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What Are the Legal Consequences of Acts by a Legal Representative?

The legal consequences of civil activities conducted by the legal representative in the company’s name are borne by the company.

Restrictions imposed by the articles of association or the shareholders’ meeting on the legal representative’s powers may not be asserted against a good-faith counterparty.

Where the legal representative causes harm to another person while performing duties, the company bears civil liability. After assuming such liability, the company may recover from the at-fault legal representative in accordance with law or the articles of association.

Updated October 3, 2026
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