Legislation roundup: Securitisation, maritime arbitration and social security funds

Capital markets

China Securities Regulatory Commission, Provisions for the Administration of the Asset Securitisation Business of Securities Companies and the Subsidiaries of Fund Management Companies
中国证券监督管理委员会证券公司及基金管理公司子公司资产证券化业务管理规定

The Provisions make asset-backed dedicated plans the special purpose medium for engaging in asset securitisation, expand the scope of asset securitisation managers from securities companies to subsidiaries of asset management companies, as well as abolishing prior administrative examination and approval and implementing administration by way of post-event record filing with the fund association and a negative list of underlying assets.

Further reading
Tentative Measures for the Regulation of Private Investment Funds
PRC Securities Investment Fund Law
PRC Securities Law (Amended)


Arbitration

China Council for the Promotion of International Trade and China Chamber of International Commerce, Arbitration Rules of the China Maritime Arbitration Commission (2014)
中国国际贸易促进委员会、中国国际商会中国海事仲裁委员会仲裁规则 （2014版）

The Rules add a provision giving parties the option to apply the arbitration rules of another arbitration institution, a provision permitting the China Maritime Arbitration Commission, when necessary, to authorise the tribunal to render a decision on jurisdiction, a provision permitting parties to agree on selecting arbitrators not appearing on the directory of arbitrators, and a provision permitting a majority of arbitrators to continue the arbitration procedure. They add provisions on the addition of parties, suspension of a procedure, consolidation of arbitration, consolidation of hearings and emergency arbitrators, revise the provisions on the constitution of tribunals by multiple parties so as to maintain a balance in the selection of arbitrators by the parties, reform the hearing method by permitting the tribunal, while respecting the provisions of the parties, to hear the case either by the inquisitorial method or adversarial method, change the criterion for the application of the summary procedure from the existing Rmb1 million to Rmb2 million and add a special part entitled “Special Provisions for Hong Kong Arbitration”. The Rules also adopt the internationally accepted fee method. In addition to the existing method of charging one lump sum based on the subject matter of the dispute, as especially provided by the parties, they may also opt to apply the internationally accepted practice of separately charging an institution management fee and a fee for the remuneration of the arbitrators.

See the digest for more details

Further reading
CIETAC raises its game
China International Economic and Trade Arbitration Commission, Arbitration Rules (2015)
Enforcing arbitral awards: a guide
Enhancing enforcement
China question: How do I draft an arbitration clause?
HKIAC CIETAC session - Tips for arbitrating in the mainland


Social policy

Legislative Affairs Office of the State Council, Regulations on the National Social Security Fund (Draft for Comments)
国务院法制办公室全国社会保障基金条例 （征求意见稿）

According to the Draft, the National Social Security Fund may invest and operate in domestic markets and foreign markets. Furthermore, the National Council for Social Security Fund is required to publicly announce information on the receipts and expenditures, management and investment operations of the National Social Security Fund in national newspapers and on its website on a regular basis, and submit itself to scrutiny by the public.

See the digest for more details

Further reading
Tentative Provisions for the Administration of Overseas Investments by the National Social Security Fund
PRC Social Insurance Law