Glossary

A股（A gu3) – A Shares

: Shares of Chinese companies that have public offerings in China and are listed on the domestic securities exchange.

B股（B gu3）- B Shares

: Shares of Chinese companies that have public offerings overseas and are listed on the domestic securities exchange.

版权（Ban3 Quan2）- Copyright

: A legal right that provides the owner the right to control how a creative work is used. A copyright is comprised of a number of exclusive rights, including the right to make copies, the right to authorize others to make copies, to make derivative works, sell and market the work and perform the work..

保证金（Bao3 Zheng4 Jin1）- Security

: A document indicating ownership or creditorship; a stock certificate or bond.

背书（Bei4 Shu1）- Endorsement

: An amendment to a contract by which the original terms of the said contract are changed

辩论（Bian4 Lun4）- Argument, explanation

: A reason or reasons offered in proof for or in favor of it, or against it

不动产（Bu2 dong4 Chan3）- Real Estate

: Land, including all the natural resources and permanent buildings on it

不可抗力（Bu4 Ke3 Kang4 Li4）- Force Majeure

: Act of God, a situation that could not have been reasonably foreseen, avoided or overcome

不正当竞争（Bu2 Zheng4 Dang1 Jing4 Zheng1）- Unfair competition

: An term describing commercial activities that confuse or deceive the public about the sale of products or services. It refers to activities as trademark infringement, false advertising and theft of trade secrets. If a court finds that an activity constitutes unfair competition, it will generally award money damages to the person or company harmed by such activity.

产品责任（Chan3 Pin3 Ze2 Ren4）- Product Liability

: The liability which a manufacturer or seller shall bear to the consumer when selling a product.

创造性（Chuang4 Zao4 Xing4）- Inventiveness

: One of the three requirements that a patent for a invention or utility model must possess. Inventiveness means that, as compared with the technology existing before the date of filing, the invention has prominent substantive features and represents notable progress or that the utility model has substantive features and represents progress.

大陆法（Da4 Lu4 Fa3）- Civil Law

: A system of law originated from Roman Law and now prevailing in Continental Europe and other parts of the world. The system is based on statutes rather than court decisions.

对外担保（Dui4 Wai4 Dan1 Bao3）- Foreign-related Guarantees

: “Foreign-related guarantees” refer to guarantees provided by a domestically-located entity (“guarantor”) to a foreign-institution or domestically-located foreign-funded financial institutions (“creditor”) that in the event a debtor fails to pay its debt as required by the debt contract, the guarantor shall assume responsibility for payment. Chinese law imposes strict requirements on domestic entities that wish to provide foreign related guarantees. There are also some restrictions on the qualifications of providers of foreign related guarantees.

对外贸易经济合作部（Dui4 Wai4 Mao4 Yi4 Jing1 Ji4 He2 Zuo4 ）- Ministry of Foreign Trade and Economic Cooperation (MOFTEC)

: MOFTEC is the abbreviation for the Ministry of Foreign Trade and Economic Cooperation, the government authority of the PRC in charge of the administration of foreign trade and economic cooperation.

恶意抢注域名（E4 Yi4 Qiang3 Zhu4 Yu4 Ming2）- Cybersquatting

: The buying of a domain name that reflects the name of a business or famous person with the intent of selling that domain name back to the business or celebrity for a profit. Victims of cybersquatting can use the provisions of the Uniform Domain Name Dispute Resolution Policy adopted by ICANN, an international tribunal administering domain names. This international policy results in arbitration of the dispute, not litigation.

发明（Fa1 Ming2）- Invention

: “Invention” in the Patent Law means any new technical solution relating to a product, a process or improvement thereof.

发明人（Fa1 Ming2 Ren2）- Inventor

: Refers to any person who has made creative contributions to the substantive features of the invention for which the patent application is filed.

反倾销（Fan3 Qing1 Xiao1）- Antidumping

: Activities meant to discourage the importation and sale, or “dumping,” of foreign-made goods at prices substantially lower than domestic prices for the same items.

非营利（Fei1 Ying2 Li4）- Not For Profit

: Not seeking to produce a profit or profits, ie. a nonprofit organization.

复审（Fu4 Shen3）- To Review

: To reexamine (an action or a determination) judicially, especially in a higher court, in order to correct possible errors.

高级人民法院（Gao1 Ji2 Ren2 Min2 Fa3 Yuan4）- Higher People’s Court

: Court of the provincial level immediately under the Supreme People’s Court.

个人合伙（Ge4 Ren2 He2 Huo3）- “Individual Partnership”

: Two or more citizens associated in a business and working together, with each providing funds, material objects, and techniques according to an agreement.

