Company Registration Cancellation update
The State Administration for Market Regulation has released the “Implementation Measures for Mandatory Cancellation of Company Registration”, which is aimed at standardizing the procedures for mandatory cancellation.
The newly amended Company Law of 2023 establishes the system for mandatory cancellation of company registration, stipulating that if a company’s business license is revoked, ordered to close, or annulled, and it has not applied for cancellation of company registration for three years, the registration authority may cancel the company registration.
The measures clarify that within three years from the date of mandatory cancellation of a company’s registration, relevant departments, creditors, and stakeholders who believe there are litigation issues or other circumstances that should not lead to mandatory cancellation of company registration may file an application for restoration of registration.
The measures officially took effect on October 10.