Chapter IV Public Services
Article 44 The municipal economy and informatization department shall organize the establishment of a city-wide enterprise service system, realize the unified release of enterprise-related policies, co-location of professional service agencies, and the centralized acceptance of enterprises’ requests on Shanghai Enterprise Service Cloud.
The municipal and district economy and informatization departments shall establish service centers for small and medium-sized enterprises, accept various requests by the enterprises, and improve the mechanism for rapid processing and feedback of requests. General issues shall be settled within five working days and complicated issues within fifteen working days. Where the issue is impossible to be concluded, explanations shall be given to the enterprise.
Each district shall establish a grid-based enterprise service model, designating specific people in villages, towns, sub districts, industrial parks, and business buildings to respond to enterprises’ requests.
Article 45 The municipal economy and informatiztion department shall, together with the municipal finance department and other departments, establish a unified application system for the municipal fiscal funds based enterprise-benefiting policies , to provide enterprises with one-stop service of online search, subscription, matching, and application.
All districts shall establish service windows for fiscal funds based enterprise-benefiting policies, and comprehensive service windows for enterprise-benefiting policies can be established in districts where the conditions permit.
Article 46 This Municipality shall establish a communication mechanism between the government and enterprises, where the government shall, through various forms such as survey, discussion, questionnaire survey, and new media, listen to and respond to reasonable requests of market participants in a timely manner.
This Municipality shall establish an Advisory Committee on Optimizing Doing Business Environment, which is responsible for collecting and reporting the requests of the market participants on Doing Business environment, providing decision-making advice for the reform of Doing Business environment, and promoting precise implementation of the policies for optimizing Doing Business environment.
Article 47 This Municipality encourages public utility units of electricity, water supply and drainage, fuel gas, network and others to provide whole-process agent services to market participants. Public utility enterprises are encouraged to fully carry out online business operations, set up special service windows on the general portal of “Integrated Online Platform” to optimize the procedure, and reduce the application materials and the processing time.
Public utility units shall promote the standardization of access and services, ensure the openness and transparency of access standards and service standards, and provide related extended services and one-stop services. Public utility enterprises shall clearly mark the price of chargeable items and perform the obligations of reporting and disclosing cost information in accordance with regulations.
Where public utility units make simultaneous application for multiple municipal accesses, the government departments such as planning and resources, landscaping and city appearance, and transportation shall provide support and convenience.
Article 48 This Municipality shall implement a unified movable collateral registration system, promote market participants to conduct movable collateral registration through the Movables Financing Registry System of PBOC, and to provide financing convenience for market participants.
Financial institutions are encouraged to provide unsecured credit loans to small and medium-sized enterprises operating in good faith, support the provision of complete life-cycle financial services for science and technology-oriented enterprises, intensify the cultivation of science and technology-oriented enterprises, and encourage qualified science and technology-oriented enterprises to be listed on STAR market.
Article 49 This Municipality shall establish a policy-based financing guarantee fund for micro, small and medium-sized enterprises, establish and improve a financing guarantee system, and provide credit enhancement services for the financing of micro, small and medium-sized enterprises. The municipal finance department shall establish a credit risk compensation and reward mechanism together with local financial department and other relevant departments in this Municipality.
This Municipality shall promote the opening of public data and Big Data Inclusive Financial Applications, share with financial institutions the government data related to, among others, market regulation, taxation, real estate registration, environmental protection, and public utility data such as electricity, water supply and drainage, fuel gas, network and so on, and protect business secrets and personal information in accordance with laws.
Article 50 This Municipality shall support the construction of industrial parks and promote the integrated development of industries and cities. Relevant government departments shall set up government service windows in industrial parks as needed. The management and operation units of various industrial parks are encouraged to set up a one-stop enterprise service acceptance office to provide policy consulting and agency services such as enterprise start-up, project construction, and talents services.
Where the management and operation unit of the park provides services, such as certification and guarantee, to the park enterprises by means of recommendation letters, the relevant government departments shall be supportive.
Article 51 This Municipality shall support the construction of innovation and entrepreneurship clusters, and support the development of various types of innovation and entrepreneurship carriers such as science and technology-oriented enterprises incubators and makerspaces. For qualified innovation and entrepreneurship carriers, tax incentives and financial support shall be granted in accordance with relevant provisions.
Universities and scientific research institutes are encouraged to develop technology transfer services by building professional teams and entrusting third-party service agencies, and to promote the transfer and transformation of scientific and technological achievements.
Article 52 This Municipality shall implement the catalogue-based administration of major industrial projects with dynamic adjustment on a regular basis. The municipal and district people's governments shall establish a major project contact system and a coordinated handling mechanism to provide whole-process service guarantee for enterprises.
