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78026 Business and Law in China

Warning: The information on this page is indicative. The subject outline for a particular session, location and mode of offering is the authoritative source of all information about the subject for that offering. Required texts, recommended texts and references in particular are likely to change. Students will be provided with a subject outline once they enrol in the subject.

Subject handbook information prior to 2017 is available in the Archives.

UTS: Law
Credit points: 6 cp
Result type: Grade and marks

Requisite(s): ( 78101c Postgraduate Legal Research OR 77885 Legal Process and Legal Research OR 70211 Contracts OR ((94 credit points of completed study in spk(s): C04236 Juris Doctor OR 142 credit points of completed study in spk(s): C04250 Juris Doctor Master of Business Administration) AND 70106c Principles of Public International Law AND 70107c Principles of Company Law) OR (94 credit points of completed study in spk(s): C04320 Juris Doctor Graduate Certificate Professional Legal Practice AND 70106 Principles of Public International Law))
The lower case 'c' after the subject code indicates that the subject is a corequisite. See definitions for details.
These requisites may not apply to students in certain courses.
There are course requisites for this subject. See access conditions.
Anti-requisite(s): 76009 Introduction to Chinese Business Law AND 78118 Business and Law in China

Description

With China's emergence as a new economic superpower, and with ever-deepening business ties between Australia and China, it is crucial that students gain an up-to-date understanding of Chinese business law and an awareness of major differences between Australian and Chinese legal and business cultures. This subject focuses on areas of Chinese law that are most relevant for foreign businesses and for law firms with a China practice. Topic areas covered include:

  • Chinese legal culture/business culture
  • challenges of doing business in China — politics, bureaucracy, corruption, personal connections
  • Chinese business enterprise law — state-owned enterprises, companies limited by shares, township and village enterprises, private entrepreneurs, foreign-invested enterprises
  • pitfalls surrounding contracts and business transactions with Chinese enterprises
  • foreign investment regime in China
  • Chinese banking/finance system and capital markets
  • business dispute resolution and litigation.

Subject learning objectives (SLOs)

Upon successful completion of this subject students should be able to:

1. understand current legal and cultural issues affecting: (i) businesses in China, and (ii) foreign entities trading with or doing business within China;
2. locate and analyse information on Chinese business law and applying such information to solve practical legal problems;
3. demonstrate research skills including location of relevant & reliable primary/secondary sources and critical analysis/logical presentation of those sources in an extended essay form;
4. demonstrate online and in-class discussion skills and the ability to respond to feedback from ones peers;
5. demonstrate awareness of cultural diversity issues, particularly within the Chinese context.

Course intended learning outcomes (CILOs)

This subject also contributes specifically to the development of the following graduate attributes:

  • Legal Knowledge
    An advanced and integrated understanding of a complex body of legal knowledge including the Australian legal system, social justice, cultural and international contexts, the principles and values of ethical practice, and contemporary developments in law and its professional practice (1.0)
  • Critical Analysis and Evaluation
    A capacity to think critically, strategically and creatively including an ability to identify and articulate complex legal issues, apply reasoning and research to generate appropriate theoretical and practical responses, and, demonstrate sophisticated cognitive and creative skills in approaching complex legal issues and generating appropriate responses (3.0)
  • Research Skills
    Well-developed cognitive and practical skills necessary to identify, research, evaluate and synthesise relevant factual, legal and policy issues and demonstrate intellectual and practical skills necessary to justify and interpret theoretical propositions, legal methodologies, conclusions and professional decisions (4.0)
  • Communication and Collaboration
    Effective and appropriate professional communication skills including highly effective use of the English language, an ability to inform, analyse, report and persuade using an appropriate medium and message and an ability to respond appropriately (5.0)
  • Self Management
    A high level of autonomy, accountability and professionalism, the ability to implement appropriate self-management and lifelong learning strategies including initiating self-directed work and learning, judgment and responsibility, self assessment of skills, personal wellbeing and appropriate use of feedback and, a capacity to adapt to and embrace change (6.0)

Teaching and learning strategies

This subject is structured in a semi-intensive format, meeting on four Saturdays during the semester. Teaching and learning strategies include a combination of lectures, group discussion, online feedback and online discussion.

Strategy 1 Interactive lectures
Strategy 2 Online and in-class discussion based on readings
Strategy 3 In-class group exercises with feedback
Strategy 4 Research supervision


Subject Delivery
This subject is offered in a semi-intensive format with only four face-to-face sessions, therefore we will make extensive use of UTSOnline and other online resources to complement the lectures. You should regularly check the subject web page on UTSOnline to keep up with developments during the course. Throughout the semester, you are expected to attend the lectures and do the required readings in advance of each class, as announced in class and/or posted on UTSOnline.

Lecture Format:
Lecture Notes will be posted on UTSOnline prior to each session, and students should either download or print out these notes and bring them to class. The lecture notes are just an outline of the topic, and students are expected to add to these notes during the class. In order to make the lectures more interactive, the lecture notes will also contain some discussion questions, for which students should prepared to offer their opinions in the class.

