Legal basis: People's Republic of China (PRC) Lawyers Law.
Article 20 A state-funded law firm independently engages in lawyer business and is liable for its debts with all its assets.
Article 18 To establish a law firm, an application shall be submitted to the judicial administrative department of the people's government at the municipal level or municipality directly under the Central Government, and the department accepting the application shall conduct an examination within 20 days from the date of acceptance, and submit the examination opinions and all application materials to the judicial administrative department of the people's government of the province, autonomous region or municipality directly under the Central Government. The judicial administrative departments of the people's governments of provinces, autonomous regions and municipalities directly under the Central Government shall, within 10 days from the date of receiving the submitted materials, make a review and make a decision on whether to approve the establishment. If the establishment is approved, the practice certificate of law firm shall be issued to the applicant; If the establishment is not approved, the reasons shall be explained in writing to the applicant.