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1991

GRASSLAND LAW

Grassland Law of the People’s Republic of China

    

(Adopted at the 11th Meeting of the Standing Committee of the Sixth National People’s Congress and promulgated by Order No. 26 of
the President of the People’s Republic of China on June 18, 1985, and effective as of October 1, 1985)

   Article 1. This Law is formulated in accordance with the provisions of the Constitution of the People’s Republic of China with a view to improving
the protection, management and development of grasslands and ensuring their rational use; protecting and improving the ecological
environment; modernizing animal husbandry; enhancing the prosperity of the local economies of the national autonomous areas; and
meeting the needs of socialist construction and the people’s life.

   Article 2. This Law shall be applicable to all grasslands within the territory of China, including hills and lands covered with grass.

   Article 3. The department of farming and animal husbandry under the State Council shall be in charge of administration concerning the grasslands
in the whole country. The departments of farming and animal husbandry of the local people’s governments at the county level and
above shall be in charge of administration concerning the grasslands in their respective administrative areas.

   Article 4. The grasslands are owned by the state, that is, by the whole people, with the exception of the grasslands that are owned by collectives
in accordance with the law.

Grasslands under ownership by the whole people may be assigned to collectives for long-term use. Grasslands under ownership by the
whole people, those under collective ownership, and those under ownership by the whole people that are assigned to collectives for
long-term use may be contracted by collectives or individuals for pursuits in animal husbandry.

With respect to grasslands used by units under ownership by the whole people, the local people’s governments at the county level or
above shall register such grasslands, issue certificates to the said units after verification and thus establish their right to use
such grasslands. With respect to grasslands under collective ownership and those under ownership by the whole people that are assigned
to collectives for long-term use, the local people’s governments at the county level shall register such grasslands, issue certificates
to the collectives after verification and thus establish their right of ownership of the grasslands or their right to use them.

The right to own or use grasslands shall be protected by law and may not be infringed upon by any unit or individual.

   Article 5. If there is a need for temporary adjustments in the use of grasslands under special circumstances, such as in the event of natural
disasters, the matter shall be settled by the parties concerned through negotiation on the principles of voluntariness and mutual
benefit. Where there is a need for temporary adjustments in the use of grasslands that cross the borders of different counties,
the county people’s governments concerned shall sponsor negotiations for the settlement of the matter.

   Article 6. Disputes over the right of ownership of grasslands or the right to use them shall be settled by the parties concerned through negotiation
on the principle of mutual understanding and mutual accommodation in the interest of unity. If no agreement can be reached through
such negotiation, the disputes shall be handled by the people’s governments.

Disputes over the right of ownership of grasslands or the right to use them that arise between units under ownership by the whole
people, between units under collective ownership or between units under ownership by the whole people and those under collective
ownership shall be handled by the people’s governments at the county level or above.

Disputes over the right to use grasslands that arise between individuals, between individuals and units under ownership by the whole
people or between individuals and units under collective ownership shall be handled by the people’s governments at the township or
county level.

If the parties concerned disagree with the decision made by the people’s government, they may file a suit in a people’s court within
one month after they have been informed of the decision.

Pending the settlement of a dispute, none of the parties concerned may destroy the resources of the grasslands in question or the
facilities therein.

   Article 7. When grasslands owned by collectives are to be requisitioned for state construction the matter shall be handled in accordance with
the provisions of the Regulations Concerning Land Requisition for State Construction.

If grasslands under ownership by the whole people that are assigned to collectives for long-term use are to be used for state construction,
due compensation shall be paid to the collectives concerned and proper arrangements made for the productive pursuits and livelihood
of herdsmen with reference to the provisions of the Regulations Concerning Land Requisition for State Construction.

If grasslands in national autonomous areas are to be requisitioned or used for state construction, due consideration shall be given
to the interests of the national autonomous areas and arrangements made in favour of the economic development of those areas.

The temporary use of grasslands for state construction shall be effected in accordance with the provisions of the Regulations Concerning
Land Requisition for State Construction. When the period of use expires, the unit that has used the grasslands shall restore the
grassland vegetation.

   Article 8. The local people’s governments at various levels shall be responsible for conducting general surveys of grassland resources within
their respective administrative areas and formulating plans for the development of animal husbandry, which shall be incorporated
into the plans for national economic development, in order to improve the protection of the grasslands, promote their development
and ensure their rational use, and increase the capacity for raising livestock on the grasslands.

   Article 9. The state shall encourage scientific research in animal husbandry on the grasslands in order to raise the scientific and technological
level in this field of endeavour.

The state shall encourage the growing of grass in farming, forestry and pastoral areas and in cities and towns so as to promote the
development of animal husbandry and improve the ecological environment.

The state shall protect the ecological environment of the grasslands, to prevent and control pollution.

   Article 10. Rigorous measures shall be adopted to protect the vegetation of the grasslands; land reclamation and destruction of grasslands shall
be prohibited. Reclamation of limited stretches of grassland by users of such land must be approved by the local people’s governments
at the county level or above. Where land reclamation has already caused aridity or serious soil erosion, the local people’s governments
at the county level or above shall close the area for a limited time and order the reclaimers to restore the vegetation and defer
farming for a return to animal husbandry.

   Article 11. Persons who wish to cut shrubs, dig medicinal herbs or wild plants on the grasslands, scrape alkaline earth off the grasslands or
move away fertile soil must secure the agreement of the users of the grasslands and the approval of the people’s governments at the
township or county level; they must operate within the designated areas, fill the holes in the ground immediately after digging and
keep part of the mother plants intact.

Cutting or digging shrubs, medicinal herbs or other sand-fixation plants on desert or semi-desert grasslands or in arid areas shall
be prohibited. No one may collect rare and precious wild plants from the grasslands without the approval of a people’s government
at the county level.

   Article 12. Grasslands shall be used rationally and overgrazing prevented. Where aridity, degeneration or soil erosion occurs as a result of
overgrazing, users of the grasslands shall be required to reduce grazing and resow forage grass so as to restore vegetation. Where
man-made grasslands have already been established, extra control shall be administered; they shall be rationally managed and used
in a scientific way, so as to prevent degeneration.

