The State Administration for Market Regulation and the Standardisation Administration recently released a national standard circular to announce that the Information Security Technology – Personal Information Security Specification (Specification 2020) and seven additional national standards have been issued and will take effect on 1 October 2020. Specification 2020 was revised based on the Information Security Technology – Personal Information Security Specification which came into effect in 2018.
The novel coronavirus pneumonia has been classified as a Class B infectious disease under the Law on the Prevention and Treatment of Infectious Diseases and preventive and control measures for Class A infectious diseases have been taken. To cooperate with the state epidemic control measures and protect employees' health, employers must provide outbreak-related information on their employees, resulting in some special legal issues regarding personal information protection.
The State Administration for Market Regulation (SAMR) recently published the Draft Amendment to the Anti-monopoly Law (AML) for public comment. The draft amendment demonstrates the SAMR's strong stance on monopoly behaviour and is based on 12 years of antitrust enforcement. It conveys to the public that the Chinese authorities will strengthen enforcement relating to monopoly conduct. This article provides a summary of the draft amendment's main changes and the practical implications thereof.
The State Administration for Market Regulation recently released a revised draft of the Anti-monopoly Law (AML) for public comment. In general, the revised draft follows the current AML's basic framework; however, it significantly enhances the legal liability of AML violators. This article highlights key changes proposed by the revised draft and discusses why these changes matter for business entities from a practical point of view.
The Beijing Communications Administration recently organised a two-month examination of the network and data security of apps to target the illegal, compulsory and excessive collection of user information. The examination selected 50 apps with a certain influence and number of users, covering social media, online rental and automotive services, online education, finance, online medical care, basic telecoms enterprises and six other areas.
The Cyberspace Administration of China recently published the Administration Measures for Releasing Cybersecurity Threat Information (Draft for Comments) to solicit public opinions. According to the draft measures, the publication of cybersecurity threat information must be reported to regulators in a number of specific circumstances.
China's antitrust enforcement agencies were reorganised in 2018. As such, new legislation and enforcement actions in 2019 attracted significant attention from practitioners and in-house counsel, with a view to gaining an insight into the new agency's enforcement trends and priorities (if any). This article underlines the most significant developments in legislation, public enforcement and private litigation in 2019.
In terms of premium revenue, China is the second largest insurance market in the world. However, regulators and insurers are often frustrated due to a lack of insurance innovation. In response to such frustration, litigation property preservation liability insurance has emerged and become a typical insurance solution to satisfy market demand and address unique Chinese insurance requirements in order to align them with the country's judicial system.
The Ministry of Education recently published the Administrative Measures for the Filing of Educational Apps. The administrative measures require providers of educational apps and institutional users of educational apps to go through filing procedures and indicate that the ministry is tightening controls on educational apps in China.
Insurance subrogation is an important legal mechanism which enables insurers to reduce their losses after insurance indemnities are paid. However, opinions differ as to the application of reinsurers' right of subrogation. This article answers questions which frequently arise in this regard from a Chinese perspective.
The Administrative Provisions on Online Audiovisual Information Services, which were jointly issued by the Cyberspace Administration of China and two other departments in November 2019, recently came into effect. The provisions set out requirements for the creation, distribution and transmission of audio videos based on new technologies and applications such as deep learning and virtual reality.
Insurance subrogation is an important legal mechanism which enables insurers to reduce their losses after insurance indemnities are paid. However, opinions differ as to the application of reinsurers' right of subrogation. This article answers these questions from an international perspective.
The Shanghai Cyberspace Administration recently released the 2019 Network Security Incident Contingency Plan. According to the contingency plan, network security incidents in Shanghai are classified as Grade I, Grade II, Grade III and Grade IV. If a network security incident occurs, the relevant entity must report it to the competent authority verbally within half an hour and in writing within one hour.
The Standing Committee of the National People's Congress recently approved the Cryptography Law. Under the law, cryptography is divided into core cryptography, ordinary cryptography and commercial cryptography. If a commercial cryptography product concerns state security, the national economy, people's livelihoods or social public interests, it will be included in the catalogue of critical network equipment and dedicated cybersecurity products under the law.
The App Governance Panel recently published a new draft of the Information Security Technology – Basic Specification for Collecting Personal Information in Mobile Internet Applications. Among other things, the new draft sets out requirements for apps that contain third-party codes or plug-ins which can collect personal data and revises the list of 'necessary' personal data for a variety of apps.
The App Governance Panel recently released a revised version of the Personal Information Security Specification for public consultation following the previous draft versions published in June and January 2019. The revised draft includes amendments regarding unsubscribing from online services and the obligations of data controllers and processors in that regard.
The topic of whether antitrust civil disputes are arbitrable has been hotly debated in China in recent years. There are few case law precedents in this regard and local courts have taken different positions regarding this issue. That said, the Supreme People's Court made its stance clear in a recent decision which found that an arbitration clause could not exclude the jurisdiction of Chinese courts in antitrust civil disputes.
The People's Bank of China recently issued the Trial Measures for the Protection of Personal Financial Information/Data (Preliminary Draft) to relevant commercial banks in order to solicit their opinions. It has been reported that under the trial measures, banks and other financial institutions will be unable to obtain personal financial information from third parties that are illegally engaged in personal credit investigation activities.
A violation of the notification or standstill obligation is commonly called 'gun jumping' and can have significant legal consequences. This article examines Canon's acquisition of Toshiba Medical and the legal consequences of gun jumping in China, as well as the risks of implementing a transaction 'by steps' to circumvent the standstill rules. Recent strengthened enforcement measures are also briefly examined.
The Ministry of Industry and Information Technology recently published the Guiding Opinions on Promoting the Development of the Network Security Industry for public comment. According to the opinions, the ministry aims to have a number of cybersecurity enterprises generating an annual revenue of over Rmb2 billion by 2025. As such, the opinions provide a list of recommendations to that end.