ISSUE 7.6
Tort liability law
A landslide of tortious litigation?
《侵权责任法》实施或将引发诉讼高峰？
Intellectual property Top firms revealed
大中华地区领先知识产权律所专题报告
Best In-house Team of the Year CHINA
China Eastern Airlines legal team reaches new heights
专访中国东方航空公司法律部总经理
Zhejiang L&H 六和 Ying Ke 盈科 Jade & Fountain 九州 LexField 联德 Gaopeng 高朋 LexField 联德 Dacheng 大成 Han Kun 汉坤 JC Master 泰和 Zhong Yin 中银 Dacheng 大成 Gaopeng 高朋 Ying Ke 盈科 JC Ma Gaopeng 高朋 Han Kun Jade & Fountain 九州丰泽 Dacheng 大成 LexField 联德 Zhejiang L&H 六和 Zhejiang L&H 六和 JC Master 泰和 Jade & Fountain 九州丰泽 Ying Ke 盈科 Zhong Yin 中 Dacheng 大成 JC Master 泰和 Gaopeng 高朋 Ying Ke 盈科 LexField 联德 JC Ma Jade & Fountain 九州丰泽 Jade & Fountain 九州丰泽 Ying Ke 盈科 Dacheng Jade & Fountain 九州丰 Gaopeng 高朋 Zhong Yin 中银 Jincheng Tongda & Neal 金诚同达 Ying Ke 盈科 LexField Dacheng 大成 JC Master 泰和 Dacheng 大成 Gaopeng 高朋
2010年度全国发展最迅速的十家律师事务所
The fastest-growing firms in China are revealed n DEALS ROUNDUP n UK, US REPORTS n LATERAL MOVES n APPOINTMENTS n LATEST CAPITAL MARKETS DATA
www.legalbusinessonline.com
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ISSUE 7.6
News | editorial >>
Tort liability law
A landslide of tortious litigation?
《侵权责任法》实施或将引发诉讼高峰？
Intellectual property Top firms revealed
大中华地区领先知识产权律所专题报告
Best In-house Team of the Year CHINA
Forward thinking
E
ach year the Fast 10 list highlights the country’s innovative, adventurous, entrepreneurial law firms. This year’s 10 firms, particularly, deserve the recognition for their achievements in a rather difficult year. Unlike many of the established, top-tier firms – which were vulnerable in 2009 both because of decreased complex transactional work and increased client sensitivity to legal fees – many mid-tier and up-and-coming players made steady inroads into the upper corporate and commercial segments of the legal market. Claiming top place on the list this year is Beijing Yingke. In 2008 the firm was still a single-office operation with a handful of partners, but over the past year it has reinvented itself to be one of the nation’s largest firms, increasing its number of partners and lawyers to 82 and 341 respectively. It has also opened six branch offices during the same period. These developments led the firm towards a ground-breaking revenue growth rate of 787% in 2009. Although Beijing Yingke’s ruthless expansion has drawn criticism and raised many questions about sustainability, quality control and risk management, we should give the firm credit for simply being able to attract that many lawyers to join – and also creating abundant job opportunities during difficult times. Many of the Fast 10 firms share the same story, with strong fee-earner growth bumping up total revenues. However, high growth doesn’t come without some cost. A number of firms suffered a slowdown – or even a drop in profit per partner (PEP) growth – due to new partner intakes in the year and their increased operational cost. In their defence, these firms argued that they hold an optimistic outlook for the legal sector’s growth prospects and they are aiming for long-term gains instead of short-term profitability. Thus, they are actively making lateral hires, seeking acquisitions and setting up new offices, putting themselves in a better position as the market realises its full potential. Nevertheless, the purpose of the Fast 10 is to simply provide a guide to the fastest-growing law firms and to leave the market to draw its own conclusions as to the merits of the particular growth strategies employed. We should also keep in mind that faster, smarter, stronger growth of law firms is based on more than numbers alone.
Unlike many of the established, top-tier firms, – which were vulnerable in 2009 both because of decreased complex transactional work and increased client sensitivity to legal fees – some mid-tier and up-and-coming players made steady inroads into the upper corporate and commercial segments of the legal market www.legalbusinessonline.com
China Eastern Airlines legal team reaches new heights
专访中国东方航空公司法律部总经理
Zhejiang L&H 六和 Ying Ke 盈科 Jade & Fountain 九州丰泽 ALB CHINA FAST LexField 联德 Gaopeng 高朋 LexField 联德 Dacheng 大成 JC Master 泰和 Han Kun 汉坤 Zhong Yin 中银 Dacheng 大成 JC Master 泰和 Gaopeng 高朋 Ying Ke 盈科 Gaopeng 高朋 Han Kun 汉坤 Jade & Fountain 九州丰泽 Dacheng 大成 LexField 联德 Zhejiang L&H 六和 Zhejiang L&H 六和 JC Master 泰和 Jade & Fountain 九州丰泽 Ying Ke 盈科 Zhong Yin 中银 Dacheng 大成 JC Master 泰和 Gaopeng 高朋 Ying Ke 盈科 LexField 联德 JC Master 泰和 Jade & Fountain 九州丰泽 Jade & Fountain 九州丰泽 Ying Ke 盈科 Dacheng 大成 Jade & Fountain 九州丰泽 Gaopeng 高朋 Zhong Yin 中银 Jincheng Tongda & Neal 金诚同达 Ying Ke 盈科 LexField 联德 Dacheng 大成 JC Master 泰和 Dacheng 大成 Gaopeng 高朋
2010年度全国发展最迅速的十家律师事务所
The fastest-growing firms in China are revealed n DEALS ROUNDUP n UK, US REPORTS n LATERAL MOVES n APPOINTMENTS n LATEST CAPITAL MARKETS DATA
www.legalbusinessonline.com
IN THE FIRST PERSON “An effective and properly protected IP portfolio is now essential in any IPO and can significantly increase the value of the business” Li Yong, KIng & Wood (p9)
“The legal department is now regarded as critical as [the] finance and audit departments in our company. Its influence is on the rise in every aspect of the company’s operations” Guo Lijun, China Eastern Airlines (p33)
“With the new tort law, companies should be prepared for an increase in litigation by consumers. With more litigation in-house counsels will need to be knowledgeable in the domestic litigation process and in effectively managing the litigation process, as well as outside counsel” Laurence O’Laughlin, Intel China (p43)
CHINA
1
News | deals>> >> CONTENTS
contents
Zhejiang L&H 六和Yingke 盈科 Jade & Fountain 九州丰泽 ALB CHINA FASTLexField 联德 Gaopeng 高朋 LexField 联德 Dacheng 大成 JC Master 泰和Han Kun 汉坤 Dacheng 大成 Gaopeng 高Zhong Yin 中银 Master 泰和 openg 高朋 Zhong Yin 中银 Ying Ke 盈科HanJCKun 汉坤 ALB China Fast 10 ade & Fountain 九州丰泽 Dacheng 大成 LexField 联德 The tough market conditions of 2009 – Zhejiang L&H 六和 Zhejiang L&H 六和 C Master 泰和 particularly in the first half of the year Jade & Fountain 九州丰泽 Ying Ke 盈科 Zhong Yin 中银 Dacheng 大成 – have been well documented, but some JC Master 泰和 Gaopeng 高朋 Ying Ke 盈科 firms still managed to record exceptional LexField 联德 JC Master 泰和 Jade & Fountain 九州丰泽 growth. ALB China’s annual Fast 10 returns Jade & Fountain 九州丰泽 Yingke 盈科 Dacheng 大成 to acknowledge the fastest-growing firms Zhong Yin 中银 Gaopeng Jade 高朋 & Fountain 九州丰泽 Jincheng Tongda & Neal 金诚同达 in a trying year Ying Ke 盈科 Dacheng 大成 LexField 联德 JC Master 泰和 Dacheng 大 Gaopeng 高朋
24 COVER STORY
ANALYSIS 8
Globalising IP strategy the top agenda As globalisation for domestic companies picks up its pace, IP practitioners around the world have been kept busy, while local firms are now gearing up to increase their competence in international IP matters
FEATURES 32 In-house Perspective: China Eastern Airlines The in-house legal team of China Eastern Airlines made their mark at the ALB China Law Awards 2010, winning the Chinese Company In-house Team of the Year award.
This is not least because of their recent work on headline transactions such as the Shanghai Airlines merger and RMB$7bn equity placement 36 Leading IP firms in Greater China Here is ALB’s annual guide to the who’s who of the country’s intellectual property law firms, as voted for by practitioners across the region 42 Tort liability law: a contentious bonanza The notion of civil protection has become paramount as the number of tort-related cases continues to climb in China. The new Tort Liability Law becomes effective on 1 July 2010, so ALB finds out whether the country’s lawyers are expecting a surge in litigation to occur as a result
32
Regulars 4
DEALS
10 • • •
NEWS Nixon Peabody names new China leader Shanghai opportunities tempt Beijing firms Former Rolmax partner sets up new boutique in Shanghai Jin Mao Trio splinters off to set up new firm Cadwalader hires DLA Piper partner for Asia expansion Nishimura opens first overseas office in Beijing Dacheng signs four mergers in six months Tahota straddles Chengdu and Chongqing Gaopeng sets up in Hangzhou
• • • • • •
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ISSUE 7.6
News | deals >>
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ALB China issue 7.6
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NEWS | deals >>
| EQUITY MARKET |
deals in brief
►►Guangzhou Automobile Group–Denway Motors acquisition
广汽通过换股私有化骏威汽车
Value: US$4bn
Firm: Beijing Tianyin Client: Guangzhou Automobile Group Firm: Woo Kwan Lee & Lo Client: Guangzhou Automobile Group Firm: King & Wood Client: Joint sponsors Firm: Freshfields Client: Joint sponsors • Guangzhou Auto is planning to make its 37.9%-owned affiliate Denway a wholly-owned subsidiary and then list its own shares on the HKSE instead • King & Wood and Freshfields also recently advised on another automobile industry deal – Zhongsheng’s US$307m Hong Kong IPO
| M&A | ►►China National Petroleum Corporation–Syria Shell Petroleum Development acquisition
| DEBT MARKET | ►► Bank of Communications rights issuance 交通银行331亿元配股发行 Value: US$4.85bn
Firm: Baker & McKenzie Client: Issuer Firm: King & Wood Client: Issuer Liu Wei
Grandall Legal Firm: Group Freshfields Lead lawyer: Chris Wong Client: Joint bookrunners
Firm: Grandall Legal Group
4
HEADLINE DEAL
Lead lawyer: Liu Wei Client: Underwriters • Bank will sell 3.89bn yuandenominated A shares in Shanghai and 3.46bn Hong Kong dollar-denominated shares in Hong Kong • Grandall Shanghai office provided legal advice to lead underwriters including UBS, Haitong Securities, CICC, Credit Suisse Founder • Freshfields has also acted on the IPOs of China Construction Bank, ICBC, Bank of China, China Minsheng Bank and CITIC Bank, and HSBC’s investment in Bank of Communications
(per annum) of LNG for a 20 year period from Queensland-based BG Group
“We have seen a very significant upswing in outbound acquisition activity by Chinese companies who are keen to secure energy resources and are looking around the world to meet their future needs” Anna Howell, Herbert Smith
| M&A | ►►Sinochem–Statoil stake acquisition 中化收购巴西油田40%股份
Value: US$3.1bn Firm: Baker Botts Lead lawyer: Zhang Libin Client: Sinochem Firm: Demarest e Almeida Advogados Client: Sinochem
Zhang Libin Baker Botts
中石油集团收购壳牌叙利亚子公 司35%股权
Value: US$1.6bn
Firm: Herbert Smith Lead lawyer: Anna Howell Client: CNPC Firm: Stibbe Lead lawyer: Martin In de Braekt Client: CNPC • CNPC acquires 35% interest in SSPD, currently 100% owned by Shell; Shell was advised by its own in-house legal team • In March, Herbert Smith’s Howell also led a team lawyers in advising China National Offshore Oil Corporation’s Anna Howell acquisition of Herbert Smith 3.6m tonnes ISSUE 7.6
NEWS | deals >>
Firm: Vinson & Elkins Lead lawyer: Alex Msimang Client: Statoil • Deal will see Sinochem take 40% stake from Statoil in the Peregrine oil field, located in Brazil's offshore Campos Basin • Transaction is subject to government approvals in Brazil and China • Vinson & Elkins is a long-term legal counsel to Statoil ASA, Norway’s largest oil and natural gas company
►► YOUR MONTH AT A GLANCE Firm
Jurisdiction
Deal name
Baker Botts Baker & McKenzie Beijing Tianyin Blake Cassels
China/Europe China/US China/Hong Kong China/Hong Kong China/Canada
Bull, Housser & Tupper
China/Canada
Chen & Co.
China/US China/US China/US China/Hong Kong China/Hong Kong China/Hong Kong
Sinochem–Statoil stake acquisition JinkoSolar New York IPO Bank of Communications rights issuance Guangzhou Automobile Group–Denway Motors acquisition China Rail Construction and Tongguan Investment–Corriente Resources acquisition China Rail Construction and Tongguan Investment–Corriente Resources acquisition JinkoSolar New York IPO Harbin Pharmaceutical–Pfizer vaccine acquisition Harbin Pharmaceutical–Pfizer vaccine acquisition China COSCO share placement NVC Lighting Hong Kong IPO Fantasia high-yield notes offering
Clifford Chance Commerce & Finance
| M&A | ►► China Rail Construction and Tongguan Investment – Corriente Resources acquisition 中国铁建和铜陵收购加拿大 铜矿
Value: US$679m
Firm: Dacheng Lead lawyer: Jiang Rongqing Client: CRCC Firm: Davies Ward Phillips & Vineberg Client: CRCC Firm: Bull, Housser & Tupper Client: Corriente Firm: Blake Cassels Client: Corriente
Conyers Dill & Pearman Dacheng Davies Ward Phillips & Vineberg Davis Polk & Wardwell
Demarest & Almeida Advogados Freshfields
Goldensaying Law Firm Grandall Legal Group Herbert Smith Jingtian & Gongcheng Jun He Kaiwen Law Firm King & Wood
Latham & Watkins Lovells Norton Rose Paul Hastings Salans Shook Lin & Bok Sidley Austin Simpson Thacher Skadden Stibbe Vinson & Elkins Woo, Kwan, Lee & Lo Yuan Tai Zhong Lun Zhonglun W&D
China/US China/Hong Kong China/Hong Kong China/Canada China/Canada China/Hong Kong China/Hong Kong China/Hong Kong China/Europe China/Hong Kong China/Hong Kong China/Europe China/Hong Kong China/Europe China/Hong Kong China China/Middle East China/Hong Kong China/Hong Kong China/Hong Kong China/Hong Kong China China/Hong Kong China/US China/Hong Kong China/Hong Kong China/Hong Kong China/Hong Kong China/Hong Kong China/Europe China/Hong Kong China/Hong Kong China/US China/Hong Kong China/Hong Kong China/Middle East China/US China/Europe China/Hong Kong China/Hong Kong China China
JinkoSolar New York IPO Renhe Commercial high yield notes offering Fantasia high-yield notes offering China Rail Construction and Tongguan Investment–Corriente Resources acquisition China Rail Construction and Tongguan Investment–Corriente Resources acquisition Renhe Commercial high yield notes offering Yanlord Commercial high yield notes offering Fantasia high-yield notes offering Sinochem–Statoil stake acquisition Guangzhou Automobile Group–Denway Motors acquisition NVC Lighting Hong Kong IPO KION Group–KION Baoli JV acquisition Bank of Communications rights issuance Euro Asia (EuAsia)Frankfurt IPO Bank of Communications rights issuance Xianyang Pianzhuan–Shaanxi Lianshi Mining acquisition China National Petroleum Corporation–Syria Shell Petroleum Development acquisition Renhe Commercial high-yield notes offering NVC Lighting Hong Kong IPO Renhe Commercial high-yield notes offering Guangzhou Automobile Group–Denway Motors acquisition China Huarong Financial Leasing financial bonds issuance Fantasia high-yield notes offering Harbin Pharmaceutical–Pfizer vaccine acquisition Bank of Communications rights issuance Renhe Commercial high-yield notes offering Yanlord Commercial high-yield notes offering Renhe Commercial high-yield notes offering China COSCO share placement Euro Asia (EuAsia)Frankfurt IPO Yanlord Commercial high-yield notes offering Fantasia high-yield notes offering JinkoSolar New York IPO Yanlord Commercial high-yield notes offering NVC Lighting Hong Kong IPO China National Petroleum Corporation–Syria Shell Petroleum Development acquisition CNOOC–Devon Energy interest acquisition Sinochem–Statoil stake acquisition Guangzhou Automobile Group–Denway Motors acquisition Yanlord Commercial high-yield notes offering Burwill–Tai Xin Mineral acquisition Chinatex Corporation medium-term notes issuance
Value ($USm) 3,100 64 4,850 4,000 679
Deal type M&A Equity market Debt market M&A M&A
679 M&A 64 50 50 601 196 120
Equity market M&A M&A Equity market Equity market Debt market
64 300 120 679
Equity market Debt market Debt market M&A
679 M&A 300 300 120 3,100
Debt market Debt market Debt market M&A
4,000 196 Undisc. 4,850 79 4,850 144 1,600
M&A Equity market M&A Debt market Equity market Debt market M&A M&A
300 196 300 4,000 147 120 50 4,850 300 300 300 601 79 300 120 64 300 196 1,600
Debt market Equity market Debt market M&A Debt market Debt market M&A Debt market Debt market Debt market Debt market Equity market Equity market Debt market Debt market Equity market Debt market Equity market M&A
515 3,100 4,000 300 97 146
M&A M&A M&A Debt market M&A Debt market
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5
NEWS | deals >>
• Second-largest overseas acquisition of copper assets by a Chinese company to date • Blake Cassels recently acted as Canadian counsel to Sinopec in its US$4.6bn acquisition of Syncrude Canada
| EQUITY MARKET | ►► China COSCO share placement 中国远洋配股 Value: US$601m
Firm: Paul Hastings Lead lawyer: Raymond Li Client: COSCO Firm:Clifford Chance Lead lawyer: Amy Ho Client: Underwriters
| DEBT MARKET | ►► Renhe Commercial highyield notes offering
人和商业发行3亿美元保证优 先票据
Value: US$300m
• Funds will be used to support the company’s US$520m acquisition of 13.7% stake in the Yantian Terminals, the fourth-largest TEU container port in the world • Paul Hastings served as international counsel for COSCO’s US$2bn A-share listing on the Shanghai Stock Exchange in 2008 and US$1.28bn H-share IPO in 2005
| M&A | ►► CNOOC raises South China Sea block stake
中海油增持南中国海Panyu油 田股权
►►Yanlord Land Group highyield notes offering 仁恒置地发行3亿美元保证优 先票据
Value: US$300m
• Shanghai Yuan Tai is Yanlord’s long-term legal advisor, having advised the company on its US$164m IPO in Singapore in 2006
| EQUITY MARKET | ►►NVC Lighting Hong Kong IPO 雷士香港首发
Firm: Jingtian & Gongcheng Client: Issuer
Firm: Shook Lin & Bok Client: Issuer
Firm: Conyers Dill & Pearman Client: Issuer
Firm: Lovells Client: Issuer
Firm: Jun He Client: Issuer
Firm: Norton Rose Client: Issuer
Firm: Davis Polk & Wardwell LLP Lead lawyers: William Barron, John Paton Client: Issuer
Firm: Freshfields Lead lawyers: Chris Wong, Calvin Lai Client: Issuer
Firm: Davis Polk & Wardwell Lead lawyers: William Barron, John Paton, Show Mao Chen Client: Issuer Raymond Li Paul Hastings
| DEBT MARKET |
Firm: Kaiwen Law Firm Lead lawyer: Zhang Shiwei Client: Initial purchasers Firm: Latham & Watkins Client: Initial purchasers • Renhe’s US$435m IPO two years ago was advised by Morrison & Foerster, Latham & Watkins, Conyers Dill & Pearman, Jingtian & Gongcheng, Zhang Shiwei Kaiwen and Kaiwen Norton • JPMorgan Securities and Merrill Lynch and UBS AG acted as initial purchasers for the offering
Firm: Yuan Tai Lead lawyer: Wang Daofu Client: Initial purchasers Firm: Skadden Client: Initial purchasers • Offering is Yanlord’s debut offering of non-convertible debt securities on the SGX • Royal Bank of Scotland and Standard Chartered Bank acted as initial purchasers for the offering
Value: US$196m
Firm: Skadden Client: Issuer Firm: Commerce & Finance Client: Underwriters • NVC Lighting is based in Guangdong. It designs, develops, produces, markets and sells a variety of lighting products, with a strong focus on energy-saving products
“There is a very strong pipeline in the market, even stronger than 2007 and early 2008. Unlike the last few years when deals were concentrated on a small number of sectors, there is currently a mixture of state-owned companies and privately-owned companies with a very diverse range of industry sectors” Chris Wong, Freshfields
Value: US$515m
Firm: Vinson & Elkins Lead lawyers: David Blumental, Jeff Munoz Client: Devon • CNOOC was represented by its own in-house legal department; Block 15/34 is located in the Pearl River Mouth Basin of South China Sea • Devon Energy is a long-standing client of Vinson & Elkins, previously the firm advised the client on US$262m sale of Indonesian oil and gas concession operations to PetroChina in 2002
6
ISSUE 7.6
NEWS | deals >>
| DEBT MARKET | ►► Chinatex Corporation medium-term notes issuance
中国中纺集团成功发行15亿中 期票据
Value: US$146m
Firm: Zhonglun W&D Lead lawyers: Wang Hao Client: Issuer • Chinatex, a state-owned enterprise formerly engaged in textiles, is China’s Wang Hao third-largest Zhonglun W&D vegetable oil processor as a result of a series of acquisitions in 2009
| M&A | ►► Xianyang Pianzhuan– Shaanxi Lianshi Mining acquisition 咸阳偏转收购山西矿业
Firm: Davis Polk Lead lawyers: William Barron, John Paton Client: Initial purchasers • Fantasia offers high-yield senior notes due 2015 • Citigroup Global Markets, Merrill Lynch International and UBS AG are initial purchasers
• Xianyang Pianzhuan has agreed to acquire Shaanxi Lianshi Mining from private investor Zhang Zheng
| DEBT MARKET | ►► Fantasia high-yield notes offering
花样年控发行1.2亿美元保证优 先票据
Value: US$120m
Firm: Commerce & Finance Client: Issuer Firm: Sidley Austin Client: Issuer Firm: Conyers Dill & Pearman Client: Issuer Firm: King & Wood Client: Initial purchasers www.legalbusinessonline.com
| EQUITY MARKET | ►►JinkoSolar New York IPO
JinkoSolar纽约首次公开发 行股票
Value: US$64m
| M&A | ►► Burwill–Tai Xin Mineral acquisition 宝威控股收购Tai xiN
Value: US$97m
Firm: Zhong Lun Lead lawyer: Catherine Guo Client: Burwill • Burwill acquires 51% equity interest of Tai Xin Minerals from the Tai Xin Investment and Tai Xin Holdings for HK$500m • Burwill will also be granted a call option to acquire new shares of the Tai Xin for an additional consideration of HK$259m, to be paid on a one-off basis
Value: US$144m
Firm: Grandall Legal Group Client: Xianyang Pianzhuan
• EuAsia’s PRC legal advisors for property valuation purposes include Jun He and Jincheng Tongda & Neal
| EQUITY MARKET | ►► Euro Asia (EuAsia) Frankfurt IPO
EuAsia首次公开发行
Value: US$79m Firm: Salans Lead lawyers: Hermann Meller, Benjamin Kroymann, BerndUwe Stucken, Liu Wei, Ginger Zhou Client: Issuer
Firm: Chen & Co Lead lawyer: Lin Zhong Client: Issuer Firm: Baker & McKenzie Lead lawyer: Scott Clemens Client: Issuer
Lin Zhong Chen & Co
Firm: Simpson Thacher Lead lawyer: Chen Leiming Client: Underwriters Firm: Commerce & Finance Lead lawyer: Hou Qing Hai Client: Underwriters • Company’s second try at an IPO after postponing the deal in February • Chen & Co also advises JinkoSolar with routine corporate legal matters such as contract drafting, negotiations and labour law issues
| M&A | ►►Harbin Pharmaceutical– Pfizer vaccine acquisition 哈药收购辉瑞在华疫苗业务
Value: US$50m
Bernd-Uwe Stucken Salans
Firm: Goldensaying Law Firm Client: Issuer • Euro Asia’s listing is the second Chinese IPO in the entry standard segment of the Frankfurt Stock Exchange • Salans has now been involved in four of the six Chinese IPOs which have taken place in Germany
Firm: Chen & Co Lead lawyer: Lin Zhong Client: Harbin Pharmaceutical
• Deal marked the first time China had ordered a foreign company to divest a locally-based business as a condition for approval of a merger with another foreign company, as part of a review under the country's Anti-Monopoly Law
“With the completion of Harbin Pharmaceutical's novelty acquisition in the PRC, our anti-trust group has derived considerable insight from navigating the related challenges” Lin Zhong, Chen & Co
| M&A | ►►KION Group–KION Baoli JV acquisition 凯傲集团全面接管凯傲宝骊
Value: Undisc.
