Han Kun and Wolters Kluwer successfully hold seminar on Distributor Incentive Policy Compliance Examinations
2017-03-20
Manufacturers' product sales to distributors and retailers can include the provision of valuable incentives outside of such sales transactions, which may be identified as commercial bribery. In addition, if manufacturers intend to exclude competitors by offering price discounts, by making profit guarantees to distributors or by paying rebates or incentives, the manufacturers may also be regarded as engaging in unfair competition by selling products at unjustifiably low prices. Such anti-competitive behavior may constitute a violation of the Anti-monopoly Law. Thus, manufacturers and distributors need to pay attention to sales incentives compliance under Chinese law.
On March 16, Han Kun and Wolters Kluwer held a seminar on "Distributor Incentive Policy Compliance Examinations." Han Kun partner Mr. Will Huang, as the sole speaker, analyzed several typical cases related to illegal sales incentives based upon common incentive models adopted in practice and the relevant laws and regulations, provided guidance to manufacturers for practical operations, and answered questions raised by the attendees.
The attendees included legal and management personnel from over 100 companies, including COFCO, ABB China, Nestle (China), Alcon China, Zhihu, Tujia, NEC (China), Shell China, Hanergy, Huawei, Otis Elevator (China), Carrefour, GC-Rise, Chevron (China), Sony (China), European Chamber, CICC, Volvo (China) and Oracle. The seminar was highly successful.