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Regulations of the Peoples Republic of China on the Administration of Technology Acquisstion Contracts          【字体:
Regulations of the Peoples Republic of China on the Administration of Technology Acquisstion Contracts
更新时间:2007-5-2
  1985.05.24
STATE COUNCIL OF CHINA
  REGULATIONS  OF  THE  PEOPLE'S  REPUBLIC  OF  CHINA ON THE
ADMINISTRATION OF TECHNOLOGY ACQUISITION CONTRACTS
(Promulgated by the State Council on May 24, 1985)
 @@  Article  1. These Regulations are formulated with a view to
further expanding  foreign  economic  and technical cooperation,
upgrading  the scientific and technical level of the country and
promoting national economic growth.
 @@  Article  2.  Importation  of technology referred to in these
Regulations means  acquisition  of  technology  through  trade or
economic and technical cooperation by any corporation, enterprise,
organisation  or individual within the territory of the People's
Republic  of  China  (hereinafter  referred   to   as  "the
recipient")  from  any  corporation,  enterprise, organisation, or
individual outside the territory of the People's Republic of China
(hereinafter referred to as "the supplier"), including:
 (1) Assignment or licensing of patent or other industrial property
rights;
 (2)  Know-how  provided  in  the form of drawings, technical data,
technical specifications,  etc.,  such  as  production  processes,
formulae, product designs, quality control and management skills;
(3) Technical services.
 @@  Article  3.  The  technology  to  be  imported  must  be
advanced  and appropriate and shall conform to at least one of the
following requirements:
(1) Capable of developing and producing new products;
(2)  Capable  of  improving quality and performance of products,
reducing production cost and lowering consumption of energy or raw
materials;
(3) Favourable to the maximum utilisation of local resources;
(4)  Capable  of expanding product export and increasing earnings of
foreign currencies;
(5) Favourable to environmental protection;
(6) Favourable to production safety;
(7) Favourable to the improvement of management;
(8) Contributing to the advancement of scientific and technical levels.
 @@  Article  4. The recipient and the supplier shall conclude in
written form  a technology import contract (hereinafter referred
to  as  "the contract"). An application for approval of the contract
shall be submitted by  the recipient, within thirty days from the
date of conclusion, to the Ministry of Foreign Economic Relations
and Trade of the People's Republic of China or any other agency
authorised  by  the Ministry (hereinafter referred  to  as  "the
approving  authority"). The approving authority shall approve  or
reject the contract within sixty days from the date of receipt.
Contracts  approved  shall  come  into  effect  on  the date of
approval. Contracts  on which the approving authority does not make a
decision within the  specified  pe

riod of time shall be regarded as
approved and shall come into effect automatically.
 @@  Article  5. The conclusion of technology import contracts must
conform to  the relevant provisions of the "Foreign Economic Contract
Law" and other laws of the People's Republic of China.
Both parties must specify in the contract the following items:
 (1)  Contents,  scope  and essential description of the technology
provided, and a list of patents and trade marks if they are involved;
 (2)  Technical  targets  to  be  reached  and  time limit and
measures for accomplishing the targets;
 (3) Remuneration, composition of remuneration and form of payment.
 @@  Article  6.  The supplier shall ensure that it is the rightful
owner  of  the  technology  provided  and  that  the  technology
provided  is  complete,  correct,  effective  and  capable  of
accomplishing the technical targets specified in the contract.
 @@ Article 7. The recipient shall undertake the obligation to
keep confidential,  in accordance with the scope and duration agreed
upon  by both parties,  the  technical secrets contained in the
technology provided by the supplier, which have not been made public.
 @@  Article  8.  The duration of the contract shall conform to
the time needed  by  the  recipient to assimilate the technology
provided and, unless specially approved by the approving authority,
shall not exceed ten years.
 @@  Article 9. The supplier shall not oblige the recipient to
accept  requirements  which  are unreasonably restrictive. Unless
specially approved by  the approving authority, a contract shall
not include any of the following restrictive provisions:
 (1)  Requiring  the recipient to accept additional conditions which
are not related to the technology to the imported, such as requiring
the  recipient  to  purchase  unnecessary  technology,  technical
services, raw materials, equipment and products;
 (2)  Restricting  the  freedom  of  choice of the recipient to
obtain raw materials, parts and components or equipment from other
sources;
 (3)  Restricting the development and improvement by the recipient
of the imported technology;
 (4)  Restricting  the  acquisition  by the recipient of similar or
competing technology from other sources;
 (5)  Non-reciprocal terms of exchange by both parties of improvements
to the imported technology;
 (6) Restricting the quantity, variety and sales price of products
to be manufactured by the recipient with the imported technology;
 (7)  Unreasonably restricting the sales channels and export markets
of the recipient;
 (8) Forbidding use by the recipient of the imported technology
after expiration of the contract;
 (9)  Requiring  the  recipient  to  pay  for or to undertake
obligations for patents whic