Firm: Freshfields Lead lawyers: Heiner Braun, Alan Wang Client: KION Group • Deal makes KION Group the Alan Wang largest foreign Freshfields forklift truck manufacturer in China • KION Baoli will be fully integrated into the global operations of KION Group with immediate effect • JV was established in January 2009 with Jiangsu Shangqi Group, (formerly Jiangsu Baoli Group) and Jingjiang Baoli Forklift
Firm: King & Wood Client: Pfizer Firm: Clifford Chance Lead lawyer: Ninette Doodoo Client: Pfizer • Disposal was required by the AntiTrust Bureau of China's Ministry of Commerce, as a condition for approval of Pfizer's $68bn merger with Wyeth
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Analysis >>
Globalising IP strategy on top of the agenda As the globalisation of domestic companies picks up pace, IP practitioners worldwide have been kept busy, while local firms are gearing up to increase their competence in international IP matters
T
he need to protect intellectual property rights (IPR) lies hand-in-hand with global ambitions. As the globalisation of domestic companies expands IP practitioners worldwide have been kept busy, servicing the legal needs of these clients across a wide range of industries and technologies. “Domestic companies are increasingly interested in learning about global IP strategies. They are keen on knowing how to commercialise, manage and protect their IP rights such as patents, especially when they venture overseas. This is where we come in,” said CCPIT Patent and Trademark Law Office partner Long Chuanhong. Albeit known for its strength in advising international clients on their IP matters in China, the firm has shifted more resources to provide legal advice for domestic clients, particularly those companies that are rapidly developing international
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business. And while a considerable and growing amount of IP work has already been generated from the increasing awareness of these rights among domestic clients, lawyers widely expect that more education is required. However, according to Li Yong, an IP partner at King & Wood, an abundance of domestic enterprises, particularly small to medium-sized companies, are yet to develop their IP strategies. Two years ago, King & Wood Li Yong established IP Legal, a King & Wood team of approximately 20 IP experts from the firm’s Beijing, Shanghai and Shenzhen office. IP Legal operates under the firm’s IP department dedicated to providing commercial and corporate IP advice and consulting. “The increase in the demand for commercial advice including licensing, due diligence,
portfolio management and strategy development is the driving force for IP Legal,” said Li. With many companies looking to launch an IPO and list their shares at home and abroad, or planning to make business sales and acquisitions, IP related issues form a key part of legal work. “An effective and properly protected IP portfolio is now essential in any IPO and can significantly increase the value of the business. It’s critical for companies to conduct a thorough due diligence regarding their IP assets and develop sound strategies before a transaction,” said Li. Beijing-based Chang Tsi & Partners also provides legal advice for similar IP enquiries. The firm reports a growing clientele who are interested in learning about the bigger picture – the way to conduct, protect and enforce their IP rights worldwide. “We have many local clients who are now contemplating how to enter a foreign market, how to ISSUE 7.6
NEWS | analysis >>
obtain worldwide IP rights and how to commercialise their existing portfolio in other markets,” said Spring Chang, a partner at Chang Tsi & Partners. International firms are also frequently instructed by major domestic companies for global IP legal advice and enjoy certain advantages in this field. Jones Day, for example, has been engaged by conglomerates like Huawei, Lenovo, Foxcom and Founder since the beginning of the year for their new filings and prosecutions. “When it comes to patent filings for Chinese companies, we are talking about global filings, not just in
with multi-level IP departments, like Baker & McKenzie and Bird & Bird, stand to gain from their extensive international networks. Some firms have established affiliations with local agencies to gain a competitive edge – Rouse & Co is affiliated with Beijing Lusheng and Bird & Bird is in Spring Chang association with Beijing Chang Tsi & Partners Xiang Kun. Local firms have also pondered over whether to increase their international IP
“An effective and properly protected IP portfolio is now essential in any IPO and can significantly increase the value of the business. It’s critical for companies to conduct a thorough due diligence regarding their IP assets” Li Yong, King & Wood mainland China. If a particular IP right is created in China, clients are concerned about how they can go about protecting it globally,” said Benjamin Bai, an IP partner at Jones Day. According to Bai, IPR in China is no longer a territorial issue – even though it appears this way to a certain extent. With the increasing amount of IP work seen globally, large international firms
offerings. The key, Chang says, is to have the firm equipped with lawyers who have international experience, linguistic capabilities and are capable of taking a step back – to draw a the ‘bigger picture’ for clients. Chang Tsi’s special counsel Adam Kryder is in charge of training the firm’s lawyers on international concerns and bridging language barriers.
Others have resorted to poaching talent from international firms. Exemplifying this is Jun He’s recent IP hires, securing the services of two IP partners, James Zhu and Zoe Wang, who were previously the Beijing and Shanghai managing partners at US firm Perkins Coie; and Steven Cui, a former IP counsel at Jones Day. Poaching international talent is one of the channels, and also the most direct method, to increase international IP legal capacity. Other ways include participating in global conferences and joining international IP associations. Beijing-based GoldenGate is one of the active firms in the international IP legal sense. Last year the firm joined TAGLaw, a worldwide network of 145 law firms in 81 countries, and its partners are regular participants in international IP events, such as the AIPPI Intellectual Property World Congress and INTA conference. “We admit that some foreign law firms may have more experienced IP lawyers and hence have had an advantage over us in providing advice on global IP strategies, but as we gain more international talent, involve ourselves in more international IP conferences and build stronger relationships with clients, we will continue to catch up with them,” said King & Wood’s Li. ALB
知识产权策略全球化备受关注
企
业务全球化意味着企业保护知识产权的需求也 日趋急迫。随着国内企业全球化脚步不断加 快，知识产权律师的工作量正在不断加大，为各个 行业和技术领域的客户提供法律服务。 中国国际贸易促进委员会专利商标事务所合伙人龙 传红表示：“国内企业越来越关注知识产权策略全球 化的问题。进行海外投资的企业尤其热衷于了解如 何在海内外管理和保护知识产权（例如专利）。这 正是我们的业务切入点。”为国际客户提供与知识产 权事务相关的顾问和法律服务是该所传统的专长，但 最近该所正安排更多专业资源为国内客户提供法律服 务，尤其是快速开拓国际业务的企业。 国内客户对知识产权保护的意识不断增长，已经 催生大量知识产权法律业务。但律师普遍认为，大 量中国本地企业，尤其是中小企业，其知识产权策 略仍有待完善。 两年前，金杜成立了一支知识产权法律服务团队， 专门提供商业性和公司化的知识产权的顾问和咨询服 务。李勇表示：“商业性咨询的需求主要包括特许授 权、尽职调查、知识产权管理和战略制定，是知识 产权法律服务团队业务增长的主要推动因素。”该团 队拥有约20位知识产权法律专家，分布在北京、上 海和深圳办公室。 鉴于众多企业有意在国内外启动 IPO，或进行并 购交易，与知识产权相关的事务已成为这类法律工
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作的重要组成部分。李勇表示：“对任何 IPO 而言， 高效且合理保护企业的知识产权至关重要，并对资 产估值有重要影响。企业在参与此类交易前，应针 对知识产权资产进行彻底的尽职调查，制定完备的 知识产权战略。” 北京铸成律师事务所亦在为客户提供类似知识产 权咨询。铸成合伙人苍雨春表示：“诸多国内公司已 开始规划如何进入国外市场，如何获得国际知识产 权以及如何在其它市场实现现有知识产权商业化。” 国际律所亦频繁受到大型国内企业的委托，提供 国际知识产权法律意见，在该领域充分发挥业务优 势。例如，自今年年初以来，众达律师事务所已得 到华为、联想、富士康和方正等企业的委托，参与 新专利申请和专利诉讼等事务。众达知识产权业务 合伙人白建民表示：“中国企业的专利申请越来越多 意味着全球申请，并不仅局限于中国。如果特定知 识产权源自中国，更多企业会考虑如何在全球范围 内获得并保护专利。”据白建民透露，对中国的知识 产权而言，尽管在特定程度上具有地域性特点，但 已不再是单纯的地域性业务。 贝克•麦坚时和鸿鹄等大型国际律所拥有完善的知 识产权业务部并具有国际业务网络的优势。随着全 球范围内知识产权业务不断增加，其中一部分律所 已与本地专业机构建立业务联合，积极把握竞争优 势。例如，罗思国际和鸿鹄分别与北京路盛和北京 翔鲲建立业务合作。
国内律所亦积极探索如何提升国际知识产权服务实 力。苍雨春认为，拥有卓越律师人才是提升能力的关 键。铸成因此任命了国际顾问律师 Adam Kryder 负 责为本所律师提供培训，帮助律师了解国际业务特 点，克服语言障碍。 还有部分律所积极从外国律所中引入国际优秀人 才。例如，君合近期成功吸引两位高级知识产权合 伙人朱坚和王朝晖加入，并协助其在美国硅谷建立 分所。两位律师均拥有中美律师执业资格，并且具 有美国专利代理人资格，他们此前曾在美国博钦律 师事务所担任合伙人。 吸引国际人才是提升知识产权业务实力的渠道之一 （亦是最直接的方法）。其它途径还包括参与全球知 识产权论坛以及加入国际知识产权协会。北京金阙律 师事务所是在国际知识产权法律领域表现活跃的律所 之一。去年，金阙加入泰格律师联盟（TAGLaw） ，该全球组织拥有145家成员律所，覆盖81个国 家。该所合伙人也定期参加国际知识产权活动，例 如国际保护知识产权协会（AIPPI）和国际商标协会 （INTA）年会。 金杜的李勇律师表示：“部分外国律所虽然拥有更 多国际资深知识产权律师，在提供全球知识产权策 略相关顾问服务方面占有优势，但随着我们引进更多 国际化人才，更多参与国际知识产权论坛和会议，与 客户建立更稳固的合作关系，我们定将迎头赶上。””
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>> O pinion
Shanghai Shanghai >> >>
Former Rolmax partner sets up new boutique practice in Shanghai
C Thomas Shoesmith
partner, China practice head
Pillsbury, Shanghai
Letter to foreign firms…
T
he banks of Shanghai’s Huangpu River are littered with foreign law firms who came to China without a plan, without a differentiating value proposition, and without appreciating that China is one of the most competitive economies on the planet. Why have some succeeded and others sputtered? Seven years in post-SARS China suggests some answers – or at least, poses some relevant questions to consider: 1. Who is your competition? The only competition for foreign law firms used to be other foreign law firms, but those days are over. While the practice of PRC law remains closed to foreign firms, domestic firms have been flourishing, expanding, and ramping up their international client offerings. Don’t look back – they’re gaining on you. 2. What is your value proposition? Particularly if your domestic competition can do all the things you used to do, and do them faster and cheaper, you need a new value proposition. For example, our firm is in China because we have market-leading practices in capital markets, energy and infrastructure, clean- and greentech, and venture capital work. If you can’t explain why you’re in China, you don’t belong here. And be quick about it: time (and the Huangpu tide) waits for no one.
hen Zhensheng, a partner at Shanghai-based Rolmax Law Office for the last five years and a veteran shipping lawyer, has left the firm. Chen has founded his own boutique firm, Panocean, in Shanghai along with two other lawyers, Zhang Chao and Liu Chunquan. The new firm will focus on the provision of shipping, IP and corporate legal advice. Zhang Chao, previously a senior lawyer with Shanghai firm Hisun & Co, focuses on maritime law but also has experience in general corporate and real estate. Liu Chunquan formerly practised in Guangsheng's Shanghai office, and mainly advises clients on IP and IT-related legal issues. Earlier this year, Wu Yiyi, also a Rolmax partner, left to join Minter Ellison as the chief representative of the firm's Shanghai office. ALB
原汇盛合伙人陈振生创建新所
曾
任上海汇盛律师事务所合伙人，并在海事海商领域有资深经验的陈 振生律师，近日在上海开设了泛洋律师事务所。与他共同创建泛洋 的合伙人包括刘春泉和张超律师。 刘律师此前曾在广盛律师事务所上海分所职业，专业领域涉及知识产权 和网络及电子商务法律。张律师曾任上海海神律师事务所执业律师，擅长 处理海事海商和国际贸易案件，同时在代理公司法和投资业务方面有一定 经验。 三位合伙人致力于将泛洋律师事务所打造成一家以知识产权，海事 海商，金融贸易及涉外法律为专业特色的精品型律师事务所。
3. Can you move outside the box? In his recent book, A Whole New Mind, Daniel Pink writes that any task that can be replicated will be, and by someone who can do it faster and cheaper. The future belongs to those who can listen, empathise (in other words, understand what the client is really saying), synthesise and create – all “right-brain” qualities. Anyone can answer a question, but not everyone can create a solution. 4. Are you the Last Emperor? If you are, meditate on what happened to him. Foreign law firms are full of little emperors – great lawyers with strong personalities who don’t scale. The future lies in teamwork and integration. And, most difficult for lawyers, in subsuming our egos to form teams which can draw on multiple inputs to move outside the box, offer a unique value proposition to the market, and thereby stay one step ahead of the competition. China presents special challenges for western lawyers. The rule of law is a new concept and the Chinese economy often operates in the discretionary grey zone, where answers are vague and solutions are slippery. If the clients are western, we lawyers must translate the PRC legal environment for them in a way that does not cause undue distress back home. If the clients are Chinese, we must articulate the western rule-based system in a way that neither straightjackets them nor lands them in jail. The foreign law firms that have listened, understood, synthesised and innovated have succeeded. The others can be found down by the riverside.
