{"id":36639,"date":"2020-09-28T00:42:27","date_gmt":"2020-09-28T00:42:27","guid":{"rendered":"http:\/\/asiallians.com\/en\/?p=36639"},"modified":"2020-09-28T07:13:37","modified_gmt":"2020-09-28T07:13:37","slug":"china-legal-update-ncp-three-categories-valid-chinese-residence-permit-holder-may-enter-china-without-new-visa","status":"publish","type":"post","link":"https:\/\/asiallians.com\/en\/china-legal-update-ncp-three-categories-valid-chinese-residence-permit-holder-may-enter-china-without-new-visa\/","title":{"rendered":"China legal update: NCP: Three Categories of Valid Chinese Residence Permit Holder May Enter China without New Visa"},"content":{"rendered":"

[vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”center” background_image_as_pattern=”without_pattern” padding_top=”50″ padding_bottom=”50″ css_animation=””][vc_column css=”.vc_custom_1517373139965{background-image: url(http:\/\/asiallians.com\/wp-content\/uploads\/2018\/01\/Picture1.png?id=18554) !important;}”][vc_empty_space][vc_column_text]I. NCP: Three Categories of Valid Chinese Residence Permit Holder May Enter China without New Visa<\/span><\/strong>1<\/a><\/sup>[\/vc_column_text][vc_empty_space height=”70px”][\/vc_column][\/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”left” background_image_as_pattern=”without_pattern” css_animation=””][vc_column][vc_column_text]On September 23, 2020, PRC Ministry of Foreign Affairs and PRC National Immigration Administration jointly rolled out the policy:<\/p>\n

From September 28, 2020, foreign nationals holding\u00a0valid Chinese residence permits<\/strong><\/em>\u00a0for<\/p>\n

\u2022 work;<\/p>\n

\u2022 personal matters; and<\/p>\n

\u2022 reunion<\/p>\n

are allowed to enter China\u00a0without applying for new visas<\/strong><\/em>.<\/p>\n

If the above three categories of residence permits held by foreign nationals expired after March 28, 2020, the holders may apply for relevant visas by presenting the expired residence permits and relevant materials to the Chinese embassies or consulates.<\/p>\n

As always, PRC authorities will adopt strict epidemic prevention and control measures on the oversea visitors.<\/p>\n

Asiallians will keep a close eye on the development of entering policy issued by PRC authority which is evolving rapidly currently and update you promptly.[\/vc_column_text][\/vc_column][\/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”center” background_image_as_pattern=”without_pattern” padding_top=”50″ padding_bottom=”50″ css_animation=””][vc_column css=”.vc_custom_1517373139965{background-image: url(http:\/\/asiallians.com\/wp-content\/uploads\/2018\/01\/Picture1.png?id=18554) !important;}”][vc_empty_space][vc_column_text]II. Legal News: Provisions on the Protection of Trade Secrets (Draft) Released by SAMR for Public Comments<\/span><\/strong>[\/vc_column_text][vc_empty_space height=”70px”][\/vc_column][\/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”left” background_image_as_pattern=”without_pattern” css_animation=””][vc_column][vc_column_text]On September 4, 2020, PRC State Administration for Market Regulation (\u201cSAMR\u201d) rolled out Draft Provisions on the Protection of Trade Secrets (the \u201cDraft\u201d)2<\/a><\/sup>\u00a0for public comments.3<\/a><\/sup>\u00a0The comment period will expire on October 18, 2020.<\/p>\n

Currently, the protection over trade secret under PRC laws are spread out among various laws, including but not limited to the Anti-Unfair Competition Law (in accompany with the Supreme People\u2019s Court judicial interpretation), the Contract Law (mainly about technology contract and contract negotiation), the Labor Contract Law (mainly about non-competition clause), the Company Law and the Criminal Law. Once the Provisions are issued and become effective, the protection over trade secrets in China will possess more legal basis.<\/p>\n

We summarize the most catching contents worth your attention:<\/p>\n

I. Perfecting the Definition of Trade Secret<\/strong><\/p>\n

Trade Secret is defined as information meeting all of the following conditions4<\/a><\/sup>:<\/p>\n

1. not publicly known5<\/a><\/sup>;<\/p>\n

2. possesses commercial value6<\/a><\/sup>;<\/p>\n

3. subject to appropriate confidentiality measures7<\/a><\/sup>\u00a0undertaken by the right holder8<\/a><\/sup>;<\/p>\n

