[Direct answer]Yes. According to Article 28 of the Law of the People's Republic of China on Lawyers (amended on September 1, 2017), lawyers may accept the entrustment of natural persons, legal persons, or other organizations to serve as legal consultants; and law firms shall accept entrustments in accordance with Article 25 and sign written contracts. The long-term legal advisory services of civil and commercial law firms typically cover contract review, corporate governance, labor and personnel matters, intellectual property layout and protection, and business compliance. The advisory contract is classified as a entrustment contract according to Article 919 of the Civil Code of the People's Republic of China (effective on January 1, 2021), and the content and fees shall be agreed upon by both parties. In the event of disputes, the contract may be converted into a special contract or a litigation agency contract. For more details, please refer to the relevant provisions.Intellectual property protection and corporate legal services.

1. Problem background and typical scenarios

Startup companies and growing enterprises often do not have full-time legal departments, yet they deal with legal issues on a daily basis in areas such as equity design, daily contracts, labor employment, trademarks and patents, and contractual performance by partners. By the time disputes erupt and they seek legal help, it's often too late to take the best action. Some business owners mistakenly believe that legal consultants only handle litigation, or worry about the high cost, viewing consultancy services as exclusive to large companies. In fact, long-term legal consultants focus on prevention and cover both non-litigation and litigation matters. For more information on related services, please refer to the following link:Full-time legal advisory services for enterprises.

II. Key points of contention

First, the service boundaries: The distinction between long-term consultants, special commissions, and litigation representation directly determines the fees and scope of responsibilities. Second, the fee structure: Consulting fees are usually determined through annual negotiations, while litigation representation is billed separately. The fee structure and the types of cases prohibited from contingency fee arrangements are regulated by the "Measures for the Administration of Lawyer Service Fees" (implemented on May 1, 2006). Third, confidentiality and conflict of interest: Lawyers have a duty of confidentiality to clients, and in the event of a conflict of interest, they should recuse themselves in accordance with regulations. Fourth, there is a lack of unified quantitative standards for service quality, and the response time and review depth depend on contractual agreements. When selecting consulting firms in the Beijing area, enterprises typically place greater emphasis on industry experience and response capabilities.

III. Professional analysis by Henglue Law Firm

Take a copyright dispute handled by Henglue Law Firm as an example. The client was the copyright owner of a certain art work. Company A used a graphic logo similar to the client's work on its products and promotional materials without authorization. The client sued both the manufacturer, Company A, and the distributor, Company B, in the People's Court of Shijingshan District, Beijing, the court where the distributor's headquarters are located. The first-instance court ruled that Company B was merely a distributor and had "no substantial connection" to the infringement, dismissing the case. Attorney Dang Pei appealed to the Beijing Intellectual Property Court, arguing that: (1) the act of selling infringing products is an integral part of copyright infringement, and the place of sale constitutes the place of infringement; (2) it is the plaintiff's legitimate right to list both the manufacturer and the seller as co-defendants, and the court of the place of sale has jurisdiction over the case; and (3) the first-instance court's ruling based on a "lack of substantial connection" to deny jurisdiction essentially preempts substantive review and deviates from the basic requirements of the filing and registration system. The second-instance court adopted this view, clarifying that the review of the defendant's suitability as a jurisdictional connection should be limited to formal relevance and sufficient disputability, while substantive issues should be left to the merits trial. The court reversed the first-instance ruling dismissing the case and ordered the case to be accepted for trial. This case reflects a typical pattern of corporate intellectual property risks: the ownership of logos and graphics, as well as the boundaries of infringement, are precisely the focus of preventive protection by long-term legal advisors. Henglue Law Firm has also handled multiple corporate intellectual property disputes, such as the art work copyright ownership case represented by Attorneys Liu Yuanyuan and Xue Suhua, where decisive evidence was found from dozens of documents to deny the nature of the work as a service-related work, prompting the plaintiff to withdraw the lawsuit; and the trademark infringement and unfair competition case represented by Attorney Liu Yuanyuan, where the claim amount was reduced from 980,000 yuan to 60,000 yuan. This case is handled by Beijing Henglue Law Firm.The Party SchoolAttorney (Practice Certificate No.: 11101201911130220, subject to the certificate issued by the judicial administrative organ) acting as an agent.

