Overview on Certain Key Aspects of the Proposed Amendments to the PRC Company Law


On 24 December 2021, the Standing Committee of the 13th PRC National People’s Congress had released the draft of a major update to the current Company Law of the People’s Republic of China. The latter had entered into effect on 25 December 1999 and was last amended with effect of 26 October 2018 (the “Current PRC Company Law”). The draft update, i.e. the Company Law of the People’s Republic of China (Draft Amendment) (the “Draft”), had been published by PRC National People’s Congress for public comments which could be made until 22 January 2022.

The Draft consists of 15 chapters with in total 260 articles. Compared to the Current PRC Company Law, which has 13 chapters with in total 218 articles, the Draft includes two additional chapters, i.e. Chapter II on Company Registration and Chapter VI on Special Provisions on State-invested Companies, and in total 42 additional articles.

Please click here to read the full article.