in China and it has done much work in the construction of this System. Shenzhen has recently drafted the Shenzhen Special Economic Zone Public Security Video Information System Management Regulations (Regulations). I will discuss whether the Regulations violates people’s privacy rights in Shenzhen. The first part introduces the development of the Video System, the second part introduces the relevant privacy law in China and the third part … Read the rest