中外合作经营企业法

1、中外合作经营企业法LawofthePeoplesRepublicofChinaonChinese-ForeignContractualJointVentures(AdoptedattheFirstSessionoftheSeventhNationalPeoplesCongressonApril13,1988andpromulgatedbyOrderNo.4ofthePresidentofthePeoplesRepublicofChinaonApril13,1988;amendedaccordingtotheDecisiononRevisionoftheLawofthePeoplesRepubl

2、icofChinaonChinese-ForeignContractualJointVenturesadoptedatthe18thMeetingoftheStandingCommitteeoftheNinthNationalPeoplesCongressonOctober31,2000)Article1ThisLawisformulatedtoexpandeconomiccooperationandtechnologicalexchangewithforeigncountriesandtopromotethejointestablishment,ontheprinciplesofequali

3、tyandmutualbenefit,byforeignenterprisesandothereconomicorganizationsorindividuals(hereinafterreferredtoastheforeignparty)andChineseenterprisesorothereconomicorganizations(hereinafterreferredtoastheChineseparty)ofChinese-foreigncontractualjointventures(hereinafterreferredtoascontractualjointventures)

4、withintheterritoryofthePeoplesRepublicofChina.Article2Inestablishingacontractualjointventure,theChineseandforeignpartiesshall,inaccordancewiththeprovisionsofthisLaw,prescribeintheircontractualjointventurecontractsuchmattersastheinvestmentorconditionsforcooperation,thedistributionofearningsorproducts

5、,thesharingofrisksandlosses,themannersofoperationandmanagementandtheownershipofthepropertyatthetimeoftheterminationofthecontractualjointventure.AcontractualjointventurewhichmeetstheconditionsforbeingconsideredalegalpersonunderChineselawshallacquirethestatusofaChineselegalpersoninaccordancewithlaw.Ar

6、ticle 3 TheStateshall,accordingtolaw,protectthelawfulrightsandinterestsofthecontractualjointventuresandoftheChineseandforeignparties.AcontractualjointventureshallabidebyChineselawsandregulationsandmaynotinjurethepublicinterestsofChina.TherelevantStateauthorityshallexercisesupervisionoverthecontractu

7、aljointventuresaccordingtolaw.Article 4 TheStateshallencouragetheestablishmentofproductivecontractualjointventuresthatareexport-orientedortechnologicallyadvanced.Article 5 Forthepurposeofapplyingfortheestablishmentofacontractualjointventure,suchdocumentsastheagreement,thecontractandthearticlesofasso

8、ciationsignedbytheChineseandforeignpartiesshallbesubmittedforexaminationandapprovaltothedepartmentinchargeofforeigneconomicrelationsandtradeundertheStateCouncilortothedepartmentorlocalgovernmentauthorizedbytheStateCouncil(hereinafterreferredtoastheexaminationandapprovalauthority).Theexaminationandap

9、provalauthorityshall,within45daysfromthedateofreceivingtheapplication,decidewhetherornottograntapproval.Article 6 Whentheapplicationfortheestablishmentofacontractualjointventureisapproved,thepartiesshall,within30daysfromthedateofreceivingthecertificateofapproval,applytotheadministrativedepartmentfor

10、industryandcommerceforregistrationinordertoobtainabusinesslicense.Thedateofissueofthebusinesslicenseofcontractualjointventureshallbethedateofitsestablishment.Acontractualjointventureshall,within30daysofitsestablishment,carryouttaxregistrationwiththetaxauthorities.Article 7 IftheChineseandforeignpart

11、ies.duringtheperiodofoperationoftheircontractualjointventure,agreethroughconsultationtomakemajormodificationstothecontractualjointventurecontract,theyshallreporttotheexaminationandapprovalauthorityforapproval;ifthemodificationsincludeitemsinvolvingstatutory industry tax registration, modifications w

12、ith for industry and authorities.andcommerceregistrationortheyshallregisterthetheadministrativedepartmentcommerceandwiththetaxArticle 8 TheinvestmentorconditionsforcooperationcontributedbytheChineseandforeignpartiesmaybeprovidedincashorinkind,ormayincludetherighttotheuseofland,industrialpropertyrigh

