China Adopts Newly Revised Company Law

The Standing Committee of the 14th National People’s Congress voted to adopt the newly revised Company Law at its seventh session on December 29, 2023. The revised law will come into force on July 1, 2024.

The revised law has 15 chapters, which include General Provisions, Company Registration, Establishment and Organizational Structure of a Limited Liability Company, Transfer of Shares of a Limited Liability Company, Establishment and Organizational Structure of a Company Limited by Shares, Issuance and Transfer of Shares of a Company Limited by Shares, Special Provisions on the Organizational Structure of a State-funded Company, Qualifications and Obligations of Directors, Supervisors, and Senior Management of a Company, Corporate Bonds, Finance and Accounting of a Company, Merger and Split-up of a Company and Increase and Capital Reduction of Registered Capital, Dissolution and Liquidation of a Company, Branches of Foreign Companies, Legal Liability and Supplementary Provisions.