{"id":32657,"date":"2025-09-08T23:42:34","date_gmt":"2025-09-08T21:42:34","guid":{"rendered":"https:\/\/ursusnetwork.com\/?post_type=vendor&#038;p=32657"},"modified":"2025-11-26T22:13:19","modified_gmt":"2025-11-26T21:13:19","slug":"debt-collection-in-china","status":"publish","type":"vendor","link":"https:\/\/ursusnetwork.com\/en\/info\/debt-collection-in-china\/","title":{"rendered":"Debt collection in China"},"content":{"rendered":"<h2>How to recover a trade debt from a Chinese debtor<\/h2>\n<p>China is a key market for many Italian companies, but cultural, linguistic and legal differences can make debt recovery a very complex procedure. Knowledge of the Chinese legal system and local practices is therefore essential in order to act effectively.<\/p>\n<h3>Tools for international debt collection in China<\/h3>\n<p>Those wishing to initiate recovery action against a debtor based in China can consider several tools provided by local and international law:<\/p>\n<ul>\n<li><strong>Demand letter from a lawyer: <\/strong>not mandatory but strongly recommended, especially if drafted by a Chinese lawyer, as it can interrupt the statute of limitations and strengthen the creditor&#8217;s position.<\/li>\n<li><strong>Court action in China: <\/strong>jurisdiction depends on the amount of the claim and the type of dispute. There are four levels of courts (Primary, Intermediate, Superior, Supreme People&#8217;s Court), with criteria varying by region. In the simplest cases, the primary courts can apply simplified procedures.<\/li>\n<li><strong>Precautionary measures: <\/strong>it is possible to apply for the seizure or freezing of the debtor&#8217;s assets, subject to the provision of security.<\/li>\n<li><strong>Recognition and enforcement of a foreign judgment: <\/strong>this is possible only if there is a bilateral treaty on judicial cooperation between China and the State where the court decision was issued. It is, however, a fairly bureaucratic procedure, involving long lead times and additional costs.<\/li>\n<\/ul>\n<h3>Why rely on an experienced lawyer for debt collection in China<\/h3>\n<p>An experienced Chinese lawyer can:<\/p>\n<ul>\n<li>verify the debtor&#8217;s status by accessing the State Administrarion of Industry and Commerce (SAIC) database.<\/li>\n<li>draft the cease-and-desist letter and quickly and effectively handle any negotiations with the debtor;<\/li>\n<li>identify the most effective court procedure;<\/li>\n<li>assist in the identification and seizure of the debtor&#8217;s assets;<\/li>\n<\/ul>\n<p>Relying on one of our attorneys specializing in debt recovery in China allows you to reduce time, contain costs, and increase your chances of debt recovery in the complex legal environment of China.<\/p>\n<p>If you want to learn more about any of the topics we cover, you can check out the Practical Information below.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>How to recover a trade debt from a Chinese debtor China is a key market for many Italian companies, but cultural, linguistic and legal differences can make debt recovery a very complex procedure. Knowledge of the Chinese legal system and local practices is therefore essential in order to act effectively. Tools for international debt collection [&hellip;]<\/p>\n","protected":false},"author":769,"featured_media":0,"template":"","country":[43],"class_list":["post-32657","vendor","type-vendor","status-publish","hentry","country-cn"],"acf":[],"_links":{"self":[{"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/vendor\/32657","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/vendor"}],"about":[{"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/types\/vendor"}],"author":[{"embeddable":true,"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/users\/769"}],"wp:attachment":[{"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/media?parent=32657"}],"wp:term":[{"taxonomy":"country","embeddable":true,"href":"https:\/\/ursusnetwork.com\/en\/wp-json\/wp\/v2\/country?post=32657"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}