13、ts,non-patenttechnologyorotherpropertyrights.Article 9 TheChineseandforeignpartiesshall,inaccordancewiththeprovisionsofthelawsandregulationsandtheagreementsinthecontractualjointventurecontract,dulyfulfiltheirobligationsofcontributingfullinvestmentandprovidingtheconditionsforcooperation.Incaseoffailu

14、retodosowithintheprescribedtime,theadministrativedepartmentforindustryandcommerceshallsetanothertimelimitforthefulfillmentofsuchobligations;ifsuchobligationsarestillnotfulfllledbythenewtimelimit,themattershallbehandledbytheexaminationandapprovalauthorityandtheadministrativedepartmentforindustryandco

15、mmerceaccordingtorelevantStateregulations.TheinvestmentsorconditionsforcooperationprovidedbytheChineseandforeignpartiesshallbeverifiedbyanaccountantregisteredinChinaortherelevantauthorities,whoshallprovideacertificateafterverification.Article 10 IfaChineseorforeignpartywishestomakeanassignmentofallo

16、rpartofitsrightsandobligationsprescribedinthecontractualjointventurecontract,itshallbesubjecttoconsentoftheotherpartyorpartiesandreporttotheexaminationandapprovalauthorityforapproval.Article 11 Acontractualjointventureshallconductitsoperationalandmanagerialactivitiesinaccordancewiththeapprovedcontra

17、ctandarticlesofassociationforthecontractualjointventure.Therightofacontractualjointventuretomakeitsownoperationalandmanagerialdecisionsshallnotbefreefromanyinterference.Article 12 Acontractualjointventureshallestablishaboardofdirectorsorajointmanagerialinstitutionwhichshall,accordingtothecontractort

18、hearticlesofassociationforthecontractualjointventure,decideonthemajorissuesconcerningtheventure.IftheChineseorforeignpartyassumesthechairmanshipoftheboardofdirectorsorthedirectorshipofthejointmanagerialinstitution,theotherpartyshallassumethevice-chairmanshipoftheboardorthedeputydirectorshipofthejoin

19、tmanagerialinstitution.Theboardofdirectorsorthejointmanagerialinstitutionmaydecideontheappointmentoremploymentofageneralmanager,whoshalltakechargeofthedailyoperationandmanagementofthecontractualjointventure.Thegeneralmanagershallbeaccountabletotheboardofdirectorsorthejointmanagerialinstitution.Ifaco

20、ntractualjointventure,afteritsestablishment,choosestoentrustathirdpartywithitsoperationandmanagement,itshallbesubjecttotheunanimousconsentoftheboardofdirectorsorthejointmanagerialinstitution,reporttotheexaminationandapprovalauthorityforapproval,andregisterthechangewiththeadministrativedepartmentfori

21、ndustryandcommerce.Article 13 Theemployment,dismissal,remuneration,welfarebenefits,occupationalprotection,labourinsurance,etc.ofthestaffmembersandworkersofacontractualjointventureshallbespecifiedincontractsconcludedinaccordancewithlaw.Article 14 Thestaffandworkersofacontractualjointventureshall,inac

22、cordancewithlaw,establishtheirtradeunionorganizationtocarryouttradeunionactivitiesandprotecttheirlawfulrightsandinterests.Acontractualjointventureshallprovidethenecessaryconditionsfortheventurestradeuniontocarryoutitsactivities.Article 15 Acontractualjointventureshallestablishitsaccountbookswithinth

23、eterritoryofChina,fileitsaccountingstatementsaccordingtorelevantregulationsandacceptsupervisionbytheHnancialandtaxauthorities.Ifacontractualjointventure,inviolationoftheprovisionsprescribedintheprecedingparagraph,doesnotestablishitsaccountbookswithintheterritoryofChina,theflnancialandtaxauthoritiesm

24、ayimposeafineonit,andtheadministrativedepartmentforindustryandcommercemayorderittosuspenditsbusinessoperationormayrevokeitsbusinesslicense.Article 16 Acontractualjointventureshall,bypresentingitsbusinesslicense,openaforeignexchangeaccountwithabankoranyotherHnancialinstitutionwhichispermittedbytheexc

