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Leading Cases from Chinese Courts
Authors:Compiled by the Supreme People's Court of China  
Abstract:An enterprise with qualification of legal person which has beenapproved and registered by the competent state authority shallindependently bear its civil liabilities in accordance withlaw. In order to determine whether the organization that hasset up the enterprise should bear civil liabilities for thedebt of the enterprise, thorough examinations should be carriedout on the investment to the enterprise by the organizationand on whether there are circumstances in which the organizationwithdraws the registered capital of the enterprise or maliciouslytransfer the property of the enterprise. If the organizationhas no fault in the abovementioned aspects, it shall not bearjoint liability for the debts of the enterprise.
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