Q:
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Is it mandatory for a company in China to have a legal representative?
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A:
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Yes. According to the Company Law of the PRC, the legal representative of a company shall be assumed by either the chairman of the board (executive director if there is no board of directors) or general manager.
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Q:
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Is it allowed to appoint two legal representatives in a Chinese company?
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A:
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It is not allowed. You shall appoint only one legal representative according to the Company Law of the PRC.
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Q:
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Is there any age limit for the legal representative?
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A:
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The legal representative of a company in China shall be a person with full civil capacity according to the relevant laws and regulations of the PRC. Therefore, the lower age limit for the legal representative is 18 years old normally. There is no upper age limit.
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Q:
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What are the legal liabilities that the company’s legal representative may assumed?
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A:
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In general, the legal representative will not be liable for performing his or her duties on behalf of the company. However, the liability arising from the violation of the laws, articles of association of the company or the breach of the duty of loyalty and diligence shall be borne by the legal representative itself.
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Q:
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Is it possible for a legal representative to concurrently act as the supervisor of a company in China?
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A:
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It is no allowed. The legal representative is either the director or manager. No director or senior manager may concurrently serve as a supervisor according to the Company Law of the PRC.
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