25、hangecontrolauthoritiesoftheStatetoconducttransactionsinforeignexchange.AcontractualjointventureshallhandleitsforeignexchangetransactionsinaccordancewiththeStateregulationsonforeignexchangecontrol.Article 17 AcontractualjointventuremayobtainloansfromflnancialinstitutionswithintheterritoryofChinaandm

26、ayalsoobtainloansoutsidetheterritoryofChina.LoanstobeusedbytheChineseandforeignpartiesasinvestmentorconditionsforcooperation,andtheirguaranteesshallbeprovidedbyeachpartyonitsown.Article 18 Thevariouskindsofinsurancecoverageofacontractualjointventureshallbefurnishedbyinsuranceinstitutionswithintheter

27、ritoryofChina.Article 19 Acontractualjointventuremay,withinitsscopeofoperationapproved,importmaterialsitneedsandexportproductsitproduces.Acontractualjointventuremay,inadherencetotheprinciplesoffairnessandrationality,purchaseonboththeChineseandtheworldmarkettherawandsemi-processedmaterials,fuelsandot

28、hermaterialsitneedswithintheapprovedscopeofoperation.Article 20 Acontractualjointventureshall,inaccordancewithStateregulationsontax,paytaxesandmayenjoythepreferentialtreatmentoftaxreductionorexemption.Article 21 TheChineseandforeignpartiesshallshareearningsorproducts,undertakerisksandlossesinaccorda

29、ncewiththeagreementsprescribedinthecontractualjointventurecontract.If,upontheexpirationoftheperiodofaventuresoperation,allthefixedassetsofthecontractualjointventure,asagreeduponbytheChineseandforeignpartiesinthecontractualjointventurecontract,aretobelongtotheChineseparty,theChineseandforeignpartiesm

30、ayprescribeinthecontractualjointventurecontractthewaysfortheforeignpartytorecoveritsinvestmentaheadoftimeduringtheperiodoftheventuresoperation.Iftheforeignparty,asagreeduponinthecontractualjointventurecontract,istorecoveritsinvestmentpriortothepaymentofincometax,itshallapplytotheflnancialandtaxautho

31、rities,whichshallexamineandapprovetheapplicationinaccordancewithStateregulationsconcerningtaxes.If,accordingtotheprovisionsoftheprecedingparagraph,theforeignpartyistorecoveritsinvestmentaheadoftimeduringtheperiodoftheventuresoperation,theChineseandforeignpartiesshall,asstipulatedbytherelevantlawsand

32、agreedinthecontractualjointventurecontract,beliableforthedebtsoftheventure.Article 22 Aftertheforeignpartyhasfulfilleditsobligationsunderthelawandthecontractualjointventurecontract,theprofitsitreceivesasitsshare,itsotherlegitimateincomeandthefundsitreceivesasitsshareupontheterminationoftheventure,ma

33、yberemittedabroadaccordingtolaw.Thewages,salariesorotherlegitimateincomeearnedbytheforeignstaffandworkersofcontractualjointventures,afterthepaymentoftheindividualincometaxaccordingtolaw,mayberemittedabroad.Article 23 Upontheexpirationorterminationinadvanceofthetermofacontractualjointventure,itsasset

34、s,claimsanddebtsshallbeliquidatedaccordingtolegalprocedures.TheChineseandforeignpartiesshall,inaccordancewiththeagreementspecifiedinthecontractualjointventurecontract,determinetheownershipoftheventuresproperty.Acontractualjointventureshall,upontheexpirationorterminationinadvanceofitsterm,cancelitsre

35、gistrationwiththeadministrativedepartmentforindustryandcommerceandthetaxauthorities.Article 24 TheperiodofoperationofacontractualjointventureshallbedeterminedthroughconsultationbytheChineseandforeignpartiesandshallbeclearlyspecifiedinthecontractualjointventurecontract.IftheChineseandforeignpartiesagreetoextendtheperiodofoperation,theyshallapplytotheexaminationandapprovalauthority180dayspriorto