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Five departments: Without fair competition, the franchise right shall not be granted to the operator

author:China News Network

According to the website of the State Administration for Market Regulation, in order to fully implement the fair competition review system, improve the fair competition review mechanism, and standardize the effective implementation of the review work, the State Administration for Market Regulation and other five departments have formulated and issued the "Detailed Rules for the Implementation of the Fair Competition Review System" (hereinafter referred to as the "Implementation Rules"). The Detailed Implementing Rules make it clear that without fair competition, business operators shall not be granted the right to franchise.

In terms of market access and exit standards, the Detailed Implementing Rules require that unreasonable or discriminatory conditions for entry and exit shall not be set, including but not limited to: setting entry and exit conditions that are obviously unnecessary or exceed actual needs, excluding or restricting business operators from participating in market competition; without the basis of laws, administrative regulations or State Council regulations, unreasonably differential treatment of business operators of different ownership systems, regions and organizational forms, and setting unequal market access and exit conditions; no law, On the basis of administrative regulations or the provisions of the State Council, market access barriers are set or covertly set up on the basis of filing, registration, registration, catalog, annual inspection, annual report, supervision, identification, certification, recognition, inspection, monitoring, verification, designation, number matching, re-inspection, re-examination, renewal of certificates, requirements for the establishment of branches, and any other forms; there is no basis for laws, administrative regulations or state council regulations to set or covertly set up market exit obstacles for enterprises such as deregistration, bankruptcy, listing transfer, relocation and transfer; administrative licensing, administrative inspection, Administrative penalties, administrative compulsions, and other methods, forcing or covertly forcing enterprises to transfer technology, and setting or covertly setting up barriers to market access and exit.

The Detailed Implementing Rules mention that a franchise right may not be granted to a business operator without fair competition, including but not limited to: implementing a franchise in a general competitive field or adding an administrative license in the name of a franchise; failing to specify the term of the franchise right or extending the franchise period without statutory procedures; failing to directly grant the franchise right to a specific business operator by means of competition such as bidding and competitive negotiation in accordance with the law; and setting discriminatory conditions so that the business operator cannot participate in the franchise competition fairly.

The Detailed Implementing Rules propose that the operation, purchase or use of goods and services provided by specific business operators shall not be restricted, including but not limited to: restricting or covertly restricting the operation, purchase and use of goods and services provided by specific business operators by explicitly requiring, implying, refusing or delaying administrative approval, repeated inspections, not accessing platforms or networks, and giving incentives and subsidies in violation of laws and regulations; and restricting the location, ownership and organizational forms of bidders in bidding and government procurement. Or set other unreasonable conditions to exclude or restrict business operators from participating in bidding and bidding, government procurement activities; without the basis of laws, administrative regulations, or state council regulations, exclude or restrict potential business operators from providing goods and services by setting up unreasonable conditions such as project databases, directory databases, alternative databases, and qualification databases.

The Detailed Implementing Rules make it clear that no examination and approval procedures shall be set up for industries, fields, businesses, etc. other than those on the negative list of market access, mainly referring to the restriction or covert restriction of market access by prohibiting entry, restricting the qualifications of market entities, restricting the proportion of equity, restricting the scope of business and business models without the basis of laws, administrative regulations or provisions of the State Council.

The Detailed Implementing Rules also make it clear that the arrangement of fiscal expenditures generally must not be linked to the tax or non-tax income paid by specific business operators, mainly referring to preferential policies such as the collection of revenues and expenditures or the illegal and illegal use of taxes and expenditures or illegal and illegal measures such as collecting first and then returning, and immediately levying and refunding, or giving specific business operators financial incentives or subsidies, reducing or reducing the income from the paid use of natural resources such as land.

The social insurance premiums that a specific business operator shall not be exempted or deferred in violation of laws and regulations, mainly refers to the reduction or suspension of the basic old-age insurance premiums, basic medical insurance premiums, unemployment insurance premiums, work injury insurance premiums, maternity insurance premiums, etc. that need to be paid by specific business operators without a basis in laws, administrative regulations or state council provisions, and on the basis of factors such as the scale of the business operator, the form of ownership, the form of organization, and the region.

Source: China News Network