Companies can set up branches. The establishment of a branch company shall apply to the company registration authority for registration and obtain a business license. A branch company does not have legal person status, and its civil liability shall be borne by the company. Branches are under the jurisdiction of the head office in business, funds and personnel, and do not have legal personality in law. Fundamentally speaking, it belongs to a branch of the head office. Although a branch has no independent property and legal person status, it can become a party to a civil lawsuit just like other organizations in the civil procedure law as long as it is registered by the industrial and commercial department and obtains a business license.
legal ground
Article 14 Branches and subsidiaries may set up branches. The establishment of a branch company shall apply to the company registration authority for registration and obtain a business license. A branch company does not have legal person status, and its civil liability shall be borne by the company. A company may set up subsidiaries, which have legal personality and independently bear civil liabilities according to law.