h are unused or no longer effective.
 @@ Article 10. In applying for approval of contracts, applicants
shall submit the following documents:
 (1) Written application for approval of the contract;
 (2)  Copy  of the contract concluded by both parties and its
Chinese translation;
(3) Documents evidencing the legal status of the contracting parties.
 @@  Article 11. Application and approval of any revision and renewal
of the contract  shall be made in accordance with the provisions
stipulated in Article 4 and Article 10 of these Regulations.
 @@  Article  12.  The authority to interpret these Regulations
and  to formulate  detailed rules for implementing these Regulations
resides in the Ministry of Foreign Economic Relations and Trade of
the People's Republic of China.
 @@  Article  13. These Regulations shall enter into force on the
date of promulgation.



riod of time shall be regarded as
approved and shall come into effect automatically.
 @@  Article  5. The conclusion of technology import contracts must
conform to  the relevant provisions of the "Foreign Economic Contract
Law" and other laws of the People's Republic of China.
Both parties must specify in the contract the following items:
 (1)  Contents,  scope  and essential description of the technology
provided, and a list of patents and trade marks if they are involved;
 (2)  Technical  targets  to  be  reached  and  time limit and
measures for accomplishing the targets;
 (3) Remuneration, composition of remuneration and form of payment.
 @@  Article  6.  The supplier shall ensure that it is the rightful
owner  of  the  technology  provided  and  that  the  technology
provided  is  complete,  correct,  effective  and  capable  of
accomplishing the technical targets specified in the contract.
 @@ Article 7. The recipient shall undertake the obligation to
keep confidential,  in accordance with the scope and duration agreed
upon  by both parties,  the  technical secrets contained in the
technology provided by the supplier, which have not been made public.
 @@  Article  8.  The duration of the contract shall conform to
the time needed  by  the  recipient to assimilate the technology
provided and, unless specially approved by the approving authority,
shall not exceed ten years.
 @@  Article 9. The supplier shall not oblige the recipient to
accept  requirements  which  are unreasonably restrictive. Unless
specially approved by  the approving authority, a contract shall
not include any of the following restrictive provisions:
 (1)  Requiring  the recipient to accept additional conditions which
are not related to the technology to the imported, such as requiring
the  recipient  to  purchase  unnecessary  technology,  technical
services, raw materials, equipment and products;
 (2)  Restricting  the  freedom  of  choice of the recipient to
obtain raw materials, parts and components or equipment from other
sources;
 (3)  Restricting the development and improvement by the recipient
of the imported technology;
 (4)  Restricting  the  acquisition  by the recipient of similar or
competing technology from other sources;
 (5)  Non-reciprocal terms of exchange by both parties of improvements
to the imported technology;
 (6) Restricting the quantity, variety and sales price of products
to be manufactured by the recipient with the imported technology;
 (7)  Unreasonably restricting the sales channels and export markets
of the recipient;
 (8) Forbidding use by the recipient of the imported technology
after expiration of the contract;
 (9)  Requiring  the  recipient  to  pay  for or to undertake
obligations for patents whic

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