   Article 13. The local people’s governments at various levels shall take measures to combat grassland pests and mice and protect those beneficial
animals and birds that feed on pests and mice.

   Article 14. The local people’s governments at various levels shall take measures to prevent and treat endemic diseases among livestock and diseases
contracted commonly by both human beings and livestock in grassland areas.

Hunters of wild animals on the grasslands shall be required to observe strictly the regulations of the local people’s governments
concerning the prevention of epidemic diseases.

   Article 15. Motor vehicle drivers shall take care to protect the grasslands when driving across them. Where there are regular highways, vehicles
may not deviate from them.

Purchasers of domestic animals shall drive and graze them along designated routes and may not contend with herdsmen over grazing grounds
or water resources.

   Article 16. Efforts shall be strengthened to prevent fires on the grasslands, implementing the principle of ” put prevention first and combine
prevention with elimination.” A responsibility system for fire prevention shall be instituted. Fire prevention rules and pledges
shall be formulated and specific periods shall be designated for fire prevention on the grasslands. During those periods, safety
measures shall be adopted and rigorously administered. When a grassland fire breaks out, masses of people should be organized promptly
to put it out, the cause of the fire and the losses sustained should be determined through investigation and the case should be handled
without delay.

   Article 17. Units or individuals that have achieved outstanding success in protecting, managing and developing the grasslands or in developing
animal husbandry on the grasslands shall be given commendation or material awards by the local people’s governments at various levels.

   Article 18. When a person’s right of ownership of grasslands or his right to use them has been infringed upon, he may apply for settlement to
the farming and animal husbandry department of the local people’s government at the county level or above. The farming and animal
husbandry department concerned shall have the power to order the infringing party to stop such infringement and compensate for the
losses sustained by the victim. The victim may also directly file a suit in a people’s court.

   Article 19. The farming and animal husbandry departments of the local people’s governments at the county level or above shall have the power
to order anyone who reclaims grassland in violation of the provisions of this Law to stop reclaiming it and restore vegetation; a
fine may be imposed in serious cases.

   Article 20. If anyone damages the vegetation of the grasslands by cutting or digging sand-fixation plants or other wild plants or by moving
away soil in violation of the provisions of this Law, the people’s governments at the township level and the farming and animal husbandry
departments of the people’s governments at the county level shall have the power to stop him and order him to restore the vegetation
and compensate for the losses. A fine may be imposed in serious cases.

   Article 21. If a party concerned disagrees with the decision on a fine or compensation as made by the relevant farming and animal husbandry
department of a local people’s government or by a people’s government at the township level, it may file a suit in a people’s court
within one month of being informed of the decision. If upon the expiration of the period a party concerned has neither filed a suit
nor obeyed the decision by paying the fine, the relevant farming and animal husbandry department of the local people’s government
or the people’s government at the township level may request the people’s court for compulsory execution.

   Article 22. The farming and animal husbandry department under the State Council shall, in accordance with this Law, formulate rules for its implementation
and shall submit them to the State Council for approval before they are put into effect.

The standing committees of the people’s congresses of autonomous regions and provinces may formulate rules for the implementation
of this Law in accordance with the provisions of the Constitution and the principles laid down in this Law and in the light of the
characteristics of their respective localities, and they shall submit the rules to the Standing Committee of the National People’s
Congress for the record.

   Article 23. This Law shall come into force as of October 1, 1985.

    





INTERPRETATION OF SOME POLICY MATTERS BY THE MINISTRY OF FINANCE REGARDING THE INTERIM PROVISIONS FOR THE COLLECTION OF CONSOLIDATED INDUSTRIAL AND COMMERCIAL TAX AND ENTERPRISES INCOME TAX

EMERGENCY ANNOUNCEMENT OF THE MINISTRY OF FOREIGN ECONOMIC RELATIONS AND TRADE OF THE PEOPLE’S REPUBLIC OF CHINA ON LICENSING CONTROL OF THE QUOTA COMMODITIES-LIVE PIGS, LIVE CATTLE AND FRESH EGGS-EXPORTED TO HONG KONG AND MACAO

REGULATIONS CONCERNING RESIDENT IDENTITY CARDS

Regulations of the PRC Concerning Resident Identity Cards

    

(Effective Date 1985.09.06)

   Article 1. These Regulations are formulated in order to prove the identity of residents, facilitate citizens’ social activities, maintain public
order and guarantee citizens lawful rights and interests.

   Article 2. Chinese citizens who have reached the age of 16 and who reside in the People’s Republic of China shall obtain by application a resident
identity card of the People’s Republic of China in accordance with the provisions of these Regulations.

Soldiers of the People’s Liberation Army and members of the People’s Armed Police Force who are in active service shall dispense with
resident identity cards; instead they shall have servicemen’s identity cards or armed policemen’s identity cards issued to them respectively
by the Central Military Commission of the People’s Republic of China and the General Headquarters of the Chinese People’s Armed Police
Force.

   Article 3. The items to be registered in a resident identity card shall include name, sex, nationality, birth date and address.

These items shall be registered in the standard language used throughout the country.

In a national autonomous area, the organ exercising autonomy may decide to use at the same time the language of the minority nationality
concerned or to choose one of the languages commonly used in the area, depending on the specific local condition.

   Article 4. There are three different terms of validity of resident identity cards: 10 years, 20 years and an indefinite number of years. Those
in the 16 to 25 age bracket shall be issued resident identity cards valid for 10 years; those in the 26 to 45 age bracket shall be
issued resident identity cards valid for 20 years; and those who are over 46 shall be issued resident identity cards valid indefinitely.

   Article 5. Public security organs shall be responsible for the printing, issuance and control of resident identity cards.

   Article 6. Citizens shall apply for resident identity cards from the residence registration organs at the places where their permanent residence
is registered, and shall go through the prescribed procedures for applying for and obtaining such cards.

   Article 7. An overseas Chinese who returns to China for permanent residence shall, when going through the formalities of residence registration,
apply for a resident identity card.

