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CIVIL PROCEDURE LAW

OF THE PEOPLE'S REPUBLIC OF CHINA

(Adopted at the Fourth Session of the Seventh National People's Congress on April 9, 1991; amended for the first time according to the Decision on Amending the Civil Procedure Law of the People's Republic of China adopted at the 30th Meeting of the Standing Committee of the Tenth National People's Congress on October 28, 2007; amended for the second time according to the Decision on Amending the Civil Procedure Law of the People's Republic of China adopted at the 28th Meeting of the Standing Committee of the Eleventh National People's Congress on August 31, 2012)

PART ONE GENERAL PROVISIONS

§ 1 The Aim, Scope of Application Basic Principles

Article 1. The Civil Procedure Law of the People’s Republic of China is formulated on the basis of the Constitution and in the light of the experience and actual conditions of our country in the trial of civil cases.

Article 2. The Civil Procedure Law of the People’s Republic of China aims to protect the exercise of the litigation rights of the parties and ensure the ascertaining of facts by the people’s courts, distinguish right from wrong, apply the law correctly, try civil cases promptly, affirm civil rights and obligations, impose sanctions for civil wrongs, protect the lawful rights and interests of the parties, educate citizens to voluntarily abide by the law, maintain the social and economic order, and guarantee the smooth progress of the socialist construction.

Article 3. In dealing with civil litigation arising from disputes on property and personal relations between citizens, legal persons or other organizations and between the three of them, the peoples’ courts shall apply the provisions of this Law.

Article 4. Whoever engages in civil litigation within the territory of the People’s Republic of China must abide by this Law. Article 5. Aliens, stateless persons, foreign enterprises and organizations that bring suits or enter appearance in the people’s courts shall have the same litigation rights and obligations as citizens, legal persons and other organizations of the People’s Republic of China. If the courts of a foreign country impose restrictions on the civil litigation rights of the citizens, legal persons and other organizations of the People’s Republic of China, the people’s courts of the People’s Republic of China shall follow the principle of reciprocity regarding the civil litigation rights of the citizens, enterprises and organizations of that foreign country.

Article 6. The people’s courts shall exercise judicial powers with respect to civil cases. The people’s courts shall try civil cases independently in accordance with the law, and shall be subject to no interference by any administrative organ, public organization or individual.

Article 7. In trying civil cases, the people’s courts must base themselves on facts and take the law as the criterion. Article 8. The parties in civil litigation shall have equal litigation rights. The people’s courts shall, in conducting the trials, safeguard their litigation rights, facilitate their exercising the rights, and apply the law equally to them.

Article 9. In trying civil cases, the people’s courts shall conduct mediation for the parties on a voluntary and lawful basis; if mediation fails, judgments shall be rendered without delay.

Article 10. In trying civil cases, the people’s courts shall, according to the provisions of the law, follow the systems of panel hearing, withdrawal, public trial and the court of second instance being that of last instance.

Article 11. Citizens of all nationalities shall have the right to use their native spoken and written languages in civil proceedings. Where minority nationalities live in aggregation in a community or where several nationalities live together in one area, the people’s courts shall conduct hearings and issue legal documents in the spoken and written languages commonly used by the local nationalities. The people’s courts shall provide translations for any participant in the proceedings who is not familiar with the spoken or written languages commonly used by the local nationalities.

Article 12. Parties to civil actions are entitled in the trials by the people’s courts to argue for themselves.

Article 13. Civil litigation shall observe the principle of honesty and good faith. The parties are free to deal with their own civil rights and litigation rights the way they prefer within the scope provided by the law.

Article 14. The people’s procuratorate shall have the right to conduct legal supervision over civil litigation.

Article 15. Where an act has infringed upon the civil rights and interests of the State, a collective organization or an individual, any State organ, public organization, enterprise or institution may support the injured unit or individual to bring an action in a people’s court.

Article 16. The people’s congresses of the national autonomous regions may formulate, in accordance with the Constitution and the principles of this Law, and in conjunction with the specific circumstances of the local nationalities, adaptive and supplementary provisions. Such provisions made by an autonomous region shall be submitted to the Standing Committee of the National People’s Congress for approval; those made by an autonomous prefecture or autonomous county shall be submitted to the standing committee of the people’s congress of the relevant province or autonomous region for approval and to the Standing Committee of the National People’s Congress for the record.

§ 2 Jurisdiction

§ 2-1 Jurisdiction by Forum Level

Article 17.The primary people's courts shall have jurisdiction as courts of first instance over civil cases unless otherwise provided in this Law.

Article 18.The intermediate people's courts shall have jurisdiction as courts of first instance over the following civil cases:

(1) major cases involving foreign element;

(2) cases that have major impact on the area under their jurisdiction;

(3) cases as determined by the Supreme People's Court to be under the jurisdiction of the intermediate people's courts.

Article 19. The high people's courts shall have jurisdiction as courts of first instance over civil cases that have major impact on the areas under their jurisdiction.

Article 20. The Supreme People's Court shall have jurisdiction as the court of first instance over the following civil cases:

(1) cases that have major impact on the whole country;

(2) cases that the Supreme People's Court deems it should try.

