Savoring the sweetness of a soft approach to business dispute

Editor's note:

Shanghai authorities have officially launched the nation's first foreign-related judicial documentary series, "Foreigners Tell Stories: A Rule-of-Law Business Environment." This highly anticipated sequel builds on the success of its first season, which garnered worldwide attention. The second season delves deeper into Shanghai's ambitious "Five Centers" initiative.

Werner Schuppisser is the founder and CEO of a company instrumental in transplanting a well-known Swiss brand of ice cream to Shanghai.

A Swiss national, Schuppisser has been working and living in Shanghai for more than two decades, and has now survived a tough challenge that threatened the very existence of his cherished “sweet business.”

It all started with a legal dispute: Schuppisser and his business partner had bitter differences over the management of their company, with the latter suing in a local court, demanding the dissolution of the company, in order to take back his investment.

“This company is almost like my baby, and I was not prepared to see the fruits of the past few years go down the drain, least of all see my employees dismissed in such a manner,” Schuppisser recalled.

In hearing the case, the rigidity of legal provisions was tempered by Oriental wisdom of softness, according to Ji Lingling, a presiding judge of the commercial court at Jing’an District People’s Court.

Ji explained that while the individually held property of the company was defined in light of existing evidence, a human touch and flexibility came in handy in settling the dispute over the dissolution of the company.

Due to combined efforts of the adjudicating team, a stake transfer was effected in a peaceful manner to settle the dispute, which precluded a series of complications that might ensue.

“Thanks to the judges at the Jing’an court, whose patience led to multiple rounds of reconciliation talks, I managed to purchase the stake from my partner, saving the company and the jobs of my employees,” Schuppisser said.

Now, the Swiss entrepreneur is embarking on an expansion, launching franchises in Chongqing, Shenzhen and Beijing.

“In the hindsight of the litigation, I have gained a heightened perception of the professionalism, justice and efficiency of Shanghai judges. With their help, our company continues to develop, to the gratification of our employees, as well as our clients,” he noted.

By applying the uniquely Chinese philosophy of tempering toughness with gentleness in hearing some legal disputes, the local court reached a win-win verdict acceptable to all parties.

As a foreign investor, Schuppisser feels strongly about the convenience of doing business and living in China.

“We are not only expanding investment in the company, hiring more local employees, but will continue to bring more Swiss products to China,” he said. “I have full confidence in the Chinese market, and am willing to share with Chinese consumers more gourmet food from Switzerland, because it has always been the ‘sweet business’ I have pursued.”