   Article 8. When the term of validity of a resident identity card has expired, or the items registered in it need be modified or corrected,
or the card has been so seriously damaged that what is registered becomes illegible, the bearer shall report the matter and apply
for replacement with a new card according to the relevant provisions; those who have lost their identity cards shall report the loss
and apply for new ones.

   Article 9. Citizens who are enlisted in active service shall hand in their resident identity cards when going through the formalities to cancel
their resident registration; when they retire from active service, they shall have their resident identity cards back or apply for
new ones.

   Article 10. If persons who are sentenced to criminal detention, fixed-term imprisonment or more severe punishment or who are undergoing rehabilitation
through labour, as well as those who are held in custody, have not yet applied for resident identity cards, they shall not be issued
such cards during the period when they are serving their sentences or undergoing rehabilitation through labour, or are held in custody;
those who have already obtained their resident identity cards shall, according to stipulations, be divested of their cards by the
executing organs. All these persons shall, upon their release or termination of rehabilitation through labour, apply for resident
identity cards or get their original ones back.

   Article 11. Citizens leaving the country who are required to cancel their residence registration shall hand in their resident identity cards
when going through formalities for such cancellation.

   Article 12. When a citizen dies, the public security organ shall revoke his or her resident identity card.

   Article 13. When performing its duties, the public security organ shall have the power to examine a citizen’s resident identity card, and the
citizen shall not refuse to be examined.

When on-duty public security personnel examine citizens’ resident identity cards, they shall produce their own service cards. The
public security organ shall not withhold a citizen’s resident identity card except for a person who is subject to coercive measures
under the Criminal Procedure Law of the People’s Republic of China.

   Article 14. When handling matters involving their political and economic rights and interests as well as their rights and interests in social
life, citizens may produce their resident identity cards to prove their identities. The relevant units may not withhold their resident
identity cards or demand to take them as security.

   Article 15. Those who come under one of the following categories shall be penalized in accordance with relevant provisions of the Regulations
of the People’s Republic of China Concerning Security Control and Punishment:

(1) those who refuse examination of their resident identity cards by a public security organ;

(2) those who transfer or loan their resident identity cards to others;

(3) those who use resident identity cards other than their own; and

(4) those who wilfully damage others’ resident identity cards.

   Article 16. Whoever forges, falsifies or steals a resident identity card, if the circumstances are serious, shall be penalized according to
Article 167 of the Criminal Law of the People’s Republic of China.

   Article 17. Personnel of the public security organs who engage in malpractices for the benefit of their friends or infringe on citizens’ lawful
rights and interests while enforcing these Regulations shall be subject to administrative sanctions. If the circumstances of their
cases are serious enough to constitute criminal offenses, criminal responsibility shall be investigated in accordance with the law.

   Article 18. These Regulations shall not apply to aliens and stateless persons who reside in the People’s Republic of China.

   Article 19. Rules for the implementation of these Regulations shall be formulated by the Ministry of Public Security and put into effect after
being submitted to and approved by the State Council.

   Article 20. These Regulations shall go into effect on the day of their promulgation.

    





INTERIM REGULATIONS OF THE STATE COUNCIL OF THE PEOPLE’S REPUBLIC OF CHINA ON PREFERENTIAL TREATMENT TO SINO-FOREIGN JOINT VENTURES ON HARBOR AND WHARF CONSTRUCTION

REGULATIONS ON ADMINISTRATION OF TECHNOLOGY-INTRODUCTION CONTRACTS

Category  OBLIGATORY RIGHT Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1985-05-24 Effective Date  1985-05-24  


Regulations of the People’s Republic of China on Administration of Technology-introduction Contracts



(Promulgated by the State Council on May 24, 1985)

    Article 1  These Regulations are formulated with a view to further
expanding foreign economic and technological cooperation, upgrading the
scientific and technological level of the country and promoting the national
economic growth.

    Article 2  Introduction of technology referred to in these Regulations
means acquisition of technology by any corporation, enterprise, organization or
individual within the territory of the People’s Republic of China (hereinafter
referred to as the recipient) from any corporation, enterprise, organization,
or individual outside the territory of the People’s Republic of China
(hereinafter referred to as the supplier), by means of trade or economic and
technical cooperation, such as:

    1. assignment or licensing of patent or other industrial property rights;

    2. proprietary technology provided in the forms of drawings, technical
data, technical specifications, etc, such as technological processes, formulae,
product designs, quality control and management skills;

    3. technical services.

    Article 3  The technology to be introduced must be advanced and appropriate
and shall at least conform to one of the following requirements:

    1. capable of developing and producing new products;

    2. capable of improving quality and performance of products, reducing
production cost and lowering consumption of energy or raw materials;

    3. favourable to maximum utilization of local resources;

    4. capable of expanding product export and increasing earnings of foreign
exchange;

    5. favourable to environmental protection;

    6. favourable to production safety;

    7. favourable to improvement of management;

    8. contributing to advancement of scientific and technical level.

    Article 4  The recipient and the supplier shall conclude in written form a
technology-introduction contract (hereinafter referred to as the contract). An
application for examination and approval of the contract shall be submitted by
the recipient, whithin days from the date of conclusion, to the Ministry of
Foreign Economic Relations and Trade of the People’s Republic of China or to
any other agency authorized by the Ministry (hereinafter referred to as the
examining and approving authorities). The examining and approving authorities
shall decide to approve or disapprove the contract within 60 days from the date
of receipt. An approved contract shall come into effect as of the date of
approval. Contracts on which the examining and approving authorities does not
make a decision within the specified period of time shall be regarded as
approved and shall come into effect automatically.

    Article 5  The conclusion of technology-introduction contracts must comply
with the relevant provisions of the Law of the People’s Republic of China on
Economic Contracts Involving Foreign Interest and other laws.

    The contracting parties must specify in the contract the following items:

    1. contents, scope and essential description of the technology to be
introduced, and a list of patents and trademarks if they are involved;

    2. technical targets to be attained and the time limit and measures for
attaining the targets; and

    3. remuneration, composition of remuneration and modes of payment.

    Article 6  The supplier shall ensure that it is the lawful owner of the
technology to be provided and that the technology provided is complete,
accurate, effective and capable of attaining the technical targets specified in
the contract.