个人独资企业（Ge4 Ren2 Du2 Zi1 Qi3 Ye4）- Sole Proprietorship

: A business entity which, in accordance with the Sole Proprietorship Law, is established in China and is invested in by one natural person, and in which the investor owns all its assets and is unlimitedly liable for all the debts of the business.

个体工商户（Ge4 Ti3 Gong1 Shang1 Hu4）- Individual Business

: Refers to businesses run by individuals who have been lawfully registered and approved to engage in industrial or commercial operations within the sphere permitted by law.

公司章程（Gong1 Si1 Zhang1 Cheng2）- Articles of Association (AOA)

: The charter of the company, a document filed with the AICs (Administration of Industry and Commerce) by company founders when establishing a company to describe the purpose, place of business, and details of a company.

公司服务范围（Gong1 Si1 Fu2 Wu4 Fan4 Wei2）- Corporate Services

: The area of legal services relating to a corporation needs, such as corporate structure, taxation consultation, human resources, etc.

公证（Gong1 Zheng4）- Notary

:A person authorized to attest to and certify certain types of documents in order to take depositions, and to perform certain acts in commercial matters, such as protesting commercial papers.

股息（Gu3 Xi1）- Dividend

:A payment to shareholders of a proportion of a company’s profits

股份有限公司（Gu3 Fen4 You3 Xian4 Gong1 Si1）- Company limited by shares

: Refers to an enterprise with the status of legal person that raises capital through the issuing of shares (or share rights certificates) and divides all of its registered capital into equal shares.

国家药品监督管理局（Guo2 Jia1 Yao4 Pin3 Jian1 Du1 Guan3 Li3 Ju2）- State Drug Administration (SDA)

: An administration under the State Council in charge of administrative supervision, pharmaceutical research, manufacture, circulation, use, etc.

国家知识产权局（Guo2 Jia1 Zhi1 Shi4 Chan3 Quan2 Ju2）- State Intellectual Property Office of P.R.C. (SIPO)

: The government body responsible for nationwide patent work, receives and examines patent applications and grants patent rights for inventions/creations that conform with the provisions of the Chinese Patent Law.

国有独资公司（Guo2 You3 Du2 Zi1 Gong1 Si1）- State Company with Exclusive Investment

: A limited-liability company set up with exclusive investment from organs into which investment is made with state authorization or departments authorized by the state. According to the Company Law, companies designated by the State Council to make special products or those in special sectors must take the form of state companies with exclusive investment.

H股（H gu3）- H Shares

:Shares of Chinese companies having public offerings overseas and listings on the Hong Kong securities exchange.

海关总署（Hai3 Guan1 Zong3 Shu3）- General Administration of Customs

: The chief customs of the P.R.C. which is authorized to collect the duties or taxes imposed on imported and exported goods, and all other customs-related duties.

合并（He2 Bing4）- Merger

: The union of two or more commercial interests or corporations.

合伙（He2 Huo3）- Partnership

:Profit-oriented organizations formed by partners who enter into partnership agreements, jointly make capital contributions, carry on business, share profits, bear business risks and are jointly liable to an unlimited extent for all debts and obligations thereof.

合资（He2 Zi1）- Joint Venture

: A business activity begun by two or more companies acting together, sharing the costs, risks, and profits.

合伙企业（He2 Huo3 Qi3 Ye4）- Partnership Enterprise

: A profit-oriented organization which is, subject to the Partnership Enterprises Law, formed within China by partners who enter into a partnership agreement, jointly make capital contributions, carry on business, share profits, bear business risks, and are jointly and severally liable to an unlimited extent for all debts and obligations thereof.

合同（He2 Tong2）- Contract

: An agreement establishing the civil rights and obligations between subjects of equal footing, that is, between natural persons, legal persons or other organizations.

兼并（Jian1 Bing4）- Merger

: An absorption of one company, or one contract, into another, or of a minor offense in a greater.

基层人民法院（Ji1 Ceng2 Ren2 Min2 Fa3 Yuan4）- District People’s Court

: Court of the lowest level in the court system of the People’s Republic of China, usually established at the county level.

禁令（Jin4 Ling4）- Injunction

: An authoritative order, especially a written order from a law court, demanding that something shall or shall not be done.

金融财务Jin1 Rong2 Cai2 Wu4 – Banking & Finance

: The management of money, banking, investments, and credit.

经济特区（Jing1 Ji4 Te4 Qu1）- Special Economic Zone

: Special Economic Zones (SEZ’s) are development zones established to encourage foreign investment, with the goal of bringing in much needed jobs, technical knowledge and future tax revenues.