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ISSUE 7.6
NEWS | news >>
Shanghai >>
Jin Mao Trio splinters off to set up new firm P
artners Ding Weixiao, Qian Yewen and associate Wang Wanyi have left Jin Mao PRC Lawyers to set up their own firm, Ocean Law Firm, in Shanghai. The trio is the second group of lawyers to leave the firm – in 2007, nine partners also left Jin Mao PRC lawyers to set up rival firm Jin Mao Partners. “Admittedly a number of partners and associates have left us within the past three years. Somebody who has different practicing ethics or desires better development opportunities may select to leave from time to time,” said Henry Mao, a partner at Jin Mao PRC Lawyers, adding that “new members are happy to be accepted by the reputable firms.” Since 2008, however, the firm has replaced their losses with the promotion of three new partners,
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two newly hired counsels and 11 new associates. With the rebuilt team, the firm stood strong as one of the finalists for ‘Shanghai Firm of the Year’ at the ALB China Law Awards this year. The firm was nominated in view of its 22 years of practice,
its high rate of business activity especially in M&A, banking & finance, debt market and dispute resolution sectors, and the successful completion of the biggest litigation case (disputable amount beyond RMB3.6bn and court costs hitting RMB10m) in the firm’s history. ALB
三 位 金 茂 律 师自立 门 户 近 日，合伙人丁伟晓、钱晔文及律师王婉怡 离开金茂律师事务所，创立上海欧申律师 事务所。丁律师在房地产法律领域有丰富经验， 钱律师亦主要从事房地产法律业务。 这三位律师是第二批离开金茂另谋发展的律 师。2007年，多位合伙人离开金茂，成立金茂凯 德律师事务所。金茂合伙人毛慧刚表示：“无可否 认，在过去三年内，有多位合伙人和律师离开金 茂。有些人抱有不同的执业理念，或期望得到更 好的职业发展机会。但是在一些律师选择离开的
同时，也有些新的律师不断加入。” 自2008年以来，为弥补人才损失，金茂将三位 律师晋升为合伙人，新聘请两位顾问律师和十一 位新律师。凭借重塑后的业务团队，金茂仍保持 雄厚实力，在2010年《亚洲法律杂志（中国版） 》法律大奖评选中，成功入围上海年度律师事务 所候选名单。金茂拥有22年业务历史，在并购、 银行与金融、债务市场和纠纷调解领域表现突 出，还成功完成事务所历史上涉及金额最高的诉 讼案例（争议金额超过36亿人民币）。
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NEWS | news >>
news in brief >> Microsoft appoints China IP expert as international IP director Mark Cohen, previously an of counsel at Jones Day's Beijing office, has been appointed by Microsoft as director for international IP. Prior to joining Jones Day in August 2008, Cohen served for seven years as senior IP attache at the US Embassy in Beijing. He was also a legal advisor for the Office of International Relations of the US Patent and Trademark Office. Cohen has worked on IP law and China-related issues for 25 years, and has gained extensive experience in managing patent portfolios, IP enforcement campaigns, government and media relations, international trade matters (including WTO issues), and public policy efforts, including anti-trust advice.
微软任命中国专家为新国际知识产权总监
曾任众达律师事务所北京代表处资深顾问、前美国驻华 大使馆知识产权办公室高级知识产权专员Mark Cohen, 近日加入微软担任国际知识产权总监。 Cohen先生已在中美知识产权领域有25年以上执业 经验,熟知中国法律的细节。他还曾经担任美国专利与 商标局(PTO)立法及国际事务办公室的律师兼顾问， 负责中国知识产权的执法及版权事务。他能说流利的 普通话且能用中文阅读，并已发表了多篇关于中国法 律及知识产权问题的著作。
Chongqing >>
Tahota straddles Chengdu and Chongqing
A
s its 10th anniversary approaches, Chengdu-headquartered Tahota has expanded its national network with two new locations – Dalian and Chongqing. Having already twice won the ALB China Western Law Firm of the Year award, the opening of the Chongqing office, in particular, will further strengthen its leading position in the Western China legal market. “The newly built Chengdu-Chongqing high-speed railway has shortened the travel time between the two cities to just one hour. Having a Chongqing branch is of strategic importance to us,” said Cheng Shoutai, the founder and managing partner of Tahota. “The synergy and interaction between the development of Chengdu and the other major regional centre, Chongqing, will generate incredible growth opportunities for firms that can straddle the two [areas].” Tahota, one of the largest firms by headcount and revenue in SouthWest China, joins a number of other firms that have offices in both cities, ►► Tahota: quick facts
New global chair for Baker & McKenzie Baker & McKenzie has announced that Eduardo Leite has been elected the next chairman of the firm's executive committee. The executive committee, which consists of eight elected partners, is the firm's primary management team, with responsibility for both day-to-day firm business and global business strategy. Leite, who has expertise in energy, infrastructure and M&A, is based in Sao Paulo. His new role commences on 30 October when he takes the reins from John Conroy, who is concluding his second term as chairman after having served on the firm's executive committee since 1998. It marks the first time an international law firm has tapped someone from outside the US or Europe for the top leadership position.
贝克•麦坚时新任全球主席
贝克•麦坚时律师事务所宣布，选举 Eduardo Leite 担 任律所执行委员会新主席。该所执行委员会由八位获 选合伙人组成，是律所的主要管理团队，负责日常业 务和全球业务策略。 Leite 是能源、基础设施和并购领域的法律专家，在 圣保罗工作。他将接替John Conroy 并于10月30日履 新，John Conroy 自1998年成为执行委员会成员，其第 二届主席任期即将结束。这是跨国律师事务所首次选用 美国或欧洲以外的人才担任最高领导职位。
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• Established in May 2000 • Currently has 197 qualified lawyers, including 24 partners • Headquartered in Chengdu, with offices in Beijing, Shenzhen, Hong Kong (representative office), Dalian and Chongqing • Joined Sino-Global Legal Alliance in July 2008 • Won the ALB China Western Law Firm of the Year award in 2008 and 2010 • Converted to a special general liability partnership in September 2009
including Chongqing-based Zhonghao, King & Wood, Dacheng, and Sichuan Yingji. In the past few years the firm has achieved strong growth, reporting 66% y-o-y growth in revenue for the first quarter of this year. “Our strategy is to benefit and service the narrowing wealth gap between the eastern regions and the western regions. We expect a tremendous level of legal services and advice will be required in the course of this transformation,” Cheng said, adding he is bullish on the prospects for the rest of this year and beyond.
“The synergy and interaction between the development of Chengdu and the other major regional centre, Chongqing, will generate incredible growth opportunities for firms” Cheng Shoutai, Tahota In addition, Tahota has increased its international capacity in recent years. It has set up a representative office in Hong Kong, become a member of the Sino-Global Legal Alliance, and recruited a number of overseasqualified lawyers and consultants. The firm is also actively seeking cooperation ties with foreign firms, with US firm Orrick, Singapore’s Lee & Lee and Hong Kong firm Woo Kwan Lee & Lo among several firms that have already entered into collaboration with Tahota. ALB
Shanghai >>
Shanghai opportunities tempt Beijing firms
W
hile many Shanghai firms are finding Beijing a “must have”, Beijing-based firms are also viewing Shanghai as an increasingly important location for business. For example, Beijing Yingke, a firm which has expanded dramatically in recent years, and Chang Tsi & Partners, a full-service firm with a focus on IP, have both recently set up branch offices in Shanghai.
Yingke’s Shanghai office will mainly focus on practice areas such as FDI and corporate restructuring, and has set an aggressive plan to become a 300-lawyer operation. Chang Tsi & Partners aims to extend its fullservice offering to clients in Shanghai. In recent months, Shanghaibased Haworth & Lexon and Jade & Fountain have both established offices in Beijing. ALB ISSUE 7.6
NEWS | news >>
uk report
泰和泰设立重庆分所
已
两次荣膺中国西部律师事务所年度大奖的 泰和泰律师事务所，近期再次巩固了其在 中西部地区的领先地位。近日，该所已获准设立 重庆分所。重庆分所是继大连分所后，泰和泰于 今年设立的第二家分支机构。 泰和泰律师事务所的管理合伙人程守太表示：“未 来西部地区经济发展的重要趋势之一将是四川和 重庆之间的深入合作以及一体化发展。成渝经济 区的构建将会对整个西部地区加快发展有很大推 动作用，也将会为本地区的律师事务所带来更多 更大的发展契机。” 程律师表示，新重庆分所将专注于发展四大类业 务，分别是房地产和交通基础设施建设，中小版以 及创业版上市项目，保税港口区和金融衍生产品 相关业务，以及涉及生态环保绿能的法律服务。 目前，除泰和泰外，金杜、中豪、大成以及四 川英济等律师事务所也已在成都和重庆两地均设 有办公室。 五月，正值泰和泰成立十周年庆典 之际，该所已设立北京，深圳，大连和重庆分 所以及香港代表处，并为中世律师联盟成员。泰 和泰现有约200位执业律师，包括24位合伙人。
上海机遇吸引北京盈科， 铸成入沪
上
海法律服务市场的不断发展与成熟正吸引着 更多北京律师事务所来此设立分所。近日， 两家北京律所盈科和铸成分别在上海开设了分所。 盈科的上海团队仍在建设之中，该所的目标是 在上海组建一家规模达300人的综合性大所。而铸 成上海分所将提供知识产权， 诉讼与仲裁，证券 与资本市场， 外商直接投资等领域的法律服务。 与此同时，上海律师事务所也正在积极进驻北 京市场。上海律师事务所和华利盛以及九州丰泽 已于近月开设了北京分所。
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Kennedys backtracks on bonus ban Kennedys told lawyers last year that they would no longer receive a bonus package, but the firm recently changed its mind and will now offer bonuses at the end of the financial year. However, only those lawyers who have been with the firm for more than a year and have billed more than 110 % of their billing target will be considered for the bonus award.
offices in February last year, yet recruited in force within the same period – with its biggest hire of 20 staff in finance. Similarly at A&O, around 400 staff were slashed from the firm by the end of April 2009. It went on to welcome approximately 46 new recruits after raiding the offices of Clayton Utz earlier this year to set up its Australia practice, and also recruited eight partners in the UK.
Latham & Watkins and Allen & Overy top the tables for lateral hires Latham & Watkins and Allen & Overy (A&O) have made the most lateral hires during the past three years, according to a recent study. The Transatlantic Elite 2010 survey, which published a range of information on 16 top transatlantic firms, revealed that the two law firms above have been most active in the recruitment market. They had made a total of 48 and 46 lateral hires respectively, from January 2008 to the present. This is surprising, given that both firms are also likely to have made the most redundancies over the past two years. Latham announced plans to make 190 associates and 250 paralegal and support staff redundant across its global
Camerons seal deal to outsource all business support functions CMS Cameron McKenna will soon outsource its entire business support function, following the tie-up of a £600m deal with Integreon. The firm will be the first to have IT, HR, finance, business development, communications, knowledge management, facilities management and administration services outsourced. Although Camerons will help Integreon develop its new service, the firm will not be putting any equity into the project. The two parties will undertake a three-month due diligence process, and Camerons will sublet a floor of its City HQ to Integreon, and transfer as many as 200 support staff into the newly created service centre.
ROUNDUP
• Two partners from Thomas Cooper’s Paris office recently left the firm to launch a five-lawyer shipping boutique which will advise on French and English law for shipping, international trade and insurance matters, as well as assisting clients in Francophone Africa • Clifford Chance has promoted 22 lawyers to partner from 14 jurisdictions –five more were made up than last year. Three of the new partners will be based in New York • Gary Senior has been re-elected for a third term as London managing partner at Baker & McKenzie. Senior first took on the managing partner role in 2003 and is nearing the end of his second threeyear term. His third term will begin in September
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NEWS | news >>
news in brief >> New trans-Atlantic merger to proceed The partnerships of Londonbased Denton Wilde Sapte and Chicagobased Sonnenschein Nath & Rosenthal have voted in favour of a merger. The new firm, to be known as SNR Denton, will officially launch on 30 September and will have over 1,400 lawyers spread across 18 countries. The merger will be structured as a Swiss Verein, with the new firm to be composed of a number of member firms, each of which will be a separate legal entity. Baker & McKenzie is perhaps the best-known example of this legal structure. SNR Denton said in a statement that no office closures would take place, particularly in light of the fact that the two firms had distinct geographic footprints. However, the new firm will be light on any Australasian presence, as Sonnenschein has no Asia offices and Denton Wilde's Asia presence is limited to Singapore.
Regional >>
Nixon Peabody names new China chair’s departure
N
ixon Peabody has appointed David Cheng, a partner in the firm’s tax controversies and litigation team, to take over the role of chair and managing partner of the firm's China and Asia-Pacific practice. This follows the defection to DLA Piper of Henry Liu, the previous holder of the position. Cheng has represented a host of US, European Union and Chinese companies in cross-border matters, and serves as external general counsel for a number of large and emerging Chinese companies, managing their global legal needs. Formerly based in Silicon Valley, he now spends a majority of his time in the firm's Shanghai office, which
was opened in 2008. Nixon Peabody currently has three partners and five other legal practitioners located in the Shanghai office. Cheng’s predecessor Henry Liu joined Nixon Peabody in January 2009 from now-defunct firm Heller Ehrman. He had previously served as the general counsel Henry Liu and director-general at DLA Piper the China Securities Regulatory Commission (CSRC), and was among several partners who recently left Nixon Peabody for DLA Piper. ALB
新一桩跨大西洋合并正在进行
总部位于伦敦的 Denton Wilde Sapte 律师事务所与总部 位于芝加哥的 Sonnenschein Nath & Rosenthal 律师事 务所合作关系密切，双方经投票决定合并。新律所名为 SNR Denton 律师事务所，定于9月30日正式成立，将 拥有1400多位律师，业务覆盖18个国家。 合并后的律所将采用瑞士联盟（Swiss Verein）形式， 即新律所由多个成员律所组成，各个成员律所均为独立 的法定实体。贝克•麦坚时律师事务所或许是该组成形 式的最好范例。SNR Denton 在声明中表示，鉴于双方 的业务地理覆盖各具特点，因此不会关闭任何办事处。 由于 Sonnenschein 没有亚洲办事处，且 Denton Wilde 仅在新加坡设有代表处，新律所在亚洲地区的业务将可 能较为薄弱。
V&T launches scholarship for law students Beijing headquartered V&T law firm has established a scholarship program with four reputable law schools in Beijing, including the law schools of Peking University, Tsinghua University, Renmin University of China and China University of Political Science and Law. Under the program, each year V&T will provide a RMB￥12,000 scholarship to support selected outstanding law students of the four universities. The launch of the scholarship program is part of V&T’s initiatives to contribute in a practical way to the personal and professional development of future members of the legal profession.
万商天勤设立奖学金
万商天勤近年来在业务发展不断上升的同时，始终积极 致力于雪灾、地震、旱灾等各项社会公益事业，并长期 关注中国法律人才的培养和发展。近日，该所在北京大 学、清华大学、中国人民大学、中国政法大学设立了奖 学金。自2010年开始，每年向这四所大学的法学院资助 12万元奖学金，帮助和鼓励更多优秀法律人才的培养。 万商天勤奖学金的设立将使该所成为法学院校社会实 习和实践的平台，同时协助中国法学院校培养更多实用 型优秀人才。
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Beijing >>
Cadwalader hires DLA Piper partner for Asia expansion plans D LA Piper’s China venture capital and PE practice has been dealt a huge blow with the recent loss of lead partner Rocky Lee in Beijing. Lee has left his position at DLA Piper to become Cadwalader Wickersham & Taft’s Asia managing partner and head of Greater China corporate practice. Lee will be based in the firm’s Beijing office, which was opened in 2005 and is currently the only location the firm has in Asia. Cadwalader Rocky Lee has offices in New York, Cadwalader London, Charlotte, Wickersham Washington and Beijing. & Taft
According to Cadwalader’s chairman Christopher White, the firm has a long-term strategy for Asia, and Lee’s appointment is part of its strategic execution. “At this critical moment in the development of Asian finance and given the emerging influence of China, it is more important than ever for clients to seek expert advice concerning complex regulatory and legal matters in Asia,” said Lee. Lee joined DLA Piper as head of the firm’s venture capital and private equity practice in China in 2006. Prior to joining DLA Piper, Lee worked in the Beijing office of Lovells. ALB ISSUE 7.6
NEWS | news >>
leader following 美国尼克松•皮博 迪任命新亚太与 中国业务主席
美
国尼克松•皮博迪国际律师事务所近日将合 伙人David Cheng任命为该所亚太与中国 业务主席兼管理合伙人。此前，该职位由上海代 表处合伙人刘洪担任。刘洪于近期离开该所加入 欧华担任合伙人。 David Cheng 曾担任诸多美国、欧盟和中国企 业的法律代表，协助处理跨境交易事务，还曾担 任多家大型中国企业的外部 法律顾问，满足其全球法律 需求。David Cheng 曾在硅 谷工作，现多数时间在2008 上海代表处办公。 David Cheng 的前任刘洪于 2009年1月离开现已倒闭的海 陆国际律师事务所加入尼克松• David Cheng 皮博迪。刘洪曾在中国证监会 Nixon Peabody 担任首席律师和部门主任，近 期随多位其他合伙人共同离开尼克松•皮博迪加入 欧华。 尼克松•皮博迪上海办事处现有三位合伙 人和五位律师。
us report White & Case aim to invade Asia via Moscow White & Case has its sights set on Asia. The US firm plans to expand into the Asia region via Mosow, with plans set in motion to make Moscow a hub for an increased CIS operation. The firm has already moved London banking and capital markets partners Sven Krogius and Carter Brod to the Moscow office and plans to relocate three associates there eventually. Survey reveals Clifford Chance floundering in the US A recent study providing a range of information on 16 top transatlantic firms has revealed that Clifford Chance’s US partnership has shrunk by 21% over the past five years, highlighting the firm’s struggle to build a successful US practice. The Transatlantic Elite 2010 survey compiled information on all four of the UK’s largest firms and found that the total number of lawyers in the firm’s US practice (291) is now effectively the same as in 2006. In total, the number of partners has dropped from 75 to 59. Allen & Overy (A&O) is the only other firm of the four that has also experienced a decline – its total number of US partners fell by 12.5%, from 40 to 35, over the past year. Conversely, Linklaters registered the largest increase in US partner numbers, recording an increase of almost 75% from 19 in 2006 to
33 currently. Freshfields Bruckhaus Deringer is also not faring too badly in the US, with lawyer count on the rise, up by 74% and with 62.5 % growth in its US partnership. Schroeder, Skinner and Butler back for seconds at Hunton & Williams Three former Hunton & Williams partners recently returned to the firm from its US rival Paul Hastings. Jeff Schroeder, Larry Skinner and Ellis Butler were partners at Hunton & Williams until 2003 when they left to join Paul Hastings. On returning to their former firm, they will join the global energy project finance team and be based in Washington DC. US firms predict more layoffs among nonequity partners, support staff A new survey released recently by US consulting firm Altman Weil shows that law firms in the US still expect to conduct layoffs in 2010, though at a lesser rate than seen in 2009. According to the survey, titled “Law Firms in Transition 2010”, 67% of law firms cut support staff, 43% cut paralegals and 44% cut associates last year, while only 25% cut equity partners and 26% cut non-equity partners. The firms polled said they believe there are more layoffs on the horizon and that support staff and non-equity partners remain in the crosshairs for the bulk of them.
