第一章 总 则

中国＿＿＿＿＿＿＿＿公司和＿＿＿＿＿＿＿＿国（或地区）＿＿＿＿＿＿＿＿公司，根据中华人民共和国有关法律、法规的规定，本着平等互利的原则，通过友好协商，同意在中华人民共和国＿＿＿＿＿＿＿＿省＿＿＿＿＿＿＿＿市，共同举办合作经营企业，特订立本合同。

【章名】 第二章 合 作 各 方

第一条 本合同的各方为：

中国＿＿＿＿＿＿＿＿公司（以下简称甲方），在中国＿＿＿＿＿＿＿＿省＿＿＿＿＿＿＿＿市登记注册，其法定地址在＿＿＿＿＿＿＿＿省＿＿＿＿＿＿＿＿＿市＿＿＿＿＿＿＿＿区＿＿＿＿＿＿＿＿路＿＿＿＿＿＿＿＿＿号。法定代表：姓名＿＿＿＿＿＿＿＿职务＿＿＿＿＿＿＿＿国籍＿＿＿＿＿＿＿。

＿＿＿＿＿＿＿＿国（或地区）＿＿＿＿＿＿＿＿公司（以下简称乙方）在＿＿＿＿＿＿＿＿国（或地区）登记注册，其法定地址在＿＿＿＿＿＿＿＿。法定代表：姓名＿＿＿＿＿＿＿＿职务＿＿＿＿＿＿＿＿国籍＿＿＿＿＿＿＿＿。

（注：若有两个以上合作者，依次称丙、丁……方）

【章名】 第三章 成立合作经营公司

第二条 甲、乙方根据中华人民共和国有关法律、法规的有关规定，同意在＿＿＿＿＿＿＿＿省＿＿＿＿＿＿＿＿市建立合作经营的＿＿＿＿＿＿＿＿有限责任公司（以下简称合作公司）。

第三条 合作公司的名称为＿＿＿＿＿＿＿＿合作有限责任公司。

外文名称为＿＿＿＿＿＿＿＿。

合作公司的法定地址为＿＿＿＿＿＿＿＿省＿＿＿＿＿＿＿＿市＿＿＿＿＿＿＿＿区＿＿＿＿＿＿＿＿路＿＿＿＿＿＿＿＿号。

第四条 合作公司的一切活动必须遵守中华人民共和国有关法律、法规的规定。

第五条 合作公司是由甲方提供土地使用权、资源开发权、建筑物等合作条件；乙方提供资金、设备、技术等合作条件。各方不折算投资比例，按各自向公司提供的合作条件，确定利润分享办法，并各自承担风险。合作公司实行统一管理，独立经营，统一核算。合作期限届满，公司的财产不作价归甲方所有。

（注：应根据双方的约定具体写明）

【章名】 第四章 生产经营目的、范围和规模

第六条 甲、乙方合作经营的目的是：本着加强经济合作和技术交流的愿望，采用先进而适用的技术和科学的经营管理方法，提高产品雷竞技百科 ，发展新产品，并在雷竞技百科 、价格等方面具有国际市场的竞争能力，提高经济效益，使合作各方获得满意的经济利益。（注：在具体合同中要根据具体情况写）

