2022 Guide to Enforce Foreign Judgments in China
Can I sue Chinese companies in a district court in California, the U.S., or in Paris, France, and then enforce a judgment in China from those courts?
Can I sue Chinese companies in a district court in California, the U.S., or in Paris, France, and then enforce a judgment in China from those courts?
Firstly, these are actions that you can take on your own in the event of a late delivery, in case you want to try to push the supplier to deliver or terminate the deal yourself before seeking professional advice.
If you know a China company’s legal name in Chinese, you can initiate an action before a court or file a complaint against it. If not, you cannot do anything.
Still undecided whether to bring a lawsuit in China?
The English name recorded in MOFCOM’s system of “Record-filing and Registration of Foreign Trade Operator” is the most accurate. The English names record-filed with Chinese banks are also relatively accurate.
Can I ask a Chinese court to order the other party to pay for my attorney’s fees?
Imagine if you buy goods from a Chinese supplier, but the deal fails and the Chinese supplier should return you the advance payment.
You may inquire about the business scope of Chinese companies registered with China’s company registration authority, and then assess whether the Chinese company transacts with you beyond its business scope.
In China, company registration numbers, also known as the ‘unified social credit numbers’, are just like the ID numbers for every company.
Under the huge trade scale, there are, inevitably, considerable purchase payment or advance payment defaults.
International business partners are getting increasingly accustomed to using WhatsApp or WeChat to reach an agreement, send orders, modify transaction conditions and confirm performance.
Although Chinese companies do not have legal names in English, they may file a standard name in English with the competent Chinese authority.
Compared with debtors in your own country, when debtors in China do not pay, you will encounter many different challenges and consequences.
If you contract with a Chinese company, you’d better have its legal representative sign the contract. This is because he/she holds the core power of the company and will also be responsible for the company.
In China, the Certificate of Registration for Chinese companies is also called Business License (营业执照, Ying Ye Zhi Zhao).
You can check the Company’s Capital in China’s National Enterprise Credit Information Publicity System.
Problems faced by trade dispute settlement are uncertain and therefore more complex, while debt collection only concerns the collection of a specific undisputed debt.
A Chinese company with larger registered capital, especially paid-in capital, usually has larger scale and stronger ability to perform contracts. However, its registered capital or paid-in capital isn’t necessarily equal to its actual assets at a certain point of time.
You can find a Chinese company’s registration information on China’s national enterprise credit information publicity system via the link below.
International debt collection can be a complex, drawn-out process, particularly when you don’t understand Chinese, can’t come to China, and know nothing about China’s legal and judicial system.