Regulations of Shanghai Municipality on Optimizing Doing Business Environment

Shanghai Municipal People's Congress | Updated:Apr 22, 2020

Article 21 The people's governments at all levels, and their relevant departments and institutions in this Municipality shall not default on or be in arrears of the payment of goods, projects, services and other items to market participants, and shall not extend any payment period in disguise beyond the agreed payment mechanism.

This Municipality shall explore the establishment of a restrictive and disciplinary mechanism for default payment behaviors, prevent and correct the arrears in market participants' accounts through budget management, performance appraisal, audit supervision and other measures.

Article 22 This Municipality shall strengthen the intellectual property rights protection, rationalize the comprehensive management and enforcement system of intellectual property rights and strengthen the enforcement cooperation mechanism for cross-regional intellectual property laws.

This Municipality shall implement a punitive compensation system against infringement of intellectual property rights, promote the establishment of a mechanism of rapid and collaborative protectionon intellectual property rights, improve the cohesive mechanism in between administrative and judicial protection, explore the public interest litigation in intellectual property rights, enhance the aid mechanism in safeguarding intellectual property rights, and provide the infringement early warning, legal services and judicial relief for intellectual property protections.

This Municipality shall improve diversified mechanisms for the settlement of intellectual property disputes, give full play to the active role of industry associations and mediation, arbitration, intellectual property services and other institutions in resolving intellectual property disputes.

Chapter III  Government Services

Article 23 This Municipality shall accelerate the construction of an integrated online government service platform (hereinafter referred to as the "Integrated Online Platform"), promote the integration of offline and online government services, consolidate public data resources, strengthen business collaboration, and optimize government services, promote a main portal, one-time login, and integrate online services for market participants to handle affairs.

All government services in this Municipality are included in the Integrated Online Platform, unless otherwise provided by laws and regulations or involving state secrets and public safety. Market participants can handle government services through the Integrated Online Platform, and can obtain precise government services through enterprise-specific web pages.

The municipal governmentservice department is responsible for overall planning, coordination and promotion, and guidance and supervision of work in relation to Integrated Online Platform. All districts and departments shall promote the standardization and construction of government services, refine and quantify government service standards, compile government affairs service guidelines, clarify matters such as application requirements, materials, procedures, tolerance acceptance and other contents, the standards for online and offline applications must be consistent. The conditions for handling government servicesmust not contain any miscellaneous provisions, and relevant departments must not require market participants to provide application materials other than those specified in the guidelines.

The market participants can independently choose the service channels for handling government services, and the relevant departments must not designate such channels for government services. If the standardized electronic materials have been collected online, the applicant shall not be required to provide hard copies.

This Municipality shall promote the establishment of a special window for foreign-related services on the Integrated Online Platform to provide convenient government services for foreign-invested enterprises and foreigners.

Article 24 The government services hall shall promote a comprehensive window service, implementing comprehensive acceptance, categorized dealing, and unified delivery.

The service window shall strengthen standardized management, promote standardized construction, improve service systems such as one-time notification, first-inquired person in charge, receiving documents with vouchers and time-limited processing; improve the working mechanisms such as appointments, full-time assistance, joint processing, stagger and extended services.

All districts and departments shall allocate more staffs for window service and strengthen their professional training.The service window staffs shall,in accordance with the government's efficiency improvement regulations, comprehensively apply efficiency assessment, supervision and inspection, efficiency accountability and other means to improve service quality and efficiency.

Except in the circumstances clearly prescribed by laws and regulations, the window service staffs shall not refuse to accept the application submitted by the applicant. If the window staff fails to accept the material, all departments shall strengthen verification and supervision.

Article 25 This Municipality shall implement a list management system for government permits. The municipal approval reform department shall, together with the relevant administrative departments, publish the list to the public in a timely manner and make dynamic adjustments.

Except as specified within the list of administrative permits, any establishment or the disguised establishment or implementation of governmentpermits in the manner of files, record, registration, catalog, planning, annual inspection, annual report, production supervision, recognition, certification, review and any other forms shall be prohibited. The governmentpermits that have been cancelled by the State and this Municipality shall not be continued, resumed in disguised form or transferred to perform by industrial associations, chambers of commerce and other organizations for implementation.