The municipal economy and informatization department shall promote the construction of a municipal investment promotion platform, formulate and publish an industrial map of Shanghai, promote the construction of information database and carrier resource database of key projects, and promote the precise matching of projects and industrial maps.
The municipal commerce department shall push forward the improvement of the overseas investment attraction network.
Article 53 This Municipality shall accelerate the construction of a public legal service system, integrate public legal service resources such as lawyers, notaries, and judicial authentication, and improve the quality and level of public legal services with public legal service centers and public legal service hot-lines as carriers.
Lawyers are encouraged to innovate the legal service model and help small and medium-sized enterprises to effectively prevent legal risks through professional legal services, and resolve various disputes in a timely and efficient manner.
This Municipality shall continue to optimize the notary services, and realize the “Self-service, Online Handling, and One-off Handling” of simple notary matters and notary information inquiry.
Authentication institutions are encouraged to optimize the authentication procedure and improve the authentication efficiency. Where there is an agreed time limit with the client, the authentication shall be completed within the agreed time limit; where there is no agreement, the authentication shall generally be completed within thirty working days, except for cases with great complexity or as specifically provided by laws, rules and regulations.
Chapter V Regulation and Law Enforcement
Article 54 The relevant government departments shall, in accordance with the principle of encouraging innovation, implement tolerant and prudential regulation of new technologies, industries, forms of business and models, among others, and formulate and implement corresponding regulatory rules and standards by categories according to their nature and characteristics, and leave room for development while ensuring quality and safety, and may neither impose prohibition nor simply deny regulation.
This Municipality shall establish and improve a system of tolerant and prudential regulation of a market participant’s business practice with trivial violations of laws and regulations, clarify the specific circumstances of business practices with trivial violations of laws and regulations, and impose no administrative punishment in accordance with the law.
Article 55 The municipal approval and reform department shall, together with the relevant administrative departments, compile a list of regulatory items catalogue, specifying, among others, the regulators, supervisees, regulatory measures, disposition methods, and disclose the above to the public. The list of regulatory items shall be dynamically adjusted.
This Municipality shall implement differentiated and categorized regulation and management upon market participants based on the supervisees’ credit status and risk level. All departments shall establish corresponding mechanisms of incentives, early warnings, and punishments based on the categorization results. Blanket and whole-process key regulation shall be implemented on special industries and key areas directly involving public safety and masses’ lives in accordance with the law.
The departments implementing categorized regulation and the organizations performing corresponding public affairs management functions shall formulate detailed implementation rules for categorized supervision and disclose them to the public.
Article 56 Relevant administrative departments shall make full use of credit information, grant convenient services such as processing with priority and simplified procedures to the trustworthy participants in the process of implementing administrative permits, and synchronously strictly regulate the determination of the list for joint punishment as well as carry out joint punishment on dishonesty according to laws and regulations.
This Municipality shall establish and improve the credit repair mechanism, and define the conditions, standards, procedures and other elements of repairing dishonesty information. For the eligible repair application, the unit that provides the dishonesty information shall, within the prescribed time limit, provide feedback in writing to the Municipal Public Credit Information Service Center, and shall delete the said information from the inquiry interface of the Municipal Public Credit Information Service Platform. Each department shall simultaneously delete the publicity information on the relevant websites. The unit providing the dishonesty information shall inform the applicant of the disposition.
This Municipality shall, based on the characteristics of the industry, explore the establishment of a system for determining the criteria for relatively large sum of fines in the record of major violations in government procurement field, and improve the joint punishment mechanism in the government procurement field.
Article 57 This Municipality shall comprehensively implement the administrative law enforcement publication system, the whole process recording system of law enforcement and the legal review system for major administrative law enforcement decisions. This Municipality shall promote strict, well-regulated, impartial and civilized enforcement of administrative law through manners such as evaluation, periodic reports, coordinated guidance, and law enforcement data sharing.
Each administrative law enforcement department shall, based on needs of regulation, strengthen law enforcement collaboration, clarify joint efforts procedures, and improve the effectiveness of joint law enforcement across departments and fields.
This Municipality shall deepen the reform of comprehensive administrative law enforcement, promote the relatively concentrated exercise of administrative punishment power, and coordinate the allocation of administrative law enforcement resources.
Article 58 This Municipality shall rely on the "Internet plus Regulation" system to promote the interconnection of the regulation systems of various departments, strengthen the collection, sharing and application of regulatory information, and conduct off-site regulation such as remote regulation, mobile regulation, early warning and prevention, to provide support for carrying out “regulation of random selection of inspection objects and inspectors and timely public disclosure”, categorized regulation, credit regulation, and joint law enforcement. The business secrets of market participants involved in the course of regulation shall be kept confidential by all departments according to law.