§ 2-2 Territorial Jurisdiction

Article 21. A civil lawsuit brought against a citizen shall be under the jurisdiction of the people's court of the place the defendant has his domicile;

if the place of the defendant's domicile is different that of his habitual residence the lawsuit shall be under the jurisdiction of the people's court of the place of his habitual residence.

A civil lawsuit brought against a legal person or any other organization shall be under the jurisdiction of the people's court of the place the defendant has his domicile.

Where the domiciles habitual residences of several defendants in the same lawsuit are in the areas under the jurisdiction of two or more people's courts, all of those people's courts shall have jurisdiction over the lawsuit.

Article 22. The civil lawsuits described below shall be under the jurisdiction of the people's court of the place the plaintiff has his domicile; if the place of the plaintiff's domicile is different that of his habitual residence the lawsuit shall be under the jurisdiction of the people's court of the place of the plaintiff's habitual residence:

(1) those concerning personal status brought against persons not residing within the territory of the People's Republic of China;

(2) those concerning the personal status of persons whose whereabouts are unknown who have been declared as missing;

(3) those brought against persons who are undergoing mandatory education measures; and

(4) those brought against persons who are in imprisonment.

Article 23. A lawsuit brought on a contract dispute shall be under the jurisdiction of the people's court of the place where the defendant has his domicile or where the contract is performed.

Article 24. The parties to a contract may agree to choose in their written contract the people's court of the place the defendant has his domicile the contract is performed the contract is signed the plaintiff has his domicile the object of the action is located to exercise jurisdiction over the case provided that the provisions of this Law regarding jurisdiction by forum level exclusive jurisdiction are not violated.

Article 24. A lawsuit brought on an insurance contract dispute shall be under the jurisdiction of the people's court of the place where the defendant has his domicile or where the insured object is located.

Article 25. A lawsuit brought on a bill dispute shall be under the jurisdiction of the people's court of the place where the bill is to be paid or where the defendant has his domicile.

Article 26. A Lawsuit brought on disputes caused by establishment of a company, confirmation of shareholder’s qualification, profit distribution or dissolution of a company, etc. shall fall under the jurisdiction of the people’s court in the place where the company is located.

Article 27. A lawsuit arising a dispute over a railway road water, or air transport contract over a combined transport contract shall be under the jurisdiction of the people's court of the place of dispatch or the place of destination or where the defendant has his domicile.

Article 28. A lawsuit brought on a tort action shall be under the jurisdiction of the people's court of the place where the tort is committed or where the defendant has his domicile.

Article 29. A lawsuit brought on claims for damages caused by a railway, road, water or air transport accident shall be under the jurisdiction of the people's court of the place where the accident occurred or where the vehicle or ship first arrived after the accident or where the aircraft first landed after the accident, or where the defendant has his domicile.

Article 30. A lawsuit brought on claims for damages caused by a collision between ships or any other maritime accident shall be under the jurisdiction of the people's court of the place where the collision occurred or where the ship in collision first docked after the accident or where the ship having inflicted the injury was detained, or the defendant has his domicile.

Article 31. A lawsuit instituted for expenses of maritime salvage shall be under the jurisdiction of the people's court of the place the salvage took place the salvaged ship first docked after the disaster.

Article 32. A lawsuit brought on general average shall be under the jurisdiction of the people's court of the place where the ship first docked or where the adjustment of general average was conducted or where the voyage ended.

Article 33. The following cases shall be under the exclusive jurisdiction of the people's courts herein specified:

(1) a lawsuit brought on a dispute over real estate shall be under the jurisdiction of the people's court of the place where the estate is located;

(2) a lawsuit brought on a dispute over harbour operations shall be under the jurisdiction of the people's court of the place where the harbour is located;

(3) a lawsuit brought on a dispute over succession shall be under the jurisdiction of the people's court of the place where the decedent had his domicile upon his death, or the principal part of his estate is located.

Article 34. A Party to a contract or other property dispute may choose by written agreement to be under the jurisdiction of the people’s court in the location of the defendant’s domicile, in the place where the contract is performed or signed, in the location of the plaintiff’s domicile, in the location of the subject matter or in other location which has an actual connection with the dispute, provided that the provisions on hierarchical jurisdiction and exclusive jurisdiction prescribed in this law are not violated.

Article 35. When two or more people's courts have jurisdiction over a lawsuit, the plaintiff may bring his lawsuit in one of these people's courts; if the plaintiff brings the lawsuit in two or more people's courts that have jurisdiction over the lawsuit, the people's court in which the case was first accepted shall have jurisdiction.

§ 2-3 Transfer and Designation of Jurisdiction

Article 36. If a people's court finds that a case it has accepted is not under its jurisdiction, it shall refer the case to the people's court that has jurisdiction over the case. The people's court to which a case has been referred shall accept the case, and if it considers that, according to the relevant regulations, the case referred to it is not under its jurisdiction, it shall report to a superior people's court for the designation of jurisdiction and shall not independently refer the case again to another people's court.

Article 37. If a people's court which has jurisdiction over a case is unable to exercise the jurisdiction for special reasons, a superior people's court shall designate another court to exercise jurisdiction.