凯威莱德挖走欧华合 伙人，扩展亚洲业务
美
国凯威莱德律师事务所近日任命李大诚律 师为其亚洲管理合伙人兼大中华区公司业 务部主管。此前，李律师曾在欧华律师事务所的 北京办公室担任亚洲私募股权与风险投资业务部 主管。李律师将在凯威莱德北京代表处工作，该 代表处是目前凯威莱德在亚洲地区唯一的办公地 点。据凯威莱德主席 Christopher White 透露，律 所已为亚洲业务制定长期发展策略，Rocky Lee 的任命是执行该策略的重要组成部分。 李大诚 表示：“目前是亚洲金融业发展的关键时刻，中 国的全球影响力正在不断增强，客户愈发需要专 业法律顾问服务，妥善解决亚洲地区复杂的监管 和法律事务。” Rocky Lee 于2006年加入欧华，担任中国区 风险资本和私募股权业务主管。进入欧华之前， 曾在路伟律师事务所北京办事处工作。凯威莱 德在纽约、伦敦、夏洛特、华盛顿和北京设有 办公室。
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ROUNDUP • US firm Reed Smith has snared seven real estate lawyers from Pepper Hamilton. The new recruits – four partners and three associates – will join Reed Smith’s real estate practice in Pittsburgh, along with two paralegals and five support staff • SJ Berwin has been left with just one partner in its German EU and competition team following the loss of its German head of EU and competition (Alexander Rinne) to Milbank Tweed Hadley & McCloy. Rinne will assist Milbank Tweed Hadley & McCloy to launch its own European anti-trust practice
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ISSUE 7.6
NEWS | news >>
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Beijing >>
Nishimura opens first overseas office in Beijing N ►► Japanese firms in China
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Firm
Location
Anderson Mori & Tomotsune
Beijing
Mori Hamada & Matsumoto
Beijing, Shanghai
Soga Uryu & Itoga
Beijing, Shanghai
Higashi Sakura
Beijing
Nobuo Takai
Beijing, Shanghai
Bridge Roots
Shanghai
TMI Associates
Shanghai
Oh-Ebashi
Shanghai
Fullerene
Shanghai
Kuroda
Shanghai
Yamasaki
Shanghai
Hoenzaka
Dalian
Amemiya Masayala
Shenyang
ishimura & Asahi, the largest of the Japanese ‘big four’ firms, has opened its Beijing representative office upon receiving the licence from the Ministry of Justice in April. The Beijing office is the firm’s first overseas location, and is staffed by partner and chief representative Saori Okada, and associate Fumiaki Kai. Nishimura was founded in July 2007 based on the merger of two major Japanese firms. The firm has since sought to enhance its overseas practice and has expanded its networks in Asia. The opening of the Beijing office marks the latest move towards its goal, following the establishment of an alliance with Soga Uryu & Itoga (SUI) for their respective China practices in December 2009. SUI was formed in 2005 following a merger between Itoga-Soga and Cast Law, and has offices in Beijing and Shanghai. Under the alliance,
the two firms’ China offices will work on a ‘legally non-exclusive basis’ alongside each other, but will remain as independent firms. So far, 13 Japanese firms have established themselves in China with a total of 16 representative offices. ALB
日本西村朝日北京代表处 获批成立
日
本西村朝日律师事务所获司法部批准，已 在北京开设代表处，并于6月开始正式执 业。代表处首席代表由曾经留学中国和美国的 冈田早织律师担任。甲斐史朗律师亦为北京代 表处代表。 本部设在东京港区的日本西村朝日律师事务 所，自2007年7月战略合并之后不断强化海外法 律事业，尤其重视积极拓展21世纪世界经济发展 重心之亚洲的业务市场。于2009年12月与日本 曾我•瓜生•丝贺律师事务所建立了关于中国业务 建立合作关系。 曾我•瓜生•丝贺由两家律所于2005年合并而成 立，并在上海和北京分别设有代表处。目前，共 有14家日本律师事务所在中国设立了代表处。
ISSUE 7.6
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Regional >>
Dacheng acquires four firms in six months
A
lready the country’s largest firm by headcount and number of branches, Dacheng continues to rely on mergers and acquisitions to fuel
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its growth in the country’s regional centres. The firm has recently merged with leading regional firms Yunnan BaQian Law Group, the largest law firm by headcount and volume of business activity in Yunnan province, and Guangzhou Xin Yang Law Firm. Through these two mergers, Dacheng has not only strengthened its foothold in Southern China but also gained access to markets in Vietnam and Hong Kong, as BaQian and Xin Yang have established a representative office in Hanoi and Hong Kong, respectively. In addition, BaQian’s strategic relationship with Indian firm Brus Chambers also helps Dacheng expands its market connectivity in India. Last year, Dacheng entered into a strategic alliance with Indian firm Vaish Associates Advocates via is Singapore JV – Dacheng Central Chambers. In Beijing, Dacheng’s head office has
acquired local firm Kingfield and Fengqing over the past six months. ALB
大成在六个月内与四 家律所合并
按
照律师人数和分所总数计算，大成已经是 中国规模最大的律师事务所。近日，该所 再次扩充了其律师团队和分支机构网络。 去年年底以来，大成已与云南八谦，广州信 扬，北京风清和北京乾丰律师事务所合并。大成 与云南八谦和广州信扬的联合，不仅能够加强该 所在华南市场的地位，同时也能通过八谦所在越 南河内的办事处以及信扬香港办公室加强其在亚 洲地区的业务发展。 此外，八谦还与印度 Brus Chambers 律师事务 所建立战略合作关系，这有助于大成在印度开拓 市场。去年，大成通过新加坡合资机构 — 大成中 央律师事务所与印度 Vaish Associates Advocates 律师事务所建立战略联合。 目前，大成在海内外共开设了33家分支机构， 拥有396位合伙人以及1200多位律师。
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Legal Traveller >>
Elliot Papageorgiou, partner Rouse & Co, Shanghai
Favourite country to visit:
Germany. I have many clients in Germany so I travel there pretty frequently. Coming from Asia it always feels like you slow down by 50%. Also given how diverse the various cities are in Germany, you can always find some local culture or events that you can catch while passing through a particular city.
Least favourite destination:
Heathrow airport – logistics and services are relatively poor compared to most tier-1 city airports in Asia. Add to this the necessary security precautions and checks, and it makes it quite an arduous port of entry into the UK.
Hardest aspect of a trip:
My trips usually go very smoothly but generally I find the security and immigration procedures at some British and US airports the greatest inconvenience when travelling.
Best restaurants for business lunches and dinners:
For a quick business lunch, my favourite restaurant is People 7 here in Shanghai – it has a great mix of fusion Chinese-Taiwanese cuisine, with excellent service and at a very reasonable price. For something more formal with a fantastic view of the Bund and the Pudong skyline and the Oriental Pearl Tower, I like Mr. & Mrs. Bund.
Most dangerous travel experience:
Travelling on business in St. Petersburg, Russia, our bus was diverted from its destination by an ‘armed escort’, after which some pretty intense negotiations ensued between the Conference organisers and the ‘escort’. Some favours were exchanged, after which our bus was released to continue onto its intended destination.
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hong kong >>
Industry welcomes changes to Hong Kong listing rules
T
he Hong Kong Exchanges and Clearing Ltd has recently issued new rules for the listing of exploration and mining companies on the Hong Kong Stock Exchange (HKEx). Capital market lawyers predict that the changes may cause more mainland mining and natural resources companies to increasingly favour the option of an IPO in Hong Kong. The new rules, effective 3 June 2010, set out disclosure obligations and standards for reporting resources and reserves, for valuing mineral and petroleum assets, and for the qualifications and experience of technical experts. These rules are part of Hong Kong’s pitch to IPO-hungry mining firms and its strategy is simple: China is the world's dominant source of commodity demand, and Hong Kong is China's international gateway. “The new rules offer a more mature and improved framework and may attract more Chinese resource companies to choose to list on the HKSE instead of
“The new rules offer a more mature and improved framework” zheng xiaodong, jt&n
►► New listing rules – the criteria in a nutshell • To establish eligibility for initial listing under the new Chapter 18 rules, a company's main activity must be the exploration for and/or extraction of natural resources (including minerals and petroleum) and this must represent 25% or more of the total assets, revenue or operating expenses of the company and its subsidiaries • The company must also have a portfolio of resources identifiable under the applicable international reporting standard, the JORC Code, NI 43-101 or the SAMREC Code (Minerals) or PRMS (Petroleum). Companies that have only inferred or prospective resources will not qualify • The HKSE has also expanded its approved list of acceptable jurisdictions for listing applicants, and Australia and Canada (British Columbia and Ontario) are now included
other international capital markets such as the AIM or TSX,” said Zheng Xiaodong, partner at Jincheng Tongda & Neal (JT&N). Zheng also stated that the HKSE, in comparison with local Shanghai and Shenzhen stock exchanges, is more lax on administrative approvals and that also makes it a more feasible options for potentials. Apart from companies that are yet to launch an IPO, Zheng said that the new rules may also trigger reissuances and re-listings of already listed companies, and in general, will generate new opportunities for PRC legal advisors. ALB
beijing >>
Five lawyers recruited for new CSRC Committee
T
he China Securities Regulatory Commission (CSRC) has formed its 12th Public Offering Review Committee, which consists of 25 members. Among them, five are partners of private practice law firms with leading securities practices. The new members are Zhang Xiaotong (Commerce & Finance), Zhang Shaohua (JunZeJun), Xiang Zhenghua (Jingtian & Gongcheng), Dai Qingong (Deheng Law Office) and He Xianbo (Guangdong Huashang).
The five partners have been selected from the 15 candidates recommended by the All China Lawyers Association. According to CSRC's selection criteria, the candidates must be partners from the top 15 law firms by revenue from the securities business within the nation, excluding the 15 firms whose partners currently sit on CSRC's committees. Only one candidate can be recommended from each of these top 15 firms. During the committee's oneyear term which commenced in May, ISSUE 7.6
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zhejiang >>
Gaopeng sets up in Hangzhou H aving recently set up an office in Nanjing, Gaopeng & Partners has furthered its national expansion plans by launching a Hangzhou branch. The firm looks for local lawyers to staff the new branch, but two partners have already been relocated from Beijing. The partners will focus on corporate, international business Wang Lei Gaopeng and regulatory work. “We've always preferred to establish ourselves in regional areas. One of the impetuses for our decision is the increasing exportation business in the Zhejiang region,” said Wang Lei, managing partner of Gaopeng. “The
►► A busy year for CSRC’s review committees According to CSRC’s statistics, from June 2009 to April 2010, CSRC had approved 242 companies’ IPOs (including 84 IPOs on the new ChiNext board), and 154 companies’ follow-on financing. In addition, it had reviewed and approved 56 listed companies’ major assets restructuring, involving RMB369bn in total, and 20 listed companies’ overseas acquisitions, involving RMB53bn in total.
all five lawyers have to suspend their private practice to give full support and top priority to the committee's work. ALB www.legalbusinessonline.com
Hangzhou office will work closely with our headquarters - we are looking to integrate international business type work from both offices,” he added. Last year, the firm launched in Nanjing via a merger with Jiangsu Hailang Law Firm. The latest Hangzhou branch is seen as the final piece in the firm's expansion plan for the Yangtze River Delta region. Gaopeng now has offices in Shanghai, Tianjin, Yangzhou, Taizhou, Nanjing and Hangzhou. ALB
高朋成立杭州分所
继
南京分所成立后不久，高朋律师事务所又 在杭州设立了分所，完成了其在长江三角 洲地区的业务扩展计划。
新一届主板发审委成立律师占五席
中
国证券监督管理委员会第十二届主板发行 审核委员会已于本月初成立。第十二届发 审委由25名委员组成，其中包括五名在证券业资 深的律师同时也是知名律师事务所的合伙人。他 们分别是：通商律师事务所张晓彤律师、君泽君 律师事务所张韶华律师、竞天公诚律师事务所项 振华律师、德恒律师事务所戴钦公律师及广东华 商律师事务所何贤波律师。 律师专职委员候选人由中华全国律师协会在证 券业务集中的主要省、市按律师事务所上一年律 师证券业务收入 进行排名，从前15位所（剔除已 聘任为第十一届发审委5名委员所在事务所、第 一届创业板发审委6名委员及并购重组委4名委员 所在事务所）的合伙人中推荐委员候选人15人， 一家律师事务所只推荐1名候选人。
►► quick facts: Hangzhou legal industry • 190 firms • Beijing firms with Hangzhou office include: King & Wood, Dacheng, Deheng, Huatai, Huamao & Guigu, Gaopeng & Partners, Zhongyin • Shanghai firms with Hangzhou office include:Grandall, AllBright, Jianwei, Sloma & Co and Yishi 高朋正积极为新分所招募本地律师，目前已有 两位合伙人由北京调至杭州。这两位合伙人将重 点负责公司事务、国际业务及常规业务。 高朋主管合伙人王磊表示：“我们注重在经济发 达地区的市场发展。近来，浙江地区的出口业务 不断增加，成为我们建立杭州分所的主要动因之 一。”他补充道：“杭州分所将与总部密切配合， 我们期望整合两地的国际业务。” 去年，高朋通过与江苏海浪律师事务所合并成 立南京分所。高朋现在上海、天津、扬州、泰 州、南京和杭州设有分所。
►►中国证监会：过去12个月任务艰巨 • 自2009年6月新股发行体制改革以来至2010年4月 底，共有242家企业(含创业板）核准发行，154 家上市公司再融资，融资额达6180亿元。 • 成功推出创业板。 截至今年4月底，共有84家创 业板企业核准发行。 • 推进上市公司并购重组。2009年有56家公司实施 重大资产重组，交易规模达到3693.5亿元。长江 电力等20家公司以股份认购资产等方式实现整体 上市，唐钢股份、东方航空等12家公司通过吸收 合并提高了行业集中度。有12家公司进行海外收 购，涉及金额531亿元。 • 融资融券业务试点正式启动
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NEWS | news >>
►► Lateral hires Name
Leaving
Joining
Practice
Shan Yuntao
Beijing Jin Yang
JT&N
Corporate, real estate, dispute resolution
Location Beijing
Zhou Yao
DLA Piper
Run Ming
Corporate, FDI, capital markets
Beijing
Claire Ye
Thompson Hine
Run Ming
Corporate, international business, securities
Beijing
Jeffrey Wilson
Baker & McKenzie
Jun He
Corporate establishment, restructuring, M&A, liquidation
Shanghai
Huang Rongnan
Fu Xuanjie
Jun He
Dispute resolution, corporate, contract
Shanghai
Michael Hickman
Dechert
Simmons & Simmons
FDI, M&A, restructuring, capital markets
Shanghai
Victor Yu
Hogan & Hartson
Fangda Partners
PE, venture capital
Shenzhen
Henry Tang
Jiangsu Co-far
Jiangsu Way-toJustice
Dispute resolution
Nanjing
Samuel Chau
Sidley Austin
Gide Loyrette Nouel
Banking & finance
Hong Kong
►► Promotions Name
Firm
Title
Practice
Location
Benjamin Miao
Fangda Partners
Partner
Corporate and commercial disputes
Shanghai
Frank Li
Fangda Partners
Partner
Corporate and commercial disputes
Shenzhen
Liu Wei
Salans
Partner
Corporate, employment, real estate, tax, restructuring and insolvency
Shanghai
Kevin Tong
Simmons & Simmons
Counsel
Equity derivatives and retail structured products
Hong Kong, Shanghai
Hogan & Hartson
Fangda
Fangda adds three partners in Shanghai and Shenzhen Experienced PE lawyer Victor Yu has recently joined Fangda Partners from Hogan & Hartson, where he was counsel and had practised for more than seven years. His practice focuses mainly on PE and venture capital Victor Yu transactions. Yu joins partners Luo Ke and Dixon Zhang in the Shenzhen office, which was opened in 2001. Yu’s appointment relects Fangda’s plan to speed up its development in South China. “Shenzhen not only has large corporations such as Huawei, ZTE and Ping An but also is home to a great number of fast-growing SMEs. It’s a city that also attracts a significant volume of PE and venture capital investments,” said Yu. “However, these companies are relatively under-served by the local legal profession and the local legal industry is still underdeveloped in many ways. So we’ve decided to strengthen our presence here and take up a bigger piece of the action.” Fangda’s two counsels, Benjamin Miao and Frank Li, have also recently been admitted to partnership. Miao, who joined the firm’s Shanghai office from Clifford Chance in 2009, and Li, who joined the Shenzhen office in 2003, are both experienced in corporate and commercial disputes.
方达任命三位新合伙人
曾在美国霍金•豪森律师事务所工作七年的高级顾问律 师于宏威已于近日作为合伙人加入方达律师事务所。同 时，方达的两位高级顾问缪斌律师和李风华律师亦晋升 为合伙人。三位新合伙人中，于律师和李律师在深圳办 公室工作，而缪律师则在上海执业。
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于律师的执业专长包括私募资本和风险投资交易、 兼并与收购、资本市场、外商直接投资以及各类跨境交 易。他同时具有中国及美国纽约州律师资格。 李风华律师擅长处理涉及复杂交易的争议，其主要 代表大型跨国公司通过诉讼或仲裁处理与中国相关 的争议，包括合资、专业责任、证券市场虚假陈述、不 良贷款、债权清偿以及重组和清算。李律师于2003年 9月加入方达。 缪斌律师在代表跨国集团及中国企业处理因公司并 购、公司治理、专业人员责任而引发的纠纷以及商事仲 裁方面有广泛的经验。缪律师于2009年加入方达上海 办公室，之前他曾在英国高伟绅律师事务所工作六年。 三位新合伙人的任命标志着方达律师事务所在继 续加强其在争议解决业务领域及提升其华南市场地 位的决心。 Beijing Jin Yang
JT&N
JT&N appoints another senior partner Shan Yuntao has become one of the latest members to join Jincheng Tongda & Neal’s (JT&N) panel of senior partners. Prior to joining JT&N, Shan was the founding partner at Beijing Jin Yang Law firm. Shan also has experience working in the legal affairs office of the People’s Government of Beijing Municipal Government and the Shan Yuntao legal affairs department of the Ministry of Agriculture. At JT&N, Shan will focus on practice areas including capital markets, corporate restructuring, real estate and litigation & arbitration.
单云涛律师加入金诚同达成为高级合伙人
前北京金洋律师事务所创始人单云涛近期以高级合 伙人身份加盟了金诚同达律师事务所，将主要从事金 融证券法律工作。
单云涛曾在北京市政府法制工作办公室、农业部法律 咨询中心和行政复议办公室工作，从事立法、行政复议 及企事业单位法律顾问等工作。 在过去十二个月内， 加盟金诚同达成为合伙人的律 师包括项卫、汪涌、赵平、张莉萍、单云涛、蔡文海、 赵平、郑晓东和纪佃鹏等。 Baker & McKenzie
Jun He
Jun He strengthens labor and litigation practices in Shanghai Jun He’s Shanghai office has expanded its labour and litigation practices with the appointment of Jeffrey Wilson and Huang Rongnan as counsel. Wilson joins from Baker & McKenzie’s Shanghai office, where he served as a senior associate in the firm’s employment group. He focuses on union relations, collective bargaining, and the employment of foreign nationals in China, as well as on labour issues relating to corporate establishment, restructuring, M&A and liquidations. Jeffrey Wilson Previously Huang, who has a Master of laws degree from the University of Manchester, was a partner at Shanghai law firm Fu Xuanjie. He is experienced in the areas of dispute resolution, corporate and contract law.
君合加强上海劳动法以及纠纷解决专业团队
君合上海分所近日任命了两位资深律师为顾问，以加强 其在劳动法和纠纷解决专业的实力。这两位新顾问分别 是威杰律师和黄荣楠律师。 威杰律师此前曾任贝克•麦坚时上海代表处雇佣主 业部的高级律师。他专长于公司设立、重组、并购、清 算、工会和集体协商以及外国公民在华就业等相关的 劳动法业务。 黄荣楠律师在加入君合前曾任上海傅玄杰律师事务 所合伙人。他擅长处理诉讼和仲裁案件，同时在公司法 和合同法领域经验丰富。 君合于今年年初开始加快了顾问律师和合伙人团队 的扩充步伐。目前为止，该所已晋升十多位律师为合 伙人和顾问，同时从外部吸引多位高级合伙人加盟。 上月，三位兼具美国和中国律师执业资格的国际知识 产权律师从美国所加入君合成为合伙人，包括原美国 博钦律师事务所北京以及上海代表处管理合伙人朱坚 和王朝晖以及原众达北京代表处资深顾问律师崔轩。 Various
Run Ming
Run Ming adds international capacity Run Ming Law Firm has recently increased its international capabilities by hiring two more lawyers for its Beijing office – Zhou Yao, from DLA Piper’s Beijing office, and Claire Ye, from US firm Thompson Hine. Zhou specialises in general corporate, FDI, finance, M&A, venture capital and offshore listing work. Ye, who is admitted to practise in Ohio, focuses on corporate, international business and securities matters. Before joining Thompson Hine she served as in-house counsel at the Aluminium Corporate of America (Pittsburg), assisting the company in its international investments, including JVs in China. ISSUE 7.6
NEWS | news >>
两位律师由国际所加入润明
近日，曾在外国律师事务所执业的周瑶和叶华英律师 加入润明北京总部。 加盟润明之前，周瑶律师曾经在欧华律师事务所北京 代表处任职。她的专业领域主要包括公司业务，外商投 资，融资，重组并购，风险投资，海外上市。叶华英律师 则曾供职于美国俄亥俄州著名的通瀚律师事务所，主要 从事公司事务、证券业务和国际贸易。 两位律师的加盟将进一步壮大润明的公司业务及为 欧美客户服务的能力。润明于今年获得ALB中国“年度 最具潜力律师事务所”（Rising Firm of the Year）大 奖。该奖项于去年设立，用来表彰中国国内成长最好 的新锐律师事务所。 Jiangsu Co-far
Jiangsu Way-to-Justice
Founding partner leaves firm Former founding partner of Jiangsu Co-far law firm, Henry Tang, has left to join Jiangsu Way-toJustice law firm. Tang’s main practice areas include litigation & arbitration, and he is widely recognised as a first-tier lawyer in Jiangsu. Co-far was a finalist for Jiangsu Law Firm of the Year at the 2010 ALB China Law Awards, and is headquartered in Nanjing with branches in Wuxi, Suzhou and Changzhou. Established in 1999, Wayto-Justice has offices in Wuxi and Changzhou.
