PRC Corporate Secretarial Practice Manual

Foreign Direct Investment has grown in first half of 2007 according to the Department of Information Technology since the promulgation of the PRC's Company Law in 2005 and effective since January 1st, 2006. It provides the legal framework for a revamp of the old Company Law with 41 new articles and 137 amended articles. 46 articles under the old Company Law were also removed.

From January to June, altogether 18,683 foreign-founded ventures were approved and established in China and during the month of June, 3,611 foreign-funded ventures were approved. According to the PRC's laws and regulations exclusively applying to FIEs, a Chinese-Foreign Equity Joint Venture (EJV) will take the form of a Chinese legal person and has the benefit of limited liability. Chinese-Foreign Contractual Joint Ventures (CJV) and Wholly Foreign Owned Enterprises (WFOE) can take any liability form with approval of approval authorities, especially Ministry of Commerce and State Administration of Industry and Commerce "SAIC". Hence, PRC's Company Law does not apply to such non-legal-person FIEs structured under CJVs and WFOEs.

The continual improvement of PRC's Company and Trade Laws since 2006 with publication of Notices and Decisions is reflected in Release Two of this Manual with significant updates to Part 6: Corporate Identity and Part 11: Merger of Domestic Company by Foreign Investment. Changes includes updates on the promulgated laws like The Interim Provisions on Mergers and Acquisitions of Domestic Enterprises by Foreign Investors , The Law of People's Republic of China on Wholly Foreign-owned Enterprises, Rules for the Implementation of the Law of People's Republic of China on Wholly Foreign-owned Enterprises, Provisions on the Merger and Acquisition of Domestic Enterprises by Foreign Investors and many more.

PRC Corporate Secretarial Practice Manual is a practical guide to all the important aspects of business administration in China. It covers the latest legislative and regulatory changes in this area and describes China's administration, legal system, government, and different types of ownership for foreign-invested businesses. It includes useful translations of sample forms and legislation, plus charts and tables to make the information easier to understand.