第七条 合作公司生产经营范围是：生产和销售＿＿＿＿＿＿＿产品；对销售后的产品进行维修服务；研究和发展新产品。（注：要根据具体情况写）

第八条 生产经营规模如下：

（一）合作公司投产后的生产能力为：＿＿＿＿＿。

（二）随着生产经营的发展，生产规模可增加到年产＿＿＿＿＿＿＿＿。产品品种将发展＿＿＿＿＿＿＿＿。（注：要根据具体情况写）

【章名】 第五章 投资总额和注册资本

第九条 合作公司投资总额为人民币＿＿＿＿＿＿＿＿元。（或双方商定的一种货币）

第十条 合作公司的注册资本为人民币＿＿＿＿＿＿＿＿元。（注：甲方所提供的土地使用权或资源开发权和建筑物不计入注册资本）

第十一条 甲、乙方分别提供如下合作条件：

甲方：提供总面积为＿＿＿＿＿＿＿＿平方米的土地使用权，负责征用土地费和缴纳土地使用费；（注：土地开发费的负担方法，根据双方约定写）其中：

厂房（上盖）面积＿＿＿＿＿＿＿＿平方米；

商场（上盖）面积＿＿＿＿＿＿＿＿平方米；

维修部（上盖）面积＿＿＿＿＿＿＿＿平方米。

乙方：投资总额为＿＿＿＿＿＿＿＿元，其中：现金＿＿＿＿＿＿＿＿元；机器设备和交通运输工具＿＿＿＿＿＿＿＿元；工业产权＿＿＿＿＿＿＿＿元；其他＿＿＿＿＿＿＿＿元。

第十二条 甲方提供的土地使用权，应在合同批准之日起＿＿＿＿＿＿＿＿天内办完征拨手续，交付合作公司使用；厂房和商场（上盖）应在合同批准之日起＿＿＿＿＿＿＿＿天内交付合作公司装修；维修部（上盖）的交付时间，由合作公司董事会另行决定。

乙方提供的现金投资分两期汇入合作公司在银行开立的帐户内。第一期应汇入＿＿＿＿＿＿＿元，须在合同批准之日起＿＿＿＿＿＿＿＿天内汇出，作为首期生产、生活设施的建筑费和流动资金等；第二期必须汇足投资总额减去第一期汇出后的差额，汇出的时间为＿＿＿＿＿＿＿，用途由公司董事会确定。（注：应根据具体情况写）

第十三条 乙方作为投资的机器设备，必须符合合作公司的生产需要，并在厂房装修完工前＿＿＿＿＿＿＿＿天内运至中国港口。

（注：乙方以工业产权作为投资时，甲、乙方必须另订立合同，作为本合同的组成部分。）

【章名】 第六章 合作各方应负责完成的事项

第十四条 甲方应负责完成的事项：

（一）办理为设立合作公司向中国有关主管部门申请批准、登记注册、领取营业执照等事宜；

（二）依照本合同第十一条第一款规定，向土地主管部门办理申请取得土地使用权的手续；

（三）协助办理乙方作为出资而提供的机械设备、物资的进口报关手续和在中国境内的运输；

（四）协助合作公司在中国境内购置或租赁设备、材料、原料、办公用品、交通工具、通讯设备等；

（五）协助合作公司落实水、电、交通等基础设施；

（六）协助合作公司对厂房和其他工程设施的设计和施工；

（七）协助合作公司在当地招聘中国的经营管理人员、技术人员、工人和其他人员；

（八）协助合作公司为外籍工作人员办理所需的入境签证手续等；

（九）办理合作公司委托的其他事宜。

第十五条 乙方应负责完成的事项：

（一）依照本合同第十一条第二款、第十三条的规定，提供现金、机器设备、工业产权……并负责将其作为出资的机械设备等运至中国港口；

（二）办理合作公司委托在中国境外选购的机器设备、材料等有关事宜；

（三）提供需要的设备安装、调试以及试产的技术人员、生产和检验技术人员；

（四）培训公司的技术人员和工人；

（五）如乙方同时是技术转让方，则应负责合作公司在规定的期限内按设计能力稳定地生产合格产品；

（六）负责办理合作公司委托的其他事宜。

（注：要根据具体情况写）

【章名】 第七章 合作经营期限

第十六条 合作公司的经营期限为＿＿＿＿＿＿＿＿年，公司营业执照签发之日，为该合作公司的成立日期。

合作公司在经营过程中，如有一方提出，经双方协商同意，可以延长合作期限。但必须在合作期满六个月前，向中华人民共和国对外经济贸易部（或其委托的审批机构）提出申请批准。

