Understanding China’s new Company Law

We are excited to announce an upcoming webinar that will provide valuable insights into the extensive amendments made to China's Company Law, as published on December 29, 2023. With the new law's implementation scheduled for July 1, 2024, it is imperative for foreign-invested firms to understand the implications for their subsidiaries in China, especially in light of the approaching December 31, 2024 deadline for compliance.

We have the privilege of welcoming expert speakers from Rödl & Partner to delve into the extensive amendments made. They will provide an in-depth analysis of the key amendments in the new Company Law. Additionally, they will highlight the obligatory requirements for older companies to reassess their organizational form, structure, and more, under the revised law.

English Session

o Date: February 29, 2024

o Time: 3pm – 4:30pm (Chinese time)

o With: Rödl & Partner, Mr. Ralph Koppitz and Mr. Sebastian Wiendieck

Registration:

Please register for these enlightening sessions by following this link:

o English session on 29.02.2024: https://app.glueup.cn/event/42736/register/

We look forward to your participation in these informative sessions and to assisting your company in navigating these significant legal changes.

Following you find more information about the specific content that will be presented during the webinar:

• Capitalization rules, encompassing a five-year capitalization window, transition rules, the right of third-party creditors to prompt capital contributions, the possibility to convert debt claims into equity, and new verification obligations of the board of directors.
• New internal structures, with the option to establish an "audit committee" within the Board and consider the incorporation of companies without a supervisory board/individual supervisor.
• Mandatory employee representation, ranging from new mandatory board positions in larger companies to involvement during restructuring.
• Restructuring landscape, covering merger, split, equity transfer, capital increase and reduction, as well as liquidation. This includes a discussion on pre-emption rights, more robust enforcement rules, transferee liabilities, and shareholders' rights to prompt share repurchases.
• Potential liabilities of legal representatives, directors, and more, spanning, among other things, related transactions, the formation process, and wrongful profit distribution.
• Formalities, from legal representative resignations to electronic decision-making, ensuring valid shareholder/board decisions.