Friday, September 10, 2010

China first anti-monopoly takes effect in 2008

China proposed the anti-monopoly law 1996 years ago and finally received approval in 2008 after 14 years. However, the article talked about that there is no better way to solve the problems in some crucial centrally administrated, state owned large enterprise and industry. Link:http://english.sina.com/china/2008/0801/175349.html

However, 1 year after the anti-monopoly law has established. China is still meeting its problem on defining the legal issues over large anterprises in the coutry. Lawyer zhou sued China Mobile on charges of abusing its market position to charge users exorbitant monthyly rental fees. However, the court reached a conciliatory agreement with the telecommunication giant. Zhou agreed to withdraw his lawsuit and in return China Mobile agreed to pay a 1,000 yuan "gratitude payment" for this suggestions and agreed to stop charging him a monthly mobile rental fee.

This is the fisrt time since the contry's new anti-monopoly law came into effect on August 1 last year, that a plantiff has recived any kind of compensation in an anti-monopoly lawsuit launched against domestic firm. Legal experts who are familiar with legal complexities of the anti-monopoly law, explained that "despite the fact that everone on the face of the earth knows that China Mobile is monopoly firm, given the complexity of the anti-monopoly law, ordinary consumers are simply not capable of obtaining the evidence needed to convvince the court to even accept the case. Offcials claimed that, as the mergers and acquisitions that took place among china's centrally-woned enterprises were led by the central goverment, state-owned enterprises are under control of the central goverment, they didn't need require any administrative approval.
Link: http://www.eeo.com.cn/ens/Politics/2009/11/10/155247.shtml

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