In most cases, termination projects are far more contentious and frequently lead to disputes. The best time to plan for termination is before signing the distribution agreement. Distribution arrangements rarely last forever — especially in China's fast-changing consumer market.
A creditor of a Chinese joint venture (JV) initiated arbitration against the JV's shareholders, arguing that it had not been properly informed of the company's liquidation and that the shareholders should be held jointly liable for the JV's debts.
A U.S. brand with growing international recognition faced trademark squatting in China when a third party registered its mark domestically in 2020. An initial invalidation action filed in 2021 was unsuccessful. A second attempt was filed in 2023.
This landmark case clarifies that in hotel management, the transfer of personal information beyond what is necessary for fulfilling the contract must be subject to separate consent from the customer, rather than relying on a general consent through the privacy policy.
Since 2025, the China National Intellectual Property Administration (CNIPA) has implemented stricter formal requirements for trademark cancellation requests based on "three years of non-use."
The PRC Labor Contract Law states that an open-term contract must be offered after two consecutive fixed-term contracts, unless the employee opts for another fixed term.
These measures aim to enhance market transparency, uphold financial order, and combat money laundering and terrorist financing activities, by mandating all companies in China – including subsidiaries of foreign companies – to disclose beneficial owner information (BOI) to Chinese authorities.