In the event of a jurisdictional dispute between two or more people's courts, it shall be resolved by the disputing parties through consultation; if the dispute cannot be so resolved, it shall be reported to their common superior people's court for the designation of jurisdiction.

Article 38. A people's courts shall have the right to hear civil cases of first instance which fall under the jurisdiction of the people’s courts at lower levels. Where a court finds it necessary to transfer the civil case of first instance under its jurisdiction to a court at the lower level for trial, it shall submit the matter to the court at the higher level for approval.

If a people's court that has jurisdiction over a civil case as court of first instance deems it necessary to have the case to be tried by a people’s court at a higher level, it may submit it to and request the people’s court at a higher level to try the case.

§ 3 Trial Organization

Article 39. The people's court of first instance shall try civil cases by a collegial panel composed of both judges and judicial assessors or of judges alone. The collegial panel must have an odd number of members.

Civil cases in which summary procedure is followed shall be tried by a single judge alone.

When performing their duties, the judicial assessors shall have equal rights and obligations as the judges.

Article 40. The people's court of second instance shall try civil cases by a collegial panel of judges. The collegial panel must have an odd number of members.

If a case is remanded for retrial, the original trying court shall form a new collegial panel in accordance with the procedure of first instance.

If a case for retrial was originally tried at first instance, a new collegial panel shall be formed according to the procedure of first instance; if the case was originally tried at second instance or is brought by a people’s court at a higher level for trial, a new collegial panel shall be formed according to the procedure of second instance.

Article 41. The president of the court or the chief judge of a division of the court shall designate a judge to serve as the presiding judge of the collegial panel; if the president or the chief judge participates in the trial, he himself shall serve as the presiding judge.

Article 42. When deliberating a case, a collegial panel shall observe the rule of majority. The deliberations shall be recorded in writing, and the transcript shall be signed by the members of the collegial panel. Dissenting opinions in the deliberations must be truthfully entered in the transcript.

Article 43. The adjudicators shall deal with all cases impartially and in accordance with the law.

The adjudicators shall not accept any treat or gift from the parties or their agents ad litem.

Any adjudicators who commits embezzlement, accepts bribes engages in malpractice for personal benefits or who perverts the law in passing judgment shall be investigated for legal responsibility; if the act constitutes a crime, the offender shall be investigated for criminal responsibility according to the law.

§ 4 Withdrawl

Article 44. An adjudicator in any of the following circumstances shall withdraw from the case, or the party may apply for his withdrawal in oral or written form:

(1) where the adjudicator is a party to the case or is a close relative to a party or agent ad litem;

(2) where the adjudicator being an interested party in the case; or

(3) where the adjudicator has other relationship with a party or agent ad litem, and such relationship may affect the impartial trial of the case.

Where an adjudicator accepts gifts or entertainment of a party or agent ad litem, or meets with a party or agent ad litem in violation of relevant provisions, the party concerned shall have the right to file a request for his withdrawal.

Where an adjudicator falls in any of the circumstances stipulated in the preceding paragraph, he shall be investigated for legal liability according to the law.

The provisions in the first three paragraphs herein shall be applicable to clerks, translators, expert and inspection personnel.

Article 45. In applying for the withdrawal, the party shall state the reason and submit the application at the beginning of the proceedings; the application may also be submitted before the closing of arguments in court if the reason for the withdrawal is known to him only after the proceedings begin.

Pending a decision by the people's court regarding the withdrawal applied for, the adjudicator concerned shall temporarily suspend his participation in the proceedings, with the exception, however, of cases that require the taking of emergency measures.

Article 46. The withdrawal of the presiding judge who is president of the court shall be decided by the judicial committee; the withdrawal of adjudicator shall be decided by the court president; and the withdrawal of other personnel shall be decided by the presiding judge.

Article 47. The decision of a people's court on an application made by any party for withdrawal shall be made orally or in writing within three days after the application was made. If the applicant is not satisfied with the decision, he may apply for reconsideration which could be granted only once when he receives the decision. During the period of reconsideration, the person whose withdrawal has been applied for shall not suspend his participation in the proceedings. The decision of a people's court on the reconsideration shall be made within three days after receiving the application and the applicant shall be notified of it accordingly.

§ 5 Participants in Proceedings

§ 5-1 Parties

Article 48. Any citizen, legal person any other organization may become a party to a civil action.

Legal persons shall be represented by their legal representatives in the litigation. Other organizations shall be represented by their principal heads in the proceedings.

Article 49. Parties to an action shall have the right to appoint agents, apply for withdrawals, collect and provide evidence, proffer arguments, request mediation, file an appeal and apply for execution.

Parties to an action may have access to materials pertaining to the case and make copies thereof and other legal documents pertaining to the case. The scope of and rules for consulting and making copies of them shall be specified by the Supreme People's Court.

Parties to an action must exercise their litigation rights in accordance with the law, observe the procedures and carry out legally effective written judgments or orders and mediation statements.

Article 50. The two parties may reach a compromise of their own accord.

Article 51. The plaintiff may relinquish or modify his claims. The defendant may admit or rebut the claims and shall have the right to file counterclaims.

