Close a Business in China

Legal due diligence should be conducted before signing a business contract, initiating a lawsuit, making an investment in a company, or lending money to a business client. This will help protect your business interests and ensure compliance.

A Demand Letter is a formal notice usually prepared by a lawyer on behalf of a client requesting another party to take a specified action or stop specified wrongdoing before a specific date.

The purpose of a Demand Letter is to inform another party that it or he has breached a contract or otherwise violated the sender’s rights. It is a step before a more serious legal action such as litigation to resolve the dispute in a more collaborative way.

Yes, you can use the same Severance Agreement to lay off or terminate employees in different regions in China. However, it is strongly suggested to inform the service lawyer to be aware of each city or province where you will dismiss employees. The reason is that the lawyer will take specific local employment regulations into consideration if they vary when drafting the agreement for you.

It would be much better if you could use an NDA tailor-made for a particular country where it is intended to be enforced in the future. An NDA drafted by an experienced lawyer in China can make sure your NDA signed with a Chinese company is enforceable against that company at a Chinese court if anything goes wrong .