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Danone v. Wahaha: who laughs last?

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journal contribution
posted on 2023-06-08, 15:20 authored by Qingxiu BuQingxiu Bu
Multinational Companies may result in culture clashes, incompatibility of Western corporate governance and legal resolution strategies. As one of the most successful joint venture models, the high-profile Danone/Wahaha dispute has been accelerated into a two-year legal feud against the infringement of the famous brand of WAHAHA across jurisdictions. The case represents a significant watershed which reflects the status quo of controversies over cooperation and competition in China. Under the current legal framework, Danone’s withdrawal would serve as a wake-up call for both foreign investors and Chinese companies in the dramatically increasing cross-border merger & acquisitions. The seminal case perfectly illustrates unwritten issues about public opinion, nationalism and the rule of law. Danone v. Wahaha has also been commonly conceived as a landmark case through which Chinese side may verify the fairness of the Western judicial system, while the European party may regard it as a touchstone for China’s investment environment as well as the specific sphere of contract spirit. It also offers myriad lessons, including the need for watertight contracts, IP rights, and international arbitrations.

History

Publication status

  • Published

File Version

  • Published version

Journal

European Journal of Law Reform

ISSN

1387-2370

Publisher

Eleven International Publishing

Issue

3-4

Volume

13

Page range

614-628

Department affiliated with

  • Law Publications

Full text available

  • Yes

Peer reviewed?

  • Yes

Legacy Posted Date

2013-07-08

First Open Access (FOA) Date

2013-07-16

First Compliant Deposit (FCD) Date

2013-07-16

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