【章名】 第八章 利润分配和偿还乙方投资

第十七条 合作公司缴纳所得税后的利润，按下列顺序使用和分配：

（一）提取＿＿＿＿＿＿％作为合作公司的储备基金、职工奖励及福利基金、发展基金；

（二）以＿＿＿＿＿＿％偿还乙方的投资，预计＿＿＿＿＿＿年还清乙方的全部投资；（注：根据双方的约定具体写）

（三）其余部分按甲方＿＿＿＿＿＿％，乙方＿＿＿＿＿＿＿％分配。

第九章 产品的销售

第十八条 合作公司的产品，大部分在中国境外市场销售（或全部外销），其中：

（一）向外销售＿＿＿＿＿＿＿＿％；

（二）经向主管部门申请批准内销＿＿＿＿＿＿＿＿％。

（注：销售办法可灵活多样，可由公司或乙方负责向外销售，也可由公司与外贸公司订立销售合同，委托代销；对内销部分也可由公司或甲方经销。）

【章名】 第十章 董 事 会

第十九条 合作公司设董事会。公司注册登记之日，为董事会正式成立之日。

第二十条 董事会是合作公司的最高权力机构，决定合作公司章程的制订和修改；决定公司转让、合并、停业和解散；决定公司经营决策、财务预算和决算；决定公司利润分配和亏损弥补办法；聘请总经理、副总经理和高级管理人员；决定公司职工工资和制定职工奖惩办法等一切重大事宜。

第二十一条 董事会由董事＿＿＿＿＿＿＿＿名组成，其中甲方委派＿＿＿＿＿＿＿＿名，乙方委派＿＿＿＿＿＿＿＿名。董事长由甲方委派，副董事长＿＿＿＿＿＿＿＿名，由乙方委派。

董事长、副董事长和董事任期四年，经各方继续委派可以连任。

第二十二条 董事会会议每年至少召开一次，由董事长召集并主持。董事长因故不能召集董事会议时，可委托副董事长或其他董事召集并主持。经三分之一以上的董事提议，董事长可召开董事会临时会议。会议记录应归档保存。

第二十三条 召开董事会须有三分之二以上的董事出席方有效。董事不能出席时，可以出具委托书委托他人代为出席和举行表决。

第二十四条 董事长是合作公司的法定代表。董事长因故不能履行其职责时，可临时授权副董事长或其他董事代理。

【章名】 第十一章 经营管理机构

第二十五条 合作公司设经理部，负责公司的日常经营管理。

经理部设总经理一人，副总经理＿＿人。总经理由＿＿方推荐；副总经理由＿＿方推荐＿＿人，另一方推荐＿＿人，均由董事会聘请，任期＿＿年。

第二十六条 总经理的职责是执行董事会会议的决议，组织领导合作公司的日常经营管理工作。副总经理协助总经理工作。

第二十七条 总经理必须每季度向董事会报告公司的经营情况，半年向董事会作一次财务结算报告。

第二十八条 总经理、副总经理及其他管理人员有营私舞弊或严重失职行为时，经董事会会议作出决议，给予应得的处分直至解聘，对公司造成的经济损失，应负赔偿责任。

【章名】 第十二章 劳 动 管 理

第二十九条 合作公司员工的招聘、解雇或辞职一律实行合同制。员工的聘请由公司做出计划，报当地劳动部门核准后，由公司自行招聘，经考核择优录用。

第三十条 合作公司员工的劳动工资、劳动保险、生活福利和奖惩等事项，依照《中华人民共和国中外合作经营企业法》的有关规定，经董事会制订施行方案，由公司、公司工会与员工集体或个人订立劳动合同，按合同的规定执行。

【章名】 第十三章 财务会计和审计

第三十一条 合作公司设总会计师和总出纳员各一人，负责公司总的会计工作；厂部、商场和维修服务部分别建立帐目，每个部门分别设会计师和出纳员各一个，负责各个部门的财务会计工作。

前款所列会计和出纳员的人选，均由甲、乙方协商推荐，董事会聘请。

第三十二条 合作公司的财务会计制度，根据有关规定，结合本合作公司的实际情况制定。并报当地财政部门和税务部门备案。

第三十三条 合作公司设审计师一人，由甲方推荐，董事会聘请。

审计师负责审查、稽核公司的财务收支和会计帐目，并向董事会报告。

【章名】 第十四章 纳税与保险

第三十四条 合作公司应按中华人民共和国有关税法缴纳各种税款。

第三十五条 合作公司的各项保险均应向中国的保险公司投保。投保办法、投保险别、保险价值、保期等均按中国人民保险公司的规定由合作公司董事会决定。

【章名】 第十五章 合同的修改、补充、变更与解除

第三十六条 本合同及其附件的修改或补充，必须经甲、乙方协商一致、签署书面协议，并报经对外经济贸易部（或其委托的审批机构）批准方能生效。

第三十七条 在合同有效期内由于本合同第四十二条规定的不可抗力，造成公司严重损失，或因公司连续亏损，致使合同不能继续履行，经合作公司董事会特别决议，并报原审批机关批准，可以提前终止合同或解除合同。

