Abide by China Law

In 2003 when we first arrived in China and began our journey in the Jungle advising a Chinese shopping mall builder and operator, China was still developing it’s legal system. There were many grey areas and many different ways to comply with the myriad laws and regulations on all levels. In fact, many foreign companies had to improvise, adapt and bend in order to take advantage of low cost labor and a loose regulatory system. That often required developing relationships with local government, police and sometimes organized crime and often at the same time and in the same meetings. This is reality in developing countries. Much has changed since 2003 and while there remain grey areas, the law is the law and must be adhered to in China just like in any other country. No longer can foreigners and foreign entities come to China and operate in the grey areas – it is a recipe for disaster and imprisonment if you are the legal representative of the foreign entity or you are an executive who travels to China. This article in the South China Morning Post reminded me how things have indeed changed in China and how legal and regulatory compliance with Chinese and your home country laws are even more paramount. For more information contact us.