Company: GVH
Filing Date: 2025-02-12
Form Type: 20-F
Source: 0001493152-25-006117
Chunk: 21

Company: Globavend Holdings Ltd
Filing Date: 2025-02-12
Form: 20-F
Item: Item 3
Chunk 21
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 to
conduct our business could require us to change certain aspects of our business to ensure compliance; decrease demand for our services;
reduce revenues; increase costs; require us to obtain more licenses, permits, approvals, or certificates; or subject us to additional
liabilities. To the extent any new or more stringent measures are implemented, our business, financial condition, and results of operations
could be adversely affected and the value of our Ordinary Shares could decrease or become worthless.

The Hong Kong
legal system embodies uncertainties that could limit the legal protections available to you and us.

All of our operations
are conducted in Hong Kong. Hong Kong is a special administration region of the PRC. On July 1, 1997, the PRC assumed sovereignty of
Hong Kong under the “one country, two systems” principle which ensures that Hong Kong has its own governmental and legal
system that is independent from mainland China and, as a result, has its own distinct rules and regulations. The constitutional document
of Hong Kong, the Basic Law, provides that Hong Kong enjoys the freedom to function with a high degree of autonomy for its affairs, including
currencies, immigration and customs operations, and its independent judiciary system and parliamentary system. The laws previously in
force in Hong Kong, that is, the common law, rules of equity, ordinances, subordinate legislation and customary law are maintained. Hong
Kong continues using the English common law system. The Special Administrative Region of Hong Kong is responsible for its own domestic
affairs including, but not limited to, the judiciary and courts of last resort, immigration and customs, public finance, currencies and
extradition.

In contrast, the PRC
legal system is a civil law system based on written statutes unlike the common law system applicable in Hong Kong; prior court decisions
may be cited for reference but have limited precedential value. Since 1979, the PRC government has promulgated laws and regulations governing
economic matters in general, such as foreign investment, corporate organization and governance, commerce, taxation, and trade. However,
China has not developed a fully integrated legal system. As a result, recently enacted laws and regulations may not sufficiently cover
all aspects of economic activities in China. In particular, because these laws and regulations are relatively new and due to the limited
volume of published cases and their non-binding nature, interpretation and enforcement of these newer laws and regulations involve greater
uncertainties than those in jurisdictions available to you. In addition, the PRC’s legal