[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” padding_top=”50″ css_animation=””][vc_column][vc_column_text]<\/p>\n
[\/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]1. Cybersecurity: New Draft on Security Assessment of Cross-Border Data Transfer<\/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]The Cyberspace Administration of China (\u201cCAC\u201d) recently issued Measures on Security Assessment of Cross-Border Data Transfer (Draft for Comments), which is seeking public comments till November 28, 2021 (the \u201cDraft\u201d).<\/p>\n According to the Draft, not all cross-border data transfers in China are requested to make an application at CAC for a mandatory security assessment, only under the following five circumstances shall the data processor file an application at CAC:[\/vc_column_text][vc_empty_space][vc_single_image image=”43203″ img_size=”full” qode_css_animation=””][vc_empty_space][vc_column_text]Upon application for security assessment at CAC, the result of security assessment shall be notified to the data processor in writing, and the result shall be valid for two years. A new application shall be submitted again 60 working days prior to the expiry of the valid term.<\/p>\n Any violation of this Measures shall be subject to the sanctions regulated in the Cyber Security law, Data Security Law and Personal Information Protection Law2<\/a><\/sup>.<\/p>\n (http:\/\/www.cac.gov.cn\/2021-10\/29\/c_1637102874600858.htm<\/a>)[\/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]2. Anti-Monopoly Law: Comments Solicited for PRC Anti-Monopoly Law<\/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]Recently, draft amendment to the Anti-Monopoly Law was issued for soliciting public comments till November 11, 2021 (the \u201cDraft\u201d).<\/p>\n Hereunder are two takeaways of the Draft:<\/p>\n (1) Vertical agreements for resale price<\/strong><\/p>\n According to PRC Anti-Monopoly Law, the following vertical agreements are prohibited:<\/p>\n \u2460 Agreement restricting the minimum price<\/strong> for resale to a third part<\/p>\n \u2461 Agreement fixing the price<\/strong> for resale to a third party<\/p>\n Currently, the Draft newly adds that:<\/p>\n For the above two vertical agreements for resale price, they will not be prohibited if the business operators can prove that they do not have the effect of excluding\/limiting competition<\/strong>3<\/a><\/sup>.<\/p>\n (2) Control on digital platforms<\/strong><\/p>\n Digital platform industry grows fast in China and many corresponding monopolistic misconducts occurred these years4<\/a><\/sup>. To ensure the healthy development of the platform operators, the Draft clarifies that \u201cplatform operators shall not eliminate or restrict competition by abusing data, algorithm, technology, capital advantages or platform rules\u201d.<\/p>\n (http:\/\/www.npc.gov.cn\/flcaw\/userIndex.html?lid=ff8081817ca258e9017ca5fa67290806<\/a>)[\/vc_column_text][vc_column_text]As always, Asiallians remains at your service and our teams are currently mobilized in all our offices in Mainland China, Hong Kong and Taipei.<\/p>\n <\/p>\n 1.<\/a> The definition of important data is not fixed yet. According to the article 3.2 of the Draft Guidelines for the Identification of Important Data (Draft for Comments): \u201cImportant Data\u201d is \u201cData that exists electronically, and once tampered with, destroyed, leaked, or illegally obtained or used, may endanger national security and public interests.\u201d<\/p>\n 2.<\/a> Article 66 of Cyber Security Law: a fine up to RMB 500,000 for the enterprise; suspending relevant business operations; revoking the business license, responsible personnel to be fined up to RMB 100,000, etc.
\nArticle 46 of Data Security Law: a fine up to RMB 10 million for the enterprise; suspending relevant business operations; revoking the business license; responsible personnel to be fined up to RMB 1 million, etc.
\nArticle 66 of Personal Information Protection Law: a fine up to RMB 50 million or 5% of its annual turnover of the previous year for the enterprise; suspending relevant business operations; revoking the business license, responsible personnel to be fined up to RMB 1 million, and such persons may also be prohibited from serving as directors, supervisors, senior managers, and persons in charge of personal information protection of relevant enterprises for a certain period of time, etc.<\/p>\n