Legal basis: Article 502 of the Civil Code of the People's Republic of China. A contract established in accordance with the law shall take effect from the time of its establishment, unless otherwise provided by law or otherwise agreed by the parties.
In accordance with the provisions of laws and administrative regulations, if the contract should be approved, the provisions shall prevail. If the failure to go through approval and other procedures affects the validity of the contract, it will not affect the performance of the approval and other obligation clauses in the contract and the validity of relevant clauses. If the party that should go through the approval procedures fails to perform its obligations, the other party may require it to bear responsibility for breach of obligations.
The modification, transfer and termination of the contract shall be subject to approval in accordance with the provisions of laws and administrative regulations and the provisions of the preceding paragraph shall apply.