Frequently Asked Questions

09 2026-10

Who is responsible for the fraudulent use of a stolen credit card?

The liability for credit card fraud is divided according to fault: if the bank cannot provide evidence of the counterfeit card transaction, it shall not bear responsibility; if the cardholder discloses the verification code or commits other faults, he/she shall bear the loss himself/herself. Upon discovering the fraudulent transaction, the cardholder shall immediately report the loss, call the pol...

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09 2026-10

How to protect yourself if your bank card is stolen and used fraudulently?

If your bank card is stolen and used fraudulently, you should immediately report the loss, request a stop-payment order, file a complaint at the nearest police station, and submit a written claim for compensation. According to Article 6 of the Commercial Bank Law and the judicial interpretation on bank cards, if the bank cannot prove the cardholder's fault, it shall bear the responsibility. If no ...

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09 2026-10

What is the coverage amount of deposit insurance?

According to Article 5 of the "Deposit Insurance Regulations", the principal and interest of the same depositor in the same bank are calculated together, and the maximum compensation limit is 500,000 yuan; the excess part will be compensated from the liquidated assets. Wealth management is not covered by the guarantee, and it is advisable to deposit large sums of money in different banks.

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09 2026-10

Can the penalty and the deposit be used concurrently?

The penalty for breach of contract and the deposit cannot be used concurrently. According to Article 588 of the Civil Code, one of them shall be applied; if the deposit is insufficient to compensate for the losses, the party may continue to claim for the difference. If no penalty for breach of contract has been agreed upon, the party cannot claim it out of thin air. In the Henglue case, the counte...

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09 2026-10

Can the penalty fee be lowered if it's too high?

If the penalty for breach of contract is excessively high compared to the actual losses, the party concerned may request the court or arbitration institution to reduce it. According to Article 585 of the Civil Code, the penalty for breach of contract shall be determined based on the actual losses. In the arbitration case handled by Henglue Law Firm, the claim for penalty for breach of contract was...

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09 2026-10

Is the down payment effective if it exceeds the required proportion?

The deposit shall not exceed 20% of the subject matter of the main contract. The excess portion shall not produce the effect of the deposit and shall not be subject to penalties; the party may claim the return of the deposit when the contract is rescinded or invalidated. The party shall calculate the proportion in accordance with Article 586 of the Civil Code and assert its rights.

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09 2026-10

Which of the deposit and booking fee can be refunded?

The deposit is subject to the penalty clause for deposits. If the payer breaches the contract, he has no right to return the deposit; if the recipient breaches the contract, he must return twice the amount of the deposit. The advance payment is generally regarded as a prepayment and can be refunded in principle. According to Articles 586 and 587 of the Civil Code, the nature of the payment should ...

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09 2026-10

What are the risks of having a blank contract that hasn't been stamped yet?

The signing of a blank contract is considered a general authorization, and the retroactive filling of its content is generally valid. According to Article 490 of the Civil Code, the signing of the contract constitutes its establishment. However, if the content is retroactively filled in maliciously, the signatory must provide evidence to revoke the contract, which carries extremely high risks. The...

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09 2026-10

How to determine apparent agency?

There are two key points to determine apparent agency: the existence of apparent agency and the counterparty's good faith and lack of negligence. According to Article 172 of the Civil Code, the agency act is valid, and the consequences shall be borne by the principal, who may then seek compensation from the agent.

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09 2026-10

Is an unauthorized agency contract valid?

The effectiveness of a contract concluded by an unauthorized agent is pending: According to Article 171 of the Civil Code, the contract is not effective against the principal unless it is ratified by the principal. The counterparty may urge the principal to ratify the contract within 30 days or exercise the right of revocation.

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09 2026-10

Is the contract signed under fraudulent circumstances valid?

The contract signed under fraudulent circumstances is revocable. According to Article 148 of the Civil Code, a lawsuit to revoke the contract can be filed within one year after the revocation grounds become known. After the revocation, the contract will be invalid from the beginning and the parties involved will be required to return the property and compensate for the losses.

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09 2026-10

Is the value of a utility model patent low?

A utility model patent is not of low value. It is a statutory type of patent, just like an invention, with a term of 10 years. In the event of infringement, compensation can be claimed in accordance with Article 71 of the Patent Law, and intentional infringement may result in punitive damages of 1 to 5 times the actual damages.

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09 2026-10

How many years is the protection period for an invention patent?

According to Article 42 of the Patent Law, the protection period for invention patents is 20 years, for utility models it is 10 years, and for industrial designs it is 15 years, all of which start from the date of application. During this period, annual fees must be paid, and once the protection period expires, the technology will enter the public domain.

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09 2026-10

What should I do if my patent application is rejected?

If a patent is rejected, the applicant may request a review within three months from the date of receipt of the decision in accordance with Article 41 of the Patent Law; if the applicant disagrees with the review decision, he/she may file a lawsuit. It is recommended that the applicant first analyze the reasons for the rejection and then determine the strategy for amendment or resubmission.

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