Successfully Recovered Full Outstanding Fees for a Fortune Global 500 Service Giant
Our team recently achieved a significant victory for a Fortune Global 500 multinational company (the “Client”) by fully recovering long-overdue service fees from a Changshu-based company (the “Respondent”). The Respondent had persistently withheld payment, citing operational difficulties. Having exhausted all conventional recovery avenues and fearing the debt was irretrievable, the Client turned to our team for help with scant hope of recovering the funds.
- Arbitration and Property Preservation
Leveraging our expertise in foreign-related commercial disputes, we first advised the Client to resolve the dispute through arbitration immediately. Pursuant to the agreement between the parties, arbitration was not only a mandatory requirement for dispute resolution, but also the most efficient and enforceable method for this disputes. Crucially, before initiating arbitration, we secured a decisive property preservation order from the court, freezing the Respondent’s bank account and successfully preserving over RMB 60,000. While the amount preserved was merely over RMB 60,000, this measure exerted immense pressure on the Respondent. It effectively prevented asset dissipation and laid a robust foundation for subsequent enforcement.
- Enforcement on the sole shareholder
The arbitration proceedings concluded with a favorable arbitral award in the Client’s favor, affirming the Respondent’s liability to pay the full outstanding amount. Without delay, our team filed an application for enforcement with the local Intermediate People’s Court, which immediately froze all the Respondent’s assets and listed both the Respondent and its legal representative on the list of dishonest persons subject to enforcement. However, the Respondent still failed to repay the debt despite these measures. Subsequently, we discovered that the Respondent had a sole shareholder. Crucially, Article 23 of the Company Law of the People’s Republic of China stipulates that if such a shareholder cannot prove the company’s assets are independent from its own, it bears joint and several liability for the company’s debts. Since our client lacked an arbitration agreement with this shareholder company, we were unable to name it as a respondent in the prior arbitration. We further ascertained that the sole shareholder company remained operational and likely possessed significant assets. Consequently, we petitioned the court to add this entity as a party subject to enforcement, pursuing all necessary measures against it. Faced with the mounting pressure from the court’s enforcement actions, including those targeting its shareholder, the Respondent finally capitulated and settled with our client, swiftly remitted the entire overdue sum to the Client.
This result—achieved through meticulous planning, swift execution, and a client-centric approach—restored the Client’s confidence in the Chinese legal system. The Client expressed high praise for our team’s professionalism, noting that our “strategic preservation, strong litigation skills, and relentless enforcement efforts” were instrumental in recovering the funds they had deemed lost.
For foreign enterprises facing payment delays or disputes in China, our team’s proven track record in debt recovery through arbitration and enforcement offers a reliable solution. We remain committed to protecting the interests of multinational clients with tailored, effective legal strategies.
Email: sawaywang@billionslawyer.com
Tel/Whatsapp: +86 18017682422
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Y&S China Lawyers Helps its Foreign Clients Solve International Trade Disputes
Summary: Y&S China Lawyers, with our experienced and reliable lawyers, helps numerous foreign clients to safeguard their interests and avoid unnecessary losses in international trade disputes.
Have you ever encountered situations while doing business with Chinese companies where you paid for goods to a Chinese supplier, but they refused to deliver or refund? Have you come across suppliers who delivered defective products and refused to compensate? Or perhaps your Chinese partner has refused to pay the contractual fees? If any of these scenarios have occurred, you no longer need to worry about protecting your rights and minimizing losses – Y&S China Lawyer is here to assist you with all these problems!
Y&S China Lawyers is a team of Chinese lawyers and specializing in international trade disputes. These lawyers possess professional academic backgrounds and decades of extensive practical experience; some had even served in Chinese courts. They excel in assisting clients in managing a variety of complex cases and ultimately fulfilling their demands.
Our expertise spans international trade default claims, maritime disputes, and trade remedies. Our services encompass litigation, commercial arbitration, demand letter, commercial negotiation or mediation, and other non-litigation dispute solution. With proficiency in English and a deep understanding of legal frameworks across different jurisdictions, they provide customized solutions for foreign enterprises, multinational corporations, and WFOE entities.
We demonstrate exceptional client responsibility and operational efficiency. When handling trade disputes, we first thoroughly examine the client’s case materials, conduct precise analysis and risk assessment to provide preliminary outcome projections, allowing clients to establish reasonable expectations. Furthermore, we deliver highly competitive pricing solutions to facilitate clients’ decision-making regarding case initiation.
Once a case commences, we promptly assemble all favorable evidence for our client and prepare comprehensive filing materials to submit to the court. Concurrently, we swiftly freeze the opposing party’s accounts to exert pressure for repayment. Throughout the trial proceedings, we respond proactively and act decisively to better safeguard clients’ rights, markedly enhancing the chances of winning the case.
Y&S China Lawyers, with its exceptional professional expertise and a responsible, effective work ethic, has managed hundreds of trade disputes for clients, aiding them in the recovery of hundreds of millions in payments and earning acclaim from both domestic and international clients.
If you are dealing with a similar trade dispute, you can contact Y&S China Lawyers. We have professional lawyers who can assist you in evaluating the case, formulating litigation strategies, and ensuring that your interests are protected. For more information, visit their official website.
Contact Details
Y&S China Lawyers
Email: sawaywang@billionslawyer.com
Phone number: +86 18017682422
City: Shanghai
Country: China
Contact Person: Saway