Article 52. When one party or both parties consist of two or more than two persons, their object of action being the same or of the same category and the people's court considers that, with the consent of the parties, the action can be tried combined, it is a joint action.

If a party of two or more persons to a joint action have common rights and obligations with respect to the object of action and the litigation act of any one of them is recognized by the others of the party, such an act shall be valid for all the rest of the party; if a party of two or more persons have no common rights and obligations with respect to the object of action, the litigation act of any one of them shall not be valid for the rest.

Article 53. If the persons comprising a party to a joint action is large in number, the party may elect representatives from among themselves to act for them in the litigation. The acts of such representatives in the litigation shall be valid for the party they represent. However modification or waiver of claims or admission of the claims of the other party or pursuing a compromise with the other party by the representatives shall be subject to the consent of the party they represent.

Article 54. Where the object of action is of the same category and the persons comprising one of the parties is large but uncertain in number at the commencement of the action, the people's court may issue a public notice, stating the particulars and claims of the case and informing those entitled to participate in the action to register their rights with the people's court within a fixed period of time.

Those who have registered their rights with the people's court may elect representatives from among themselves to proceed with the litigation; if the election fails its purpose, such representatives may be determined by the people's court through consultation with those who have registered their rights with the court.

The acts of such representative in the litigation shall be valid for the party they represent; however modification and waiver of claims and admission of the claims of the other party or pursuing a compromise with the other party by the representatives shall be subject to the consent of the party they represent.

The judgments or rulings rendered by the people's court shall be valid for all those who have registered their rights with the court. Such judgments or rulings shall apply to those who have not registered their rights but have instituted legal proceedings during period of limitation of the action.

Article 55. Relevant organs and organizations prescribed by the law may bring a lawsuit to the people’s court against the acts that undermine the public interest such as environmental pollution, infringement of the legitimate interests and rights of a certain number of consumers, etc.

Article 56. If a third party considers that he has an independent claim to the object of action of both parties, he shall have the right to bring an action.

Where the outcome of the case will affect a third party’s legal interest, such party, though having no independent claim to the object of action of both parties, may file a request to participate in the proceedings or the people’s court shall notify the third party to participate. A third party that is to bear civil liability in accordance with the judgement of the people’s court shall be entitled to the rights and obligations of a party in litigation.

In case the third party as stipulated in the preceding two paragraphs fails to participate in the proceedings for reasons not attributable to the third party itself but has evidence to prove the legally effective judgement, ruling, or mediation statement is partially or entirely erroneous in content and prejudices its civil rights and interests, the third party may, within six months from the date on which it knows or should know its rights and interests are prejudiced, file a lawsuit with the people’s court rendering such judgement, ruling or mediation statement. Where the people’s court finds the third party’s claims established upon trial, it shall change or cancel the original judgement, ruling or mediation statement; where the people’s court finds the claims not established upon trial, the claims shall be rejected.

§ 5-2 Agents Ad Litem

Article 57. Any person with no legal capacity to engage in litigation shall have his guardian or guardians as statutory agents to act for him in a lawsuit. If the statutory agents try to shift responsibility as agents ad litem upon one another, the people's court shall appoint one of them to represent the person in litigation.

Article 58. A party to an action, or statutory agent may appoint one or two persons to act as his agents ad litem.

The following person may be appointed as agent ad litem to a case:

(1)A lawyer, or grass-roots legal service provider;

(2)A close relative or working staff of the party; or

(3)A citizen recommended by the community, entity or relevant social organization to which the party belongs.

Article 59. When a person appoints another to act on his behalf in litigation, he must submit to the people's court a power of attorney bearing his signature or seal.

The power of attorney must specify the matters entrusted and the powers conferred. An agent ad litem must obtain special powers from his principal to admit, waive or modify claims to compromise or to file a counterclaim or an appeal.

A power of attorney mailed or delivered through others by a citizen of the People's Republic of China residing abroad must be certified by the Chinese embassy or consulate accredited to that country. If there is no Chinese embassy or consulate in that country, the power of attorney must be certified by an embassy or a consulate of a third country accredited to that country that has diplomatic relations with the People's Republic of China, and then transmitted for authentication to the embassy or consulate of the People's Republic of China accredited to that third country, or it must be certified by a local patriotic overseas Chinese organization.

Article 60. A party to an action shall inform the people's court in writing if he changes or revokes the powers of an agent ad litem, and the court shall notify the other party of the change or revocation.

Article 61. A lawyer who serves as an agent ad litem and other agents ad litem shall have the right to investigate and collect evidence, and may have access to materials pertaining to the case. The scope of rules for consulting materials pertaining to the case shall be specified by the Supreme People's Court.

Article 62. In a divorce case in which the parties to the action have been represented by their agents ad litem, the parties themselves shall still appear in court in person, unless they are incapable of expressing their own intent. A party who is truly unable to appear in court due to a special reason shall submit his views in writing to the people's court.

§ 6 Evidence

Article 63. Evidence shall include:

(1) Statements of the parties concerned;

(2) Documentary evidence;

(3) Physical evidence;

(4) Audio-visual materials;

(5) Electronic data;

(6) Witnesses’ testimony;

(7) Expert opinions; and

(8) Inspection records in writing.