江苏致邦创始合伙人转投江苏联盛
江苏致邦律师事务所创始合伙人唐伟正式离职，加入 江苏联盛律师事务所。唐伟律师的主要业务领域包括
www.legalbusinessonline.com
诉讼和仲裁。他是江苏省声誉卓著的律师之一。 在2010年《亚洲法律杂志（中国版）》法律大奖评 选过程中，致邦入围江苏省年度律师事务所的角逐。 该所总部位于南京，在无锡、苏州和常州设有分所。联 盛律师事务所成立于1999年，在无锡和常州设有分所。 Dechert
Simmons & Simmons
Simmons & Simmons seizes Dechert partner Dechert’s Greater China corporate partner Michael Hickman has left the firm to join Simmons & Simmons’ Shanghai office as senior counsel. Hickman specialises in FDI, M&A, restructurings and capital markets transactions. At around the same time, Simmons & Simmons also strengthened its China Michael Hickman financial markets team with the promotion of managing associate, Kevin Tong, to consultant. Tong primarily focuses on advising on equity derivatives and retail structured products.
前Dechert合伙人加入西盟斯
Decher t 律师事务所大中华地区公司业务合伙人 Michael Hickman 近日离开该所，加入西盟斯律师事 务所上海办事处担任高级顾问律师。Hickman 的专业 领域包括外商直接投资、并购、重组及资本市场交易。 同期，西盟斯将主管律师 Kevin Tong 晋升为顾问 律师，巩固其中国金融市场业务团队。Kevin Tong 的
业务重点包括为股权衍生品和零售结构产品提供法 律顾问服务。 Salans
Salans to double number of partners in China Salans has made up its senior associate Liu Wei to partner, as part of its ambitions to grow its China capabilities. Liu, who joined the firm in 2006, is based in the Salans’ Shanghai office. He will focus on corporate, employment, real estate, tax, restructuring and insolvency work. “Wei’s promotion is part of our ambitious growth plans for China. We intend to double the number of China based partner this year by internal promotion and lateral hirings,” said Bernd-Uwe Stucken, Salans’ Greater China managing partner.
胜蓝着力增长中国区合伙 人团队
胜蓝律师事务所已将高级律师 Liu Wei 晋升为合伙人，旨在推动中国 业务增长。 Liu Wei于2006年加入胜蓝，在上 海代表处工作。他的业务重点包括 Liu Wei 公司业务、劳动法、房地产、税务、 重组和清算事务。 胜蓝大中华区主管合伙人 Bernd-Uwe Stucken 表 示：“胜蓝为中国业务增长制定雄心勃勃的计划，晋升 Liu Wei 是该计划的组成部分。今年内，我们有意通过 内部晋升和横向招聘的方式实现中国区合伙人倍增。”
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FEATURE | Fast 10 >>
Zhejiang L&H 六和 Yingke 盈科 Jade & Fountain 九州丰泽 LexField 联德 Gaopeng 高朋 LexField 联德 exField 联德 Gaopeng 高朋 JC Master 泰和 Han Kun 汉坤 Dacheng 大成 Zhong Yin 中银 Kun 汉坤 Dacheng 大成 Dacheng 大成 Gaopeng 高朋 JC Master Zhongyin 中银 Gaopeng 高朋 Zhong Yin 中银 Ying Ke 盈科 Han Kun 汉坤 g 高朋 Dacheng 大成 JC Master九州丰泽 泰和 Jade & Fountain Yingke 盈科 LexField 联德 Han Kun 汉坤 g 大成 Zhejiang L&H 六和 LexField 联德JC Master 泰和 Zhejiang L&H 六和 Jade & Fountain 九州丰泽 Zhejiang L&H 六和 Ying Ke 盈科 Zhong Yin 中银 Dacheng 大成 州丰泽 Yingke 盈科 Zhongyin JC Master 泰和 Gaopeng 高朋 中银 Ying Ke 盈科 泰和 LexField 联德 Gaopeng 高朋 JC Master Jade & Fountain 九州丰泽 联德 JC Master 泰和 Jade & Fountain 九州丰泽 Ying Ke 盈科 Dacheng 大成 Yingke 盈科 Dacheng 大成 丰泽 Gaopeng 高朋 Zhong Yin 中银 Jade & Fountain 九州丰泽 Jade & Fountain 九州丰泽 g 高朋 Ying Ke 盈科 Dacheng 大成 Gaopeng 高朋 & Neal 金诚同达 JC Master 泰和 Jincheng Tongda a & Neal 金诚同达 LexField 联德 Dacheng 大成 LexField 联德 g 大成 Gaopeng 高朋
ALB CHINA FAST
T
The tough market conditions of the previous year, particularly in the first six months, have been well documented, but some firms still managed to record exceptional growth. ALB China’s annual Fast 10 returns to acknowledge the fastestgrowing firms in a trying year ►► ALB China FAST 10 firms – at a glance This year’s Fast 10 Firm
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Last year’s Fast 10 % revenue growth for 2009
Firm
% revenue growth for previous FY
Yingke 盈科
787
Dacheng 大成
108
Zhongyin 中银
130
Zhongyin 中银
100
Jade & Fountain 九州丰泽
30
Longan 隆安
60
LexField 联德
29
Han Kun 汉坤
50
Gaopeng 高朋
28
T & C 天册
45
JC Master 泰和
27
Hylands 浩天信和
38
Dacheng 大成
24
Jade & Fountain 九州丰泽
35
Zhejiang L&H 六和
22
Broad & Bright 世泽
30
Han Kun 汉坤
20
Global 环球
25
Jincheng Tongda & Neal 金诚同达
19
Grandall 国浩
22
his year’s Fast 10 reflects an industry in transition – mergers, personnel movements and market ups and downs have all made their impact on the composition of this year’s list. The sobering effects of the changing market dynamics have created a new, diverse and unconventional range of law firms. While many established first-tier firms scaled back their growth expectations in 2009, ten of the country’s fastest-growing firms only grow bigger and stronger, increasing their turnover in preparation for the next phase of opportunity for the legal sector. A number of the Fast 10 firms have achieved their growth through mergers or acquisition of high-calibre practitioners and even teams. This is not a completely new phenomenon – indeed last year’s winner, Dacheng, achieved a good deal of its growth ISSUE 7.6
FEATURE | Fast 10 >>
courtesy of a series of mergers in regional economic centres and en masse hiring. The firm continues to grow with its existing strategy, and has made into the list once again with a 24% growth in revenues. Yingke, in top spot on this year’s list, has set a new record for revenue growth rate – a 787% increase from the result of previous year. Much of the growth was contributed by the new partners and lawyers that joined the firm, who have brought their book of businesses with them. The firm currently has 82 partners, which is up by an impressive ten-fold from just seven partners last May. “People, a law firm’s intellectual capital, will be the firm’s most important asset and a key component of the firm’s overall competitive advantage,” says Mei Xiangrong, managing partner of Yingke. “To prosper in the coming decades, law firms have to be not only market oriented and client focused, but also dedicated to their staff.”
r 泰和
坤
r 泰和
成
泽
Zhongyin, reporting a 130% rise in 2009 turnover, remained in second place this year. Due to its investment into the sustainability of the firm’s success, its profit per equity partner (PEP) grew at a lower rate – 30%. The firm’s managing partner Zhao Cenghai sees this investment as essential. “Skill development and talent retention will receive a major share of the firm’s capital investment. Law firms will begin to focus upon the future instead of immediate gratification and will consider nonbillable activities as ‘investment activities’,” says Zhao. Among the 10 firms, a few have grown organically. Jiangsu JC Master and Zhejiang L&H – the only two regional firms in the list – are two such firms, posting 27% and 22% increase in revenues, respectively. Their organic growth is the manifestation of the rapid development of the regional markets, which also offers many desired growth opportunities for Beijing and Shanghai firms.
These industry changes have posed new questions, with the answers yet to be found. What constitutes “growth”? Is aggressive expansion sustainable? How to maintain profitability and control quality when the operation becomes much larger? The purpose of the Fast 10 is to simply provide a guide to the fastestgrowing firms, leaving the market to draw its own conclusions as to the merits of the particular growth strategies employed by law firms. ALB
►► Methodology The Fast 10 list is based on a survey sent to over 100 firms across China. Only firms which completed the survey were considered for inclusion in the list. The primary criterion for inclusion was percentage revenue growth for the 2009 financial year, and to a lesser degree growth in fee-earners. Figures were supplied by the firms themselves. All growth figures and percentages have been rounded to the nearest whole number.
1. Yingke 盈科
Managing partners: Mei Xiangrong, Hao Huizhen, Zheng Shuchun, Zhao Xingren, Li Hua Head office: Beijing Branches: Shijiazhuang, Tianjin, Nanjing, Shanghai, Hohhot, Shenyang Revenue growth: 787% PEP growth: 828% Partners: 82 (+1071%) Qualified lawyers: 341 (+380%)
Mei Xiangrong
www.legalbusinessonline.com
Summary: 2009 was a remarkable year for Yingke by any means. Not only had its revenue grown at an extraordinary rate of 787%, the firm’s partner ranks had also experienced a ten-fold increase. Over the past 12 months it has managed to open branches in Shi Jiazhuang, Tianjin, Nanjing, Shanghai, Hohhot and Shenyang. What normally would take a firm a decade to achieve, Yingke has done in just one year. The country’s fastest-growing firm shows no sign of slowing down yet. Under the leadership of Mei Xiangrong, director of the managing committee, the firm is endeavouring to become “China’s Baker & McKenzie”, and is in the process of significantly expanding its national network. It plans to open more than 40 branches and grow the total headcount to over 1,000
in the next three years. “It’s increasingly difficult for smaller firms to stay competitive in this market. So the partners have decided to attract a large number of talented lawyers on board and together we aim to forge a leading PRC firm on a global scale,” says Mei. In its initial steps towards internationalisation Yingke has recently formed a strategic alliance with Hungary’s Varnai & Partners and established a framework to set up Yingke & Varnai legal alliance in Europe. However, Yingke’s aggressive growth strategy naturally attracted scrutiny and criticism, particularly on its sustainability, quality control and risk management – which may or may not prove to be warranted. Time will tell whether Mei’s vision will be vindicated.
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FEATURE | Fast 10 >>
2. Zhongyin 中银
Managing partners: Zhao Cenghai, Tang Jinlong Head office: Beijing Branches: Shenzhen, Xiamen, Fuzhou, Shanghai, Guiyang, Guangxi, Sichuan, Jinan, Jixi, Taizhou Revenue growth: 130% PEP growth: 30% Partners: 32 (+88%) Qualified lawyers: 349 (+50%)
Zhao Cenghai
Summary: It’s the second consecutive year Zhongyin has held the second place in ALB China’s Fast 10 list. Since the firm was formed following a merger between Beijing firms Zhongyin and Zhengtai in 2008, it has maintained strong growth momentum. The firm reported a 130% increase in revenue for 2009. Much of the growth was contributed by a large number
of lawyers and partners who joined in recent years, and new business and clients developed in its newly established branch offices. The addition of Baker & McKenzie’s former Taipei partner Steven Hsu as the managing director of the marketing centre, together with many other senior lateral hires, have added additional impetus for the firm’s business development, particularly in the international business community. Following these appointments, Zhongyin has launched two offices in Fujian – Xiamen and Fuzhou – to target more cross-Strait legal work, as well as opened offices in Jinan, Jixi and Taizhou to attract more regional clients. On the international scene, it has also formed
4. LexField 联德
3. Jade & Fountain 九州丰泽
Managing partner: Jan Liu Head office: Beijing Branch: N/A Revenue growth: 29% PEP growth: -41% Partners: 8 (+167%) Qualified lawyers: 15 (+150%)
Managing partners: Scott Guan, Mark Ho Head office: Shanghai Branch: Beijing Revenue growth: 30% PEP growth: 15% Partners: 18 (+35%) Qualified lawyers: 55 (+25%) Scott Guan
Summary: Shanghai firm Jade & Fountain, a member of International Lawyers Network (ILN) and TAGLaw, has achieved a 30% increase in revenue, and has earned itself a place in the Fast 10 list once again. Co-managing partner Scott Guan attributes the growth to strong performance in key practice areas, such as FDI, M&A and PE. The firm has also continued to strengthen its market position with several key partner appointments over the past 12 months. These new partners, including Song Liwei, Henry Xiao, Jeffery Yang, William Lu and Lawrence Guo, all have years of experience behind them practising in market-leading firms. Some left international firms for Jade & Fountain. Song, for example, joined from Gide Loyrette Nouel, where he developed the firm’s antidumping and international trade practice in China. He has brought with him extensive European-Chinese international trade expertise and experience. Yang, who had practised with Freshfields, Herbert Smith and Haiwen & Partners, has enriched the firm’s capability in cross-border M&A and China-related securities offerings. Guo and Lu, previously with Beijing Broad & Bright and Allen & Overy’s Beijing office respectively, are playing a key role in the firm’s expansion into Beijing. They have help the firm set up new practice areas and launch its first branch office in Beijing.
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strategic alliances with foreign firms, such as Malaysia’s Azmi & Associates and Jordan firm Abunameh & Partners. As the size of the firm grows, Zhongyin has invested more resources and capital into new management infrastructure, professional training and employee welfare programs, while also upgrading both the hardware and software systems of the offices. As a result, its profit per equity partner (PEP) grew at a lower rate – 30%. The firm’s managing partner Zhao Cenghai sees this investment as essential. “We are focusing on the future and long-term success instead of immediate gratification and will continue to put efforts in ‘investment activities’,” says Zhao.
Jan Liu
Summary: Significant fee-earner growth saw LexField, an IP specialist firm based in Beijing, advance up this year’s Fast 10 list. Last July, a strong IP litigation team of ten lawyers led by senior partner Jiang Hongyi, and formerly known as Jan Liu & Associates, joined the firm. Around the same time, it successfully secured the services of renowned retired IP judge from Beijing High Court, Cheng Yongshun, as a senior counsel. The expanded talent pool has not only bolstered the firm’s expertise and resources, but also enabled the firm to provide a full spectrum of IP legal services with a particular competitive edge in handling IP litigation. After achieving a number of milestones in its development in 2009, the firm will be in consolidation mode and will focus on organic growth in the next a few years. Jan Liu, managing partner of LexField, says the firm’s main priority is to ensure teh highest possible quality and delivering the best possible services.
“To prosper in the coming decades, law firms have to be not only marketoriented and client focused, but also dedicated to their staff”
Mei Xiangrong
Yingke 盈科 ISSUE 7.6
FEATURE | Fast 10 >>
5. Gaopeng & Partners 高朋
Managing partners: Wang Lei, Hu Lianping Head office: Beijing Branches: Shanghai, Tianjin, Yangzhou, Taizhou, Nanjing, Hangzhou Revenue growth: 29% PEP growth: 29% Partners: 46 (+35%) Qualified lawyers: 96 (+47%)
Wang Lei
www.legalbusinessonline.com
Summary: The Beijing-headquartered firm is a newcomer to the Fast 10 list – but not to solid growth. Gaopeng has maintained double-digit growth in recent years and has reported a 29% growth in revenue in 2009. The firm’s highly targeted areas of specialisation include WTO and international trade, infrastructure projects, real estate and media, entertainment and sports, and all practice areas are performing strongly. Gaopeng’s geographic expansion is as equally noticeable as its financial performance. The past year saw the firm gain a foothold in the Yangtze River Delta (YRD) region, having set up offices in Yangzhou, Taizhou, Nanjing and Hangzhou.
Through its branches, it has added new clients whilst attracting a number of leading local practitioners to join the partnership. In Hangzhou, for example, the firm has lured in veteran corporate lawyer Qian Yuxin, who previously served as a senior partner at Zhejiang Zeda law firm. “We’ve always preferred to establish ourselves in regional areas. One of the impetuses for our decision is the increasing exportation business in the YRD region,” says managing partner Wang Lei. “The branch offices will work closely with our headquarters – we are looking to integrate international business-type work across the board.”
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FEATURE | Fast 10 >>
6. JC Master 泰和
7. Dacheng 大成
Managing partner: Justin Ma Head office: Nanjing Branch: N/A Revenue growth: 27% PEP growth: 20% Partners: 8 (+0%) Qualified lawyers: 19 (+19%) Justin Ma
Managing partner: Wang Zhongde Head office: Beijing Branches: 32 Revenue growth: 24% PEP growth: 16% Partners: 396 (+40%) Qualified lawyers: 1,200 (+20%) Wang Zhongde
Summary: ALB China’s 2010 ‘Jiangsu Law Firm of the Year’ award winner, JC Master, has capped off 2009 with a 27% increase in revenue. The firm is committed to organic growth and hasn’t recruited external partners over the past year. Managing partner Justin Ma, who also serves as the vice president of the Jiangsu Bar Association, attributes a large part of the firm’s growth to the quality and consistency of the partnership and the firm’s dominance in advising cross-border transactions, restructuring and IPOs, PE investments and high-end corporate matters and projects in Jiangsu. As a member of global legal network International Alliance of Law Firms, JC Master is favourite local firm of a number of western and South-East Asian foreign law firms to refer inbound work to.
“Law firms will begin to focus upon the future instead of immediate gratification and will consider non-billable activities as ‘investment activities’”
Zhao Cenghai
Zhongyin 中银
Summary: Dacheng has been named on the Fast 10 list for the fourth consecutive year. Already the country’s largest firm by headcount and number of branches, Dacheng continues its expansion and acquisition activity, particularly in regional centres. Among its recent expansion efforts, the acquisition of four leading regional firms has been noticeable. Yunnan BaQian Law Group, the largest law firm by headcount and volume of business activity in Yunnan province, and Guangzhou Xin Yang Law Firm have been acquired, as has local Beijing firms Kingfield and Fengqing. Through the acquisition of the two regional firms, Dacheng has not only strengthened its foothold in Southern China but also gained access to Vietnam and Hong Kong, as BaQian and Xin Yang have established representative offices in Hanoi and Hong Kong respectively. In addition, BaQian’s strategic relationship with Indian firm Brus Chambers offers additional market connectivity in India to Dacheng, which already has entered into a strategic alliance with Indian firm Vaish Associates Advocates via its Singapore JV – Dacheng Central Chambers. Dacheng’s managing partner Wang Zhongde is looking at further acquisition opportunities, but he may soon have to pay more attention to find new growth drivers for the mega-firm’s earnings. Given market conditions and the much higher base, the firm’s revenue growth rate was 24%, significantly lower than the previous three years.