【章名】 第十六章 违 约 责 任

第三十八条 由于一方不履行合同、章程规定的义务，或严重违反合同、章程规定，造成合作公司无法经营或无法达到合同规定的经营目的，视作违约方片面终止合同，对方除有权向违约的一方索赔外，并有权按合同规定报原审批机关批准终止合同。如甲、乙方同意继续经营，违约方仍应赔偿履约一方的经济损失。

第三十九条 甲、乙任何一方如未按本合同第十一条、第十二条以及第十三条的规定提供合作条件时，以逾期的第一个月算起，每逾期一个月，违约方应缴付＿＿＿＿元违约金给守约的一方。（注：或按出资额的百分比计算）如逾期＿＿个月仍未提供，除累计缴付违约金外，守约一方有权按照本合同第三十八条规定终止合同，并要求违约方赔偿损失。

第四十条 由于一方的过失，造成本合同及其附件不能履行或不能完全履行时，由过失的一方承担违约责任；如属双方的过失，根据实际情况，由双方分别承担各自应负的违约责任。

第四十一条 为保证本合同及其附件的履行，甲、乙方在合同生效后＿＿天内相互提供履约的银行担保书。

【章名】 第十七章 不 可 抗 力

第四十二条 在合作期间，由于地震、台风、水灾、火灾、战争或其他不能预见并且对其发生和后果不能防止和避免的不可抗力事故，致使直接影响合同的履行或者不能按约定的条件履行时，遇有上述不可抗力事故的一方，应立即将事故情况电报通知对方，并应在十五天内提供事故的详细情况及合同不能履行，或者部分不能履行，或者需要延期履行的理由的有效证明文件。此项证明文件应由事故发生地区的公证机构出具。按照事故对履行合同影响的程度，由双方协商决定是否解除合同，或者部分免除履行合同的责任，或者延期履行合同。

【章名】 第十八章 争议的解决

第四十三条 凡因执行本合同所发生的或与本合同有关的一切争议，双方应首先通过友好协商解决，如果协商不能解决，应提请中国国际贸易促进委员会对外经济贸易仲裁委员会仲裁。仲裁的裁决是终局的，对双方都有约束力。

第四十四条 本合同的订立、效力、解释、履行和争议的解决均受中华人民共和国法律的保护和管辖。

【章名】 第十九章 文 字

第四十五条 本合同用中文和＿＿文写成，两种文字具有同等效力。上述两种文本如解释有矛盾，以中文本为准。

【章名】 第二十章 合同生效及其他

第四十六条 按照本合同规定的各项原则所订立的合作公司章程、工程协议、技术转让协议、销售协议等，均为本合同的附属文件。

第四十七条 本合同及其附属文件，均须经中国对外经济贸易部（或其委托的审批机关）批准，并自批准之日起生效。

第四十八条 合作公司对甲、乙双方或甲、乙双方互送通知的方法，如果采用电报或电传时，凡涉及各方权利、义务的，应随之发出书面信件通知。合同中所列的甲、乙双方的法定地址，即为甲、乙方的收件地址。

第四十九条 本合同正本一式＿＿份，甲、乙方各＿＿份，合作公司一份，报中国对外经济贸易部＿＿份，具有同等效力；影印本＿＿份，分报有关机关。

第五十条 本合同于一九＿＿年＿＿月＿＿日由甲、乙双方的授权代表在中国＿＿省＿＿市签字。

甲方：＿＿公司 乙方：＿＿公司

（加盖公章） （加盖公章）

法定代表＿＿（签字） 法定代表＿＿（签字）

【名称】 8. THE CONTRACT FOR SINO-FOREIGN COOPERATIVE JOINT VENTURE

【题注】

【章名】 Whole Doc.

