Enterprise legal risk prevention mainly includes the following contents:

1. Standardize operations and avoid traps. (1) Contract trap.

According to statistics from China’s judicial department, the phenomenon of legal persons using contracts to commit fraud is becoming more and more prominent. Common methods include: 1. Signing a contract in the name of others, mainly using blank letters of introduction, blank contracts, etc. to sign contracts with others, or stealing or forging official seals to sign contracts with others. 1. Negotiations in bad faith and forged signings. In order to squeeze out and attack competitors, some unscrupulous businesses negotiate maliciously with their opponents and forge contracts, causing the other party to lose business opportunities. 3. Malicious collusion and defrauding a third party. For example, in order to evade debt, the debtor deliberately seeks accomplices to sign a contract in order to transfer property. 4. Sign a "fishing contract" to lure the other party to take the bait. That is to sign a contract with the other party, let the other party get a sweet reward, and then sign a larger contract to lure the other party into taking the bait, so as to defraud the other party of more money. 5. Entering into unequal terms in the standard contract may cause the other party to fall into the contract trap consciously or unconsciously.

There are many contract traps, too many to list here. In our business activities, we must carefully study the Contract Law, improve our ability to identify the authenticity of contracts, and at the same time control the three levels of the contract: the first level is the review level. Before signing a contract, we must carefully review whether the other party as the subject of the contract is authentic and legal. , whether it has the ability to perform and whether it has good credit standing. The second level is the signing level. When signing a contract, you must act cautiously and make sure the content of the contract is impeccable. The third level is supervision. After the contract is signed, supervision must be strengthened to see whether the other party has truly and fully performed the contract. Once the other party breaches the contract, take immediate measures. If there is evidence that the other party's business conditions have deteriorated, immediately suspend the performance of the contract and require the issuance of Relevant certificates or guarantees may be provided to avoid further losses.

(2) Joint venture trap.

Joint venture is a way for enterprises to develop markets, expand operations and obtain profits. Some unscrupulous businessmen take advantage of people's eagerness to make a fortune and defraud money in the name of joint ventures. For example, Wuxi Xinxing Company signs a joint venture agreement with another party in the name of cooperatively operating medical devices. The other party does not need to participate in the operation and will receive a guaranteed monthly interest dividend of 5% to 9% based on the investment amount upon maturity. This is a very tempting operating agreement. Judging from the agreement, regardless of whether the company makes profits or loses money, investors will receive generous monthly interest rates without any risk at all. In China, 368 companies and 31 individuals have signed contracts with emerging companies. Emerging companies illegally raised 3.2 billion yuan in funds. After investors invested their funds, they discovered that it was a trap. After the incident, all parties lost 1.2 billion yuan.

The judicial interpretation of the Supreme People's Court of China stipulates that if one party invests in a joint venture but does not participate in the joint operation and does not bear risks, and the principal and interest are recovered on schedule regardless of profits and losses, or fixed profits are recovered on schedule, it is called a joint venture. If the joint operation is actually a loan, the contract should be confirmed to be invalid. In addition to the return of the principal, the interest that has been obtained or agreed to be obtained by the investor should be collected... It can be seen that the joint ventures of emerging companies are illegal. Emerging companies took advantage of people's weak legal awareness and unfamiliarity with the law, and pulled 368 companies into a carefully designed trap.

To prevent joint venture traps, you must be familiar with the law and know what kind of joint venture is legal and what kind of joint venture is illegal, so as to seek benefits and avoid disadvantages, and avoid unnecessary losses.

(3) Affiliation trap

Affiliation is a business method currently adopted by many companies. Some companies often fall into traps for the sake of affiliation fees and management fees. For example, an affiliated unit of a well-known tourism company collected 500,000 yuan from tourists in the name of the tourism company, and then the person in charge absconded with the money. As a result, the travel company was taken to court by the passengers, and the court ordered it to bear full responsibility.

Therefore, I suggest that companies should not easily sign affiliation contracts with others. If you want to sign an affiliation contract, it is best to ask legal professionals to check it, improve the contract, and strengthen management.

