Legal basis: Article 170 of the Civil Law of People's Republic of China (PRC) states that a civil juristic act carried out in the name of a legal person or an organization without legal personality on matters within its scope of functions and powers shall have effect on the legal person or organization without legal personality. The restriction of a legal person or an unincorporated organization on the scope of functions and powers of a person performing a task shall not be opposed to a bona fide counterpart.