Some Cases to be Shared for Officer's Random Checking the Company

Although we learnt that the local government is changing their key work from the qualification checking at the time of registration to the post inspection on the company’s daily operation after the company is set up, we did not know what really happened to the local companies. We are now sharing with you some cases of our client.

 

Case 1: An Italian top brand in high-end elegant menswear company has several retailing stores in Shanghai CBD. The officers from the local Marketing Supervision and Administrative bureau (“MSA”) visited its retailing store from time to time for the on-site checking. During the checking, they picked up the menswear randomly and take it as sample for quality checking.

 

Shanghai Dongjin Comments: 

1.     The Marketing Supervision and Administrative Bureau was set up for the purpose of combing the different governmental functions as the administrative bureau of industry and commerce, the quality and technical supervision bureau and the food and drug administrative bureau.

2.     The key issue to be check: the legality of the trademark, whether the product is the same as its description on its product’s label. Even the translation flaw will cause the difference between the label and the products and cause the breaching of the quality inspection administrative regulations.    

 

Case 2: An USA listing company which involving in the medical device trading business in Shanghai. It headquarter was registered in Pudong New Area and having a branch in Xuhui Area. However, it was checked and challenged by the Jing’an MSA.  

 

Shanghai Dongjin Comments: 

1.     Although Jing’an MSA is not the competent registration authority for our client’s case, there are actual promotions in Jing’an District (for example, the medical device was sold in the clinics in Jing’an District) and as a result, Jing’an officer can also challenge and check the daily operation of this company.

2.     We understand the office is focus on whether the company is involving in any fake or illegal promotion.

 

Not only for the above issues, you and your clients should be very careful for the daily operation. You may ask your client check the current information in any part of its business (e.g. the information was published, the products was promoted, the website or etc.). For any challenges by the officer, you should ensure your client to keep calm and discuss with you professional. An improper action will cause the serious result or even cancellation of the license.   

 

If you want to know more details, please contact our senior consultant.

Ms. Jojo Hu

TEL: 0086-21-68868335 ext 324 / FAX: 0086-21-68868021

Email: jojohu@shanghaiinvest.com