8. Zhejiang L&H 浙江六和
Managing partners: Zheng Jindu, Li Jing, Zhu Yayuan, Dai Wenliang, Chai Shanming, Gao Zhenghua, Jin Weiwen Head office: Hangzhou Branches: Zhoushan, Yiwu Revenue growth: 22% PEP growth: 20% Partners: 30 (+3%) Qualified lawyers: 109 (+19%)
Zheng Jindu
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Summary: Hangzhou-based L&H saw its revenue go up by 22% in 2009. Yet this growth was mostly driven by its 2008 merger with another Hangzhou firm, Yaxiya. Primarily engaged in corporate, IPOs and listings, finance and insurance, real estate, IP and cross-border investment work, L&H is widely regarded as a pre-eminent legal service provider to local enterprises. Zheng Jindu, founding and managing partner of L&H, sees the firm’s strength lying
in its focus on servicing the local market of Zhejiang. With demand for quality legal services soaring, it is naturally well positioned to seize new business opportunities. “Post GFC, our clients are placing more importance on being able to withstand risks, they also have stricter requests and higher demand for quality legal services,” Zheng says. “This mindset brings about more work since our clients require stringent regulatory and compliance advice.”
ISSUE 7.6
FEATURE | Fast 10 >>
www.legalbusinessonline.com
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FEATURE | Fast 10 >>
9. Han Kun 汉坤
Managing partners: Charles Li, Joseph Hwang, Chao Yijun, Chen Dafei Head office: Beijing Branches: Shanghai, Shenzhen Revenue growth: 20% PEP growth: -30% Partners: 11 (+38%) Qualified lawyers: 31 (+40%) Charles Li
Summary: Although merely six years old, Han Kun has stepped up to the plate by picking up an increasing number of mandates in cross-border transactions. It is regarded by many industrial observers as a leader of the new-generation law firms. The majority of its partners have previously worked at international firms and are experienced in cross-border transactions, particularly those involving technology and venture capital. On the client relationship front, the well-reputed firm has been frequently sought out by long-term clients such as Ku6.com, AsiaInfo, Huawei, Sequoia Capital, TeamSun and General Electric to represent them in investment, financing, purchasing and sales. While 2009 was a trying year, Han Kun still achieved a 20% rise in revenue. It has also seized the opportunity provided by the tough times to implement its growth plan. Last year, the firm opened two new offices in Shanghai and Shenzhen and recruited a number of new partners and counsels from international firms.
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10. Jincheng Tongda & Neal 金诚同达
Managing partner: Max Tian Head office: Beijing Branches: Shanghai, Shenzhen, Xian, Shenyang, Sichuan Revenue growth: 19% PEP growth: 4% Partners: 66 (+16%) Tian Yu Qualified lawyers: 110 (+31%)
Summary: The 2008 merger between Jincheng & Tongda and the international practice group of Tianlun & NEED, headed by senior partner Lan Lan, has created a new brand Jincheng Tongda & Neal (JT&N). The new firm is not only well-acknowledged for its corporate and commercial services to domestic enterprises, but also has a competitive edge in cross-border transactions and international business. A year after the merger, the firm continues to boost its international offerings with additional key partner appointments. High-profile new partners include Nancy Zhang (previously with Kingfield), Shan Yuntao (founding partner of Beijing Jin Yang), Jeffery Cai (former head of real estate practice at Salans), and Zhao Ping (previously with Shanghai Shida). The new partners have brought further expertise to JT&N’s capital markets, corporate, real estate, and dispute resolution practice groups. As a leading home-grown international firm, JT&N is in the process of launching international offices.
ISSUE 7.6
FEATURE | Fast 10 >>
www.legalbusinessonline.com
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Feature | interview >>
In-house perspective
China Eastern Airlines:
Eastern high-flyer The in-house legal team for China Eastern Airlines made their mark at the ALB China Law Awards 2010, winning the Chinese Company In-house Team of the Year, not least due to their recent work on headline transactions such as the Shanghai Airlines merger and RMB14bn equity placement
A
pril 2010 was a celebrated month for China Eastern Airlines Corporation Limited, the country’s top-three carrier listed on the Shanghai, Hong Kong and New York Stock Exchanges. Apart from reporting an 18-fold year-on-year surge in first-quarter profit following the successful merger with Shanghai Airlines, the company signed an initial agreement to join the SkyTeam alliance. And on 16 April, its in-house legal department was awarded “Chinese Company In-house Team of the Year” at the 2010 ALB China Law Awards for its outstanding achievements across the full spectrum of in-house legal responsibility. It’s an extraordinary recognition, taking place against the backdrop of a turbulent year in the global aviation industry. “The award is a great honour and an achievement for which our team can be justly proud,” says Guo Lijun, general manager of the legal department of China Eastern Airlines, in his office in Shanghai’s Hongqiao International Airport. “This prestigious recognition comes in a year of significant milestones for the in-house department, which recently reached its first-year anniversary as a separate functional unit in the company.” Yet although the legal department is merely a year old, having been officially established last April, the in-house team’s history dates back a couple of decades. Guo, who joined the company in 1994, has witnessed the
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evolution of the nature of the in-house legal function and its standing within China Eastern Airlines. “The legal department is now regarded as critical as [the] finance and audit departments in our company. It’s a cost-effective and expert resource for all the company’s legal affairs. Its influence is on the rise in every stage and aspect of the company’s operations,” he says. However, he recalls that when he first came on board there were only three legal staff, and the majority of the company’s employees didn’t even know about the existence of the legal team, nor their responsibilities. “It has come a long way since then. Several key turning points have taken the in-house legal team to where it is now. The company’s public float in Hong Kong, New York and Shanghai in 1997 is one, and the parent group’s appointment of a general counsel in 2007 is another,” Guo says. “The combination of adverse market conditions in the past few years and the company’s business expansions at home and abroad has triggered a substantial increase in legal needs. The company has been swift to realise that having a separate, dedicated legal department is imminent,” he adds.
Structure and responsibilities
The legal department at China Eastern Airlines’ headquarters currently consists of 22 staff, and comprises four main practice groups – contract review and compliance, litigation and
“The legal department is now regarded as critical as [the] finance and audit departments in our company. Its influence is on the rise in every aspect of the company's operations" Guo Lijun
China Eastern Airlines
►► China Eastern Airlines – quick facts About the legal department: Established 2009 • General manager: Lijun Guo • Number of staff: 22 • Main practice groups: contract review and compliance, litigation and arbitration, general corporate, international affairs • Most used law firms: O’Melveny & Myers, Baker & McKenzie, Davis Wright Tremaine, Allbright, Grandall and Shanghai Hongiao Zhenghan • Awards: “Chinese Company In-house Team of the Year” by the 2010 ALB China Law Awards Major achievements: • assisted the company successfully raising RMB￥14bn through A-share and H-share equity placements • advised on the absorption of Shanghai Airlines via share swap – a high-profile and complex transaction involving RMB￥16bn asset acquisition • participated in more than 50 aircraft transactions with a total value of US$10bn • involved in the negotiation and preparation of the company’s merger with SkyTeam • compiled a comprehensive anti-trust and competition compliance manual for all of its employees, providing key information on antitrust and competition laws in major jurisdictions, including US, Europe, Japan, China and Australia ISSUE 7.6
Feature | interview >>
In-house legal team of China Eastern Airlines
arbitration, general corporate and international affairs. The head office legal team also oversees the major legal matters and coordinates in-house legal staff for its subsidiaries, including China Cargo Airlines and Shanghai Airlines. More than half of the total amount of legal work handled by the legal department of the headquarters is related to contract review and compliance, while litigation and arbitration work accounts for approximately 30% and the rest are for general corporate, IP and international affairs. Given the carrier’s key developments that are taking place or are underway, corporate matters and internationalrelated legal issues will become an even larger part of the legal department’s work in the years ahead. “As an international airline company that is actively expanding its presence globally and extending its services and www.legalbusinessonline.com
routes to new overseas markets, having in-house lawyers who are capable of handling international affairs and cross-border matters is important to us,” says Guo. He received his Master of Law from Law School of University of Washington, and is heading the international affairs unit, in addition to his general manager responsibilities. Three other legal staff in the team also have international postgraduate credentials. In April 2010, China Eastern Airlines announced its intention to join the SkyTeam Airline Alliance and signed a Memorandum of Understanding (MOU) with the alliance members, confirming its plan to join the Alliance by mid-2011. Guo now expects the legal team’s short-to medium-term focus to be on this issue. “We’ve already drafted and reviewed a significant volume of legal documentation concerning the company’s SkyTeam membership
application and agreements,” he says. “Much more legal work will be generated upon the admission to the Alliance, in the process of modifying its operations for the membership agreements and obligations, as well as when complying with the alliance’s bylaws and rules.” In addition to this workload, several newly added responsibilities such as overseeing aircraft finance and leasing, as well as assisting in fuel price risk management, have meant the department will need to develop new higher-level skills and expertise in relevant areas. Guo sees a steep learning curve ahead for his team. “Prior to the establishment of the legal department, the company’s aircraft finance and transactional matters were managed by the finance and planning departments. Most legal work was done by external law firms,” says Guo. “From this year, the legal 33
Feature | interview >>
“From this year, the legal department has been designated to take a lead role in the legal aspects of the aircraft purchasing, financing and leasing transactions" department has been designated to take a lead role in the legal aspects of the aircraft purchasing, financing and leasing transactions. We endeavour to acquire the necessary knowledge and techniques in the next 6-12 months, and will increasingly handle the legal work in-house,” he says. Consequently, Baker & McKenzie, a long-term external advisor to China Eastern Airlines who advised on its IPOs in 1997, has been invited to provide training programs to the in-house team in this field. “However, we will still need certain specialist advice from external counsel, as this practice area by nature is cross-border or trans-national and the transaction structures and types used by foreign parties internationally face certain restrictions under existing domestic legal framework,” Guo adds. Fuel price risk management, in particular fuel hedging, is critical for maintaining the carrier’s competitive position in the aviation industry. This adds a further layer of complexity to the in-house team’s work. In 2008, due to the steep drop in fuel prices, many carriers including China Eastern suffered significant losses on fuel hedging. To gain the necessary knowledge and techniques in this niche and highly specialised area, the department once again looks outside for help. It has arranged a series of workshops on high-risk derivatives and risk management to be provided by Rajah & Tann’s Singapore and Shanghai offices. The firm will also conduct a due diligence and assessment exercise in its current derivatives trading positions and arrangements. “Expanding the knowledge and expertise beyond the in-house team’ traditional scope of practice doesn’t mean we no longer need the services and advice of external counsels. 34
Guo Lijun, general manager legal department
Instead, it’s a necessary progress that will lead to improved and more efficient collaboration between in-house and external counsels. This development is in the client’s best interest,” says Guo.
Achievement highlights
Over the past 12 months the inhouse team has assisted the company in successfully raising RMB14bn through A-share and H-share equity placements, and advised on its absorption of Shanghai Airlines via share swap – a high-profile and complex transaction involving an RMB16bn asset acquisition. The team has also participated in more than 50 aircraft transactions with a total value of US$10bn, and in addition to its growing contribution to the company’s commercial and transactional matters, the legal department has gained extensive experience managing domestic and overseas litigation process and outside counsel. Among all the litigation cases the
department has handled, a lengthy court case filed in the US against the company is of the most significance for precedent. The litigation, arising out of a personal injury accident in 2004, kept a large team of in-house and external lawyers busy for five years, eventually ending with a court decision in favour of the defendant in March last year. This is the first case heard in the US where an appellate court granted Chinese courts an appropriate jurisdiction, on the ground of forum non conveniens. The legal department chose O’Melveny & Myers as its US legal advisor and to represent the company in the legal proceedings. “We engaged O’Melveny & Myers at the later stage of the proceedings and adopted a different approach and strategy in responding to the lawsuit. The changes marked a turning point that led to the favourable outcome,” says Guo, who led the team on the case. “The court decision is an important precedent ISSUE 7.6
Feature | interview >>
establishing that China is an adequate alternative forum for cases involving airline personal injury claims in China. It would mean that future cases of its kind will be litigated in China, rather than the US.” However, China Eastern Airlines’ legal department is also known for its pioneering work in the field of anti-trust law. In 2006, the department worked together with two US law firms, Davis Wright Tremaine in Seattle and Wilson Elser Moskowitz Edelman & Dicker in New York assisting the company in an investigation by the US Department of Justice (DOJ) into alleged pricefixing fuel surcharges among major international carriers. As a result of the investigation, China Eastern Airlines and two other Chinabased carriers were found not guilty of misconduct, but British Airways and Korean Air were both fined US$300m after being found guilty, and other carriers were also hit with fines. The in-house legal team and its
manual. “With the rules in different countries becoming stricter, and enforcement and sanctions on the rise, having a consistent and dependable means of training staff in competition and anti-trust law compliance is now a key component of the company’s risk management framework,” says Guo.
External legal panel
China Eastern Airlines has worked with a long list of external legal advisors such as Grandall, Allbright, Hongqiao Zhenghan, O’Melveny & Myers, Baker & McKenzie, Sullivan & Cromwell, Davis Wright Tremaine, Freshfields, Clifford Chance and Clyde & Co on a wide range of issues and projects since before the company went public in 1997. “We should keep in mind that the expertise and resources of in-house legal departments are rather limited compared to law firms, which have a broad range of resources at their disposal and offer a wider pool of expertise,” Guo says. “External advisors are in the position
“Since 2006 we've come to a profound recognition of how critical complying with anti-trust and competition laws in all major jurisdictions is, to companies operating on a global scale" US counsel have also defended the company against two anti-trust class action lawsuits filed in the Eastern District Court of New York. “Since 2006, we’ve come to a profound recognition of how critical complying with anti-trust and competition laws in all major jurisdictions is to companies operating on a global scale,” says Guo. The department, subsequently, has arranged several training sessions for all leaders and staff of the business units, delivered by anti-trust experts from US firm O’Melveny & Myers. Last August, the legal department compiled a comprehensive anti-trust and competition compliance manual for all of its employees, providing key information on anti-trust and competition laws in major jurisdictions including US, Europe, Japan, China and Australia, with a focus on the aviation industry. The obligations of company employees to comply with these laws globally and the important ‘do’s and don’ts’ are also outlined in the www.legalbusinessonline.com
of offering support and supplement to the services provided by our inhouse legal team. That’s why firms will always have an important role to play, particularly as the depth and breadth of our company’s legal needs has been increasing significantly. Good collaboration and relationships between in-house and external legal teams can help reduce the spending on ►► China Eastern Airlines – quick facts About the company: • Year founded: 1988 • Main hub: Shanghai Hongqiao International Airport • Fleet size: 340 (in April 2010) (+67 orders) • Number of employees: 45,000 (December 2009) • Number of destinations: over 110 in China and abroad • Main subsidiaries: Shanghai Airlines, China Cargo Airlines, China Eastern Jiangsu Airlines and China Eastern Wuhan Airlines • Company slogan: Better Flight, Better Trip • Shares are listed on Shanghai, Hong Kong and New York Stock Exchanges
external legal services and derive more value from the services,” he adds. In the past, law firms were usually instructed directly by different business units within the company, but some changes are coming. After the first anniversary of the department’s establishment a new structure has been developed to address the increasing need of a centralised system to administer the company’s numerous legal service providers. The legal department is in the process of establishing an external legal advisor panel and formalising the procedure for selection and monitor and measure the performance of each panel firm. The new legal panel will appoint a mix of accredited specialist, top-tier full-service and lower-cost mid-tier firms to provide the company with quality legal advice, greater choice and flexibility. Up to five law firms will be listed as preferred advisors under a set of different practice areas, including aircraft financing and leasing, regulatory and compliance, derivatives, litigation and arbitration. “The new system aims to drive efficiency and cost-effectiveness of legal outsourcing, and to ensure the most appropriate firms are engaged to perform legal work in particular service areas that reflect their core strength and expertise,” says Guo. The panel will be constantly updated based on feedback from internal clients, hence any panel firm could be eliminated at any time if its performance and services are unsatisfactory. New firms will be added to the list regularly. The ratio of international and domestic firms on the panel, however, will remain the same – 60% will be comprised of domestic firms and the rest are foreign firms from different key jurisdictions where the company operates in. “International firms will be increasingly useful to Chinese companies that are having more international exposure and increasingly having to handle legal matters outside the country,” Guo says. “As the leader of the in-house legal department, part of my responsibility is to figure out a way to make effective use of in-house and external resources to meet the needs arising from the company’s globalisation process.” ALB 35
Feature | leading Tort Lawfirms >> >>
Leading IP firms in Greater China ►► GREATER CHINA–INTERNATIONAL FIRMS Baker & McKenzie Bird & Bird Jones Day Lovells Rouse
►► Taiwan Full service practices Formosa Transnational
Specialist law firms Tsai, Lee & Chen
Lee and Li
Deep & Far
Tsar & Tsai
Saint Island International Patent & Law Office TIPLO
►► Hong Kong Full service practices
Specialist IP firms
Deacons
Eccles & Lee
ONC Lawyers
Rebecca Lo & Co
Robin Bridge & John Liu Solicitors Vivien Chan & Co Wilkinson & Grist
►► PRC Full service practices
Kangxin & Partners
Fangda
Beijing Sanyou
Hylands
Liu, Shen & Associates
King & Wood
CCPIT
Zhongzi Law Office
Jeekai & Partners
Lifang & Partners Jun He Grandall Legal Group Long An Chang Tsi & Partners
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Specialist IP firms
Boss & Young
O
ver 8,000 IP lawyers from all over the world attended the132nd annual conference hosted by the International Trademark Association (INTA) in Boston recently. For a regular attendee like King & Wood patent partner Shi Yusheng, what becomes immediately noticeable is the growing number of legal representatives from Chinese firms. The country’s strong push for innovation has meant more work for lawyers: the Chinese Patent Office issued more than 580,000 patents
in 2009, up 41% from 2008. New patent applications grew to 947,000 in 2009 up from 252,000 in 2003. Over the last year, the Chinese Patent Office has become the third-busiest patent authority in the world, following closely behind Japan and the US. To handle the growing demand, leading IP firms like Lifang & Partners have expanded their legal teams. Last year, Lifang recruited over 30 IP lawyers, some of whom joined from DeHeng’s IP division. The firm later also merged with Guangzhou-based IP specialist firm Liu & Partners. ISSUE 7.6
Feature | leading firms >>
“Firms that are able to handle more than just vanilla work are what we look for. We look for an ability to handle multijurisdictional work and a firm that has the resources to deal with the heavy duty work, things like discovery in litigation and the IP issues that arise in the context of acquisitions, JVs and other big transactions,” In-house counsel
Fair IP litigation Last year The Supreme People’s Court announced that 30,626 civil IP litigation cases were filed, up over 25% on the 2008 figure. Meanwhile, with over 24,206 IP suits filed in 2008, China surpassed the US to become the most litigious country in the world for IP disputes. But who are initiating these cases – large-scale foreigners given China’s reputation for counterfeits? Out of those 580,000 patent applications, only about 10% were filed by foreign companies. A foreign company was one of the parties in less than 5% of those 24,206 IP suits in 2008. The trend that becomes prominent is how foreign companies have abstained themselves from the IP litigation process. “Preventive litigation”, lawyers say, is where foreign-related work is mostly derived. “Foreign companies care more about the new laws promulgated; they want to know how it Long Chuanhong affects them and what CCPIT they should do to avoid damages. They just want to be compliant,” says Long Chuanhong, a partner at CCPIT. Understandably so, patent litigations making the headlines seem to indicate that the legal system favours local companies which are litigating against foreign competitors. The landmark case of Schneider Electric and Chint Group closed with Schneider paying damages www.legalbusinessonline.com
►► China’s leading IP firms Domestic–Full service Boss & Young • Member of INTA, AIPPI, China Trademark Association, China Trademark Agents Association, All-China Patent Agents Association and China Intellectual Property Society • Offers both foreign and domestic clients a broad and comprehensive range of IP legal services relating to patents, trademarks, domain names, copyrights, unfair competition, customs protection and IP infringement resolution Chang Tsi & Partners • Launched a Shanghai office this year • Member of INTA, International Association for the Protection of Intellectual Property, Copyright Society of China and International Association of Restructuring and the Insolvency & Bankruptcy Professionals Fangda • Handles technology and know-how transfer, licensing and protection of confidential information in the PRC Grandall • Launched IP agency in Beijing last year • Merged with IP agency Beijing Xinzheng Zhitong; gained six more IP lawyers Hylands • Large law firm and IP agency of 300 people with 5 offices, especially strong in anti-counterfeiting by raid and litigation, investigation on counterfeiting, commercial credit and business fraud • Provides full-range services in all aspects of IP practice including prosecution, enforcement and litigation, unfaircompetition, trade secret, internet, franchising, licensing, culture and entertainment, news and publications, customs protection and litigation and arbitration Jun He • Seized three new IP partners from international firms • Planning launch of Silicon Valley office King & Wood • Dedicated IP legal team (20 IP experts in Beijing, Shanghai and Shenzhen) providing commercial and corporate legal advice Lifang & Partners • Acquired an 30-lawyer strong IP team • Merged with Guangzhou IP specialist Liu & Partners • Patent filings grew to nearly 3,000 applications in 2009 Long An • Opened offices in Nanjing and Guangzhou; gained over 10 partners • IP cases sharply increased in quantity and quality. Accepted commissions from a number of world-class companies for their patent application, such as Panasonic, Sanyo and Sharp Zhongzi • Serviced by more than 100 lawyers and patent agents
of around US$48.5m in 2007. In 2008, Samsung was also hit with a US$7.4m fine for infringing a mobile phone patent held by Holley Communications. Seemingly frightened foreign companies have been taking the backseat, trying to lay low by diligently taking proactive measures to make sure they are compliant. But while the locals are feeling more empowered in light of the Schneider case, many international enterprises have been forced to take the hot seat. “We are acting for and defending a lot more international companies against Chinese companies. Chinese companies have taken heart from recent favourable awards and are flexing their muscles,” says Rouse & Co’s Shanghai-based partner Elliot Papageorgiou. “Since a lot of incentives have been created for companies who protect their IP rights, that has given
the locals a lot of confidence to enforce their rights on their own turf,” he adds. While many of those foreign companies are still wary of rumours that the legal system is somewhat biased, and are therefore hesitant about trying to enforce their rights in China, recent IP litigation cases, however, seem to suggest that the local authorities are attempting to move away from the stigma. Many local lawyers have also listed fairness as one of the most significant traits seen by courts trying IP cases. In January last year, Neoplan, a German bus company, was awarded US$3m in its litigation against two Chinese infringers. The compensation represents the largest infringement damages ever obtained by a foreign company in China. Earlier this year, the Beijing No 1 Intermediate
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Feature | leading firms >>
People’s Court ordered two Chinese companies to pay a combined total of US$1.3m in damages to Strix, a British manufacturer of electric kettle components.
