Judgments resolve commercial disputes in Oriental Beauty Valley

Commercial disputes involving live-streaming and cross-border business have increased rapidly among companies in the Oriental Beauty Valley, according to a white paper released by Fengxian District's People's Court on Friday.

There was only one livestreaming dispute relating to the valley between July in 2018 and June in 2019, however, the number soared to 22 between last July and this June, the white paper revealed.

At the same time, the number of cross-border e-commerce disputes has seen an increase, from 26 (2019.07-2020.06) to 48 (2020.07-2021.06).

Also, there were issues related to performance transactions, compliance management, and corporate governance in the commercial entities involved in the valley's enterprises.

In a typical case relating to cosmetic medicine, the defendant company and the accuser were in dispute because that the scar treating result was not good enough for the accuser.

The district's court accepted a total of 221 commercial cases of the Valley, involving a total of 1.073 billion yuan (US$168 million) in this year's first six months.

The result shows that the defendant took 80-percent responsibility. While there were no specific terms in their contract for the situation, the judge made the judgement by comparing the usual treatment process.

The Valley in suburban Fengxian District is the largest cosmetics and health industrial hub in China with more than 3,000 brands from home and abroad.

Shanghai is building a "world-class beauty and health industry highland" in Fengxian New City, one of its five "new cities."

Some 3,000 cosmetics firms, including leading brands such as Jala, Pechoin, Chicmax and Marie Dalgar, have opened manufacturing centers or marketing headquarters in the valley since it was launched five years ago, according to the Fengxian government.