Article 59 Apart from special industries and key areas directly involving public safety and masses’ lives and health, relevant departments in the field of market regulation shall, in the process of regulation, conduct administrative inspections by randomly selecting inspection objects and randomly selecting law enforcement inspectors.
The frequency and probability of random inspection shall be linked to the credit rating and risk level of the inspection objects. Multiple items subject to inspection concerning the same inspection object shall be integrated or be included in the scope of cross-department joint random inspection.
Relevant departments in the field of market regulation shall promptly disclose to the public the random inspections and the results of inspections and disposition through the National Enterprise Credit Information Publicity System and other platforms.
Article 60 Where administrative coercion shall be implemented by an administrative law enforcement department, it shall follow the principles of lawfulness, appropriateness, and the combination of education and coercion. If the purpose of administrative management can be achieved by non- coercion means, administrative coercion shall not be carried out; if an illegal act is trivial or of insignificant social harm, administrative coercion may not be required; if administrative coercion is compellingly required, such coercion shall be executed within the necessary limits, with the impact on the normal production and operation activities of the market participants being reduced to the least.
The relevant departments of the Municipal People's Government may explore to create a list of items not necessarily subject to administrative compulsory measures.
Article 61 Relevant departments of the Municipal People’s Government shall, in accordance with the provisions at the national and municipal level, scientifically normalize the discretion over administrative penalty, practice dynamic management of the criterion for discretion over administrative penalty, and formulate, revise and repeal such criterion in a timely manner based on the adjustments made to laws, rules and regulations and in the law enforcement practices. All administrative law enforcement units shall normalize the application of the criterion for discretion over administrative penalty in accordance with relevant provisions of this Municipality.
Article 62 The municipal and district people’s governments and their respective departments shall not take such measures as requiring market participants to generally suspend production and operation in relevant industries and sectors or in relevant regions, unless such measures involve the safety of life of the masses, or are taken in the occurrence of grave or serious accidents or to hold major national activities, and are filed with competent authorities for approval. The enterprises shall be notified in writing beforehand or a public announcement shall be made for the adoption of measures such as general suspension of production and operation, unless otherwise provided by laws and regulations.
Chapter VI Safeguard by Rule of Law
Article 63 In formulating local laws, rules and regulations, and administrative normative documents that are closely related to the production and operation activities of market participants, this Municipality shall solicit opinions openly from the public through newspapers or networks among others, listen to the opinions of market participants, industry associations and chambers of commerce extensively, and establish a sound feedback mechanism for the adoption of opinions.
Local laws, rules and regulations, and administrative normative documents involving the rights and obligations of market participants shall be published in a timely manner in a way that facilitates public awareness. Administrative normative documents shall be entered into the unified database of administrative normative documents of this Municipality. When local laws, rules and regulations, and administrative normative documents are published, publicity and interpretation shall be carried out synchronously. With respect to any local laws, rules and regulations and administrative normative documents closely related to foreign investment, corresponding English translations or abstracts shall be provided.
Article 64 When formulating normative documents, policies and measures that are closely related to the production and business activities of market participants, the people’s governments at all levels and their relevant departments of this Municipality shall conduct a legitimacy review and the formulating authorities shall carry out collective deliberation.
In drafting or formulating local laws, rules and regulations, normative documents and other policies and measures that involve the economic activities of market participants, fair competition review shall be conducted in accordance with relevant provisions. The participation of third-party institutions in the society in fair competition review is encouraged.
Any entity or individual may report any policies and measures suspected of violating the criterion for fair competition review. The formulating authorities shall establish and improve a mechanism for accepting and responding to complaints and reports concerning fair competition review, and promptly correct policies and measures that exclude or restrict competition; policies and measures formulated by applying exceptions shall be submitted to the joint meeting of fair competition review at the same administrative level for record.
Article 65 The people’s governments at all levels and their relevant departments of this Municipality shall, when formulating policies and measures that are closely related to the production and business activities of market participants, allow for a necessary adaption period for market participants, except where national security is involved and failure to implement forthwith upon promulgation will hinder implementation.
Article 66 This Municipality shall actively improve a diversified dispute resolution mechanism with smooth convergence and inter-coordination of mediation, arbitration, administrative adjudication, administrative review, and litigation, give full play to the functions of the non-litigation dispute resolution centers at the municipal and district levels, support the establishment of dispute resolution institutions in professional sectors such as the financial sector, and provide market participants with efficient and convenient dispute resolution approaches.
