What is China’s Legal Person Certificate of Public Institution and Who Needs One?

The Legal Person Certificate of Public Institution, known as the 事业单位法人证书 in Chinese, is an official government document that serves as legal proof of a public institution’s status and legitimacy in China. This certificate is exclusively issued to government-funded public institutions as verification that they can legitimately receive government funding and operate within China’s public service framework. This authorises the institution to conduct activities within its approved scope. Applications are overseen by the State Administration for Market Regulation (国家市场监督管理总局) and issued by ​​事业单位登记管理机关 (Registration Administration Authority for Public Institutions)

There are three key laws that form the legal basis for the Legal Person Certificate of Public Institution:

• Provisional Regulations on the Registration of Public Institutions (Revision 2004)
• Civil Code of the People’s Republic of China (2020) 
• Interim Provisions on the Administration of Public Institution Legal Person Registration (2014).

These regulations are designed to ensure the proper functioning, accountability, and legal compliance of government-funded public institutions, particularly in sectors critical to social development such as education, healthcare, scientific research, and cultural preservation. The certificate system provides transparency and verification for institutions that receive public funding and deliver essential services to Chinese society.

Who Needs a Legal Person Certificate of Public Institution?

The Legal Person Certificate of Public Institution is exclusively held by government-funded organisations that provide public services or conduct activities for social benefit. This includes:

Educational Institutions:

• Public universities and colleges
• Government research institutes and academies
• State-funded professional training centers
• Public educational support organizations

Healthcare Organisations:

• Public hospitals and medical centers
• Disease prevention and control centers
• Government medical research institutions
• State health promotion organizations

Scientific Research Bodies:

• Government-sponsored research institutes
• State technology development centers
• Public scientific testing and certification bodies
• Agricultural research stations

Cultural and Social Service Organisations:

• State museums and cultural centers
• Public libraries and archives
• Government social welfare organizations
• Environmental protection agencies

It is important to note that private organisations, for-profit entities, and foreign companies cannot obtain this certificate.

Wholly Foreign-Owned Entities (WFOEs) cannot obtain this certificate and must work with certified public institutions through partnerships or service agreements to access their services or collaborate on projects.

Why Do You Need This Certificate?

Government-funded organisations that provide public services or conduct activities for social benefit in China must hold a Legal Person Certificate of Public Institution to legally operate and receive government funding.

The certificate is required for various official activities, including

• Signing cooperation agreements and contracts
• Applying for scientific research projects and grants
• Handling real estate registration and property rights
• Opening bank accounts and financial services
• Tax registration and compliance
• Annual vehicle inspections and corporate certificate reviews
• Government procurement and bidding processes

Operating as a public institution without this certificate may result in:

Legal Consequences:

• Loss of government funding eligibility
• Orders to cease operations immediately
• Confiscation of assets and illegal income
• Criminal liability for responsible individuals

Operational Restrictions:

• Inability to open institutional bank accounts
• Restrictions on signing official contracts
• Blocked access to government funding
• Exclusion from public procurement opportunities

If your organisation is a government-funded public institution providing public services, conducting research for social benefit, or operating in the education, healthcare, or cultural sectors, the Legal Person Certificate is not optional; it is a legal obligation.

What are the Application Prerequisites?

The Legal Person Certificate of Public Institution is not available for application by private entities or foreign companies. This certificate is exclusively issued to government-funded public institutions through an internal government designation process.

Below is an overview of how government-funded public institutions typically receive this certificate:

Documentation Requirements:

• Government establishment approval documents
• Articles of association or organizational charter
• Proof of government funding authorization
• Venue certificate or property lease agreement
• Asset verification report
• Curriculum vitae of government-appointed management personnel
• Financial statements and budget plans
• Organizational structure and staffing plan

Qualification Criteria:

• Clear public service mission and objectives
• Adequate government funding sources and financial stability
• Qualified management team and professional staff
• Appropriate facilities and equipment
• Compliance with relevant industry standards
• Approval from sector-specific regulatory authorities

Review Process:

• Government decision to establish the public institution
• Document review and verification by institutional affairs departments
• On-site inspection of facilities and operations
• Review by expert evaluation committee
• Final approval and certificate issuance

All documentation and compliance requirements are managed through government administrative processes rather than external applications.

Can Foreign Companies Obtain this Certificate?

No. Wholly Foreign-Owned Entities (WFOEs) cannot obtain a Legal Person Certificate of Public Institution. This fundamental restriction means foreign organisations must establish partnerships with certified Chinese public institutions to access their services or collaborate on projects.

How Can AppInChina Help?

AppInChina provides expert support to help international companies understand and navigate partnerships with Chinese public institutions that hold Legal Person Certificates. We can help by:

Partnership Facilitation:

• Institution verification and due diligence services
• Liaison services with Chinese public institutions
• Document preparation and translation services

Whether you’re exploring opportunities to collaborate with Chinese public institutions for research, education, cultural exchange, or other initiatives, AppInChina offers the tools, expertise, and local insight you need to establish successful partnerships with confidence.

Contact us to discuss your partnership strategy and discover the most effective path to working with China’s certified public institutions in a cooperative and compliant manner.