While was still the second highest year of Chinese investment flows into the US, the drop in new deals compared to the previous year was even sharper; the value of newly announced Chinese acquisitions in the US dropped by 90 percent compared to previous year.
Back to top 4. In your jurisdiction what are the customary methods for a seller to sell receivables to a purchaser? What is the customary terminology — is it called a sale, transfer, assignment or something else? The PRC Contract Law stipulates that a creditor may assign its rights under a contract to a third party, subject to any assignment restrictions contained in the original contract or otherwise stated in PRC law.
What formalities are required generally for perfecting a sale of receivables? Are there any additional or other formalities required for the sale of receivables to be perfected against any subsequent good faith purchasers for value of the same receivables from the seller? A sale of receivables will generally be deemed concluded between the seller and the purchaser pursuant to the RPA.
Pursuant to the PRC Contract Law, the assignment of contract rights by a creditor will become effective against the obligor once a notice of assignment has been serviced to the obligor.
PRC laws do not request additional or other formalities for the sale of receivables to be perfected against any subsequent good faith purchasers.
It is notable that where the sale of receivables involves the transfer of security interest attached to the assigned receivables, the answers to questions 4. Furthermore, where the receivables are generated under a cross-border transaction, or the sale of receivables will cause conversion of RMB to foreign currency, the answer to question 8.
What additional or different requirements for sale and perfection apply to sales of promissory notes, mortgage loans, consumer loans or marketable debt securities? Under the PRC Instruments Law, promissory notes are deemed as on-demand payment instruments and can only be issued by commercial banks.
Transfer of promissory notes will request the endorsement from issuer or holder, as the case may be, and delivery of the same to the purchaser.
In respect of mortgage loans, pursuant to the PRC Property Rights Law and PRC Security Law, the mortgage rights enjoyed by the seller can be transferred together with the secured indebtedness, but the mortgage rights in favour of the purchaser shall be registered with the relevant registration authority.
The sale of consumer loans will not be subject to additional or different sale or perfection requirements, in addition to question 4. Whether or not notice is required to perfect a sale, are there any benefits to giving notice — such as cutting off obligor set-off rights and other obligor defences?
Pursuant to the PRC Contract Law, the assignment of contract rights by a creditor will become effective against the obligor once a notice of assignment has been served to the obligor.
The notice to the obligor will make the sale of receivables effective against the obligor, and give rise to certain benefits to the purchaser as follows: If notice is to be delivered to obligors, whether at the time of sale or later, are there any requirements regarding the form the notice must take or how it must be delivered?
Is there any time limit beyond which notice is ineffective — for example, can a notice of sale be delivered after the sale, and can notice be delivered after insolvency proceedings have commenced against the obligor or the seller? Does the notice apply only to specific receivables or can it apply to any and all including future receivables?
Are there any other limitations or considerations? There are no requirements regarding the timing of service of the notice to the obligor, nor are there any requirements regarding the form a notice must take or how the notice must be delivered in order for the notice to be legally valid and effective under PRC laws.
In practice, a notice of assignment will generally be made in written form and include a request for an acknowledgment of the assignment or, where applicable, a consent to the assignment by the obligor for evidence purposes.
There is no time limit beyond which the delivery of notice would become ineffective. A notice may be delivered to the obligor regardless of whether an insolvency proceeding has commenced against the obligor. However, it is strongly suggested that notice be sent before the insolvency proceedings against the seller have commenced.
A notice may relate to all, or only part of, the existing receivables between the obligor and the seller, and subject to the answer to question 4. In addition, it is explicitly provided under the PRC Contract Law that if the debtor transfers all or part of its obligations to a third party, the consent of the creditor shall be obtained.
If any of the restrictions in question 4. Are there exceptions to this rule e. If your jurisdiction recognises restrictions on sale or assignment of receivables and the seller nevertheless sells receivables to the purchaser, will either the seller or the purchaser be liable to the obligor for breach of contract or tort, or on any other basis?
Such restrictions are generally enforceable in the PRC, and we are not aware of any exceptions to this rule. If the seller sells the receivables to the purchaser irrespective of the prohibitions in the receivables contract, it is the seller who will be liable to the obligor for breach of contract.
Under such circumstances, the sale will not be effective against the obligor unless its consent is obtained. Must the sale document specifically identify each of the receivables to be sold?
If so, what specific information is required e.CAMG plans to charge at least RMB ($) per second for a second video broadcasting 60 times per day within the Network when the number of LCD display is less than 3, our ability to raise sufficient capital in order to effectuate our business plan; and 4) our ability to retain our key executives.
and assets and liabilities. promoting the cross-border trade settlement in RMB. On 22 June, the People’s Bank of China (PBoC) signed a Supplementary development of offshore RMB business in Hong Kong and a very crucial step in the implementation of the HKMA circular issued in mid-February this year.
PBoC also signed a revised Settlement. In parallel, Bloomberg reported on a “closed-door meeting” said to have been held by the PBoC at the end of December , allegedly outlining a plan to direct a wider spectrum of local.
Valuation Insights - Greater China Edition, May On January 11, , the People’s Bank of China Rules for cross-border RMB lending by Chinese companies have also been modified by the PBOC, requiring pre-registration with SAFE and applied to both foreign currency and RMB lending.
PBoC Releases New Circular Concerning Cross-Border Financing Issues; On January 11, , the People’s Bank of China ("PBoC") Rules for cross-border RMB lending by Chinese companies have also been modified by the PBOC, requiring pre-registration with SAFE and applied to both foreign currency and RMB lending.
convert RMB funds into foreign currencies and People’s Bank of China (“ In order to expand financial support for cross-border trade and investment, SAFE organized. three centralized pilot programs for foreign exchange funds.
Thereafter, SAFE promulgated.