Legislation roundup: Service inventions, futures trading and management compensation
November 16, 2012 | BY
clpstaff &clp articles &The State Intellectual Property Office has released draft regulations for service inventions clarifying an employee's remuneration rights if there is no agreement with the employer, while the State Council has revised regulations on futures trading
Intellectual property
State Intellectual Property Office, Service Invention Regulations (Draft) (Draft text for Comments)
The Draft covers the applicable scope of the Regulations, definition of an inventor, ownership of the rights to an invention, report of the invention to the employer and application for intellectual property rights and rewards and remunerations for service inventions. Within the validity period of the patent, if there is no agreement or company provisions on remuneration, all the inventors of a service invention should be given not less than 5% of the business profit or not less than 0.5% of the sales revenue derived from the exploitation of the invention patent each year.
See the digest for more details.
Further reading
PRC Patent Law (3rd Revision), Feb 2009
Implementing Rules for the PRC Patent Law (2nd Revision), Mar 2010
Capital markets
State Council, Regulations for the Administration of Futures Trading (Revised)
In order to attract big foreign investors needed for the launch of crude oil commodities in planning, the revised Regulations open the futures market to foreign investors and allow qualified foreign investors to engage in the trading of specific futures products in the futures exchange.
See full translation for more details.
Further reading
Measures for the Administration of Futures Companies, Oct 2007
Companies, Exchanges and Transactions: Regulating the Re-emergence of China's Financial Futures Industry, October 2007
Insurance
China Insurance Regulatory Commission, Circular on Matters Relevant to Thorough Implementation of the «Standardising Guidelines for the Management of Compensation of Insurance Companies (Trial Implementation)»
Foreign insurance senior management personnel's allowances for housing, meals, business travel, relocation, language training and children's education may be excluded from the limits on their bonuses. Foreign-invested insurance companies that have not established an independent director system are required to establish one as soon as possible.
See the digest for more details.
Further reading
Standardising Guidelines for the Management of Compensation of Insurance Companies (Trial Implementation), Sep/Oct 2012
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