【Introduction】

Company M is a well-known Internet technology company headquartered in Wuhan at home and abroad. On September 30, 2018, D (Shanghai) Culture Communication Co., Ltd. (hereinafter referred to as "D Company") and M company Wuhan branch (hereinafter referred to as "branch") reached an agreement, stipulating that D company will provide flagship stores for the branch For the design and publicity services of the opening activities, the total price of the agreement is 480,000 yuan, of which the opening activity amount is 300,000 yuan. The branch and the company D will sign a service agreement and agree that the branch will directly pay the contract to the company D The remaining 180,000 yuan branch and D company reached an agreement in the mail, and M company entrusted six ecological chain companies to pay the plaintiff.

From October 1, 2018 to October 3, 2018, Company D provided a three-day publicity service in accordance with the contract, and in the course of the activity, Company D made an additional expenditure of 87,948.20 yuan, and the branch has accepted the service.

Since then, Company D has repeatedly requested payment from Company M, but it has been unsuccessful. Company D then entrusted the firm's team of lawyers to proceed with the lawsuit.

【process result】

After receiving the entrustment, our lawyer immediately discussed the case and quickly determined the litigation strategy. While prosecuting, we searched for M company's property clues and actively provided them to the security judge, prompting the branch to take the initiative to propose a settlement plan. In the end, both parties reached a settlement, and Company M paid D Company 425,000 yuan. With the active communication of the lawyers, the branch quickly paid the contract payment, and our party finally chose to withdraw the lawsuit.

【Law summary】

One of the controversial points in this case is whether Company M needs to bear the civil liability of its branch. According to Article 14 of the "Company Law of the People's Republic of China", a company may establish a branch; the branch does not have the status of a legal person, and its civil liability shall be borne by the company.

As a well-known listed company at home and abroad, M Company, taking into account its business reputation, social impact and other factors, the two parties decided to negotiate on this matter, and finally reached a settlement, and achieved a delegation effect that satisfied the parties.