Legal basis: Civil Code of People's Republic of China (PRC).

Article 61 In accordance with the law or the articles of association of a legal person, the person in charge of civil activities on behalf of the legal person is the legal representative of the legal person.

The legal consequences of the legal representative's civil activities in the name of a legal person shall be borne by the legal person.

The restriction of the legal representative's representation by the articles of association or the functions and powers of the legal person shall not be against the bona fide counterpart.

Article 62 If a legal representative causes damage to others when performing his duties, the legal person shall bear civil liability.

After a legal person bears civil liability, it may claim compensation from the legal representative at fault in accordance with the law or the articles of association of the legal person.