Clients’ perspectives Big companies who have gone to smaller firms due to budget constraints in the past 18 months are encountering IP issues due to slipshod work that some smaller firms have produced. Now more than ever, quality of legal advice once again becomes key. A more commercial approach, greater industry knowledge and quicker turnaround were the most frequent reasons cited by respondents for the use of specialist IP law firms over their full-service counterparts. Fee flexibility was also noted as a strength. Specialist IP firms were, according to a number of respondents, more willing to look at capped fees, delayed or deferred payments. For some, specialists were preferred to big firms because of their better attitudes. “In my experience, smaller firms will
►► China’s leading IP firms (CONT) Domestic–Specialist Beijing Sanyou • Has nine business departments with more than 200 professionals • Expertise covers virtually all technical fields, including biochemistry, biology, chemistry, medicine, computer science, telecommunications, semi-conductor, electrics & electronics, physics and mechanics CCPIT • Winner of IP Law Firm of the Year at the ALB China Law Awards 2010 • Largest full-service IP firm in China with the longest history with over 470 staff including more than 170 patent and trademark attorneys • Offices in Beijing, New York, Munich, Tokyo, Hong Kong, Shanghai and Guangzhou Jeekai & Partners • Seven-partner IP boutique Jeekai & Partners is headed by Robin Zhao, formerly group chief at CCPIT • Houses 60 patent attorneys specialising in chemistry and material science, pharmaceutical and biotechnology, electronics and mechanics Kangxin & Partners • Has more than 90 in-house patent professionals who are skilled in translation in English, German, Japanese, Korean, and Chinese • Established Wenzhou branch in 2009, the firm’s sixth office globally Liu,Shen & Associates • Known for its specialised advice on both filings and contentious IP matters • Has a team of around 320, including 190 professionals of patent and trademark attorneys, lawyers, and patent engineers with expertise that covers almost all areas of technology
never think twice about giving 110% in even the smallest or routine matters we give them,” says an IP counsel. “This is certainly not the case with larger law
firms I have used. Work will go through a hundred pairs of hands before someone even reads the brief.” Creative use of legal technology was
HYLANDS LAW FIRM – CHINA 浩天信和律师事务所 ipr@hylandslaw.com
Leading large law firm and patent & trademark agency of more than 300 people of which 120 IP people 2008 Asia Top 30 Largest IP Firm – MIP 2008 – 2010 China’s Leading IP Firm – MIP 2008 – 2009 China’s Leading IP Firm – Legal 500 2008 – 2010 China’s Leading IP Firm – Chambers Asia 2008 – 2010 China’s Leading IP Firm – Asian Legal Business 2009 – 2010 China’s Leading IP Firm – Asia IP 2008 China’s Leading IP Firm – Asia Law 2010 China’s Leading IP Firm – China Business Law Journal 2010 China’s Leading IP Firm – China Law & Practice
|BEIJING|SHANGHAI|NANJING|GUANGZHOU|SHENZHEN|CHENGDU| 38
ISSUE 7.6
Feature | leading firms >>
“In my experience, smaller firms will never think twice about giving 110% in even the smallest or routine matters we give them. This is certainly not the case with larger law firms I have used” IP counsel
an area where boutique law firms were noted as having made “strong progress” over the last 12 months. Boutique firms are embracing internal software such as annuity agents, patent searching, docketing and proofreading tools more often and “it’s showing in the calibre of their advice,” according to one patent counsel. They are also more willing to use technology as a tool to communicate with their clients more effectively and efficiently. “Our external firm provides us with access to an intranet through
www.legalbusinessonline.com
►► China’s leading IP firms (CONT) International firms Baker & McKenzie • High profile long-term clients including Starbucks, LVMH and The Body Shop • Notable deals include acting for Nokia on various design infringement injunctions • Recently advised Harley-Davidson in a groundbreaking case in China involving the protection of copyright in the unregistered trademark . The case resulted in a victory for Harley-Davidson before the Beijing Higher People’s Court Bird & Bird • Formed an association with Beijing Xiang Kun, a boutique contentious firm with a high degree of specialisation in IP • able to file trade marks directly in China through its own trade mark agency Bird & Bird IP (Beijing) Co. Ltd. which was established in 2007 Jones Day • 20-lawyer strong IP team with partner level practitioners who are equipped with technical knowledge Lovells • Merged with Hogan & Hartson earlier this year • Appointed IP specialist Clifford Borg-Marks as of counsel in its current 30-lawyer Greater China IP team and promoted IP lawyer Geoffrey Lin to partner in the Shanghai office Rouse & Co • Has been in China since 1993 and advises on a wide range of IP matters including trademarks, copyright, domain names, litigation & ADR, investigations, patents, designs, commercialisation, enforcement and strategy & management • Named its new China country manager, Linda Chang, added four IP experts – Tim Smith, Luke Minford, Jenny Luo and Rachel Tan
which I can access the status of a matter whenever I, or a member, of my department wants,” said a general counsel in Hong Kong. “It also reduces my legal costs and saves time.”
But there is still a widespread recognition that all firms – whether specialist or full-service – must improve their levels of service if they are to increase their market shares. For larger
39
Feature | leading firms >>
“The volume of patent applications by [Taiwanese] companies has significantly decreased and the number of new patent applicants has also fallen. Companies which usually would apply for hundreds of patents a year are filing lesser because of legal budget issues” CF Tsai
Deep & Far
40
firms, areas for improvement include leveraging the commercial nous from elsewhere in the firm – something mentioned often by respondents from mid-sized companies in the region. “When we hire a corporate firm, we want them to act less like our ‘external’ counsel and more like our internal IP counsel,” said one respondent. Respondents note that this was a particular strength of specialist law firms, but the challenge for smaller firms was to increase their bandwidth. In-house lawyers and IP counsel while cognizant of the fact that “smaller firms generate smaller fees,” were nonetheless looking for them to invest in increasing their manpower. “We would use smaller firms across the board if we were convinced that they had the resources at hand to do everything.” However, many in-house lawyers and IP counsel also suggested that larger domestic and international law firms were better placed to provide a one-stop shop. “Firms that are able to handle more than just vanilla work are what
we look for. We look for an ability to handle multi-jurisdictional work and a firm that has the resources to deal with the heavy duty work, things like discovery in litigation and the IP issues that arise in the context of acquisitions, JVs and other big transactions,” said one in-house counsel. But just as in other areas of practice, while the largest companies will invariably hire the largest law firms, smaller companies, some of whom are engaged in just as complex and highvalue IP litigation, are increasingly looking to smaller law firms. Their rationale here is that they would rather have the same firm deal with their patent prosecutions and any ensuing litigation. “It provides good continuity of service and it saves time and costs to use lawyers who know our portfolio inside out,” says one respondent.
Taiwan IP market overview Taiwanese firms have admitted that IP practice in the island has been hard-hit. Drastically falling numbers in IP-
ISSUE 7.6
Feature | leading firms >>
related applications prove so: in 2008 there were 54,000 patent applications, 46,000 in 2009 and 17,000 for 2010 to date. “The volume of patent applications by companies has significantly decreased and the number of new patent applicants has also fallen,” says CF Tsai, a partner at Deep & Far. “Companies which would usually apply for hundreds of patents a year are filing less because of legal budget issues,” he explains. IP firms are fighting to survive, and many have sought to do so by cutting legal fees. According to Tsai, even mid-sized IP firms with 30-40 legal professionals have had to shut down over the past 12 months. “It is very competitive, domestic firms are offering 50-60% discount in legal fees but the Chinese firms can go even lower than that.” Given the IP drought in the market across the Strait, Deep & Far, which has had to lose many clients due to their budget constraints, has been forced to devise alternative billing arrangements. The firm now offers an option to clients – an exchange of legal advice for stock shares. “Clients who have had to resort to engaging legal service in exchange for their shares are a minority. But so far it has proven to be rather workable.” According to Tsai, clients may choose to buy back their shares but the selling price might fluctuate according to market trends. “It’s a “new kind of business,” he says. ALB
www.legalbusinessonline.com
►► TOP 10 Chinese IP litigation cases 2009- 2010 Chint vs Schneider • Parties settled for the largest amount in China’s patent litigation history
Schneider to pay Chint US$23m within 15 days, otherwise China would have the right to apply for enforcement of the first instance judgement rendered by the Wenzhou Intermediate People’s Court against Schneider in the amount of US$48.5m
Pfizer vs Wellman • Foreign plaintiff lost an extremely popular Chinese translation mark under the first to file regime
Pfizer lost a Chinese translation mark “伟哥” to plaintiff Guangzhou Wellman, ending an 11-year legal battle
Strix vs. Zhejiang JiaTai and Leqing FaDa • A British kettle company was awarder an unprecedented US$1.3m compensation for patent infringement against Chinese small appliance maufacturer
The Beijing No.1 Intermediate People’s Court rules that JiaTai and FaDa should stop producing and selling the two models of electrical kettles containing Strix’s patented control devises and pay damages of approximately US$1.04m and US$294,000.00 respectively
Tomato Garden vs Microsoft Windows XP • Criminal liability was imposed
Illegal income of Chengdu Gongruan seized and company was fined US$1.23m. Two principal individual defendants were sentenced to jail for three and a half years and fined US$147,000. Two subordinate criminal suspects were sentenced to jail for two years and fined US$14,700
People vs. Tantian • First trademark criminal case relating to 2010 Shanghai World Expo
Changzheng company, another defendant in the case, was found to have committed the crime of selling goods bearing counterfeit registered trademark and was fined US$26,471. Tantian was punished with imprisonment of two years and fined US$27,471. Counterfeits were seized.
Wuhan Jingyuan vs Japanese Fujikashui and Huayang • Injunctive relief was not granted due to public interest consideration in an environmental sector IP infringement case • Largest patent compensation involving environmental products in China
Supreme People’s Court adjudicated that Wuhan Jingyuan won the patent infringement case against defendant, ending an eight-year legal battle. Defendants were to jointly pay plaintiff US$7.4m
Michelin Group vs. Tan Guoqiang and Ou Can • Parallel import of goods without 3C approval was held to constitute an infrinment of the trademark owner’s right in China • First trademark parallel import case in China
Injunction against the sale of Michelin’s products and a small amount of compensation to plaintiff
Siemens vs. Co-trust • Seven patent infringement actions between parties
In the first instance, Siemens won two cases and lost five before the Shenzhen Intermediate People’s Court. All cases are pending for appeal
People vs. Bohai • A trade secret case where an employee stole and disclosed employer’s trade secret
The first instance court held that Bohai committed trade secret crime and was sentenced to a fine of US$235,294.00. Designers Liu Xian and Chen Chunyuan were sentenced to two-year imprisonment and a fine of US$ 117,647.00 respectively. Designer Chu Naibing sentenced 10-month 14 days imprisonment and was fined US$ 117,647.00. Case was appealed but rejected
Exxon Mobil vs. American Mobil Intermediate Petroleum Group • Registration of Internet keyword and domain name may constitute trademark infringement
Defendants’ conduct held as unfair competition. Exxon Mobil was awarded with an injunction and a compensation of US$73,209
41
Feature | Tort Law >>
“In the past, there was a gap with respect to tort. We used to base our tort advice on the principles of the civil law and other legislation. Now the new rules are codified it has the force of law and carries a lot more weight than what we used to work with” Zou Weining
Jun He
Tort Liability Law – A contentious goldmine
The past few years saw a significant increase in the number of tort-related cases. As the new Tort Liability Law becomes effective on 1 July 2010, lawyers are expecting another surge
I
n 2009, China tried the biggest product liability scandal in its history – melamine-contaminated milk involving Sanlu Group that claimed the lives of six babies and left almost 300,000 people with lingering health problems. And the verdicts handed down by the courts were unprecedented in their scale – two capital punishments, one suspended penalty and three life imprisonments. Yet while the Sanlu case is one of the most talked-about, it’s one out of a very long list of tort-related cases in China. The country has experienced a significant increase in the number of
42
tort-related cases in recent years, with the courts reportedly hearing 980,000 new tort cases in 2007 and more than 1 million in 2008. China’s increasing tort-related litigations and the government’s desire to dispel negative perceptions, undoubtedly spurred the Standing Committee of the National People’s Congress to move to effect passage of the new Tort Liability Law (Tort Law) in December 2009. While the final version, due to come into effect from 1 July this year, was approved just three weeks after the period for public comment closed, one would be wrong to
assume that the legislation was hastily conceived. The final approval comes more than seven years after the release of the first draft of a comprehensive tort law, in 2002. The Tort Law sets out to unify tortrelated liabilities which were previously scattered across more than 40 different pieces of legislation. “In the past, there was a gap with respect to tort. We used to base our tort advice on the principles of the civil law and other legislation. Now the new rules are codified, it has the force of law and carry a lot more weight than what we used to work with,” says Zou Weining, a partner at Jun He. ISSUE 7.6
Feature | Tort Law >>
Consisting of 12 chapters and 92 separate provisions, the new law covers a wide range of subject matters including product liability, environmental pollution, automobile accidents and medical malpractice. The new Tort Law also promulgates general rules regarding causation, burden of proof, damage calculations, and joint liability. In addition to damages, the law provides for specific performance remedies including injunction orders, removal of unlawful obstacles, property restoration and public apologies.
Innovative civil protection
With a better foundation for private actions where one has suffered damage and wants to seek redress against another, many legal professionals have commended the new law’s innovative facets. The Tort Law takes on new grounds, encompassing clauses and terms which have never been recognised in Chinese legislation before. For the first time in legislative history, civil protection recognises the independent right to privacy; a previously elusive luxury that now extends to many other sites like the Internet and medical institutions where an individual shares personal information. For example, medical institutions are required to treat patients’ personal information with extreme confidence, as the law prohibits any disclosure of such information without the authorisation of the patient. Contents posted on the Internet can also be held against ISPs where a website operator acknowledges that a party’s rights are being infringed, and fails to take the necessary corrective measures. Offenders are subjected to tort liabilities including paying damages for actual losses and compensation for emotional harm, if applicable. The incurrence of tort liabilities by an ISP is good news for companies like banker DBS (China). According to Janet Lin, the in-house legal head of DBS in Shanghai, the new rules give the bank the roots and channels to better protect their IP rights and business identity. “In the past, pursuing a suit against a counterfeiter on the Internet was very complex, because it is often very difficult to locate the true owner of a website,” she says. “But now via ISP channels, www.legalbusinessonline.com
the mere URL of a website is sufficient for a suit to stand for infringement. And bearing in mind the punitive damages an offender might incur, the number of potential counterfeiters will also decrease.” Apart from ISPs, parties involved in environmental businesses are also facing the heat of increasing liability. While the plaintiff in a tort litigation case originating in the US bears the burden of proving that the defendant’s action caused the damage suffered by the plaintiff, China’s new law shifts this burden to the defendant. This makes it easier and less costly for a plaintiff to bring a tort claim and increases the difficulty and cost for defendants. What will be the main driving force for more legal work under the new law? Most would attribute that to the “most prominent clause” of the Code – punitive damages. This notion could potentially be the fuel for China becoming one of the world’s most litigious countries. In the past, damages used to be awarded based on how much a product was worth, the model seems to have changed under the new legislation. While the Tort Law has yet to set forth the standard or methodology to calculate punitive damages, lawyers imply the monetary range of compensation will
limitations of some sort, and will hence start to issue some guidance rules for the courts.”
A litigious goldmine
The clauses of the Tort Law aim to empower individuals and with more motivating remedies available, the country will in all likelihood become an even more contentious jurisdiction. “The locals are now very willing to sue. That somehow, is proof that the legal enforcements pertaining to private actions are working. People are starting to realise that it is worthwhile bringing a case to court since many have gotten respectable compensation out of their claims,” says Jun He’s Zou. Intel China’s general counsel Laurence O’Laughlin concurs. “With China’s increasing sophisticated legal environment, consumers and companies will turn to courts to obtain redress for their grievances. With the new tort law, companies should be prepared for an increase in litigation suit brought by consumers. With more litigation, in-house counsels will need to be knowledgeable in the domestic litigation process and in effectively managing the litigation process,” he says. With international lawyers out of their competitive ambit, PRC litigators
“With the new tort law, companies should be prepared for an increase in litigation by consumers. With more litigation in-house counsels will need to be knowledgeable in the domestic process and in effectively managing the litigation process, as well as outside counsel” most likely start off reticent. “My guess is that punitive damages would start off relatively modest,” says John Grobowski, managing partner of the Shanghai office at Faegre & Benson. “There is an apparatus for trying to make sure there are common policies formed by the court. One of the things that often happen in China is that the Supreme People’s Court, which is very much under the control of the Communist Party, might decide at some point that it wants punitives to be handled in a certain way, or with
Laurence O’Laughlin
Intel China
are keyed up about setting precedents, as are their clients’ in-house experts. “Punitive damages will be the impetus for more litigation cases, because plaintiffs will want such monetary compensation to be added to their damages. Defendants, in particular, will therefore need more legal help in terms of defending their rights,” says Zou. What is most notable is that the Tort Law is now much harder on defendants than similar laws in most places around the globe, including the US and Europe. China’s version creates liability 43
Feature | Tort Law >>
►►China’s Tort Liability Law: new developments
• Adoption of punitive damages for product liabilities – Where a manufacturer or seller knows a product is defective and continues to manufacture or sell such defective product, the victim shall be entitled to punitive damages if the defective product causes death or serious injury to health • Enhancement of liabilities for environmental pollution – In environmental tort actions, the burden of proof is shifted to defendants. Polluters bear the burden of proof regarding any exemption or mitigation of that liability and must prove that there is no causality between polluters’ actions and the consequent environmental damage caused • Employers’ vicarious liabilities for dispatched labourers – Where during the period of labour dispatch, a dispatched employee causes any harm to another person in the course of performing his or her work duty, the entity receiving the dispatched employee shall assume the tort liability and the dispatch agency shall assume the complementary liabilities if they are also found to be at fault • Protection of privacy – Infringement of rights to privacy could result in paying damages for actual losses and compensation for emotional harm • Medical malpractice in relation to protection of privacy – Obligates medical institutions to take the private data of a patient in extreme confidence and prohibits any disclosure of such information without the authorisation of the patient • Internet service provider (ISP) liability in relation to protection of privacy – Where a website operator acknowledges that a party’s civil rights are being infringed through contents posted on its website and fails to take the necessary corrective measures, such operator will be held jointly liable with the infringing party
principles and evidentiary rules that are more stringent than either prior environmental legislation and court interpretations.
