Morrison Foerster is an international law firm with lawyers practicing throughout the United States, Asia, and Europe. Click to discover more.

mofo_share_image.jpg

Morrison Foerster

favicon.ico

favicon-16x16.png

favicon-32x32.png

apple-touch-icon.png

MoFo Favicons

Terms / Notices

Cookies

Privacy Policy

Attorney Advertising

Secure Login

Alumni

  Facebook

MoFo Facebook

  Linkedin

MoFo LinkedIN

Twitter

MoFo Twitter

YouTube

MoFo Youtube

Morrison Foerster - Footer

You have not solved the recaptcha challenge yet or session expired, try again.

Disclaimer

Unsolicited e-mails and information sent to Morrison & Foerster will not be considered confidential, may be disclosed to others pursuant to our <a href="https://www.mofo.com/about/privacy-policy.html">Privacy Policy</a>, may not receive a response, and do not create an attorney-client relationship with Morrison & Foerster. If you are not already a client of Morrison & Foerster, do not include any confidential information in this message. Also, please note that our attorneys do not seek to practice law in any jurisdiction in which they are not properly authorized to do so.

Feedback

mofo-logo-2022.svg

People

Capabilities

Resources

About

Culture

Offices

Careers

Stay Connected

On 24 December 2021, the NPC Standing Committee published the Company Law of the People’s Republic of China. If adopted, the draft amendment would mark the first major overhaul of the law since 2013 and the first update of any kind since 2018.

NPC Standing Committee Circulates Draft Amendment to Company Law

About Morrison Forester

people-default-header-desktop.jpg

people-default-header-mobile.jpg

Default Meta Data

On 24 December 2021, the NPC Standing Committee published the Company Law of the People’s Republic of China. If adopted, the draft amendment would mark the first major overhaul of the law since 2013 and the first update of any kind since 2018.In the <a href="https://uk.practicallaw.thomsonreuters.com/w-034-6124?originationContext=document&transitionType=DocumentItem&contextData=(sc.Default)&ppcid=1e3a27639e974cf9940e85642439c770&comp=pluk" rel="noopener noreferrer" target="_blank">February edition of GC Agenda China</a> (subscription required), Morrison & Foerster partner Paul McKenzie commented on the draft that, “The proposed amendment contemplates a major overhaul of rules governing the capitalization, financing, governance and dissolution of companies in China. These changes would provide shareholders with far greater flexibility in the structuring of companies than the current Company Law offers. Depending on when Company Law amendments are finalized, foreign investment enterprises having only recently benefitted from liberalisations effected by the Foreign Investment Law might have an opportunity to make additional changes to their structure even before the five-year transition period under that law expires at the end of 2024. But take note. Not all the changes are liberalisations. For example, the amendments contemplate requiring that any company with more than 300 employees include an employee representative on its board of directors.”