Evidence shall be examined and proved as the grounds for ascertaining facts.

Article 64. It is the duty of a party to an action to provide evidence in support of his allegations.

If, for objective reasons, a party and his agent ad litem are unable to collect the evidence by themselves or if the people's court considers the evidence necessary for the trial of the case, the people's court shall investigate and collect it.

The people's court shall, in accordance with the procedure prescribed by the law, examine and verify evidence comprehensively and objectively.

Article 65.The parties concerned shall provide evidence in a timely manner to support their claims.

The people's court shall determine the evidence which should be provided by the parties respectively and the time limit thereof based on the claims of the parties and the progress of the proceedings. Where a party has difficulty in providing evidence within the given time limit, it may apply to the people’s court for an extension and the people’s court may extend the time limit appropriately according to the application of the party. Where a party provide evidence after the given time limit, the people’s court shall order the party to explain the reason. Where the party refuses to explain the reason or the reason is not justifiable, the people’s court may, according to the circumstances, reject such evidence, or admit such evidence but give a warning or impose a fine.

Article 66.After receiving the evidentiary materials submitted by the party concerned, the people’s court shall issue a receipt indicating the name of the evidentiary materials, the number of pages, copies, original or photocopy, and the receiving time, and bearing the signature or seal of the handlers.

Article 67. The people's court shall have the right to make investigation and collect evidence from the relevant units or individuals; such units or individuals may not refuse to provide information and evidence.

The People’s court shall verify the authenticity, examine and determine the validity of the certifying documents provide information and evidence.

The people’s court shall verify the authenticity, examine and determine the validity of the certifying documents provided by the relevant units or individuals.

Article 68. Evidence shall be presented in court and cross-examined by the parties concerned. But evidence that involves State secrets, trade secrets and personal privacy shall be kept confidential. If it needs to be presented in court, such evidence shall not be presented in an open court session.

Article 69. The people's court shall take the facts and documents legalized by notarization according to legal procedures as the basis for ascertaining facts, unless there is evidence to the contrary sufficient to invalidate the notarization.

Article 70. Any document submitted as evidence must be the original. Material evidence must also be original. If it is truly difficult to present the original document or thing, then reproductions, photographs, duplicates or extracts of the original may be submitted.

If a document in a foreign language is submitted as evidence, a Chinese translation must be appended.

Article 71. The people's court shall verify audio-visual material and determine after their examination in the light of other evidence in the case whether they can be taken as a basis for ascertaining the facts.

Article 72. Any entity or individual that has information of a case has the obligation to testify at court. The person in charge of the relevant entity shall encourage the witness to testify.

A person who is unable to correctly express himself shall not testify.

Article 73. Upon the notification of the people’s court, a witness shall testify in court. A witness may testify in the ways such as written testimony, audio-visual transmission technology or audio-visual materials upon the permission of the people’s court if the witness is in one of the following circumstances:

(1) He cannot appear in court for the reason of health;

(2) He cannot appear in court for the reason of long distance and inconvenient traffic;

(3) He cannot appear in court due to natural disaster or any other force majeure; or

(4) He cannot appear in court for any other justified reason.

Article 74. The necessary expenses paid by a witness for performance of the obligation to testify before the court, such as traffic expense, accommodation and meals, as well as the loss of working time shall be borne by the losing party. Where a party applies for a witness to give his testimony, the expenses shall be advanced by the party. Where a party does not apply for a witness to testify, but the people’s court so notifies the witness, the expenses shall be advanced by the people’s court.

Article 75. The people’s court shall examine the statements of the parties concerned in the light of other evidence in the case to determine whether the statements can be taken as a basis for ascertaining the facts.

The refusal of a party to make statements shall not prevent the people’s court from ascertaining the facts of a case on the basis of other evidence.

Article 76. A party may apply with the people’s court for expect evaluation on specific issues concerning the facts. In such a case, a qualified expert may be determined by the two parties through consultation. If consultation fails, an expert shall be appointed by the people’s court.

Where a party does not applied for expert evaluation but the people’s court deems it necessary for certain specific issues, the court shall appoint a qualified expert to conduct expert evaluation.

Article 77. An expert has the right to access the case documents required for expert evaluation, and may inquire the parties concerned and the witness when necessary.

The expert shall present the expert opinions in writing and sign or seal on the expert report.

Article 78. Where the party disagrees on the expert opinions or the people’s court deems it necessary for the expert to testify in court, the expert shall appear in court for testimony. Where the expert refuses to testify in court upon notification of the people's court, the expert opinions shall not be taken as the basis for ascertaining facts. The party paying the evaluation fees may request for the refunding of the evaluation fees.

Article 79. The Parties concerned may apply to the people’s court for notifying the person with professional knowledge to appear before court and give his opinions with respect to the expert opinions issued by the expert or to relevant professional issues.

Article 80. When inspecting material evidence or a site, the inspector must produce his papers issued by a people’s court. He shall respect the local grass-roots organization or the unit to which the party to the action belongs send persons to participate in the inspection. The party concerned or an adult member of his family shall be present; their refusal to appear on the scene, however, shall not hinder the inspection.

