International Trade Dispute Resolution in China: get affiliated companies to pay

A while ago, I wrote another post disclosing fraudulent international trade practice some Chinese exporters engage themselves in: Again, be aware and vigilant about who you are trading with in China.

So when you are deceived and caught in such fraud and you don’t want to just walk away bruised, you may have to think of a way to recover your loss. Here in …

the creditor’s pitfall in dealing with VIE entities

VIE entities in China have been pervasive in many industries in  China, in particular, the telecom industry, advertising and some other asset-heavy industries like steel and mining. Below is a typical chart illustrating the VIE structure widely used in China.

Variable Interest Entity in China

In the chart, the VIE, generally a domestic entity holding necessary governmental license, is…