    Article 7  The recipient shall undertake the obligation to preserve, in
accordance with the scope and duration agreed upon by both parties, the
non-open technical secrets contained in the technology provided by the supplier.

    Article 8  The duration of the contract shall conform to the time needed by
the recipient to assimilate the technology provided and, unless specially
approved by the examining and approving authorities, shall not exceed ten years.

    Article 9  The supplier shall not oblige the recipient to accept
requirements which are unreasonably restrictive. Unless specially approved by
the examining and approving authorities, a contract shall not include any of
the following restrictive provisions:

    1. requiring the recipient to accept additional conditions which are not
related to the technology to be introduced, such as requiring the recipient to
purchase unnecessary technology, technical service, raw materials, equipment or
products;

    2. restricting the freedom of choice of the recipient to obtain raw
materials, parts and components or equipment from other sources;

    3. restricting the development and improvement by the recipient of the
introduced technology;

    4. restricting the acquisition by the recipient of similar or competing
technology of the same kind from other sources;

    5. non-reciprocal terms for exchange of improved technology between the
contracting parties;

    6. restricting the quantity, variety or sales price of products to be
turned out by the recipient with the technology acquired;

    7. unreasonably restricting the sales channels or export markets of the
recipient;

    8. forbidding the continued use by the recipient of the acquired technology
after expiration of the contract; and/or

    9. requiring the recipient to pay for or to undertake obligations for
patents which are unused or no longer effective.

    Article 10  In applying for approval of a contract, the following documents
shall be submitted:

    1. a written application for approval of the contract;

    2. copies of the contract and its translation; and

    3. documents certifying the legal status of the contracting parties.

    Article 11  Any revision or renewal of a contract shall be in accordance
with the provisions stipulated in Article 4 and Article 10 of these Regulations.

    Article 12  The authority to interpret these Regulations and to formulate
the rules for implementing these Regulations resides in the Ministry of Foreign
Economic Relations and Trade.

    Article 13  These Regulations shall enter into force as of the date of
promulgation.?






LAW OF THE PEOPLE’S REPUBLIC OF CHINA ON FOREIGN-RELATED ECONOMIC CONTRACTS

19991001

The Standing Committee of the National People’s Congress

Law of the People’s Republic of China on Foreign-related Economic Contracts

Order No.22 [1985] of President

March 21, 1985

(Adopted at the Tenth Session of the Standing Committee of the Sixth National People’s Congress, promulgated by Order No.22 of the
President of the People’s Republic of China on March 21, 1985, and effective as of July 1, 1985)

Chapter I General Provisions

Article 1

This Law is formulated with a view to protecting the lawful rights and interests of the parties to Chinese-foreign economic contracts
and promoting the development of China’s foreign economic relations.

Article 2

This Law shall apply to economic contracts concluded between enterprises or other economic organizations of the People’s Republic
of China and foreign enterprises, other economic organizations or individuals. (hereinafter referred to as “contracts”). However,
this provision shall not apply to international transport contracts.

Article 3

Contracts shall be concluded according to the principle of equality and mutual benefit and the principle of achieving agreement through
consultation.

Article 4

In concluding a contract, the parties must abide by the law of the People’s Republic of China and shall not harm the public interest
of the People’s Republic of China.

Article 5

The parties to a contract may choose the proper law applicable to the settlement of contract disputes. In the absence of such a choice
by the parties, the law of the country which has the closest connection with the contract shall apply.

The law of the People’s Republic of China shall apply to contracts that are to be performed within the territory of the People’s Republic
of China, namely contracts for Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures and Chinese-foreign
cooperative exploration and development of natural resources.

For matters that are not covered in the law of the People’s Republic of China, international practice shall be followed.

Article 6

Where an international treaty which is relevant to a contract, and to which the People’s Republic of China is a contracting party
or a signatory, has provided differently from the law of the People’s Republic of China, the provisions of the international treaty
shall prevail, with the exception of those clauses on which the People’s Republic of China has declared reservation.

Chapter II Conclusion of Contracts

Article 7

A contract shall be formed as soon as the parties to it have reached a written agreement on the terms and have signed the contract.
If an agreement is reached by means of letters, telegrams or telex and one party requests a signed letter of confirmation, the contract
shall be formed only after the letter of confirmation is signed.

Contracts which are subject to the approval of the state, as provided for by the laws or administrative regulations of the People’s
Republic of China, shall be formed only after such approval is granted.

Article 8

Appendices specified in a contract shall be integral parts of the contract.

Article 9

Contracts that violate the law or the public interest of the People’s Republic of China shall be void.

In case any terms in a contract violate the law or the public interest of the People’s Republic of China, the validity of the contract
shall not be affected if such terms are cancelled or modified by the parties through consultations.

Article 10

Contracts that are concluded by means of fraud or duress shall be void.

Article 11

A party which is responsible for the invalidity of a contract shall be liable for the losses suffered by the other party as a result
of the contracts becoming invalid.

Article 12

A contract shall, in general, contain the following terms:

(1)

the corporate or personal names of the contracting parties and their nationalities and principal places of business or domicile;

(2)

the date and place of the signing of the contract;

(3)

the type of contract and the kind and scope of the object of the contract;

(4)

The technical conditions, quality, standard, specifications and quantity of the object of the contract;

(5)

the time limit, place and method of performance;

(6)

the price, amount and method of payment, and various incidental charges;

(7)

whether the contract is assignable and, if it is, the conditions for its assignment;

(8)

liability to pay compensation and other liabilities for breach of contract;

(9)

the ways for settling contract disputes; and

(10)

the language(s) in which the contract is to be written and its validity.

Article 13

So far as it may require, a contract shall provide for the limits of the risks to be borne by the parties in performing the object;
if necessary, it shall provide for the coverage of insurance for the object.

Article 14

Where a contract needs to be performed continuously over a long period, the parties shall set a period of validity for the contract
and may also stipulate conditions for its extension and its termination before its expiry.

Article 15

In the contract the parties may agree to provide a guaranty. The guarantor shall be held liable within the agreed scope of guaranty.

