Legal

Choosing the Right Forum for Business Disputes in China

- Dr. Lefan Gong, Zhonglun Law Firm

In cross border transactions, it is not uncommon for parties to struggle over the dispute resolution clause. However, these negotiations often miss the important points. Some counsels are inclined to select forums that are more familiar to themselves; others insist on choosing locations that appear “neutral” to all parties (i.e., Switzerland). In neither situation is counsel adequately considering the ultimate enforceability of rights, timing and convenience of the dispute resolution process.

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The New PRC Employment Contract Law

- Armstrong Teasdale LLP

On June 29, 2007, after more than two years of drafting/deliberation and an unprecedented amount of public comment, China enacted the PRC Employment Contract Law (the “ECL”). The following article summarizes key provisions of the PRC Employment Contract Law, which became effective on January 1, 2008. The PRC Employment Contract Law has been controversial among employers in China because of its increased employee protections. It is critical for foreign investors to understand the ECL before entering into new contracts with Chinese employees.

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