【章名】 Chapter 1 General Provisions

In accordance with the Law of the People's Republic of China on Chinese-Foreign Cooperative Joint Ventures and other relevant Chinese laws and regulations, _______________Company and _________Company, in accordance with the principle of equality and mutual benefit and through friendly consultations, agree to jointly set up a Cooperative venture in _______the People's Republic of China.

【章名】 Chapter 2 Parties of the Cooperative Venture

Article 1

Parties to this contract are as follows: _________Company (hereinafter referred to as Party A), registered with ______in China, and its legal address is at____________(street)_______

(district)_____________(city)_____________China.

Legal representative: Name:

Position:

Nationality:

___________Company (hereinafter referred to as Party B), registered

with_______. Its legal address at___________.

Legal representative: Name:

Position:

Nationality:

(Note: In case there are more than two investors, they will be called Party C, D... in proper order).

【章名】 Chapter 3 Establishment of the Cooperative Venture Company

Article 2

In accordance with the Cooperative Venture Law and other relevant Chinese laws and regulations, both parties of the Cooperative venture agree to set up ___________Cooperative venture limited liability company (hereinafter referred to as the Cooperative venture company).

Article 3

The name of the Cooperative venture company is______________ Limited

Liability Company.

The name in foreign language is _________.

The legal address of the joint venture company is at __________street________(city)____________province.

Article 4

All activities of the Cooperative venture company shall be governed by the laws, decrees and pertinent rules and regulations of the People's Republic of China.

Article 5

The organization form of the Cooperative venture company is a limited liability company. The profits, risks and losses of the Cooperative venture company shall be shared by the parties according to the relevant provisions thereafter.

【章名】 Chapter 4 The Purpose, Scope and Scale of Production and Business

Article 6

The goals of the parties to the Cooperative venture are to enhance economic cooperation technical exchanges, to improve the product quality,develop new products, and gain a competitive position in the world market in quality and price by adopting advanced and appropriate technology and scientific management methods, so as to raise economic results and ensure satisfactory economic benefits for each Cooperator.

(Note: This article shall be written according to the specific situations in the contract).

Article 7

The productive and business scope of the Cooperative venture company

is to produce ________products; provide maintenance service after the sale

of the products; study and develop new products.

(Note: It shall be written in the contract according to the specific

conditions).

Article 8

The production scale of the Cooperative venture company is as follows:

1. The production capacity after the Cooperative venture is put into

operation is _________.

2. The production scale may be increased up to_____________ with the

development of the production and operation. The product varieties may be

developed into ____________.

(Note: It shall be written according to the specific situation).

【章名】 Chapter 5 Total Amount of Investment and the Registered Capital

Article 9

The total amount of investment of the Cooperative venture company is

RMB____________(or a foreign currency agreed upon by both parties).

Article 10

The registered capital of the joint venture company is RMB __________.

(Exclusive of the right to the use of the site or the right to the

exploitation of the natural resources and premises contributed by Party

A.)

Article 11

Party A and Party B will contribute the following to the cooperative

venture:

Party A: premises__________m2

the right to the use of the site_________m2

Party B: cash ______________Yuan

machines and equipment ____________Yuan

industrial property __________Yuan

others _____________Yuan, ___________Yuan in all.

(Note: When contributing industrial property as investment, Party A

and Party B shall conclude a separate contract to be a part of this main

contract).

Article 12

The right to the use of site contributed by Party A shall be for the

use of the cooperative venture company within _______________days after

the approval of the contract.

The cash contributed by Party B shall be paid in_______________

installment. Each installment shall be as follows:

(Note: it shall be written according to the concrete conditions).

Article 13

The machines and equipment contributed by Party B as investment shall

meet the needs of the cooperative venture company, and shall be carried to

the Chinese port_________ days before the completion of the premises

construction.