2. Protection of Intellectual Property

Enterprises must strengthen their awareness of intellectual property protection so that all their intellectual property rights can be protected at home and abroad in a timely manner to form a competitive advantage in the market. The most powerful weapon to protect intellectual property rights is the law. Our country has ready-made laws such as the Trademark Law and the Patent Law that can be used.

Enterprises must make good use of the Trademark Law, follow the principle of first-to-register trademarks, and apply for registered trademarks in a timely manner to obtain exclusive rights and prior rights for trademarks. Once infringement is discovered, they can obtain legal protection.

If a trademark has not been registered but has been used previously and has had a certain impact, the company can use legal means to fight against the malicious squatters to safeguard legitimate trademark rights. For well-known trademarks, China's new Trademark Law and the WTO Intellectual Property Agreement provide special protection for well-known trademarks. Enterprises should use these legal weapons to protect the exclusive rights of well-known trademarks.

Enterprises must also make good use of patent laws. Maintaining patent rights is one of the core contents of protecting intellectual property rights.

There are several problems that need to be solved to make good use of patent law:

1. First investigate and study the patent situation before developing new products. If someone else has applied for a patent, generally they should not develop it any further. This will prevent a product that has taken a lot of manpower and financial resources to develop and become an "infringing product" as soon as it is put on the market. If you become a defendant, you will be fined.

2. Apply for patents in a timely manner and obtain legal protection. To occupy the world market, you need to apply for patents from foreign countries.

3. When encountering cases of infringement or other disputes involving others, you must defend and fight in accordance with the law.

3. Responding to anti-dumping actions

Anti-dumping is a trump card used by some companies to squeeze foreign competitors out of the domestic market. China has now become one of the countries most harmed by anti-dumping in the world. In 1997, China formulated the Anti-dumping Regulations to provide domestic enterprises with a legal basis for anti-dumping.

However, many Chinese companies are either timid, afraid of trouble, or do not know how to respond to anti-dumping. In short, there are not many companies that are brave enough to stand up and respond to anti-dumping complaints. In 1999, American companies filed anti-dumping prosecutions against crayfish exported from my country, but many Chinese export companies were silent. Only an unknown company in Zhejiang, Ningbo Yinxian Nanlian Food Co., Ltd., readily responded to the lawsuit. They asked lawyers to argue hard, and as a result, Nanlian Company won a great victory in the United States, using solid evidence to prove that the root cause of cheap and high-quality crayfish was not low-price dumping. Last year, Nanlian Company not only received a zero tax rate, but also became the only domestic manufacturer able to enter the US market. After investigating the entire production process of Nanlian Company, the U.S. added an import bill, and U.S. Customs also gave this Chinese company the only "inspection-free" treatment among crayfish exporters. According to the person in charge of the Zhejiang Provincial Department of Foreign Trade, in the face of foreign anti-dumping cases, before the 1990s, it was basically impossible to fight back; in 1994, after the Ministry of Foreign Trade and Economic Cooperation issued the regulations of "Whoever responds to the lawsuit, who benefits", Zhejiang Province The response rate of enterprises has increased; in the past 10 years, the response rate has been 100%, and 75% of the cases have greatly reduced tax rates through response, and the result of no tax and no damage has reached 37.5%. If there is no appeal, there will be no such result. The above facts show that in the face of anti-dumping, we must not fight back and let others take advantage of us. We must face it bravely and rise up to respond.

4. Give full play to the strategic function of law.

Some people say: In the past, when companies had something to do, they went to their superiors, but today, when companies have something to do, they go to lawyers; in the past, companies had to make full use of policies, but now companies have to make full use of the law.

Using adequate laws has several functions for enterprises:

1. Preventive function, that is, preventing problems and disputes before they occur.

2. Treatment function: handle disputes and troubles in a timely and appropriate manner.

3. Strategic function, in order to maximize the benefits of the enterprise, flexibly use legal knowledge and contract technology in the decision-making and operation process, and play a role in protecting the interests of the enterprise.