On December 4, 2016, the Launching Ceremony of Green Legal Global Alliance & Seminar on "Building a Green Three-dimensional Legal Ecology Circle" sponsored and hosted by Beijing DOCVIT Law Firm kicked off in Beijing. As the representative of sponsored units of alliance, Mr. Tian Maoyong, president of CFO World periodical office, attended the ceremony and delivered a keynote speech.

I think the establishment of Green Legal Global Alliance is a very good phenomenon, it represents that the role and cognition of domestic legal practice in the economic activities are moving to a new height. Now I'm going to talk about two points:

First, by listening to your opinions, I recalled the idea of a market planning expert many years ago. He said, China would determine the boundaries of the market economy through litigation in the future, I think this view has some reasons to a certain extent. In economics, Coase Theorem argues that in a relatively well-functioning market economy, firstly, its property right boundary is clear; secondly, the information is relatively adequate and the asymmetries of both sides are sufficient, domestic market economy may have relatively big problems when referring to these two points.

The property rights of our market economy have not yet formed or defined clear boundaries. In particular, the country recently issued a large number of documents, including the revitalization of the Northeast, I think a lot of problems come from our lack of perception and respect for the law, for example, some time ago I saw a foreign article, it talked about "the new official ignores the old accounts", so what is the problem reflected by this phenomenon? For example, when attracting foreign businesses and investment, this phenomenon is particularly evident in the Northeast China, after signing the contract; one side may immediately deny the contract.

I think this is a lack of basic respect for the contractual spirit. It is difficult to understand this behavior as an economy in the process of market economy restructuring, in the future, the responsibility of performing the contract cannot be ignored by any economic entity.

Second, we have long been in touch with the chief financial officer, the chief financial officer and the lawyer has an intersection. In a company, accountants and lawyers are the two major escorts of the company. We see that a lot of finances cannot be separated from the validation of legal boundaries and performance of compliance behavior.

Recently, I have observed a trend that the legal risk responsibilities of listed companies in China are rising, we all know China's listed companies, but why do we like to come into the market? Because as for taking a large amount of money, the risk in it is not particularly large, the latest punishment is only 500 thousand yuan, which for companies with a financing of many billions, the responsibilities they have to bear are too small.

However, a lot of law amendments are enhancing the top grid punishment authority, and I have talked to HUAWEI, ZTE, the two companies have tens of thousands of patents of invention, we cannot say that they do not respect intellectual property rights, but their intellectual property rights in China earn the least profits. It is ridiculous that an intellectual property lawsuit cannot even recover the cost. We see a lot of news, patent authorization between Samsung and Apple is calculated by billion dollars, if we cannot achieve this amount, it will be difficult for China to be an innovation power, because our law does not support or encourage innovation, and the cost of stealing is too low.

Of course, good trends are more and more obvious, so in the end, I hope the Green Legal Global Alliance can form the docking with our CFO resources, and the two sides jointly promote the completion of the last kilometer of the market economy. Thank you very much!