Chapter III Performance of Contracts and Liability for Breach of Contract

Article 16

A contract shall be legally binding as soon as it is established in accordance with the law. The parties shall perform their obligations
stipulated in the contract. No party shall unilaterally modify or rescind the contract.

Article 17

A party may temporarily suspend its performance of the contract if it has conclusive evidence that the other party is unable to perform
the contract. However, it shall immediately inform the other party of such suspension. It shall perform the contract if and when
the other party provides a sure guarantee for performance of the contract. If a party suspends performance of the contract without
conclusive evidence of the other party’s inability to perform the contract, it shall be liable for breach of contract.

Article 18

If a party fails to perform the contract or its performance of the contractual obligations does not conform to the agreed terms, which
constitutes a breach of contract, the other party is enpost_titled to claim damages or demand other reasonable remedial measures. If the
losses suffered by the other party cannot be completely made up after the adoption of such remedial measures, the other party shall
still have the right to claim damages.

Article 19

The liability of a party to pay compensation for the breach of a contract shall be equal to the loss suffered by the other party as
a consequence of the breach. However, such compensation may not exceed the loss which the party responsible for the breach ought
to have foreseen at the time of the conclusion of the contract as a possible consequence of a breach of contract.

Article 20

The parties may agree in a contract that, if one party breaches the contract, it shall pay a certain amount of breach of contract
damages to the other party; they may also agree upon a method for calculating the damages resulting from such a breach.

The breach of contract damages as stipulated in the contract shall be regarded as compensation for the losses resulting from breach
of contract. However, if the contractually agreed breach of contract damages are far more or far less than is necessary to compensate
for the losses resulting from the breach, the party concerned may request an arbitration body or a court to reduce or increase them
appropriately.

Article 21

If both parties breach the contract, each shall be commensurately liable for the breach of contract that is its responsibility.

Article 22

A party which suffers losses resulting from a breach of contract by the other party shall promptly take appropriate measures to prevent
the losses from becoming severer. If the losses are aggravated as a result of its failure to adopt appropriate measures, it shall
not be enpost_titled to claim compensation for the aggravated part of the losses.

Article 23

If a party fails to pay on time any amount stipulated as payable in the contract or any other amount related to the contract that
is payable, the other party is enpost_titled to interest on the amount in arrears. The method for calculating the interest may be specified
in the contract.

Article 24

If a party is prevented from performing all or part of its obligations owing to force majeure, it shall be relieved of all or part
of its obligations.

If a party cannot perform its obligations within the contractually agreed time limit owing to force majeure, it shall be relieved
of the liability for delayed performance during the aftereffect of the event.

Force majeure means an event that the parties could not have foreseen at the time of conclusion of the contract, both parties being
unable to either avoid or overcome its occurrence and consequences.

The scope of force majeure may be specified in the contract.

Article 25

The party which fails to perform wholly or in part its contractual obligations owing to force majeure shall promptly inform the other
party so as to mitigate possible losses inflicted on the other party, and shall also provide a certificate issued by the relevant
agency within a reasonable period of time.

Chapter IV Assignment of Contracts

Article 26

When a party assigns, wholly or in part, its contractual rights and obligations to a third party, it must obtain the consent of the
other party.

Article 27

In the case of a contract which, according to the laws or administrative regulations of the People’s Republic of China, is to be formed
with the approval of the state, the assignment of the contractual rights and obligations shall be subject to the approval of the
authority which approved the contract, unless otherwise stipulated in the approved contract.

Chapter V Modification, Rescission and Termination of Contracts

Article 28

A contract may be modified if both parties agree through consultation.

Article 29

A party shall have the right to notify the other party that a contract is rescinded in any of the following situations:

(1)

if the other party has breached the contract, thus adversely affecting the economic benefits they expected to receive at the time
of the conclusion of the contract;

(2)

if the other party fails to perform the contract within the time limit agreed upon in the contract, and again fails to perform it
within the reasonable period of time allowed for delayed performance;

(3)

if all the obligations under the contract cannot be performed owing to force majeure; or

(4)

if the contractually agreed conditions for the rescission of the contract are present.

Article 30

For a contract consisting of several independent parts, some may be rescinded according to the provisions of the preceding article
while the other parts remain valid.

Article 31

A contract shall be terminated in any one of the following situations:

(1)

if the contract has already been performed in accordance with the agreed terms;

(2)

if an arbitration body or a court has decided that the contract shall be terminated; or

(3)

if the parties agree through consultation to terminate the contract.

Article 32

Notices or agreements on the modification or rescission of contracts shall be made in writing.

Article 33

In the case of a contract which, according to the laws or administrative regulations of the People’s Republic of China, is to be established
with the approval of the state, any significant modification of the contract shall be subject to the approval of the authority which
approved the contract, and the rescission of the contract shall be filed with the same authority for the record.

Article 34

The modification, rescission or termination of a contract shall not affect the rights of the parties to claim damages.

Article 35

The contractually agreed terms for the settlement of disputes shall not become invalid because of the rescission or termination of
a contract.

Article 36

The contractually agreed terms for the settlement of accounts and liquidation of a contract shall not become invalid because of the
rescission or termination of the contract.

Chapter VI Settlement of Disputes

Article 37

If disputes over a contract develop, the parties shall, as far as possible, settle them through consultation, or through mediation
by a third party.

If the parties are unwilling to settle their dispute through consultation or mediation, or if consultation or mediation proves unsuccessful,
they may, in accordance with the arbitration clause provided in the contract or a written arbitration agreement reached by the parties
afterwards, submit the dispute to a Chinese arbitration body or any other arbitration body for arbitration.

Article 38

If no arbitration clause is provided in the contract, and a written arbitration agreement is not reached afterwards, the parties may
bring suit in a people’s court.

Chapter VII Supplementary Provisions

Article 39

The time limit for filing suit or applying for arbitration in a dispute over a contract for the purchase and sale of goods shall be
four years, counting from the day when the party was aware or ought to have been aware of its rights’ being infringed upon. The time
limit for filing suit or applying for arbitration in a dispute over any other contract shall be stipulated separately by law.