【章名】 Chapter 6 Responsibilities of Each Party to the Joint Venture

Article 14

Party A and Party B shall be respectively responsible for the

following matters:

Responsibilities of Party A:

Handling of applications for approval, registration, business license

and other matters concerning the establishment of the cooperative venture

company from relevant departments in charge of China;

Processing the application for the right to the use of a site to the

authority in charge of the land;

Organizing the design and construction of the premises and other

engineering facilities of the cooperative venture company;

Assisting Party B to process import customs declaration for the

machinery and equipment contributed by Party B as investment and arranging

the transportation within the Chinese territory;

Assisting the cooperative venture company in purchasing or leasing

equipment, materials, raw materials, articles for office use, means of

transportation and communication facilities etc.;

Assisting the cooperative venture company in contacting and settling

the fundamental facilities such as water, electricity, transportation

etc.;

Assisting the cooperative venture in recruiting Chinese management

personnel, technical personnel, workers and other personnel needed;

Assisting foreign workers and staff in applying for entry visas, work

licenses and handling their travel procedures;

Responsible for handling other matters entrusted by the cooperative

venture company.

Responsibilities of Party B:

Providing cash, machinery and equipment, industrial property... in

accordance with the provisions of Article 11 and Article 12, 13, and

responsible for shipping capital goods such as machinery and equipment

etc. contributed as investment to a Chinese port;

Handling the matters entrusted by the cooperative venture company,

such as selecting and purchasing machinery and equipment outside China,

etc.;

Providing necessary technical personnel for installing, testing and

trial production of the equipment as well as the technical personnel for

production and inspecting;

Training the technical personnel and workers of the cooperative

venture company;

In case Party B is the licensor, it shall be responsible for the

stable production of qualified products of the cooperative venture company

in the light of design capacity within the specified period;

Responsible for other matters entrusted by the joint venture company.

(note: It shall be written according to the specific situation).

【章名】 Chapter 7 Distribution of Profits and Repayment for Party B's Investment

Article 15

The cooperative venture company shall distribute its profits in

accordance with the following procedure after paying the income tax:

____________% as allocations for reserve funds, expansion funds,

welfare funds and bonuses for staff and workers of the cooperative venture

company;

____________% as repayment for Party B's Investment and

___________Years scheduled to pay back all Party B's Investment;

____________% of the left distributed to Party A and ___________% to

Party B.

【章名】 Chapter 8 Selling of Products

Article 16

The products of cooperative venture company will be sold both on the

Chinese and the overseas market, the export portion accounts for

____________%, ____________% for the domestic market.

(Note: An annual percentage and amount for outside and domestic

selling will be written out according to practical operations, in normal

conditions, the amount for export shall at least meet the needs of foreign

exchange expenses of the joint venture company).

Article 17

Products may be sold on overseas markets through the following

channels:

The cooperative venture company may directly sell its products on the

international market, accounting for _________%.

The cooperative venture company may sign sales contracts with Chinese

foreign trade companies, entrusting them to be the sales agencies or

exclusive sales agencies, accounting for __________%.

The cooperative venture company may entrust Party B to sell its

products, accounting for ________%.

Article 18

The cooperative venture's products to be sold in China may be handled

by the Chinese materials and commercial departments by means of agency or

exclusive sales, or may be sold by the cooperative venture company

directly.

Article 19

In order to provide maintenance service to the products sold both in

China or abroad, the cooperative venture company may set up sales branches

for maintenance service both in China or abroad subject to the approval of

the relevant Chinese department.

【章名】 Chapter 9 The Board of Directors

Article 20

The date of registration of the cooperative venture company shall be

the date of the establishment of the board of directors of the cooperative

venture company.

Article 21

The board of directors is composed of ____________directors, of which

___________shall be appointed by Party A, ____________by Party B. The

chairman of the board shall be appointed by Party A, and its vice-chairman

by Party B. The term of office for the directors, chairman and

vice-chairmans four years, their term of office may be renewed if

continuously appointed by the relevant party.

Article 22

The highest authority of the cooperative venture company shall be its

board of directors. It shall decide all major issues concerning the

cooperative venture company. Unanimous approval shall be required for any

decisions concerning major issues. As for other matters, approval by

majority or a simple majority shall be required.

(Note: It shall be explicitly set out in the contract).

Article 23

The chairman of the board is the legal representative of the

cooperative venture company. Should the chairman be unable to exercise his

responsibilities for any reason, he shall authorize the vice-chairman or

any other directors to represent the joint venture company temporarily.

Article 24

The board of directors shall convene at least one meeting every year.