Tutorial Format and Expectation of Student Participation:
There are no formal tutorials in this subject, but one or more periods during each class session will be given over to small group discussions or small group exercises. Some of these will be graded (see assessments below). This will allow students to immediately apply what they have learned during the lectures.

Content (topics)

  • Chinese Business Culture: Introduction
  • Chinese Legal Culture
  • PRC Company Law
  • Foreign Investment Law and Regulation: Joint Ventures, Wholly Foreign Owned Enterprises, etc.
  • Mergers and Acquisitions in China
  • Chinese Capital Markets and Financial Institutions
  • Concepts of Private Property and Real Estate Law
  • Chinese Intellectual Property Law
  • Negotiating and Drafting Contracts in China
  • Dispute Resolution: Mediation, Arbitration, Litigation

Assessment

Assessment task 1: Class Participation

Intent: Learning about current legal issues in China, practicing in-class discussion skills, and discussing cultural diversity issues
Objective(s):

This task contributes specifically to the development of the following graduate attributes:

1.0, 3.0 and 5.0

Weight: 10%

Assessment task 2: Online Participation

Intent: Developing online discussion skills and ability to respond to feedback from peers, and cultural diversity awareness
Objective(s):

This task contributes specifically to the development of the following graduate attributes:

1.0, 3.0 and 5.0

Weight: 15%

Assessment task 3: In-Class Group Problems

Intent: Locating & analysing Chinese business law materials and applying them to solve practical problems
Objective(s):

This task contributes specifically to the development of the following graduate attributes:

1.0, 3.0 and 5.0

Weight: 15%

Assessment task 4: Research Essay

Intent: Developing research and writing skills
Objective(s):

This task contributes specifically to the development of the following graduate attributes:

1.0, 3.0, 4.0, 5.0 and 6.0

Required texts

There is no prescribed textbook for this subject, but the following lists the required readings, all of which are available electronically:

Session 1:
Tim Ambler and Morgan Witzel, Doing Business in China (either 2004 or 2008 edition is ok), chaps. 4 & 8: see e-readings for this subject on UTS Library catalogue.

Randall Peerenboom, “Dispute Resolution in China: Patterns, Causes and Prognosis” Latrobe Legal Studies Working Paper 2008/9, available at http://ssrn.com/abstract =1265116

Session 2:
Pages 57-77 of OECD, OECD Investment Policy Reviews: China – Progress and Reform Challenges (2003), available via UTS Library Catalogue Databases: Title of database is SourceOECD.

Pages 10-33 of OECD, China Investment Policy: An Update (2013), available at the following link: http://www.oecd.org/china/WP-2013_1.pdf

PRC Company Law (2005), English translation, available on UTSOnline

Session 3:
Wang, Jiangyu. “Dancing with Wolves: Regulation and deregulation of foreign investment in China’s stock market.” 5 Asian-Pacific Law & Policy Journal (2004): 1-61.

Parts III, IV, V and VI of Gregory M. Stein, “Acquiring Land Use Rights in Today’s China: A Snapshot from on the Ground” Pacific Basin Law Journal 24.1 (2006), available at www.ssrn.com

Kevin J. O'Brien and Lianjiang Li, “Suing The Local State: Administrative Litigation in Rural China,” The China Journal, No. 51 (January 2004): pp.75-95, available via UTS Library Journal databases.


Session 4:
Colin Hawes, “Corporate Culture and Incentive Systems: Haier and Huawei,” chapter 6 of Colin Hawes, The Chinese Transformation of Corporate Culture (Routledge 2012), available as e-reading via UTS library catalogue.

Colin Hawes & Shuyu Kong, "Primetime Dispute Resolution: Television Mediation Shows in China's Harmonious Society," Law & Society Review 47.4 (2013): 739-770.

Session 5:
Read pp.27-33 and pp.47-69 of Stanley Lubman, "Looking for Law in China", Columbia Journal of Asian Law 20.1 (Fall 2006): pp.1-92.

Randall Peerenboom & Kathleen Scanlon: "Special Report: Mediation -- An Untapped Dispute Resolution Option", China Business Review 32.4 (July/August 2005), p.36-41.

Douglas Clark, "Intellectual Property Litigation in China", China Business Review 31.6 (Nov/Dec 2004), p.25-30.

Peter Ollier, “The eight mistakes brand owners make in China,” Managing Intellectual Property (Mar 2010): 28-33.

Peter Ollier, “Danone v Wahaha: the lessons for trade mark owners,” Managing Intellectual Property (Nov 2009): 6-7.

Recommended texts

For a detailed introduction to the current Chinese legal system, see:

Randall Peerenboom, China’s Long March Toward Rule of Law (Cambridge University Press, 2002).

For a useful account of doing business in China, see:

Crombie, Gavin, The Way of the Dragon: A Guide for Australians Doing Business in China (Wrightbooks, 2005)

A highly recommended introduction to the influence of the Chinese Communist Party on business and society today is:

McGregor, Richard, The Party: The Secret World of China’s Communist Rulers (London: Allen Lane, 2010)

Other resources

See other materials listed on Lecture Notes which will be posted prior to each class session on UTSOnline