The relevant departments shall submit reports containing government permits, fees collection, supervision and inspection of the current year to the approval reform department at the same level and publish such reports to the public according to the law.

Article 26 This Municipality shall fully implement the system of administrative approval via Notification andCommitment. For administrative approval items that are difficult to verify approval requirements in advance but incompleteness can be corrected,with controllable risks, through the on-processing and post-event supervision, the administrative approval authority may adopt a Notification andCommitment method to implement the administrative approval, except for those directly involving public safety, ecological environmental protection and personal health, life and property safety, and those in need for approval on the spot according to the law. The specific and Commitment items shall be determined by the approval reform department in conjunction with the relevant departments and published to the public.

As for administrative approval with Notification andCommitments, the relevant department shall inform the applicant of the approval requirements and the materials to be submitted at one time. If the applicant makes commitment in writing to meet the requirements for examination and approval, an administrative approval decision shall be made directly, and supervise the fulfilling status of applicant's commitment according to the law. If the applicant fails to fulfill its commitment, the approval department shall order the applicant to rectify within a time limit; if the conditions are not met after such rectification period, the approval decision shall be revoked and brought into the credit information platform in accordance with the relevant regulations.

Article 27 This Municipality shall follow the principles of lawfulness, necessity, simplicity and regulate the intermediary services for administrative approval. The list of intermediary services for administrative approval shall be compiled by the municipal approval reform department in conjunction with the relevant administrative department, and published to the public.

Except as otherwise provided by laws and regulations, the market participants shall have the right to choose the intermediary service agency independently. No administrative department may designate or designate in a disguised manner an intermediary serviceagency for them, and may not force or force in a disguised manner the market participants to accept any intermediary services.

If the district or department needs to entrust an intermediary service agency to provide technical services during the administrative approval process, it must choose an intermediary service agency through a competitive method and pay its own service fees.

The intermediary service agency shall clarify and publish to the public with the conditions, procedures, time limits, and charging standards for intermediary services for statutory administrative approval.

Article 28 The relevant departments of the Municipal People's Governmentshall publish a list of proof items on the website of the municipal government, list item by item the requirement basis, requesting entity, issuing entity and other items. Within seven working days after the implementation of the new proof items or the cancellation of the original proof items, the relevant department shall complete the update of the list.

All districts and departments shall strengthen the mutual recognition and sharing of proof, and avoid repeated requests for proof from the market participants, and shall carry out pilot Notification and Commitment for proof as required by the State and this Municipality so as to provide further convenience by reducing the burden of proof.

Article 29 This Municipality shall implement the government service evaluation system to improve the government service level. The government service evaluation system covers all municipal government services, evaluated objects and service channels. Evaluations and responses shall be made public.

The people's governments at all levels and their relevant departments in this Municipality shall,in response to bad reviews and complaints, establish mechanisms for investigation and verification, supervision, rectification and feedback. As for the real-name based bad review, the department in charge shall contact and verify within one working day. Matters that are clear with reasonable complaints shall be rectified immediately; matters that are complex and difficult to resolve at once shall be rectified within a limited period. The rectification shall be reverted to the enterprise and the public in a timely manner. The administrative department in charge of government services shall follow up on the rectification results of the real-name based bad review.

Article 30 This Municipality shall implement the whole process of enterprise start-up with "One Form Application and One Window Collection". Applicants can apply for business licenses, seals, invoices, basic social insurance and other services through the "One Window" online service platform. If the materials are complete and conform to the legal form, the relevant government department shall handle such application on site; if it cannot be handled on site, it shall be handled within one working day.

When applying for the establishment of enterprise and change of registration items, the applicant promises that the submitted articles of association, agreements, resolutions, and qualification certificates are true, lawful and effective, the administrative department of market regulation may conduct a formal review of the submitted materials, except for otherwise provided by the laws and regulations. The applicant who provides false materials for registration shall undertake the responsibility specified under the law.

An enterprise may receive the business license, seal and invoice required for general business activities synchronously at the Starting a BusinessComprehensive Window in the government service hall.

As for the establishment of enterprise, the name pickingvia Notification and Commitment system and the enterprise's domicile self-declaration system shall be tentatively launched, and the integrated electronic process of starting a business shall be promoted. Multiple enterprises may use the same address as their registered domicile in accordance with the relevant regulations of This Municipality.

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