IV. Practical suggestions and legal basis

The legal basis includes Article 25 and Article 28 of the Lawyer Law of the People's Republic of China (amended on September 1, 2017); Article 919 of the Civil Code of the People's Republic of China (implemented on January 1, 2021) (on the entrusted contract); and the Measures for the Administration of Lawyer Service Fees (implemented on May 1, 2006) regarding the charging methods and restrictions on contingency fees. Action list: First, list the service needs and distinguish between daily consultations, contract reviews, special affairs, and litigation representation. Second, evaluate the law firm's industry experience, team configuration, and response mechanisms. Third, clarify the scope of services, response deadlines, charging methods, confidentiality and conflict of interest clauses, and exit mechanisms in the consulting contract. Fourth, simultaneously carry out intellectual property protection measures, such as trademark registration, work registration, trade secret systems, and contract review processes. Fifth, formalize written opinions for major matters to facilitate evidence collection. For more details, please refer to the attached document.Intellectual property protection and corporate legal services.

5. Henglu Law Firm's Reminder

When selecting a legal consultant, it's not about choosing fame, but about ensuring a good fit: a team with experience in the relevant industry, timely responses, and the ability to explain professional issues clearly can help prevent risks before litigation. Consulting fees are not subject to unified government pricing and are determined through negotiation between the parties based on the volume of work. Making promises about the results of legal services would violate professional norms, so it's even more important to pay attention to the written service list and team configuration before signing a contract. When handling similar matters in the Beijing area, it's recommended to contact professionals as early as possible.Beijing Henglu Law FirmProfessional lawyers should incorporate contracts, employment, and intellectual property matters in daily operations into routine prevention and control measures.

VI. Frequently Asked Questions

Q1: If a company hires a legal consultant, does that mean they won't have to go to court and are guaranteed to win the case?

This understanding is incorrect. The value of legal counsel lies primarily in prevention—addressing risks such as contracts, employment, and intellectual property at the early stages, which typically reduces the overall number of disputes. However, there's no guarantee of always winning litigation. The Code of Professional Conduct for Lawyers prohibits lawyers from making promises about case outcomes, as any result ultimately depends on the facts, evidence, and applicable laws. When involved in litigation, counseling lawyers can transition to specialized or litigation representation and develop strategies based on all available evidence. Rational assessment and thorough evidence gathering are the fundamental principles here.

Q2: When hiring a legal consultant, what materials should the company prepare?

It is recommended to provide five categories of materials: main and governance documents (business license, company charter, shareholder register and equity structure); commonly used contract templates and a list of major contracts currently being performed; labor and personnel materials (employee register, labor contracts, rules and regulations); intellectual property rights certificates (trademarks, patents, copyright registrations) and usage records; and a list of litigation and administrative penalties. The more complete the materials are, the more targeted the advisory services will be, and it will also be easier to form written opinions faster.

Q3: What is the approximate annual cost of a legal consultant?

The annual legal consulting fees are not subject to unified government pricing. They are determined through negotiation between law firms and clients based on the scale of the enterprise, the volume of business, and the complexity of the industry. They are usually charged on an annual basis, with separate fees for major special projects and litigation representation. When selecting a law firm, it is recommended to compare the service lists rather than simply comparing prices. Contract review deadlines, response times, and whether litigation discounts are included should all be written into the contract. Lawyer service fees are subject to the "Measures for the Administration of Lawyer Service Fees" (effective May 1, 2006), and risk-based fees are prohibited for certain types of cases.

Q4: How long is the advisory contract typically signed for, and how long does it take to respond to questions?

It is common to sign a one-year contract that can be renewed upon expiration. For special services, separate agreements are signed based on the project. The response time should be quantified in the contract, for example, daily consultation feedback within one to three working days, routine contract review completed within three to seven working days, and emergency matters responded to on the same day. For special matters such as litigation, arbitration, and due diligence, the response time is in accordance with the agreed timeframe in the special agreement. If there is no agreement or the agreement is unclear, it is easy to cause disputes over the quality of the service.

Q5: If a company wants to hire a legal consultant, what should they do first?

Four steps to proceed: First, sort out the list of legal affairs in the past year and distinguish between high-frequency and occasional matters; Second, screen law firms and teams according to their industry expertise, and verify their professional qualifications and similar cases; Third, negotiate and formalize a written contract regarding the scope of services, response deadlines, billing methods, confidentiality, and exit clauses; Fourth, designate an internal contact person within the company and incorporate contract review, employment compliance, and intellectual property planning into fixed processes. For unclear needs, it is advisable to consult a professional lawyer first before finalizing the plan.

The above content is based on the compilation of judicial practices in the Beijing area. The facts of individual cases and the jurisdiction of the court may affect the conclusions. Welcome to consult Henglu Law Firm for specific situations.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Intellectual property protection legal services·Attorney Party Pei·Beijing Henglue Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.