集体企业（Ji2 Ti3 Qi4 Ye4）- Collective enterprise

: Refers to those enterprises whose assets are collectively owned by a group of working people, in which people work toward joint purposes.

军事法院（Jun1 Shi4 Fa3 Yuan4）- the Military Court

: Court specially in charge of cases involving crimes committed within the jurisdiction of the military.

抗辩（Kang4 Bian4）- Plea

: Answer made by a defendant to the case presented by the plaintiff.

可行性研究报告（Ke3 Xing2 Xing4 Yan2 Jiu1 Bao4 Gao4）- Feasibility Study

: A professionally prepared and researched study which minimizes risks by identifying pitfalls or pinpointing such things as hidden opportunities in intended markets. A completed feasibility study is the foundation for subsequent business planning and development.

开放政策（Kai1 Fang4 Zheng4 Ce4）- Open-Door Policy

: Used to describe China allowing industrial and commercial privileges to the international community within the PRC.

控诉（Kong4 Su4）- Sue

: To take someone to court or to start legal proceedings against someone to obtain compensation for a wrong inflicted on your person or property.

临时法规（Lin2 Shi2 Fa3 Gui1）- Provisional Regulations

: A temporary governmental order having the force of law.

律师(Lu4 Shi1) – Lawyer

: An agent or representative of another given authority to act in that person’s place and name.

N股（N Gu3）- N Shares

: Shares of Chinese companies having public offerings overseas and listings on New York securities exchange.

判决（Pan4 Jue2）- Judgment

: Legal decision or official decision of a court.

赔偿（Pei2 chang2）- Compensation

: Payment made by someone to cover the cost of damages or hardship caused

品牌（Pin3 Pai2）- Brand

: Trademarked goods, or goods that display a trademark.

普通法（Pu3 Tong1 Fa3）- Common Law

: A system of jurisprudence originating in England and later used in the United States and other Commonwealth countries. It is based on judicial precedent rather than statutory rules.

欺诈（Qi1 Zha4）- Fraud

: Harming someone (by obtaining property or money from him) after leading him to believe something which is not true

侵犯著作权（Qin1 Fan4 Zhu4 Zuo4 Quan2）- Copyright infringement

: Any unauthorized use of a copyrighted work. Unauthorized use can range from outright plagiarism to using a portion of a photograph. The copyright owner may file a lawsuit to stop the infringement and collect damages from the infringer, provided the owner has rights to the copyright.

侵犯专利权（Qin1 Fan4 Zhuan1 Li4 Quan2）- Patent infringement

: Violation of a patent. This occurs when someone is making, using, or selling the invention described in the patent, or a product that is functionally equivalent to the invention described in the patent, without the patent holder’s permission.

S股（S gu3）- S Shares

: Shares of Chinese companies having public offerings overseas and listings on Singapore securities exchange.

善意（Shan4 Yi4）- Good Faith

: Having honest intentions.

商标（Shang1 Biao1）- Trademark

: A word, phrase, logo, symbol, color, sound or smell used by a business to identify a product and distinguish it from those of its competitors.

商标公告（Shang1 Biao1 Gong1 Gao4）- Trademark Gazette

: An official and professional gazette periodically issued by the Chinese trademark authorities in order to inform the public about trademark matters including preliminarily examined trademarks, trademark registration, change of registrant’s name and address, trademark assignment, trademark licensing, trademark cancellations, etc.

商标显著性（Shang1 Biao1 Xian3 Zhu4 Xing4）- Distinctiveness

: One of the indispensable characteristics of a trademark by which consumers can differentiate a good from other similar goods.

商标异议（Shang1 Biao1 Yi4 Yi4）- Opposition

: An application raised by a third party to oppose the registration of a trademark application which has passed the preliminary examination and has been published in the trademark gazette.

上诉（Shang4 Su4）- Appeal

: To take a case to a higher-level court.

商业秘密（Shang1 Ye4 Mi4 Mi4）- Business Secret

: Technological and business information, inaccessible to the general public, which can bring economic benefits to its owner, has practical applicability and for which the owner has adopted protective measures.

上市公司（Shang4 Shi4 Gong1 Si1）- Listed Company

: A joint stock limited company which has its issued shares listed and traded at stock exchanges with the approval of the State Council of the department of securities administration authorized by the State Council.

商业（Shang1Ye4）- Commerce

: The buying and selling of goods.

设立（She4 Li4）- Establish

: To set up, ie. to set up a business, an office.