This Municipality supports arbitration and mediation institutions to join the “one-stop” international commercial dispute resolution platform, and to jointly create a fair, just, transparent and convenient law-based international Doing Business environment.
This Municipality supports well-known arbitration and dispute resolution institutions from abroad to conduct arbitration and mediation with respect to civil and commercial disputes in international commercial, maritime, investment and other fields in accordance with relevant provisions in Lingang New Area.
Article 67 This Municipality supports the people’s courts at all levels to conduct fair trial of various cases involving market participants in accordance with the law, and to equally protect the legitimate rights and interests of various market participants and supports the people’s procuratorates at all levels to exercise legal supervision over the trial activities of the people’s courts.
According to the unified deployment at the national level, this Municipality shall strengthen the construction of international commercial dispute trial organizations, support international commercial dispute trial organizations in connecting with international commercial common rules, and accelerate the formation of a trial system and mechanism that meets the needs of international commercial dispute resolution in Shanghai.
This Municipality shall strengthen the institutional construction of source control over difficulties in enforcement, promote and improve the coupling mechanism for enforcement, and support the people’s courts to strengthen and improve enforcement. Relevant government departments, people’s procuratorates, non-governmental organizations, enterprises and public institutions, and financial institutions shall strengthen the cooperation and coordination with the people’s courts in carrying out enforcement, and coordinate in promoting the quality and efficiency of enforcement in this Municipality.
Article 68 This Municipality shall implement a system of prior confirmation of address for service of legal documents and responsibilities undertaking by enterprises. When attending to registration formalities such as incorporation, corporate changes or record-filings or annual report filings in this Municipality, after being informed by the market regulation department of matters such as prior confirmation of the address for service of legal document and undertakings of relevant responsibilities, the enterprise may, through the National Enterprise Credit Information Publicity system, fill in its address for service of the legal documents online, and undertake to be responsible for the authenticity of the address filed and the timely and effective acceptance of the legal documents served by the people’s courts and administrative departments of this Municipality at all levels.
Article 69 The people’s courts at all levels in this Municipality shall strengthen the construction of an online litigation services platform, promote the case handling model in which the whole process is conducted online, and strictly abide by the laws and judicial interpretations on regulating the extension of time limit for concluding a trial and postponement of court hearings for civil and commercial cases. The party that submits the complaint materials by filing the case online does not need to submit the hard copies.
The Municipal High People’s Court shall establish and improve the rules and standards for the selection, evaluation and assessment of intermediary agencies engaged in judicial authentication, asset evaluation, auditing and price review, make the same public, and notify relevant departments of the assessment and evaluation results of intermediary agencies on a regular basis.
Relevant departments shall establish an information sharing mechanism with the people’s court, support the people’s court to inquire about information on the identity, property rights, market transactions etc. of relevant market participants, and support the people’s court to conduct online investigation and control on, and disposal according to law of, real estate, movables, bank deposits, equity, intellectual properties and other property rights involved in the case, in order to improve the efficiency of property investigation and control and compulsory enforcement.
Relevant departments shall strengthen synergy with the people’s courts to include the person concerned who has refused to perform the duties determined by the effective judgment into the list of dishonesty disciplinary punishment, and strengthen the punishment for the dishonesty person subject to enforcement.
Article 70 This Municipality shall promote and improve a market-oriented and rule-of-law bankruptcy system, support the people’s courts in exploring the establishment of bankruptcy rescue mechanisms such as reorganization recognition and pre-reorganization, and explore a mechanism for separation of complicated and simple bankruptcy cases and quick trial of summary bankruptcy cases to streamline bankruptcy procedures.
This Municipality shall establish a coordination mechanism for enterprise bankruptcy jointly led by the Municipal People’s Government and the Municipal High People’s Court and joined by relevant departments to collectively propel the advancement of handling enterprise bankruptcy, support market-oriented debt restructuring in accordance with the law, and promptly communicate and solve problems occurred in the process of enterprise bankruptcy.
The people’s courts at all levels in this Municipality shall, in accordance with the provisions of relevant laws and judicial interpretations, establish a mechanism for creditors or shareholders whose rights and interests are adjusted or affected to participate in the voting of draft reorganization plan, and promote the timely acquisition of reorganization relief by ailing enterprises with operational value.
Article 71 This Municipality shall establish a coupling mechanism for assets disposal in bankruptcy cases. The Municipal High People’s Court shall, in conjunction with the municipal planning and resources, public security and other relevant departments, unify the rules for disposal of bankrupt enterprise’s land, real estate, vehicles, etc., and improve the efficiency of disposing bankruptcy assets.
