practice note Mainland China English original

The Legal Representative Trap: When a Title Becomes a Personal Risk

Explains the practical role, authority, fiduciary duties, enforcement risks, and governance consequences of serving as a Chinese company's legal representative.

Brief English Introduction

This practice note explains the legal representative role for foreign executives and investors, emphasizing that the title carries external authority and practical risk. It is especially useful for linking doctrinal materials to enforcement tools such as exit restrictions and regulatory cooperation duties.

Use It For

Use it as a practical English reading for students who have not encountered China’s legal representative system before.

Teaching Notes

Ask students what risk-allocation steps a foreign investor should take when choosing a legal representative for a China subsidiary.