In the global supply chain, delays, miscommunication, and supplier evasion can cause significant financial risks for international buyers. This case demonstrates how our legal team effectively assisted a U.S. client in resolving a critical trade dispute in China.

Background

A renewable energy company based in the United States placed an order for a large batch of solar panels with a Chinese supplier. The contract clearly stipulated a 50% advance payment to initiate production, with the remaining balance due upon delivery.

After making the deposit and receiving a partial shipment of the goods, the client encountered an alarming situation — the supplier stopped responding to emails and phone calls. Repeated attempts to contact the company failed, and when the client sent representatives to the supplier's listed office address in China, they discovered the premises were vacant.

Facing this sudden supplier disappearance and potential financial loss, the client immediately reached out to our firm for legal assistance.

Our Response

Upon receiving the client's request, our legal team took action within hours. Leveraging our extensive experience in handling international trade disputes in China, we implemented the following measures:

✅ Conducted a detailed background investigation to verify the supplier’s true business registration information.
✅ Utilized our local resources to track down alternative company addresses and operational sites.
✅ Drafted and issued formal legal demands in both Chinese and English, notifying the supplier of potential legal consequences under Chinese law.
✅ Coordinated with relevant Chinese commercial authorities to apply additional regulatory pressure.

Results

Thanks to our team's swift response and deep understanding of Chinese legal and business environments, we successfully re-established contact with the supplier within one week. Through strategic legal negotiation and firm pressure, we secured the recovery of the client's outstanding funds within just 15 days.

Our proactive intervention prevented further financial losses for the U.S. buyer and allowed them to proceed with alternative supply arrangements without disrupting their project timeline.

Conclusion

This case highlights how crucial it is for international buyers to have trusted legal representation when doing business in China. Supplier evasion, contract breaches, and payment disputes are not uncommon, but with the right legal support, these risks can be managed effectively.

Our legal team specializes in assisting global clients facing trade disputes in China. From background checks to negotiation, evidence collection, and formal legal action — we provide comprehensive, efficient solutions to protect our clients' interests.