This Municipality shall establish a mechanism for safeguarding the rights and interests of employees of bankrupt enterprises. Human resources and social security departments at all levels shall coordinate and resolve matters such as the transfer of employees’ social security relationship to protect the legitimate rights and interests of employees.
After the bankrupt enterprise fulfills the relevant obligations in accordance with relevant regulations, the abnormal account status of the enterprise shall be automatically removed. Revenue of debt restructuring obtained by the enterprise as a result of reorganization shall be subject to relevant corporate income tax policies in accordance with relevant national regulations. The tax authority shall, according to law, reduce or exempt real estate tax and urban land use tax of the bankrupt enterprise.
Article 72 Disposal of significant assets of the bankrupt enterprise by the bankruptcy administrator shall be approved and adopted by the creditors’ meeting item by item.
The bankruptcy administrator has the right to enquire about the registration materials, contribution of social insurance premiums, bank account opening information and deposit status, as well as information on real estate, vehicles, intellectual properties of the bankrupt enterprise, and relevant departments and financial institutions shall render cooperation.
If a bankruptcy administrator files an application in accordance with ruling of the people’s court on termination of bankruptcy procedures, or a liquidation group files an application in accordance with the ruling of the people’s court on the termination of compulsory liquidation, the market regulation department shall handle the deregistration of the enterprise according to law.
The Municipal Association of Bankruptcy Administrators shall strengthen industry self-regulation, enhance the training for bankruptcy administrators, and improve the bankruptcy administrators’ abilities to perform their duties.
Article 73 This Municipality shall establish a complaints and rights protection mechanism for Doing Business environment. Any unit or individual may make complaints and report on issues relating to Doing Business environment through the “12345” citizen service hotline, Shanghai Enterprise Service Cloud, small and medium-sized enterprises service center, and “Integrated Online Services Platform”.
Relevant departments shall keep the feedback channels for complaints and reports unblocked to ensure that market participants’ reasonable and legitimate requests are responded to and handled in a timely manner. If such requests cannot be resolved, notification and explanation shall be given in a timely manner.
Article 74 This Municipality shall explore the establishment of an internal whistleblower system in areas such as ecological environment and resource protection, food and drug safety and public health to give full play social supervision, and shall reward the meritorious persons who have reported serious violations of law, violations of regulations and major hidden risks and dangers, and put them under strict protection.
Article 75 This Municipality shall establish a Legal Community of Safeguarding Optimizing Doing Business Environment joined by government organs, professional institutions, social organizations etc., and ensure unimpeded design, implementation, feedback and communication channels of policies and systems, with a focus on unblocking and coordinating the institutional bottlenecks and systematic and mechanism issues in the construction of Doing Business environment, so as to provide intellectual support to various districts and departments to propel the construction of Doing Business environment according to law.
Article 76 This Municipality shall explore and create a new model of rule of law publicity suitable for market participants, and adopt methods such as citing cases to interpret the law and scene interaction to improve the effectiveness of rule of law publicity.
This Municipality shall follow the principles of “the one who enforces the law popularizes the law” and “the one who serves popularizes the law”, and shall explore to incorporate the publicity of rule of law in optimizing Doing Business environment in the assessment of law popularizing responsibility system.
Article 77 The standing committees of the municipal and district people’s congresses shall strengthen the supervision of the optimization of Doing Business environment within their respective administrative area by hearing special work reports and conducting law enforcement inspections.
The standing committees of the municipal and district people’s congresses shall give full play to their deputies’ role in organizing deputies to the congress to carry out special surveys and inspections on optimizing doing business environment, collecting and reporting the opinions and suggestions of various market participants, and urging relevant parties to implement various work on optimizing Doing Business environment. .
Chapter VII Legal Liability
Article 78 Where the laws and administrative regulations have provided for penalties for violation of the provisions of these Regulations, such provisions shall prevail.
Article 79 The people’s governments at all levels and relevant departments and their respective functionaries of this Municipality, if committing any of the following acts in the work of optimizing Doing Business environment, shall be ordered by relevant departments to make corrections; in case of gross violation, the wrongdoer shall be held accountable according to law:
1. limiting the channels for market participants in violation of the requirements of “Integrated Online Services”;
2. refusing to make rectification for real-name negative reviews with clear descriptions and reasonable complaints;
3. illegally setting obstacles to an enterprise changing its domicile;
4. obstructing the bankruptcy administrator from performing its duties according to law; or
5. other nonperformance of the responsibility to optimize doing business environment or damaging Doing Business environment.
Chapter VIII Supplementary Provisions
Article 80 These Regulations shall be effective as of April 10, 2020.
