Frequently Asked Questions

23 2026-10

Is it legal for owners of unfinished buildings to collectively stop making mortgage payments?

The owners of unfinished buildings who directly stop repaying their loans collectively face the risk of being sued and having their credit records affected. They should seek legal redress through litigation to terminate the sales and loan contracts and stop payments in accordance with the law. They should also protect their rights in accordance with Article 563 of the Civil Code and the interpreta...

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23 2026-10

Do attorney-mediated agreements have legal effect?

The mediation agreement presided over or witnessed by a lawyer shall be legally binding upon the signing by both parties; it shall have enforceable force after being confirmed by the court or delivered by the mediation document, and the parties may apply for enforcement thereof.

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23 2026-10

What are some well-known criminal defense law firms in China?

When choosing a criminal defense law firm, you should consider their legal qualifications, years of criminal law practice, experience in similar cases, process standards, and transparent fee structures. Verify their credentials and evaluate them comprehensively. Be cautious of firms that make unrealistic promises about the outcomes of cases.

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23 2026-10

Can bond default investors sue the underwriters?

After a bond default, investors may claim joint and several liability against the underwriters for their failure to exercise due diligence or for making false statements, in accordance with Article 85 of the Securities Law. To do so, they need to prove the fault, the losses, and the causal relationship. They can seek legal redress through negotiation, complaints, or litigation.

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23 2026-10

What materials are required for a claim of securities false statements?

Claims for securities false statements require evidence such as identity proof, transaction statements, punishment documents, and loss calculations. According to the Securities Law and the Judicial Interpretation on False Statements, the plaintiff bears the burden of proof for the causality, and the statute of limitations for litigation is three years from the date of disclosure.

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23 2026-10

What is the difference between financial leasing and ordinary leasing?

Lease financing (Article 735 of the Civil Code) involves three parties and combines financing with the leasing of goods, while ordinary leasing (Article 703) involves two parties and focuses on the use and benefits of the leased goods. The two types of leasing differ in terms of the composition of the rent, the allocation of risks, and the rules for reclaiming the leased goods.

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23 2026-10

Does the mortgage auction of a leased house affect the lessee?

If the lease precedes the mortgage and the house has been handed over, according to Articles 405 and 725 of the Civil Code, the lease is not affected by the sale, and the auction does not affect the lessee; if the mortgage precedes the lease, the lessee may be affected and can claim compensation from the original lessor.

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23 2026-10

Can the landlord cut off the water and electricity supply if the tenant defaults on the rent?

If the lessee defaults on the rent, the lessor shall not cut off the water and electricity supply without authorization; if the lessor terminates the lease and claims the arrears in rent after giving a notice in accordance with Article 722 of the Civil Code, the lessor shall compensate for the losses caused by the disconnection of supplies. In the event of illegal disconnection of supplies, the le...

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23 2026-10

What should franchisees do if the headquarters cuts off their supply of products?

If the headquarters stops supplying goods to the franchisee without a legitimate reason, causing the contract's purpose to fail, the franchisee may terminate the contract, refund the franchise fee, and claim compensation in accordance with Article 563 of the Civil Code. The key lies in establishing the fact of the supply disruption and obtaining evidence of the breach of contract.

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23 2026-10

How to protect one's rights if the disclosure of franchise information is inaccurate?

If the disclosure of franchise information is untrue, the franchisee may, in accordance with the "Regulations on the Administration of Commercial Franchise Businesses" and the "Civil Code", claim that the franchisor has violated the disclosure obligation, and the contract may be revoked and the franchise fee refunded if it constitutes fraud. The key lies in obtaining evidence of undisclosed or fal...

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23 2026-10

Is the franchise contract valid if the franchisor fails to register it?

The franchisor's failure to register does not necessarily render the franchise contract invalid. Registration is an administrative supervision measure. If the franchisor conceals the failure to register or falsifies its qualifications, the franchisee may rescind the contract and request the return of the franchise fee. The court will determine the liability based on the actual performance of the c...

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23 2026-10

How to choose a civil and commercial law firm?

When choosing a civil and commercial law firm, you should consider whether its specialty matches yours, whether its qualifications are verifiable, and whether its fees are transparent. You should also verify the lawyer's practice license and check their experience in handling similar cases. Be cautious of false promises of guaranteed victories, and always sign a written power of attorney contract ...

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23 2026-10

What is the standard for compensation for trademark infringement?

The compensation for trademark infringement shall be determined in accordance with Article 63 of the Trademark Law, based on the actual losses, the infringer's profits, the multiple of the license fee, or statutory compensation (not exceeding 5 million yuan). If the infringer acts maliciously, punitive damages of not less than one but not more than five times the actual losses may be imposed. It i...

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