The meeting shall be called and presided over by the chairman of the

board. The chairman may convene an interim meeting based on a proposal

made by more than one third of the total number of directors. Minutes of

the meetings shall be placed on file.

Article 25

The meeting shall be valid only when more than two thirds of the total

number of directors attend. In case of absence, the director shall entrust

another person to attend and vote for him with a trust deed.

【章名】 Chapter 10 Business Management Office

Article 26

The cooperative venture company shall establish a management office

which shall be responsible for its daily management. The management office

shall have a general manager, appointed by Party _____, ______deputy

general managers, _____by Party _____; _____by Party ______. The general

manager and deputy general managers whose terms of office is _____years

shall be appointed by the board of directors.

Article 27

The responsibility of the general manager is to carry out the

decisions of the board and organize and conduct the daily management of

the cooperative venture company. The deputy general managers shall assist

the general manager in his work.

Article 28

The general manager shall report to the board of directors the

operation conditions of the cooperative company every three months, and

make a financial report every six months.

Article 29

In case of graft or serious dereliction of duty on the part of the

general manager and deputy general managers, the board of directors shall

have the power to dismiss them at any time.

【章名】 Chapter 11 Labor Management

Article 30

Labor contract covering the recruitment, employment, dismissal and

resignation, wages, labor insurance, welfare, rewards, penalties and other

matters concerning the staff and workers of the cooperative venture

company shall be drawn up between the cooperative venture company and the

trade union of the cooperative venture company as a whole, or the

individual employees in the cooperative venture company as a whole or

individual employees in accordance with the law of the People's Republic

of China on Chinese-Foreign Cooperative Joint Ventures.

The labor contracts shall, after being signed, be filed with the local

labor management department.

Article 31

The appointment of high-ranking administrative personnel recommended

by both parties, their salaries, social insurance, welfare and the

standard of travelling expenses etc. shall be decided by the meeting of

the board of directors.

【章名】 Chapter 12 Taxes, Finance and Audit

Article 32

The cooperative venture company shall pay taxes in accordance with the

provisions of Chinese laws and other relative regulations.

Article 33

Staff members and workers of the cooperative venture company shall pay

individual income tax according to the Individual Income Tax Law of the

People's Republic of China.

Article 34

The fiscal year of the joint venture company shall be from January 1

to December 31. All vouchers, receipts, statistic statements and reports

shall be written in Chinese.

(Note: A foreign language can be used concurrently with mutual

consent).

Article 35

Financial checking and examination of the cooperative venture company

shall be conducted by an auditor registered in China and reports shall be

submitted to the board of directors and the general manager.

In case Party B considers it necessary to employ a foreign auditor

registered in another country to undertake annual financial checking and

examination, Party A shall give its consent. All the expenses thereof

shall be borne by Party B.

Article 36

In the first three months of each fiscal year, the manager shall

prepare the previous year's balance sheet, profit and loss statement and

proposal regarding the disposal of profits, and submit them to the board

of directors for examination and approval.

【章名】 Chapter 13 Duration of the Cooperative Venture

Article 37

The duration of the cooperative venture company is______ years. The

establishment date of the joint venture company shall be the date on which

the business license of the cooperative venture company is issued.

An application for the extension of the duration, proposed by one

party and unanimously approved by the board of directors, shall be

submitted to the Ministry of Foreign Trade and Economic Cooperation (or

the examination and approval authority entrusted by it) six months prior

to the expiry date of the joint venture.

【章名】 Chapter 14 The Disposal of Assets after the Expiration of the Duration

Article 38

Upon the expiration of the duration, the assets shall belong to Party

A.

【章名】 Chapter 15 Insurance

Article 39

Insurance policies of the joint venture company on various kinds of

risks shall be underwritten with the People's Republic of China. Types,

value and duration of insurance shall be decided by the board of directors

in accordance with the provisions of the People's Insurance Company of

China.

【章名】 Chapter 16 The Amendment, Alteration and Termination of the Con- tract

Article 40

The amendment of the contract or other appendices shall come into

force only after a written agreement has been signed by Party A and Party

B and approved by the original examination and approval authority.