Upon notification by the people’s court, the relevant units and individuals shall be under the obligation of preserving the site and assisting the inspection.

The inspector shall make a written record of the circumstances and results of the inspection, which shall be duly signed or sealed by the inspector, the party concerned and the participants requested to be present.

Article 81. Under the circumstances in which evidence may be lost or it will be difficult to collect the evidence in future, the party concerned may apply with the people’s court for preservation of such evidence in the proceedings, and the people’s court may also take the initiative to take preservation measures.

Under the emergencies in which evidence may be lost or it will be difficult to collect the evidence in future, an interested party may, before the case or arbitration is filed, apply for preservation of such evidence with the people’s court in the place where the evidence in question is located or the place where the person against whom the application is filed resides, or with the people’s court that has jurisdiction over the case.

With regard to other procedures for the preservation of evidence, the relevant provisions of Chapter Nine entitled – Preservation – herein shall apply as a reference.

§ 7 Time Periods and Service

§ 7-1 Time Periods

Article 82. Time periods shall include those prescribed by the law and those designated by a people's court.

Time periods shall be calculated by the hour, the day, the month and the year.

The hour and day from which a time period begins shall not be counted as within the time period.

If the expiration date of a time period falls on a holiday, then the day immediately following the holiday shall be regarded as the expiration date.

A time period shall not include travelling time. A litigation document that is mailed before the deadline shall not be regarded as overdue.

Article 83. In case of failure on the part of a party to an action to meet a deadline due to force majeure for other justified reasons, the party concerned may apply for an extension of the time limit within 10 days after the obstacle is removed. The extension applied for shall be subject to approval by a people's court.

§ 7-2 Service

Article 84. A receipt shall be required for every litigation document that is served and it shall bear the date of receipt noted by the signature or seal of the person on whom the document was served.

The date noted on the receipt by the person on whom the document was served shall be regarded as the date of service of the document.

Article 85. Litigation documents shall be sent or delivered directly to the person on whom they are to be served. If that person is a citizen the documents shall, in case of his absence, be receipted by an adult member of his family living with him. If the person on whom they are to be served is a legal person or any other organization the documents shall be receipted by the legal representatives of the legal person or the principal heads of the other organization or anyone of the legal person or the other organization responsible for receiving such documents; if the person on whom they are to be served has an agent ad litem, the documents may be receipted by the agent ad litem; if the person on whom they are to be served has designated a person to receive litigation documents on his behalf has informed the people's court of it, the documents may be receipted by the person designated.

The date put down in the receipt signed by the adult family member living with the person on whom the litigation documents are to be served or by the person responsible for receiving documents of a legal person or any other organization, or by the agent ad litem, the person designated to receive documents shall be deemed the date of service of the documents.

Article 86. Where the person served or his adult family member who live with him refuse to accept the litigation documents, the documents shall be deemed to have served if the person serving the documents invites the representative of the relevant grass-roots organization or the employer of the person served to be present, explains the situation, clearly records the reasons and date of refusal in the receipt which shall be singed or sealed by the person serving the documents and the aforesaid witness, and leaves the litigation documents at the domicile of the person served, or if the person serving the documents leaves the litigation documents at the domicile of the person served and have the whole service process photographed or video-taped and recorded by other means.

Article 87. With the consent of the person on whom the documents are served, the people’s court may serve litigation documents in such manners that the receipt of the documents can be confirmed be the person on whom the documents are served, including facsimile and e-mail, except for the serving of judgement, ruling or mediation agreement.

Where the litigation documents are served in a manner as specified in the preceding paragraph, the date on which the facsimile or e-mail arrives at the specific system of the recipient shall be the date of service.

Article 88. If direct service proves to be difficult, service of litigation documents may be entrusted to another people's court, or done by mail. If the documents are served by mail, the date of receiving such documents stated on the receipt for postal delivery shall be deemed the date of service of the documents.

Article 89. If the person on whom the litigation documents are to be served is a serviceman, the documents shall be forwarded to him through the political organ of the unit at or above the regimental level in the force to which he belongs.

Article 90. If the person on whom the litigation documents are to be served is in Imprisonment, the documents shall be forwarded to him through the prison authority where the person is serving his term.

If the person on whom the litigation documents are to be served is undergoing mandatory education measures, the documents shall be forwarded to him through the mandatory education organization where the person is being educated.

Article 91. The organization or unit that receives the litigation documents to be forwarded must immediately deliver them to and have them receipted by the person on whom they are to be served. The date stated on the receipt shall be deemed the date of service of the documents.

Article 92. If the whereabouts of the person on whom the litigation documents are to be served is unknown, or if the documents cannot be served by the other methods specified in this Section, the documents shall be served by public announcement. Sixty days after the date of making a public announcement, documents shall be deemed to have been served.

The reasons for service by public announcement the process gone through shall be recorded in the case files.

§ 8 Mediation

Article 93. In the trial of civil cases, the people's court shall distinguish between right and wrong on the basis of the facts being clear conduct mediation between the parties on a voluntary basis.