Article 40

If new legal provisions are formulated while contracts for Chinese-foreign equity joint ventures, Chinese-foreign contractual joint
ventures, or Chinese-foreign cooperative exploration and development of natural resources, which have been concluded with the approval
of the state, are being performed within the territory of the People’s Republic of China, the performance may still be based on the
terms of the contracts.

Article 41

This Law may apply to contracts concluded before it goes into effect if this is agreed to by the parties through consultation.

Article 42

The State Council shall, in accordance with this Law, formulate the rules for the implementation.

Article 43

This Law shall enter into force on July 1,1985.



 
The Standing Committee of the National People’s Congress
1985-03-21

 






PROVISIONS ON ADMINISTRATION OF ENTERPRISE NAME REGISTRATION

Provisions on Administration of Enterprise Name Registration

     (Effective Date:1991.09.01–Ineffective Date:)

   Article 1 These Provisions are formulated in order to strengthen the administration of enterprise name, protect lawful rights and interests
of enterprises, and maintain social and economic order.

   Article 2 These Provisions are applicable to enterprises qualified as legal persons or required to be registered according to law within China’s
territory.

   Article 3 An enterprise name, when being applied for registration by an enterprise, shall be examined and approved by the competent registration
authorities. An enterprise name can be used only after it has been approved and registered, and an exclusive right to its use shall
be enjoyed within a prescribed scope.

   Article 4 The competent registration authorities of enterprise names (hereinafter referred to as “the competent registration authorities”)
are the State Administration for Industry and Commerce and its local administrations at various levels. The competent registration
authorities may approve or reject an enterprise name registration application, supervise and administer the utilization of the enterprise
name, and protect the exclusive right to the use of enterprise name.

In accordance with the Regulations of the People’s Republic of China for Controlling the Registration of Enterprises as Legal Persons,
the competent registration authorities shall carry out gradation administration of registration of enterprise names. Names of enterprises
with foreign investment shall be approved by the State Administration for Industry and Commerce.

   Article 5 The competent registration authorities are enpost_titled to rectify the inappropriate enterprise names already registered. The competent
registration authorities at higher level are enpost_titled to rectify the inappropriate enterprise names registered by the competent registration
authorities at lower level.

Any unit or individual may require to the competent registration authorities to rectify an inappropriate enterprise name registered.

   Article 6 An enterprise is permitted to use one name only which shall not be the same as or similar to the name of an enterprise already registered
in the same trade within the jurisdiction of the competent registration authority.

For special requirements, an enterprise may use a subordinate name within a prescribed scope after obtaining an approval from the
competent registration authorities at or above the provincial level.

   Article 7 An enterprise name shall consists of the components in the following order: the shop name (or trade name, similarly hereinafter),
trade or business operation characteristics and organizational form.

An enterprise name shall be preceded by the name of the administrative area such as the province (including autonomous region and
municipality directly under the Central Government, similarly hereinafter) or the city (including prefecture, similarly hereinafter)
or the county (including district under a city, similarly hereinafter) where the enterprise is located.

Any of the following enterprises may use an enterprise name not preceded by the name of the administrative area where it is located
after obtaining approval from the State Administration for Industry and Commerce:

(1) enterprises listed in Article 13 of these Provisions;

(2) enterprises with long history and famous shop names; or

(3) enterprises with foreign investment.

   Article 8 Enterprise names shall be in Chinese characters; besides, enterprise names in national autonomous areas may be simultaneously in
the language commonly used in the locality.

Where an enterprise also uses a name in foreign language, the name in foreign language shall conform to its Chinese name and also
shall be registered with the competent registration authority.

   Article 9 Enterprise names may not contain any of the following contents or words:

(1) those being detrimental to the State and social public interests;

(2) those causing fraudulence or misunderstanding to the public;

(3) names of foreign countries (regions) and names of international organizations;

(4) names of political parties, of party, government or army departments, of people’s organizations, of social organizations or military
designations of military units;

(5) Chinese phonetic alphabet (except for those used in a name in foreign language) or figures; or

(6) those being prohibited by laws or administrative regulations.

   Article 10 An enterprise may choose its shop name. The shop name shall be composed of more than two Chinese characters.

An enterprise may use the name of the locality where it is located or that of another place as its shop name if it has proper reasons,
but it may not use the name of an administrative area at or above the county levels.

A private enterprise may use the name of its investor as its shop name.

   Article 11 An enterprise, based on its main business, shall indicate the sector in which it belongs or its business characteristics in its name
according to the classifications specified in the national trade classification standards.

   Article 12 An enterprise shall indicate its organizational form, clearly and easily to be understood, in its name in accordance with its organizational
structure or liability form.

   Article 13 Any of the following enterprises may apply for using “Zhongguo” or “Zhonghua” (both mean China) or “Guoji” (international) in its
enterprise name:

(1) national corporations;

(2) large-size import and export enterprises approved by the State Council or by its authorized bodies;

(3) large-size enterprise groups approved by the State Council or by its authorized bodies;

(4) other enterprises determined by the State Administration for Industry and Commerce.

   Article 14 Where an enterprise sets up branches, the name of the enterprise and its branches shall comply with the following requirements:

(1) When the word “general” is used in an enterprise name, the enterprise shall have three or more branches;

(2) Where an enterprise’s branch cannot bear independently its own civil responsibilities, its name shall be preceded by the name
of the enterprise to which it is affiliated, contain the words “branch of company,” “branch of factory” or “branch shop” and indicate
the trade of the branch as well as the name of the administrative area where it is located. If the trade of the branch is the same
to that of the enterprise, the trade indication may be dispensed with in the branch name;

(3) Where a branch can bear independently its own civil responsibilities, it shall use an independent enterprise name and may use
the shop name of the enterprise to which it is affiliated;

(4) A sub-branch set up by a branch that can bear independently its own civil responsibilities may not include the general enterprise’s
name in its own name.

   Article 15 The name of a joint operated enterprise may use any partner’s shop name but not the partner’s enterprise name, and shall include
the words “joint operated” or “joint.”

   Article 16 With special reasons, an enterprise may apply separately for its enterprise name registration in advance before its business operation
registration. When applying separately for the enterprise name registration in advance, the application signed by the head of the
enterprise organizing group, the draft articles of association and the approvals issued by the competent authority or an examining
and approving department shall be submitted.

