Division of Capital Contributions in a Sole Proprietorship in a Divorce Case
Division of Capital Contributions in a Sole Proprietorship in a Divorce Case
If community property is a sole proprietorship established with the investment of both spouses in the name of either spouse, the community property shall be divided as follows.
Either spouse claims the right of operation
If either spouse claims the right to operate the sole proprietorship, the assets of the sole proprietorship will be evaluated, and the spouse who is granted the ownership of the assets shall provide the other spouse with appropriate compensation.
Both spouses claim the right of operation
If both spouses claim the right to operate the sole proprietorship, the ownership of the assets of the sole proprietorship will be granted to either spouse by bidding, and the spouse who is granted the ownership of the assets shall provide the other spouse with appropriate compensation.
Neither spouse claims the right of operation
If neither spouse claims the right to operate the sole proprietorship, the ownership of the assets shall be settled in accordance with the Sole Proprietorship Law of the People's Republic of China.
Robert Zhang 
Steve Li 