Can the group’s parent company transfer a pesticide registration certificate to its subsidiary?

Release Date:

2019-06-27

Recently, a company asked: Since Company B is a subsidiary of Company A, can the registration certificate already obtained by Company A be transferred to Company B? Article 47 of the Regulations on the Administration of Pesticides stipulates that it is prohibited to forge, alter, transfer, lease, or lend license documents such as pesticide registration certificates, pesticide production licenses, and pesticide business licenses. Article 62 provides that anyone who forges, alters, transfers, leases, or lends such license documents shall have the relevant certificates confiscated or revoked by the issuing authority, have their illegal gains confiscated, and be subject to a fine ranging from RMB 10,000 to RMB 50,000; if the act constitutes a crime, it shall be prosecuted in accordance with…

Recently, a company inquired: Since Company B is a subsidiary of Company A, may Company A transfer the registration certificate it has already obtained to Company B?

Article 47 of the Regulations on the Administration of Pesticides stipulates that it is prohibited to forge, alter, transfer, lease, or lend license documents such as pesticide registration certificates, pesticide production licenses, and pesticide business licenses. Article 62 provides that anyone who forges, alters, transfers, leases, or lends such license documents shall have the relevant certificates confiscated or revoked by the issuing authority, have their illegal gains confiscated, and be subject to a fine of no less than RMB 10,000 but no more than RMB 50,000; if the act constitutes a crime, criminal liability shall be pursued in accordance with the law.

From a legal perspective, the parent company and its subsidiaries are distinct legal entities. Pesticide registration authorities treat them on an equal footing with other companies. A pesticide registration certificate is a document issued by a state authority and is non‑transferable. A group company may authorize or transfer the registration dossier of a registered pesticide to a subsidiary for the purpose of obtaining registration for the corresponding product; however, as the transferee, the subsidiary must possess the requisite production capacity.

Source: Online Registration Flash News

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