Abstract
Prior to Deng Xiaoping’s leadership, private ownership and foreign investment were considered incompatible with the socialist state of The People’s Republic of China. During the past two decades, however, China has challenged that paradigm. China has enacted free market reforms while attempting to maintain the ideology of a socialist state. This Chinese economic experiment has been called the Market Socialist Economy.
In 1979, China enacted the Joint Venture Law to encourage foreign investment in its Market Socialist Economy. This Note introduces China’s Joint Venture Law, the complicated approval procedures that create disputes among joint venture partners and the resolution of such disputes through commercial arbitration in China. Once the legal foundation for the enforcement of a Chinese arbitration award is explored, this Note considers the real prospects for enforcement of the award in the United States and China. This is accomplished through the analysis of cases where Chinese arbitration awards have been enforced in the United States and by exposing the local protectionism that creates an obstacle for enforcement in China’s courts. In the final analysis, this Note supports the conclusion that China should decentralize joint venture approval procedures while centralizing judicial review for the enforcement of arbitration awards by Chinese courts.
Recommended Citation
Perez, Victor
(1999)
"CIETAC,"
Florida Journal of International Law: Vol. 12:
Iss.
3, Article 4.
Available at:
https://scholarship.law.ufl.edu/fjil/vol12/iss3/4