New rules in May

National

1. Notice on the Coordinated Delivery of "Transfer with the Mortgage in Place" Services for the Convenience of the Public and Enterprises

On 30 March the Ministry of Natural Resources and the China Banking and Insurance Regulatory Commission jointly issued the Notice on the Coordinated Delivery of "Transfer with the Mortgage in Place" Services for the Convenience of the Public and Enterprises, requiring local authorities to build on existing work and, starting from selected cases, to promote transfers of mortgaged property with the mortgage left in place. Provincial capitals and cities with independent planning status are to take the lead, with full coverage of areas, financial institutions and types of real property, and the service is to be provided as a matter of routine. Under the Notice, "transfer with the mortgage in place" rests on Article 406 of the Civil Code, which provides that during the mortgage period the mortgagor may transfer the mortgaged property, subject to any agreement between the parties: on applying to register a transfer of mortgaged real property, the parties need not repay the existing loan or cancel the mortgage registration first, and may complete the transfer, the fresh mortgage and the new loan in one process, so linking registration with mortgage lending. The arrangement applies mainly where a mortgage loan from a banking institution is outstanding and is not currently in arrears.

2. Provisions Prohibiting Monopoly Agreements

Published 10 March 2023 / in force 15 April 2023

The earlier provisions had 36 articles, covering authorisation and jurisdiction, the identification of monopoly agreements, investigation procedure and legal liability. Compared with the Interim Provisions, the new Provisions retain 21 articles, add 15 and amend 16, for a total of 51. The revision concerns six matters: the test for a competitive relationship is made clearer; the rules for the digital economy are improved; the test for vertical monopoly agreements is refined; the provisions on organising and assisting in the conclusion of a monopoly agreement are refined; investigation procedure is further regulated; and legal liability is improved.

3. Provisions on Stopping the Abuse of Administrative Power to Eliminate or Restrict Competition

Published 10 March 2023 / in force 15 April 2023

The revision adjusts and refines the description of the conduct in question, makes enforcement requirements clearer, adds provisions on enforcement interviews, adds content on linking enforcement with discipline inspection, aligns the rules with the fair competition review system, and expands the provisions on competition advocacy.

4. Provisions Prohibiting Abuse of a Dominant Market Position

Published 10 March 2023 / in force 15 April 2023

The Provisions have 45 articles, covering authorisation and jurisdiction, the identification of abuse of a dominant position, investigation procedure and legal liability. Compared with the Interim Provisions, 30 articles are amended, 8 retained, 7 added and 1 deleted. The revision concerns four matters: the antitrust rules for the platform economy are improved; the test for abuse of a dominant position is strengthened; investigation procedure is further refined; and legal liability is improved.

5. Provisions on the Review of Concentrations of Undertakings

Published 10 March 2023 / in force 15 April 2023

The Interim Provisions had 65 articles; the revision amends 39, adds 14 and deletes 1, giving 78 articles. The revision concerns five matters: the results of the amendment of the Anti-Monopoly Law are consolidated and the rules for applying the relevant systems are made clear; review by category and grade is improved so that review is more efficient; the legal boundaries of key concepts are clarified in response to review practice; the duties and obligations of the parties concerned are made clear so that enforcement is more effective; and legal liability is improved to strengthen the deterrent.

6. Provisions on the Administrative Enforcement Procedure of Cyberspace Administration Departments

Published 18 March 2023 / in force 1 June 2023

The Provisions regulate enforcement procedure in these departments. They set out specific requirements for case registration, investigation and evidence gathering, review, decision, service and execution, among other stages; improve the rules on recusal, on hearings and on the right of the parties to state their case and to reply, so that those rights are protected in practice; set out the procedure for legal review; provide for collective discussion and decision in cases involving heavy penalties; and specify the time within which such departments must decide administrative penalty cases and the circumstances in which a case is closed.

The Provisions also deal with the execution and supervision of administrative penalties. They make clear the right of the party to state a case and to reply, to apply for administrative reconsideration and to bring administrative litigation. They provide that the national cyberspace administration is to establish a supervision system for enforcement within the field, with higher-level departments supervising the enforcement carried out by those below them, and that the enforcement of administrative penalties is subject to public supervision.

7. System for Eliminating Sexual Harassment in the Workplace (Model Text)

Released on 8 March 2023 jointly by the Ministry of Human Resources and Social Security, the National Health Commission and four other departments

The model text has 20 articles. The general provisions define sexual harassment as conduct that, against the will of another person, causes that person discomfort by prompting associations of a sexual nature, whether through words, expressions, gestures, writing, images, video, voice, links or any other means, and whether or not the person responsible had a harassing or other improper purpose or intent.

The specific provisions set out the main forms the conduct takes and deal with public commitments, publicity and training, complaints by employees, investigation and handling, and the participation of trade unions in supervision. The text also instructs employers to keep complainants and the handling of a case confidential, to protect personal privacy and, by such steps as adjusting work assignments, to avoid causing further harm to the person affected.

8. System for the Special Protection of Women Employees in the Workplace (Model Text)

Released on 8 March 2023 jointly by the Ministry of Human Resources and Social Security, the National Health Commission and four other departments

The text has 26 articles and lists, item by item, protection in employment, in wages and benefits, in maternity and in occupational safety and health. To keep normal production in the workplace, it also gives guidance on the procedure to be followed.

Shanghai

1. Provisions of Shanghai Municipality on the Administration of Social Fire-Fighting Organisations (2023)

Published 20 February 2023 / in force 1 May 2023

The Provisions have six chapters and 49 articles: general provisions, organisational development, training and duty, management and support, legal liability, and supplementary provisions. The revision concerns five matters: the requirements for building fire-safety organisations at the grassroots and their duties are made clear; the requirements for building and managing full-time fire brigades are improved; experience of building micro fire stations is consolidated; the administration of social fire-fighting organisations is regulated; and occupational support is raised.

2. Measures of Shanghai Municipality for the Administration of Art Museums

Published 20 February 2023 / in force 15 April 2023

The Measures have nine chapters and 50 articles: general provisions, operation and management, collections and research, exhibition and display, public services, development and promotion, supervision and administration, legal liability, and supplementary provisions. They define what an art museum is and the categories it may fall into, and set clear requirements for regulating operation and management, improving the functions and level of service of art museums, supporting their high-quality development and strengthening supervision.