ISSUING AUTHORITY:

The Standing Committee of Shanghai Municipal People’s Congress

DATE OF ISSUANCE:

October 28, 2021

EFFECTIVE DATE:

October 28, 2021

The 36th meeting of the Standing Committee of the 15th Shanghai Municipal People’s Congress recently passed and released the Decision of the Standing Committee of Shanghai Municipal People’s Congress on Amending the Regulation of Shanghai Municipality on Optimizing Business Environment (the “Decision”), effective as of October 28, 2021.

The Decision made seventeen revisions to the Regulation of Shanghai Municipality on Optimizing Business Environment, including the addition of one paragraph as the third paragraph of the 12th article. The added paragraph requires the investigation and handling of cases involving enterprises to be conducted in a standardized manner, protecting the legitimate rights and interests of those enterprises and their management and shareholders that have assisted in the case investigation. In the case of having to take measures of sealing up, detaining or freezing a property, it is necessary to distinguish between the property of a company as a legal person and the personal property of its shareholders, and to distinguish between the illegal income of a person involved in the case and the legal property of his family to avoid sealing up, detaining or freezing a property beyond the requisite authority, scope, amount or time limit. Where sufficient evidence has been obtained to establish unlawful behavior by the company there should be a prompt adjustment or removal of the measures.

In addition, the Decision also added and revised provisions relating to matters of the “separation of certificates and licenses” reform, the building of a full process integrated governmental online service platform, application for the establishment registration and modification registration of enterprises, the name picking via Notification and Commitment system and the enterprise’s domicile self-declaration system, real estate transfer registration, the entry, exit, stay and residence, work, study and living of high-level foreign talents, and the unified security registration system for movables and rights, etc.

Reference:

上海市人民代表大会常务委员会关于修改《上海市优化营商环境条例》的决定