4. belongs to the category of<\/p>\n

a) technical information9<\/a><\/sup>,<\/p>\n

b) operational information10<\/a><\/sup>,\u00a0or<\/strong><\/em><\/p>\n

c) other business information11<\/a><\/sup><\/p>\n

II. Refining the Infringement of Trade Secret<\/strong><\/p>\n

The main types of infringement actions listed in the Draft includes:<\/p>\n

1. illegal obtaining<\/strong>: business operator illegal obtaining trade secrets by theft, bribery, fraud, coercion, electronic intrusion, or other improper means12<\/a><\/sup>;<\/p>\n

2. disclosing or using<\/strong>: business operator disclosing, using, or allowing others to use the business secret illegally obtained13<\/a><\/sup>;<\/p>\n

3. violating confidential obligation<\/strong>: business operator violating confidential obligation by disclosing or using business secret14<\/a><\/sup>;<\/p>\n

4. violating restrictive use obligation<\/strong>: business operator violating restrictive use obligation by unauthorized using or disclosing15<\/a><\/sup>;[\/vc_column_text][\/vc_column][\/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”center” background_image_as_pattern=”without_pattern” padding_top=”50″ padding_bottom=”50″ css_animation=””][vc_column css=”.vc_custom_1517373139965{background-image: url(http:\/\/asiallians.com\/wp-content\/uploads\/2018\/01\/Picture1.png?id=18554) !important;}”][vc_empty_space][vc_column_text]III. Specifying the Administrative Enforcement<\/span><\/strong>[\/vc_column_text][vc_empty_space height=”70px”][\/vc_column][\/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”left” background_image_as_pattern=”without_pattern” css_animation=””][vc_column][vc_empty_space][vc_single_image image=”36627″ img_size=”full” qode_css_animation=””][vc_empty_space][vc_column_text]The Draft lays out the other aspects around administrative enforcement, including the rule of admissibility of evidence,21<\/a><\/sup>\u00a0evidence preservation,22<\/a><\/sup>suspending the administrative enforcement to launch civil litigation,23<\/a><\/sup>\u00a0and judicial transfer to criminal procedure,24<\/a><\/sup>\u00a0etc.<\/p>\n

Here is the coordination mechanism among administrative enforcement, civil litigation, and criminal procedure provided in the Draft:[\/vc_column_text][vc_empty_space][vc_single_image image=”36627″ img_size=”full” qode_css_animation=””][vc_empty_space][vc_column_text]IV. Strengthening the Legal Liability\u00a0<\/strong><\/p>\n

Under Article 21 of PRC Anti-Unfair Competition Law, the business operator\u00a0seriously<\/strong><\/em>\u00a0infringing trade secret faces a\u00a0fine ranging from RMB 500, 000 to RMB 5 million<\/strong><\/em>.<\/p>\n

The Draft further explain the \u201cserious circumstances<\/strong><\/em>\u201d includes:28<\/a><\/sup><\/p>\n

\u2022 the right holder suffers the loss caused by the infringement of trade secret exceeding RMB 500,000;<\/p>\n

\u2022 the infringer gains profits exceeding RMB 500,000 due to the infringement of trade secrets;<\/p>\n

\u2022 the infringement causes bankruptcy of the right holder;<\/p>\n

\u2022 the infringer refuses to compensate the loss suffered by the right holder;<\/p>\n

\u2022 the network and computer data of the right holder\u2019s office system are seriously damaged by the electronic intrusion;<\/p>\n

\u2022 the infringement causes serious economic loss or huge adverse impact to the State and society;<\/p>\n

\u2022 other circumstances may be considered as serious.<\/p>\n

Please also be advised that companies suffering trade secret infringement may file civil litigation against alleged infringer for damages and injunctions or seek for criminal penalty imposed on infringer by reporting to PRC authorities (once public security bureau accept the right holder\u2019s complaint or judicial transfer, it undertakes the investigation) under PRC judicial system.<\/p>\n

Here is the brief comparation between the administrative action and civil litigation:[\/vc_column_text][vc_empty_space][vc_single_image image=”36627″ img_size=”full” qode_css_animation=””][vc_empty_space][vc_column_text]Trade secrets are cited as the primary intellectual property concern by most companies doing business in China. The Draft shows the trend that PRC authorities pay more attention to the protection over trade secrets. Foreign-invested companies may benefit from this trend by proactively engaging the protection of their trade secrets.<\/p>\n