Article 94. When a people's court conducts mediation, a single judge or a collegial panel may preside over it. Mediation shall be conducted on the spot as much as possible.

When a people's court conducts mediation, it may employ simplified methods to notify the parties concerned and the witnesses to appear in court.

Article 95. When a people's court conducts mediation, it may ask for the assistance of the units or individuals concerned. The units or individuals invited shall assist the people's court in mediation.

Article 96. A settlement agreement reached between the two parties through mediation must be of their own free will without compulsion. The content of the settlement agreement shall not contravene the law.

Article 97. When a settlement agreement through mediation is reached the people's court shall draw up a mediation statement. The mediation statement shall clearly set forth the claims the facts of the case the result of the mediation.

The mediation statement shall be signed by the judge and the court clerk, sealed by the people's court, and served on both parties.

Once it is receipted by the two parties concerned, the mediation statement shall become legally effective.

Article 98. The people's court need not draw up a mediation statement for the following cases when a settlement agreement is reached through mediation:

(1) divorce cases in which both parties have become reconciled after mediation;

(2) cases in which adoptive relationship has been maintained through mediation;

(3) cases in which the claims can be immediately satisfied; and

(4) other cases that do not require a mediation statement.

Any settlement agreement that needs no mediation statement shall be entered into the written record shall become legally effective after being signed or sealed by both parties concerned by the judge and by the court clerk.

Article 99. If no agreement is reached through mediation or if either party backs out of the settlement agreement before the conciliation statement is served, the people's court shall render a judgment without delay.

§ 9 Property Preservation and Advance Execution

Article 100. In the cases where the execution of a judgment may become impossible or difficult or otherwise harmful to a party concerned because of the acts of other party or for other reasons, the people's court may, upon the application of the party concerned, making a ruling to preserve the property of the other party to perform certain acts, or to prohibit the other party from committing certain acts; where no application is filed by either party, the people's court may also rule to take preservation measures when it deems necessary.

In adopting preservation measures, the people's court may order the applicant to provide security; if the applicant fails to provide security, the people’s court shall make a ruling within 48 hours after receiving such an application. Where the people’s court rules to take preservative measures, the ruling shall be enforced immediately.

Article 101. Where, due to the urgency of the circumstance, the legitimate rights and interests of an interested party may suffer irreparable damage without immediate application for property preservation, he may, before filing a lawsuit or an arbitration, apply for adoption of preservation measures to the people’s court in the place where the property to be preserved is located or the person against whom the application is filed resides, or to the people’s court which has jurisdiction over the case. The applicant shall provide security;

Where the applicant fails to do so, his application shall be rejected.

The people's court shall make a ruling within 48 hours after receiving such as application. Where it rules to take preservative measures, the ruling shall be enforced immediately.

Where the applicant fails to take legal proceedings or apply for arbitration within 30 days in accordance with the law after the people’s court takes preservation measures, the people’s court shall lift the preservation measures.

Article 102. Property preservation shall be limited to the scope of the claims or to the property relevant to the case.

Article 103. Property preservation shall be effected by sealing up, seizure, freezing or other methods as prescribed by the law. After the people's court has preserved the property, it shall promptly notify the person whose property has been preserved.

The property that has already been sealed up or frozen shall not be sealed up or frozen for a second time.

Article 104. In the case of property disputes, if the person against whom the application for reservation is filed provides security, the people's court shall lift the preservation measures taken.

Article 105. If an application for preservation is wrongfully made, the applicant shall compensate the person against whom the application is made for any loss incurred due to preservation.

Article 106. The people's court may, upon application of the party concerned, order advance execution in respect of the following cases:

(1) those involving claims for alimony, support for children or elders, pension for the disabled or the family of a decedent, or expenses for medical care;

(2) those involving claims for remuneration for labour, and

(3) those involving urgent circumstances that require advance execution.

Article 107. Cases in which advance execution is ordered by the people's court shall meet the following conditions:

(1) the relationship of rights obligations between the parties concerned is clear definite, and denial of advance execution would seriously affect the livelihood production operations of the applicant; and

(2) the person against whom the application for advance execution is made is capable of fulfilling his obligations.

The people's court may order the applicant to provide security; if the applicant fails to do so, his application shall be rejected. If the applicant loses the lawsuit, he shall compensate the person against whom the application is made for any loss of property incurred due to the advance execution.

Article 108. If the party concerned is not satisfied with the order made on preservation or advance execution, he may apply for reconsideration which could be granted only once. Execution of the order shall not be suspended during the time of reconsideration.

§ 10 Compulsory Measures Against Obstruction of Civil Proceedings

Article 109. If a defendant is required to appear in court but having been served twice with summons still refuses to do so without justified reason the people's court may constrain him to appear in court by a peremptory writ.

Article 110. Participants other persons in the court proceedings shall abide by the court rules.

If a person violates the court rules, the people's court may reprimand him or order him to leave the courtroom, or impose a fine on or detain him.

A person who seriously disrupts court order by making an uproar in the court or rushing at it, or insulting, slandering, threatening, or assaulting the adjudicators, shall be investigated for criminal responsibility by the people's court according to the law; if the offence is a minor one, the offender shall be detained or a fine shall be imposed on him.