   Article 17 An enterprise with foreign investment shall apply separately for its enterprise name registration in advance after getting the approvals
of its project proposal and feasibility study report, before getting the approvals of contract and articles of association. When
applying separately for the enterprise name registration in advance, the application signed by the head of the enterprise organizing
group, approvals of project proposal and feasibility study report and the certificate of its legal business operation issued by the
competent authority of the foreign country (region) where the investor comes from shall be submitted.

   Article 18 The competent registration authority shall make a decision of approval or rejection within ten days from the date of receipt of all
necessary supporting materials to the application submitted by the enterprise for a separate enterprise name registration in advance.

When the application for a separate enterprise name registration in advance is approved, the competent registration authority shall
issue to the enterprise a Certificate of Enterprise Name Registration.

   Article 19 The period of reservation for a separate registered enterprise name in advance is one year after it has been approved. An enterprise
whose preparatory period has been approved may retain its registered name until the end of the preparatory period. During the reservation
period, the enterprise may not use the reserved name for carrying out its business for profit.

The enterprise name shall automatically cease to be effective if the enterprise fails to go through the formalities for its business
operation registration. The enterprise shall hand back its Certificate of Enterprise Name Registration within ten days after the
expiry of reservation period to the competent registration authority.

   Article 20 The name used for seal, bank account, signboard and correspondence papers of an enterprise shall be identical with the registered
enterprise name. The signboard of an enterprise name of commerce, public catering or service trade may be duly simplified, only the
simplified name shall be reported to the competent registration authority for record.

   Article 21 The competent registration authority shall not approve the registration of an enterprise name if the name applied for registration
is the same as or similar to any of the following enterprise names:

(1) that of an enterprise which has been dissolved for less than three years;

(2) that of an enterprise whose business licence has been revoked for less than three years; or

(3) that of an enterprise whose registration has been cancelled for less than one year for the reasons not specified in Items (1)
and (2) of this Article.

   Article 22 An enterprise name which has been approved and registered may not be applied for a change within one year without special reasons.

   Article 23 An enterprise name may be assigned with the enterprise or parts of the enterprise.

An enterprise name may only be assigned to one enterprise. The assignor and assignee of the enterprise name shall sign a written contract
or agreement which shall be reported to the original competent registration authority for approval.

The assignor may not continue to use the assigned enterprise name after the assignment.

   Article 24 Where two or more enterprises apply for registration of one same enterprise name which is in conformity with the provisions to the
same registration authority, the authority shall examine and verify the application according to the principle of earlier application.
The enterprises shall make an agreement between them through consultation if they submit their applications on the same day; if they
fail to reach an agreement, the competent registration authority shall make its decision thereupon.

Where two or more enterprises apply for registration of the same enterprise name to different registration authorities, the registration
authorities shall examine and verify the applications according to the principle of earlier acceptance of the application. The enterprises
shall make an agreement between them through consultation if the applications are accepted on the same day. If they fail to reach
the agreement, the relevant registration authorities shall report to their common higher registration authority for a decision.

   Article 25 Where two or more enterprises dispute over one same or similar enterprise name already registered, the competent registration authority
shall make a decision according to the principle of earlier registration.

Where a Chinese enterprise and an enterprise of a foreign country (or region) dispute over an enterprise name in China’s territory
and appeal for an adjudication to a competent registration authority, the State Administration for Industry and Commerce shall make
a decision in accordance with the principles specified in the international treaties which China has concluded or participated, or
these Provisions.

   Article 26 Any of the following acts in violation of these Provisions shall be punished by a competent registration authority according to the
seriousness of the case:

(1) In the case of the use of an unregistered enterprise name in production or business operation, the cessation of operation shall
be ordered, the illegal income shall be confiscated or a fine of more than 2,000 but less than 20,000 yuan (RMB) shall be imposed;
for serious cases, the above punishments may be concurrently enforced;

(2) In the case of an unauthorized change of an enterprise name, a warning shall be issued or a fine of more than 1,000 but less than
10,000 yuan (RMB) shall be imposed and a time limit to handle change registration procedures shall be set;

(3) In the case of assigning or leasing an enterprise name without authorization, the illegal income shall be confiscated and a fine
of more than 1,000 but less than 10,000 yuan (RMB) shall be concurrently imposed;

(4) In the case of the use of an enterprise name for production or business operation during the period of its reservation or the
failure to hand back the Certificate of Enterprise Name Registration to the competent registration authority within the time limit
at the expiry of the reservation period, a warning shall be issued or a fine of more than 500 but less than 5,000 yuan (RMB) shall
be imposed;

(5) In the case of a violation of Article 20 of these Provisions, a warning shall be issued and a fine of more than 500 but less 5,000
yuan (RMB) concurrently shall be imposed.

   Article 27 Where the registered name of one enterprise is used without authorization by another enterprise or the former’s exclusive right to
use of its registered name is infringed in any other way, the infringed party may apply to the registration authority of the area
where the infringer is located for handling the case. The registration authority has the power to order the infringer to cease the
infringement and compensate the infringed party for the loss thus incurred, and to confiscate the illegal income and impose concurrently
a fine of more than 5,000 but less than 50,000 yuan (RMB).

The infringed party may bring a suit directly in the people’s court for handling a case of infringement on the exclusive right to
use of a registered name.

   Article 28 Any party dissatisfied with the specific administrative act taken by a competent registration authority under these Provisions may,
within 15 days from receipt of the decision, apply to the competent registration authority at the next higher level for reconsideration.
The competent registration authority at the next higher level shall make a decision of reconsideration within 30 days from the date
of receipt of the application. Any party dissatisfied with the decision of the reconsideration made by the said authority may file
a suit in the people’s court according to law.

If no application for reconsideration is made up to the expiration of the said period, or the decision of the reconsideration is not
accepted after the reconsideration and no suit is filed in the people’s court, the registration authority may force the enterprise
to change its name, revoke its business license and notify the bank to withhold the fine or the confiscation involved from its account
according to stipulated procedure.

   Article 29 An enterprise of a foreign country (region) may apply for registration of its name in the territory of China.

