Legal Articles, Foreign Investment

This article discusses how Wholly-Foreign Owned Enterprises ("WFOEs") can be successful in arbitration under Chinese Law. The China International Economic and Trade Arbitration Commission (“CIETAC”) has reported a rapid growth in commercial arbitration cases in China. Many of these arbitrations have involved WOFEs engaged in activities through the Chinese Government's the Belt and Road Initiative. If a WFOE find themselves in arbitration in CIETAC, parties to a dispute should understand the basic underpinnings of the UNCITRAL Model Law on International Commercial Arbitration of 1985 (“Model Law”). Strategies for winning arbitration include: agreeing to arbitrate in the first place; executing an enforceable arbitration clause; knowing how and when to commence an arbitration action; applying the correct substantive law; understanding the arbitrability of the case; prepare sound evidence; and ensuring the outcome of arbitration is enforceable.

This article addresses what a Wholly Foreign Owned Enterprise (“WFOE”) operating in China should do to avoid ending up in court and, if it does, how the company can maximize its chances of winning the case. WFOEs enjoy the benefits of limited liability afforded businesses and the individual rights offered under Chinese civil law. Most WFOE's will need to deal with the Chinese courts' Civil Procedure Law and also should know how the litigation will proceed substantively, such as under contract law or as a foreign party, because it will impact strategy and legal outcomes. Most high-profile WFOE cases do not end in favor of the foreign party. So an entity litigating labor and employment issues or issues likely to impact international trade will likely lose. WFOEs need to also consider alternative dispute resolution mechanisms, such as arbitration in front of the China International Economic Trade Arbitration Commission (“CIETAC”). WFOEs embroiled in litigation in China’s courts of law can maximize their chance of success by engaging skilled, knowledgeable local counsel with knowledge of both domestic and international laws.

A Disconnect Between U.S. Policy and U.S. Business

US Investment in Africa’s Oil & Power Industries

Ehrenstein|Sager Attended the 7th Annual World Conference of Abacus Worldwide

One year after the Pemex, the U.S. Second Circuit distinguished a more recent decision by confirming that annulled awards cannot be enforced.

A blog post about a case in which a Connecticut court granted a divorce to a couple who was married in Guatemala and one of the spouses had never stepped foot in Connecticut.

Ours is an international law firm, so offshore work has always been part of our practice. Lately, however, we have been moving away from recommending offshore to our US clients.

If you already have a TN Visa, you may renew your stay for three years. In fact, there is no limit on how many three-year renewals you may obtain.

Self-Determination in International Law, 12 Case Western Reserve Journal of International Law 132, 1981