实行（Shi1 Xing2）- Implementation

: To carry out an undertaking, agreement, to put into effect.

实用新型（Shi2 Yong4 Xin1 Xing2）- Utility Model

: Utility model in the Patent Law refers to any new technical solution relating to the shape, structure, or combination of a product, which is fit for practical use.

实用性（Shi2 Yong4 Xing4）- Practical Applicability

: One of the three requirements that a patent for a invention or utility model must possess. Practical applicability means that the invention or utility model can be made or used and can produce effective results.

收购（Shou1 Gou4）- Acquisition

: The act of contracting or acquiring possession of something; such as one company by another.

授权（Shou4 Quan2）- Authorization

: Official permission or power to do something.

受托人（Shou4 Tuo1 Ren2）- Trustee

: The person who manages assets owned by a trust under the terms of the trust document. A trustee’s purpose is to safeguard the trust and distribute trust income or principal as directed in the trust document. With a simple probate-avoidance living trust, the person who creates the trust can also be the trustee.

受益人（Shou4 Yi4 Ren2）- Beneficiary

: A person or organization legally entitled to receive benefits through a legal device, such as a will, trust or life insurance policy.

税款（Shui4 Kuan3）- Taxation

: Revenue gained from taxes.

诉（Su4）- Suit, Sue

: Case in a law court; prosecution of a claim

诉讼（Su4 Song4）- Litigation

: Activities to solve a dispute through legal proceedings according to the law.

损失（Sun3 Shi1）- Damages

: The money or compensation awarded to one party based on the injury or loss suffered by that party.

特许（Te4 Xu3）- Licensing

: A contract giving written permission to use an invention, creative work or trademark. A license provides a way to make money from an invention or creative work without having to manufacture and sell copies yourself. By licensing an invention or work to a company, you get money in the form of royalties in return for allowing the company to use, produce and sell copies of your invention or work.

调解（Tiao2 Jie3）- Mediation

: A dispute resolution method designed to help warring parties resolve their own disputes without going to court. In mediation, a neutral third party (the mediator) meets with the opposing sides to help them find a mutually satisfactory solution. Unlike a judge in a courtroom or an arbitrator conducting a binding arbitration, the mediator does not have the power to impose a solution. No formal rules of evidence or procedure control mediation; the mediator and the parties usually agree on their own informal ways to proceed.

外观设计（Wai4 Guan1 She4 Ji4）- Design

: Design in the Patent Law means any new design of the shape, pattern, color or combination thereof, which creates an aesthetic feeling and is fit for industrial application.

外商独资企业（Wai4 Shang1 Du2 Zi1 Qi3 Ye4）- Wholly Foreign Owned Enterprise (WFOE)

: Refers to those enterprises established within China, in accordance with the relevant Chinese laws, with capital provided solely by the foreign investor.

预付定金（Yu4 Fu4 Ding4 Jin1) – Retainer

: A fee paid in advance to a lawyer to secure his/her services.

违约（Wei2 Yue1）- Breach

: A term used to refer to the failure to carry out the terms of contract.

违章（Wei2 Zhang1）- Infraction

: A minor violation of the law that is punishable only by a fine, ie, a traffic or parking ticket.

司法解释（Si1 Fa3 Jie3 Shi4）- Judicial Interpretations

: An interpretation of the decisions made by a judicial system.

信托人（Xin4 Tuo1 Ren2）- Trustor

: Refers to a person who creates a trust. Can also be called a Settler or Grantor.

新颖性（Xin1 Ying3 Xing4）- Novelty

: One of the three requirements that a patent for a invention or utility model must possess. Novelty means that, before the date of filing, no identical invention or utility model has been publicly disclosed in publications in the country or abroad or has been publicly used or made known to the public by any other means in the country, nor has any other person filed previously with the patent administrative organ under the State Council an application which described the identical invention or utility model and was published after the said date of filing.

行政（Xing2 Zheng4）- Administration

: Management of affairs, especially public affairs, government policy, etc.

虚假陈述（Xu1 Jia3 Chen2 Shu4）- Mispresentation

: A false statement which creates an impression in the mind of another person which is not in accord with the actual facts of the situation.

续展（Xu4 Zhan3）- Renew

: To arrange for the extension of a statutory right, ie. the exclusive right of a trademark.

药品生产质量管理规范（Yao4 Pin3 Sheng1 Chan3 Zhi4 Liang4 Guan3 Li3 Gui1 Fan4）- Good Manufacturing Practice (GMP)

: A standard of pharmaceutical manufacturing and quality control. It is applicable to the whole process of pharmaceutical preparation and key processes in bulk pharmaceutical manufacturing which may effect the pharmaceutical quality.