New business concerns; proactive actions triggered
It has become more important than ever for companies in China to not only understand the potential for increased liability, but also to proactively revisit many of their previous contractual and regulatory systems before the law’s official commencement. According to lawyers, many key existing clients have already raised their concerns; they are David Dai MWE China looking at new clauses and trying to decide what 44
they need to do on a daily basis in order to protect their interest more. “With a higher level of liability, clients are now more concerned about getting into trouble. They are looking at potential liability as something that they would have to deal with more regularly – as opposed to before where it was relatively rare and they just worry about it when it happens,” says Grobowski. Especially so for industries like product manufacturing, pharmaceutical and natural resources, there is an imminent need for companies to be up to speed on how to take action to protect themselves, now they can be
started reviewing compliance strategies with in-house teams,” says David Dai, a Shanghai-based partner with the firm. Faegre & Benson, which reports seeing a lot of preliminary advice going out to its existing key clients, is also keeping up to speed by preparing to reshuffle staff. “We are starting to give more advice on the new Tort Law on a proactive basis, to see it that takes hold. Once there is more demand, we will bulk up and add specialists to meet that demand,” says Grobowski. The firm is placing extra attention on clients who are in manufacturing businesses. “We will be providing more legal risk
“Clients are looking at potential liability as something that they would have to deal with more regularly – as opposed to before where it was relatively rare and they just worry about it when it happens” held responsible even if they have been compliant to legal regulations. And on a wider scale, the new rules opens doors for both local and foreign lawyers who work in other practices – including legal risk management, contract, regulatory and compliance. For example, at the most basic level manufacturers will need legal help to establish an effective quality control system and product recall plans. Lawyers can advise manufacturers on how to identify potential issues before they become liabilities, and take appropriate pre-emptive action when and where necessary. Some law firms are banking on such preliminary-type legal work and are already proactively providing advice on legal risk management, regulatory and compliance advice. According to O’Melveny & Myer’s Shanghai-based counsel Xu Kaichen, the firm is already playing an advisory role for existing clients who are concerned about how the new rules will affect them. MWE China is one such firm. “The new law will definitely affect our practice areas – including compliance and risk management – positively. MNCs pay a great deal of attention to their product and environmental liabilities. We are already receiving inquiries and have
John Grobowski
Faegre & Benson
management advice to manufacturers. Foreign firms are very used to giving that kind of legal advice because we can pull in information from our international offices,” he adds.
The road ahead
The new Tort Law is a significant step towards the creation of a comprehensive civil code - and few in China would contend otherwise. The legislative changes are the latest legal development representing a fundamental shift in government policy, which will prompt companies operating in China to reassess their risk exposures and risk management plans. No one knows yet how Chinese courts will interpret the new tort liability laws, but what is predictable is the significant financial ramifications for companies doing business in China. Those companies will experience increased liability exposure and higher potential defendant costs, regardless of their compliances with the new rules and regulations. While plaintiffs enjoy their new rights and powers, defendants mull over the costs that potential liabilities will create. All of this is, of course, good news for China’s growing legal industry. ALB ISSUE 7.6
MARKETData DATE| M&A | M&A Market >>>>
In association with
M&A TRANSACTIONS AND STATISTICAL ANALYSIS Top 10 Announced Deals - Greater China (17 April, 2010 - 14 May, 2010) Announcement Date
Target Company
Target/Seller Legal Advisor
Bidder Company
Bidder Legal Advisor
Seller Company
6-May-10
Hua Xia Bank Co Ltd (27.15% stake)
Concord & Partners Law Offices
Deutsche Bank SA; Shougang Group Corp; and State Grid Corporation
Freshfields
3,042
26-Apr-10
WuXi PharmaTech
Cravath Swaine & Moore; O'Melveny & Myers; Willkie Farr & Gallagher
Charles River Laboratories Inc
Davis Polk & Wardwell; Advising financial advisor (JPMorgan): Simpson Thacher & Bartlett
1,488
27-Apr-10
Wheelock Properties Ltd
30-Apr-10
Block 15/34 (24.5% stake)
29-Apr-10
Sigma Enterprises Ltd (13.71% stake)
COSCO Pacific Ltd
18-Apr-10
Sul Americana de Metais S.A
28-Apr-10
Shandong Century Electric Power Development Co Ltd (84.31% stake)
28-Apr-10
Seabank Power Ltd (50% stake)
7-May-10
Arc of Triumph Development Co Ltd (40% stake)
26-Apr-10
SCA (Asian packaging business)
Deal Value (USDm)
Wheelock & Co Ltd Advising seller: Blake, Cassels & Graydon; Hogan & Hartson; Mannheimer Swartling
889 Devon Energy Corporation
515
AP Moeller - Maersk A/S
429
Honbridge Holdings Ltd
Votorantim Novos Negocios Ltda
390
Huadian Power International Corporation Ltd
Zhengda Energy Development (China) Co Ltd
346
BG Group Plc
322
International Entertainment Corporation
235
Svenska Cellulosa Aktiebolaget SCA
200
China National Offshore Oil Corporation Ltd
Advising seller: Linklaters
Advising financial advisor (JPMorgan): Clifford Chance
Cheung Kong Infrastructure Holdings Ltd
Simmons & Simmons
Power Link Fortune Ltd
Advising seller: Clifford Chance
International Paper Co
Allen & Overy
Notes: Based on announced deals, including lapsed and withdrawn bids, from 17 April 2010 to 14 May 2010•Based on geography of either target, bidder or seller company being China, Hong Kong, Macau or Taiwan•Includes all deals valued over USD 5m. Where deal value not disclosed, deal has been entered based on turnover of target exceeding USD 10m•Activities excluded from table include property transactions and restructurings where the ultimate shareholders' interests are not changed•League tables are ranked by volume•Q2 10 * = 1 April 2010 to 14 May 2010
League Table of Legal Advisors to Greater China M&A (Jan 01, 2010 - May 14, 2010) Rank
House
League Table of Financial Advisors to Greater China M&A (Jan 01, 2010 - May 14, 2010)
Value (USDm)
Deal Count
Rank
Value (USDm)
Deal Count
1
Jones Day
2,490
13
1
Deutsche Bank
42,435
9
2
Freshfields Bruckhaus Deringer
4,538
11
2
Morgan Stanley
31,681
8
3
Allen & Overy
2,702
6
3
Credit Suisse
42,145
6
4
King & Wood
1,198
6
4
Citigroup
37,492
6
5
Grandall Legal Group
486
6
5
China International Capital
8,164
6
6
Clifford Chance
1,235
5
6
JP Morgan
7,338
6
7
DLA Piper
79
5
7
Goldman Sachs
8
Slaughter and May
38,683
4
8
Optima Capital
9
Simpson Thacher & Bartlett
37,232
4
9
10
Linklaters
7,740
4
10
Based on geography of either target, bidder or seller company being China, Hong Kong, Macau or Taiwan
House
44,560
5
523
5
Somerley
2,881
4
KPMG
1,864
4
Based on geography of either target, bidder or seller company being China, Hong Kong, Macau or Taiwan
Greater China M&A Activity - Quarterly Trends 350
70,000
300
50,000
250
40,000
200
30,000
150
20,000
100
10,000
50
0
46
Value (USDm) Volume
Q1 03
Q2 03
Q3 03
Q4 03
Q1 04
Q2 04
Q3 04
Q4 04
Q1 05
Q2 05
Q3 05
Q4 05
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q2 08
Q3 08
Q4 08
Q1 09
Q2 09
Q3 09
Q4 09
Q1 10
Q2 10*
Number of deals
Value (USDm)
60,000
0
Greater China Legal Business ISSUE 7.6 ISSUE 7.6
Market Data | capital markets >>
Equity Capital Markets TRANSACTIONS List China, Hong Kong 23 May – 19 Jun Issuer
Proceeds (USDm)
Issue Date
Currency
Bookrunner(s)
Sector Financials
China Industrial Bank Co Ltd
2,616.4
05/31/10
CNY
Credit Suisse Founder Sec Ltd; Industrial Securities Co Ltd; UBS Securities Co Ltd
Harbin Gloria Pharm Co Ltd
256.3
06/03/10
CNY
Guosen Securities Co Ltd
Healthcare
China Liansu Group Holdings
250.3
06/15/10
HKD
JP Morgan Chase Bank-HK; UBS (Hong Kong)
Materials
Shenzhen MTC Co Ltd
246.0
05/27/10
CNY
Guosen Securities Co Ltd
Telecommunications
Jiangsu Hongtu High Tech Co
206.9
06/01/10
CNY
Southwestern Securities Co
High Technology
Guangdong Palm Landscape
197.7
05/27/10
CNY
Sinolink Securities Co Ltd
Consumer Products and Services
Hangzhou Hangyang Co Ltd
187.1
05/27/10
CNY
Huarong Securities Co Ltd
Industrials
Zhejiang Wanliyang
186.7
05/31/10
CNY
Guosen Securities Co Ltd
High Technology
Fujian Star Net Communication
149.5
06/03/10
CNY
GF Securities
Telecommunications
Shenzhen Fastprint Circuit
149.3
05/31/10
CNY
Huatai United Securities Co
High Technology
Yunnan Lincang Xinyuan
140.6
05/24/10
CNY
China Merchant Securities Co
Materials
Guangdong Pibao Pharm Co Ltd
109.2
05/31/10
CNY
GF Securities
Healthcare
Beijing Venustech Inc
91.5
06/03/10
CNY
Zhong De Securities Co Ltd
High Technology
Zhejiang Unifull Industrial
90.9
05/24/10
CNY
Guosen Securities Co Ltd
Consumer Staples
Andon Health Co Ltd
88.0
05/27/10
CNY
New Times Securities Co Ltd
Healthcare
China Lilang Ltd
87.3
06/14/10
HKD
Bank of America Merrill Lynch; HSBC Investment Bank Asia Ltd
Retail
Kaiser(China)Holding Co Ltd
87.0
05/24/10
CNY
Haitong Securities
Consumer Products and Services
Jiangsu Jin Tong Ling Fans Co
86.7
06/09/10
CNY
Pingan Securities Co Ltd
Industrials
Jiangsu Shentong Valve Co Ltd
83.8
06/03/10
CNY
Huatai Securities
Industrials
Suzhou Victory Precision Mnfr
82.2
05/24/10
CNY
Soochow Securities Co Ltd
Industrials
Anhui Shengyun Mach Co Ltd
79.7
06/09/10
CNY
Pacific Securities
Industrials
The Great Wall Grp Co Ltd
75.1
06/09/10
CNY
GF Securities
Consumer Staples
Chang Jiang Runfa Machinery
74.9
05/31/10
CNY
Guohai Securities Co Ltd
Industrials
Intl Taifeng Holdings Ltd
74.0
06/04/10
HKD
Daiwa Securities (Hong Kong); China Merchants Securities HK
Consumer Staples
COSTIN New Materials Group Ltd
73.3
06/15/10
HKD
Guotai Junan Securities (HK)
Consumer Staples
China Sec & Surveillance Tech
60.0
05/26/10
USD
Oppenheimer & Co Inc; Brean Murray Carret & Co LLC
Telecommunications
Guangxi Wuzhou Zhongheng Grp
56.0
06/04/10
CNY
Wanlian Securities Co Ltd
Healthcare
China New Borun Corp
40.1
06/10/10
USD
Piper Jaffray Inc
Consumer Staples Energy and Power
China Titans Energy Technology
30.3
05/27/10
HKD
Guotai Junan Securities (HK)
Origo Partners Plc
30.3
06/14/10
GBP
Liberum Capital Limited
Financials
Sino Gas & Energy Holdings Ltd
25.6
06/17/10
AUD
Patersons Securities Ltd
Energy and Power
Universal Travel Group
20.0
06/16/10
USD
Brean Murray Carret & Co LLC
Consumer Products and Services
China Intelligent Lighting & E
10.1
06/18/10
USD
Rodman & Renshaw Inc; West Park Capital
Industrials
HONG KONG Sino Biopharmaceutical Ltd
144.1
06/15/10
HKD
JP Morgan Secs (Asia) (HK); Morgan Stanley
Healthcare
China Sci-Tech Holdings Ltd
120.3
06/18/10
HKD
Deutsche Bank AG; Morgan Stanley
Financials
Green Dragon Gas LTD
50.0
06/08/10
USD
Nomura Securities; Credit Suisse
Energy and Power
Midland Holdings Ltd
45.5
05/27/10
HKD
CLSA
Real Estate
Jia Sheng Holdings Ltd
40.8
05/26/10
HKD
Guotai Junan Securities (HK)
Financials
First China Finl Network Hldg
23.8
06/15/10
HKD
President Securities (HK)
Financials
Forefront Group Ltd
16.1
06/18/10
HKD
Kingston Securities Limited
Financials
DEBT CAPITAL MARKETS TRANSACTIONS LIST China, Hong Kong 23 May – 19 Jun Issuer
Proceeds (USDm)
Issue Date
Currency
Bookrunner(s)
Sector
China China CITIC Bank Corp Ltd
2,415.9
05/27/10
CNY
CITIC Securities; China Securities Co; China International Capital Co
Financials
CNPC
2,196.6
06/04/10
CNY
Industrial & Comm Bank China; Bank Communications (Shanghai)
Energy and Power
China Minsheng Banking Corp
849.1
06/10/10
CNY
Haitong Securities
Financials
COMAC
585.6
06/10/10
CNY
Bank Communications (Shanghai); Industrial & Comm Bank China
Industrials
CITIC Group Ltd
439.3
06/08/10
CNY
CITIC Securities; Industrial & Comm Bank China
Financials
Jiangsu Communications
366.2
06/01/10
CNY
China Galaxy Securities Co; GF Securities
Industrials
ICBC(Asia)
321.1
05/31/10
HKD
Hongkong & Shanghai Bank (HK)
Financials
Ying Kou City Constr Invest
292.9
06/09/10
CNY
Qilu Securities Co Ltd
Industrials
Changsha City Development
292.9
05/24/10
CNY
First Capital Securities
Financials
Shanghai Tongsheng Invest Co
292.8
05/28/10
CNY
China Merchants Bank
Financials
Guangzhou Get Holding Co Ltd
248.9
05/25/10
CNY
China Construction Bank; China Everbright Bank
Financials
CITIC Bank Intl Ltd
154.3
05/26/10
HKD
HSBC Holdings PLC
Financials
Hubei Qingjiang Water Power
146.4
05/24/10
CNY
Changjiang Securities
Energy and Power
China Huarong Finance Leasing
146.4
05/26/10
CNY
Industrial & Comm Bank China; Huarong Securities Co Ltd
Consumer Products and Services
Chinatex Corp
146.4
05/27/10
CNY
China Merchants Bank
Consumer Products and Services
Sichuan Chem Ind Hldg(Grp)Co
146.4
05/27/10
CNY
Agricultural Bank of China
Materials
Chongqing Da Cheng Asts Mgmt
Financials
117.1
06/02/10
CNY
Nanjing Securities
Guiyang City Commercial Bank
87.9
06/02/10
CNY
China Securities Co
Financials
Wuhan High Tech Hldg Grp Co
73.2
05/24/10
CNY
Huatai United Securities Co
Financials
47.0
05/31/10
HKD
Standard Chartered Bank (HK)
Financials
HONG KONG Hongkong Land Notes Co Ltd
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Grow Your Career To New Heights In-house Legal Director (8-10 yrs pqe) Hong Kong Join this prestigious European bank in a new role that manages the legal needs for a range of aggressively expanding businesses. This mandate covers debt, loans, bonds and derivatives in multiple markets in the Asia-Pacific region. A demonstrated record of strong judgment and the ability to work independently on complicated projects is a must. Mandarin language skills preferred. Ref: 9028/CB Head of China TSS Compliance (8+ yrs pqe) Beijing Take on a leadership role overseeing compliance programs for treasury and securities services at a world leading investment bank. This position focuses on China related matters, and proven experience with banking compliance in mainland China is required. You should have a strong knowledge of PBOC, SAFE, CBRC and MOF regulations and be able to advise management on updated or changing rules. Those with existing regulatory relationships will have an advantage. Ref: 9026/CB Director – Fixed Income Traded Products (5-8 yrs pqe) Hong Kong Our client, a global investment bank, is seeking a driven, talented lawyer to provide transaction and advisory support to structured credit fixed income and emerging markets teams. You must be ready to support structured CDO businesses across Asia, reviewing transactions and documentation prepared by outside counsel. Strong Mandarin language skills a must. Ref: 9029/CB Legal Counsels (3-7 yrs pqe) Beijing Five new Legal Counsel positions are open at this rapidly expanding world leader in IT products. You must have at least three years of experience in IT matters, and PRC qualification is required. Ref: 9024/CB Legal Officer (1-2 yrs pqe) Hong Kong Help support this diverse business group by giving legal advice and preparing documents for a range of matters. The ideal candidate is Hong Kong qualified and has some litigation and in-house experience, but those with other backgrounds will be considered. Good written and spoken English and Chinese skills are essential. Ref: 9034/CB
Private Practice Energy Associate (4-6 yrs pqe) Beijing Our client, a world renowned UK law firm, is seeking an experienced Energy Associate to handle project finance and construction matters. You must have prior experience at a top Chinese or international law firm, and PRC qualification is a must. Strong English skills are required, both written and spoken. Ref: 8969/CB Corporate Associate (3-4 yrs pqe) Beijing Are you ready to take your career to the next level by working at this respected, top-tier international law firm? If you have proven experience in M&A, FDI and private equity matters, our client would be interested in meeting you. PRC qualification is required, as is experience from a leading international or Chinese law firm. Excellent English is a must. Ref: 8968/CB Corporate Lawyers (3+ yrs pqe) Hong Kong Multiple job openings for lawyers with experience in securities, M&A and/or private equities at this international law firm. Both mid and senior level positions are available, and successful candidates will join a leading team that focuses on a wide range of transactions in the Greater China region. Those with strong academics and fluency in English, Mandarin and Cantonese are encouraged to apply. Ref: 8962/CB Junior Corporate Lawyer (1-3 yrs pqe) Hong Kong Exciting opportunity to join an international law firm’s leading corporate group. The successful candidate is Hong Kong qualified and has an excellent academic record with some exposure to M&A, private equities and general corporate work. Fluent English and Mandarin, with the ability to read, write and speak is required, Cantonese skills would be a plus. Ref: 9017/CB Shipping Finance Associate (NQ-3 yrs pqe) Hong Kong Develop your career by working with the dynamic team at this international law firm. The ideal candidate will have some shipping finance experience with Hong Kong, UK or Commonwealth qualification and be ready to take initiative on complex transactions. Chinese language skills preferred. Ref: 9018/CB
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