The Governance of Charities in China

Abstract

The passage of the Charity Law signals the beginning of a new era in the legal regulation of charities in China. Its provisions reflect the increasing autonomy of charitable actors in exercising their management rights and the reduced control of the government over the use of charity resources. The shift of the state’s attitude towards its relationship with the charitable sector brings new insights into the governance of charities in China. This article highlights the public-private law hybrid nature of the new legislative arrangement for charities and outlines the policy dynamics underlying its operation and development. It argues that the hybrid nature of the Charity Law was intentionally created by legislators, and the design of the governance framework for charities should therefore be responsive to this new legislative arrangement. Following on this reasoning, the article explores the implications that analysis of the hybrid nature of the Charity Law has for the governance of charities in China. It identifies the parties relevant to charity governance, the way in which they interact, and the governance principles that can be applied to charities.