Podcast #36: Sanctions War - Assessing China's Anti-Foreign Sanctions Law
July 22, 2021 | BY
Vincent ChowContractual clauses dealing with the consequences of sanctions might be deemed as sanctions implementation or enforcement, potentially in violation of the new anti-foreign sanctions law
In June, China enacted the PRC Anti-Foreign Sanctions Law (中华人民共和国反外国制裁法) following an expedited drafting process, the country's first national statute specifically combating foreign sanctions against Chinese companies and individuals. The law states that companies in China may not implement or enforce foreign sanctions against Chinese entities, and that Chinese entities can file lawsuits against those companies that do. Lester Ross and Kenneth Zhou discuss the primary concerns among multinationals about the new anti-sanctions law, and the potential impact on contractual clauses and global compliance strategies.
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