Power of Attorney in China

Power of Attorney in China

Updated on Tuesday 19th April 2016

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Power_of_Attorney_in_China.jpgA power of attorney in China is a document, usually in a standard form, that is used by a Chinese company or individual to appoint a third party to act on behalf of the principal (grantor) and fulfill any duties as defined in the power of attorney, if he or she is incapable of doing so.
The power of attorney is usually drafted in a bilingual form for individuals or companies that have foreign affairs in China. Our Chinese lawyers can help you with the translation of the document and help you prepare the power of attorney.

Using a power of attorney in China

A power of attorney can be issued by a foreign business owner in China to his or her Chinese agent in order for the latter to be able to perform any needed business activities in the absence of the grantor.  A power of attorney can be a simple one, allowing for the performance of only one task or it can grant various duties and responsibilities to the appointed individual.
The document must describe the scope of authorization and it can include authorizations to handle the sale, transfer, gifting, mortgaging, leasing or dividing of the subject lands/buildings, re-issuance of land/building deeds, tax payments and other matters related to the management, proceeds and disposals of the subject lands/buildings. 
A power of attorney can be used in any jurisdiction in China, if one individual entrusts another to act in his or her name and protect their best interests. When a Chinese or foreign business owner wants to appoint a Chinese lawyer to perform various activities, like litigation or arbitration in his or her name, a power of attorney will be necessary.
Our Chinese lawyers can represent you and for this purpose you may entrust one of our lawyers in China with a power of attorney.

Differences between various types

A power of attorney may be defined according to the purpose it serves or according to its duration. A power of attorney in China can be revocable or irrevocable. As the names suggest, the revocable one can be terminated by the principal at any time, while the irrevocable one cannot be terminated by the principal. However, in this last case, it does not mean that the power of attorney survives all and any terms. Upon certain breaches and the statutory conditions for contract termination, according to the Chinese law, even an irrevocable power of attorney can be terminated.
Our Chinese law firm can help you draw up any necessary power of attorney. Depending on your specific business or personal purpose, our Chinese lawyers will advise you what rights and limitations are best to be used in a power of attorney.
You can contact our Chinese lawyers, if you need additional details about the use of a power of attorney in China.


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