Article 41

In case of inability to fulfil the contract or to continue operation

due to heavy losses in successive years as a result of force majeure, the

duration of the cooperative venture and the contract shall be terminated

before the time of expiration after being unanimously agreed upon by the

board of directors and approved by the original examination and approval

authority.

【章名】 Chapter 17 Liability for Breach of Contract

Article 42

Should the cooperative venture company be unable to continue its

operation or achieve its business purpose due to the fact that one of the

contracting parties fails to fulfil the obligations prescribed by the

contract and articles of association, or seriously violates the provisions

of the contract and articles of association, that party shall be deemed to

have unilaterally terminated the contract. The other party shall have the

right to terminate the contract in accordance with the provisions of the

contract after approval by the original examination and approval

authority, and to claim damages. In case Party A and Party B of the

cooperative venture company agree to continue the operation, the party who

fails to fulfil its obligations shall be liable for the economic losses

caused thereby to the joint venture company.

Article 43

Should either Party A or Party B fail to provide on schedule the

contributions in accordance with the provisions defined in Chapter 5 of

this contract, the party in breach shall pay to the other party

________Yuan, or __________% of the contribution starting from the first

month after exceeding the time limit. Should the party in breach fail to

provide after ______months, _________Yuan, or _________% of the

contribution shall be paid to the other party, who shall have the right to

terminate the contract and to claim damages from the party in breach in

accordance with the provisions of Article 42 of the contract.

Article 44

Should all or part of the contract and its appendices be unable to be

fulfilled owing to the fault of one party, the party in breach shall bear

the liability therefor. Should it be the fault of both parties, they shall

bear their respective liabilities according to the actual situation.

Article 45

In order to guarantee the performance of the contract and its

appendices, both Party A and Party B shall provide each other with bank

guarantees for performance of the contract within __________days after the

contract comes into force.

【章名】 Chapter 18 Force Majeure

Article 46

Should either of the parties to the contract be prevented from

executing the contract by force majeure, such as earthquake, typhoon,

flood, fire, war or other unforeseen events, and their occurrence and

consequences are unpreventable and unavoidable, the prevented party shall

notify the other party by telegram without any delay, and within 15 days

thereafter provide detailed information of the events and a valid document

for evidence issued by the relevant public notary organization explaining

the reason of its inability to execute or delay the execution of all or

part of the contract. Both parties shall, through consultations, decide

whether to terminate the contract or to exempt part of the obligations for

implementation of the contract or whether to delay the execution of the

contract according to the effects of the events on the performance of the

contract.

【章名】 Chapter 19 Applicable Law

Article 47

The formation, validity, interpretation, execution and settlement of

disputes in respect of, this contract shall be governed by the relevant

laws of the People's Republic of China.

【章名】 Chapter 20 Settlement of Disputes

Article 48

Any disputes arising from the execution of, or in connection with, the

contract shall be settled through friendly consultations between both

parties. In case no settlement can be reached through consultations, the

disputes shall be submitted to the Foreign Economic and Trade Arbitration

Commission of the China Council for the Promotion of International Trade

for arbitration in accordance with its rules of procedure. The arbitral

award is final and binding upon both parties.

Article 49

During the arbitration, the contract shall be observed and enforced by

both parties except for the matters in dispute.

【章名】 Chapter 21 Language

Article 50

The contract shall be written in Chinese and in ____________. Both

language versions are equally authentic. In the event of any discrepancy

between the two aforementioned versions, the Chinese version shall

prevail.

【章名】 Chapter 22 Effectiveness of the Contract and Miscellaneous

Article 51

The appendices drawn up in accordance with the principles of this

contract are integral parts of this contract, including: the project

agreement, the technology transfer agreement, the sales agreement etc.

Article 52

The contract and its appendices shall come into force commencing from

the date of approval of the Ministry of Foreign Trade and Economic

Cooperation of the People's Republic of China (or its entrusted

examination and approval authority).

Article 53

Should notices in connection with any party's rights and obligations

be sent by either Party A or Party B by telegram or telex, etc., the

Written letter notices shall be also required afterwards. The legal

addresses of Party A and Party B listed in this contract shall be the

posting addresses.

Article 54

The contract is signed in __________, China by the authorized

representatives of both parties on _____, 19_______.

For Party A For Party B

(Signature) (Signature)