营利（Ying2 Li4）- Profit

: The amount received for a commodity or service in excess of the original cost.

游说（You2 Shui4）- Lobbying

: To try to influence the members of a law-making body to get a law passed or rejected.

债务管理（Zhai4 Wu4 Guan3 Li3）- Debt Management & Collection

: The managing, handling, supervision, or control of debt.

有争议的（You3 Zheng1 Yi4 De) – Disputable

: Capable of being disputed or liable to be called into question.

职务发明（Zhi2 Wu4 Fa1 Ming2）- Service Invention

: An invention-creation, made by a person in execution of the tasks of the entity to which he belongs or is employed by, or made by him by mainly using the material and technical means of the entity is a service invention. For a service invention-creation, the right to apply for a patent belongs to the entity. After the application is approved, the entity shall be the patentee.

仲裁（Zhong4 Cai2）- Arbitration

: A non-court procedure for resolving disputes using one or more neutral third parties, called the arbitrator or arbitration panel. Arbitration uses rules of evidence and procedure that are less formal than those followed in trial courts and which usually lead to a faster, less-expensive resolution.

中国证监会（Zhong1 Guo2 Zheng4 Jian1 Hui4）- China Securities Regulatory Committee (CSRC)

: CSRC is the abbreviation of China Securities Regulatory Committee, which is an institution directly under the State Council with ministerial rank.

中华律师协会（Zhong1 Hua2 Lu4 Shi1 Xie2 Hui4）- China Bar Association

: An association that all licensed attorneys join as members automatically when granted a license. It shall be responsible for the administration and supervision of all licensed attorneys.

中级人民法院（Zhong1 Ji2 Ren2 Min2 Fa3 Yuan4）- Intermediate People’s Court

: Court between the level of the High People’s Court and the level of the District People’s Court.

专利复审委员会（Zhuan1 Li4 Fu4 Shen3 Wei3 Yuan2 Hui4）- Patent Re-examination Board

: Established under the State Intellectual Property Office, the Patent Reexamination Board is in charge of the reexamination requests regarding invalidations or re-examinations of patent applications or patents.

专利管理局（Zhuan1 Li4 Guan3 Li3 Ju2）- Patent Administrative Authority

: These authorities under the people’s provincial governments, autonomous regions and municipalities directly under the Central Government are responsible for the patent administration work of their own administrative areas.

专利期限（Zhuan1 Li4 Qi2 Xian4）- Duration of Patent Right

: According to the Chinese Patent Law, the duration of patent right for inventions shall be twenty years, the duration of patent right for utility models and patent right for designs shall be ten years, counted from the date of filing.

专利强制许可（Zhuan1 Li4 Qiang2 Zhi4 Xu3 Ke3）- Compulsory Patent License

: According to the Patent Law, where any entity which is qualified to exploit the invention or utility model has made requests for authorization from the patentee of an invention or utility model to exploit its or his patent on reasonable terms and such efforts have not been successful within a reasonable period of time, the State Intellectual Property Office upon the application of that entity, grants a compulsory license to exploit the patent for invention or utility model.

专利侵权（Zhuan1 Li4 Qin1 Quan2）- Patent infringement

: Where anyone exploits a patent, without the authorization of the patentee, he or it constitutes an infringement to the patent right of the patentee. Exploit means, make, use, offer to sell, sell or import the patented product; or use the patented process or use, offer to sell, sell and import the product directly obtained by the patented process, for production or business purposes.

专利权（Zhuan1 Li4 Quan2）- Patent

: A legal monopoly granted by the relevant government body, for the use, manufacture and sale of an invention.

专利权人（Zhuan1 Li4 Quan2 Ren2）- Patentee

: Owner of the patent rights for invention, utility model, and design.

专利许可（Zhuan1 Li4 Xu3 Ke3）- Patent License

: Any entity or individua1 exploiting the patent of another must execute with the patentee a written license contract for exploitation and pay the patentee a fee for the exploitation of the patent. The licensee has no right to authorize any entity or individual, other than that referred to in the contract, to exploit the patent.

专门人民法院（Zhuan1 Men2 Ren2 Min2 Fa3 Yuan4）- Special People’s Court

: Specific courts in the People’s Republic of China, ie. the Railway Court in charge of cases related to railways or the Maritime Court in charge of cases related to maritime affairs.

最高人民法院（Zui4 Gao1 Ren2 Min2 Fa3 Yuan4）- Supreme People’s Court

: Court of the highest level in the People’s Republic of China.