A foreign (regional) enterprise shall apply to the State Administration for Industry and Commerce for its name registration with the
submission of an application signed by its legal representative, its articles of association and a certificate of its legal business
operation issued by a competent authority of the country (region) where the enterprise comes from. The competent registration authority
shall make a preliminarily examination thereof within a period of 30 days from the date of receipt of the papers necessary for the
registration. If the application is preliminarily approved, an announcement shall be published. The period of announcement for a
foreign (regional) enterprise is six months. If no objection is filed within the period or if the objection is not justified, the
registration shall be approved and the period of reservation of the registered enterprise name shall be five years. After a foreign
(regional) enterprise name registration is approved, a Certificate of Enterprise Name Registration shall be issued by the competent
registration authority. Where a foreign (regional) enterprise intends to make a change after the registration of its enterprise name
or to extend its reservation period on its expiry, a new application for registration shall be made.

   Article 30 The registration and control of the name of an institution, business unit operated by an institution or an individual industrial
or commercial household which is to be registered with a competent registration authority shall be handled with reference to these
Provisions.

   Article 31 The continuous use of an enterprise name that has been approved and registered prior to the effectiveness of these Provisions shall
be allowed. However, a rectification is required for any such name which is in serious discord with these Provisions.

   Article 32 The Certificate of Enterprise Name Registration shall be uniformly made by the State Administration for Industry and Commerce.

   Article 33 The State Administration for Industry and Commerce is responsible for the interpretation of these Provisions.

   Article 34 These Provisions shall enter into effect as of September 1, 1991. The Interim Provisions on the Registration of Names of Industrial
and Commercial Enterprise, approved on May 23, 1985 by the State Council and promulgated on June 15, 1985 by the State Administration
for Industry and Commerce, shall annulled on the same date.

    





INTERIM PROVISIONS OF THE STATE COUNCIL ON PREFERENCES FOR THE CONSTRUCTION OF PORTS AND PIERS WITH CHINESE AND FOREIGN JOINT INVESTMENT

Category  FOREIGN ECONOMIC RELATIONS AND TECHNOLOGICAL COOPERATION Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1985-09-30 Effective Date  1985-09-30  


Interim Provisions of the State Council of the People’s Republic of China on Preferences for the Construction of Ports and Piers
With Chinese and Foreign Joint Investment



(Promulgated on September 30, 1985)

    Article 1  These Provisions are formulated with a view to expanding
economic cooperation and technological exchange with foreign countries,
speeding up the construction of ports and piers, and meeting the needs of the
socialist modernization programme.

    Article 2  All the laws, regulations, provisions, and rules governing
Chinese-foreign equity joint ventures shall apply to joint ventures running
port and pier construction projects (hereinafter called joint ventures)
established within the boundaries of the People’s Republic of China by foreign
companies or enterprises, or individual investors (hereinafter called foreign
joint venturers) on the one hand and Chinese companies or enterprises on the
other, and preferential treatment shall, in accordance with these Provisions,
be granted to them out of consideration for their huge investment amount, long
construction cycle, and narrow profit margin.

    Article 3  A joint venture may have a comparatively long contract period,
which can be as long as over 30 years. The specific period shall be fixed by
the parties to the joint venture through consultation. A joint venture may
extend the contract period at the expiration of the contract provided that the
extension is agreed upon by the parties concerned and approved by the Ministry
of Foreign Economic Relations and Trade of the People’s Republic of China or an
agency authorized by it.

    Article 4  A joint venture may recover its investment by accelerated
depreciation of its fixed assets provided that its application for the adoption
of accelerated depreciation procedure is examined by the local tax authorities
and subsequently submitted to and approved by the Ministry of Finance of the
People’s Republic of China.

    Article 5  Raw materials, loading and unloading equipment, means of
transport, and other production facilities essential for pier construction that
are imported by a joint venture with funds drawn from its gross investment
shall be exempted from customs duties and industrial and commercial
consolidated taxes.

    Article 6  A joint venture shall pay income tax at a rate of 15 percent.
Newly founded joint ventures with a contract period of over 15 years shall be
exempted from income tax for the first five years as from the first
profit-making year, and shall pay an income tax at half of the normal rate for
the subsequent five years, provided their applications for exemption and
reduction of tax are approved by the tax authorities of the provinces,
autonomous regions, or municipalities directly under the Central Government
where they are located.

    If a joint venture still finds it difficult to pay the full income tax
after the tax exemption or reduction period prescribed above expires, it may
have its tax exemption and reduction period appropriately extended with the
approval of the Ministry of Finance of the People’s Republic of China.

    Exemption and reduction of the local income tax levied on a joint venture
shall be decided by the people’s governments of the provinces, autonomous
regions, or municipalities directly under the Central Government where the
joint venture is located.

    Article 7  Profits earned by the foreign joint venturer in a joint venture
shall be exempted from income tax when they are remitted out of China.

    Article 8  The rates of charge on cargo handling and other charges on use
of facilities at a pier built by a joint venture may be fixed by the joint
venture, but shall be filed with the authorities in charge of the venture and
the local pricing authorities for the record.

    Article 9  When the foreign joint venturer of a joint venture reinvests its
share of profit from the joint venture in building new berths or piers, 40
percent of the income tax paid on the reinvested portion of its profit share
shall be refunded, provided that the new contract period is not shorter than 5
years and the foreign joint venturer’s application for refund of tax payment is
approved by the tax authorities.

    Article 10  When a joint venture is permitted to run concurrently some
other projects reqiring smaller amounts of investment, a shorter construction
cycle, and allowing a wider profit margin, the related matters shall be dealt
with in accordance with the relevant provisions in force.

    Article 11  Matters relating to port and pier construction by joint
ventures with investment of companies, enterprises, or individuals from Hong
Kong and Macao regions shall be dealt with by applying mutatis mutandis these
Provisions.

    Article 12  These Provisions shall come into force as of the date of
promulgation.?






REGULATIONS OF THE PEOPLE’S REPUBLIC OF CHINA ON THE ADMINISTRATION OF TECHNOLOGY ACQUISITION CONTRACTS

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

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