Should you have any inquire about the details of the Draft or any comments waiting to be heard, please contact us at\u00a0asiallians@asiallians.com<\/a>. As always, Asiallians remains at your service and our teams are currently mobilized in all our offices in Mainland China, in Hong Kong and in Taipei.<\/p>\n

 <\/p>\n

1.<\/a>\u00a0https:\/\/www.nia.gov.cn\/n741440\/n741542\/c1344669\/content.html<\/a><\/span><\/p>\n

2.<\/a>\u00a0Please note that the Draft is administrative regulation which is inferior to law in legal force under PRC jurisdiction.<\/p>\n

3.<\/a>\u00a0http:\/\/www.samr.gov.cn\/hd\/zjdc\/202009\/t20200904_321386.html<\/a><\/p>\n

4.<\/a>\u00a0Article 5 of the Draft.<\/p>\n

5.<\/a>\u00a0Article 6 of the Draft lists the exceptions to \u201cnot publicly known\u201d.<\/p>\n

6.<\/a>\u00a0Article 7 of the Draft defines the \u201ccommercial value\u201d and lists the prima facie evidence.<\/p>\n

7.<\/a>\u00a0Article 8 of the Draft lists the qualified \u201cappropriate confidentiality measures\u201d.<\/p>\n

8.<\/a>\u00a0Article 9 of the Draft defines the \u201cright holder\u201d.<\/p>\n

9.<\/a>\u00a0Article 5 of the Draft defines the \u201ctechnical information\u201d.<\/p>\n

10.<\/a>\u00a0Article 5 of the Draft defines the \u201coperating information\u201d.<\/p>\n

11.<\/a>\u00a0Article 5 of the Draft defines the \u201cother business information\u201d.<\/p>\n

12.<\/a>\u00a0Article 12 of the Draft describes several circumstances which may constitute as \u201cimproper means\u201d.<\/p>\n

13.<\/a>\u00a0Article 13 of the Draft defines the \u201cdisclosing\u201d or \u201cusing\u201d.<\/p>\n

14.<\/a>\u00a0Article 14 of the Draft lists some circumstances stipulating \u201cconfidential obligation\u201d.<\/p>\n

15.<\/a>\u00a0Article 15 of the Draft lists some circumstances stipulating \u201crestrictive use obligation\u201d.<\/p>\n

16.<\/a>\u00a0Article 20 of the Draft.<\/p>\n

17.<\/a>\u00a0The Draft follows the Anti-Unfair Competition Law to impose confidential obligations on relevant PRC authorities. However, both of them have fatal deficiency\u2014not providing sanctions for the violations accordingly.<\/p>\n

18.<\/a>\u00a0In reality, the burden to present a fairly complete set of evidence may discourage a foreign-invested company to seek for administrative enforcement.<\/p>\n

19.<\/a>\u00a0Article 21 of the Draft lists some qualified evidential materials.<\/p>\n

20.<\/a>\u00a0Article 22 of the Draft.<\/p>\n

21.<\/a>\u00a0Article 23 of the Draft.<\/p>\n

22.<\/a>\u00a0Article 25 of the Draft.<\/p>\n

23.<\/a>\u00a0Article 26 of the Draft.<\/p>\n

24.<\/a>\u00a0Article 27 of the Draft.<\/p>\n

25.<\/a>\u00a0Article 26 of the Draft<\/p>\n

26.<\/a>\u00a0Article 27 of Draft<\/p>\n

27.<\/a>\u00a0Article 29 of the Draft
\nAccording to the Draft, AMR may mediate the matter besides impose fines or other administrative penalty on infringer<\/p>\n

28.<\/a>\u00a0Article 31 of the Draft<\/p>\n

29.<\/a>\u00a0Article 17 of the Anti-Unfair Competition Law<\/p>\n

 <\/p>\n

\n

Feel free to contact asiallians@asiallians.com<\/strong><\/a> for more information.<\/p>\n

[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n","protected":false},"excerpt":{"rendered":"

On November 11th, 2015, the sales volume of Taobao (a B2C platform owned by Alibaba Group) reached CNY 91.2 billion (around 14 billion USD), with around 680 million online deals completed and the packages delivered all across the country.<\/p>\n","protected":false},"author":5,"featured_media":23743,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[166],"tags":[],"yoast_head":"\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\n\n\t\n\t\n\t\n