Article 111. If a participant or any other person in the proceedings commits any one of the following acts, the people's court shall, according to the seriousness of the act, impose a fine on him or detain him; if the act constitutes a crime, the offender shall be investigated for criminal responsibility according to law.

(1) forging or destroying important evidence, which would obstruct the trial of a case by the people's court;

(2) using violence, threats or subordination to prevent a witness from giving testimony, or instigating, suborning, or coercing others to commit perjury;

(3) concealing, transferring, selling or destroying property that has been sealed up or distrained, or property of which an inventory has been made and which has been put under his care according to court instruction, or transferring the property that has been frozen;

(4) insulting, slandering, incriminating with false charges assaulting or maliciously retaliating against adjudicators or other staff members, participants in the proceedings, witnesses, interpreters, evaluation experts, inspectors, or personnel assisting in execution;

(5) using violence, threats or other means to hinder adjudicators or other staff members from performing their duties; or

(6) refusing to carry out legally effective judgments or rulings of the people's court.

With respect to a unit that commits any one of the acts specified above, the people's court may impose a fine on or detain its principal heads or the persons who are held directly responsible for the act; if the act constitutes a crime, investigations for criminal responsibility shall be made according to the law.

Article 112. Where the parties concerned collude with each other in bad faith attempting to encroach on others’ legitimate rights and interests through litigation or mediation, etc., the people’s court shall reject such application, and impose a fine or detention based on the seriousness of the circumstances; if a crime is constituted, criminal responsibility shall be investigated according to the law.

Article 113. Where the person subjected to execution colludes with another person in bad faith attempting to evade his obligations specified in the legal documents through litigation, arbitration or mediation, etc., the people’s court shall, according to the seriousness of the circumstances, impose a fine or detention; if a crime is constituted, criminal responsibility shall be investigated according to the law.

Article 114. Where a unit which is under an obligation to assist in investigation or execution commits any one of the following acts, the people's court may, apart ordering it to perform its obligation, also impose a fine:

(1) the unit concerned refusing or obstructing the investigation and collection of evidence by the people's court;

(2) the unit concerned refusing to provide assistance in the inquiry into or seize, freezing, allocation or transfer of the said property after receiving a notice asking for assistance in execution from the people's court;

(3) the unit concerned, after receiving a notice for assistance in execution from the people’s court, refusing to assist in withholding the income of the party subject to execution, in going through the formalities of transferring the relevant certificates of property rights or in transferring the relevant negotiable instruments, certificates, or other property; or

(4) refusing to provide other obligatory assistance in the execution.

With respect to a unit that commits any one of the acts specified above, the people's court may impose a fine on its principal heads or the persons who are held directly responsible for the act; it may detain them if they still refuse to perform the obligation to provide assistance; and it may, in addition, put forward a judicial proposal to the supervisory organ or the relevant organ for the disciplinary sanctions are imposed on them.

Article 115. A fine on an individual shall be not more than RMB 100,000 yuan; a fine on a unit shall be not less than RMB 50,000 yuan but not more than RMB 1,000,000 yuan.

The period of detention shall not be longer than 15 days.

The people's court shall deliver detained persons to a public security organ for custody. The people's court may decide to advance the time of release, if the detainee admits mends his wrongdoings.

Article 116. Constrained appearance in court, imposition of a fine or detention shall be subject to the approval of the president of the people's court.

A peremptory writ shall be issued for constraining appearance in court.

A decision in writing shall be made for the imposition of a fine or detention.

The offender, if dissatisfied with the decision, may apply to a people's court at a higher level for reconsideration which could be granted only once. The execution of the decision shall not be suspended during the time of reconsideration.

Article 117. Decision on the adoption of compulsory measures against obstruction of civil proceedings shall be made only by the people's court. Any unit or individual that extorts repayment of a debt by illegal detention of a person or illegal distrainment of property shall be investigated for criminal responsibility according to the law, or shall be punished with detention or a fine.

§ 11 Litigation Costs

Article 118. Any party filing a civil lawsuit shall pay court costs according to the rules. For property cases, the party shall pay other litigation fees in addition to the court costs in accordance with the relevant rules.

Any party that has genuine difficulty in paying litigation costs may, according to the relevant rules, apply to the people's court for deferment or reduction of the payment or for its exemption.

Particulars for payment of litigation costs shall be laid down separately.

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PART TWO TRIAL PROCEDURE

§ 12 Ordinary Procedure of First Instance

§ 12-1 Bringing a Lawsuit and Accepting a Case

Article 119. The following conditions must be met when a lawsuit is brought:

(1) the plaintiff must be a citizen, legal person or any other organization that has a direct interest in the case;

(2) there must be a definite defendant;

(3) there must be a specific claim or claims, facts, and a cause or causes for the suit; and

(4) the suit must be within the scope of acceptance for civil actions by the people's court and under the jurisdiction of the people's court where the suit is accepted.

Article 120. When a lawsuit is brought, a statement of complaint shall be submitted to the people's court, and copies of the statement shall be provided according to the number of defendants.

If the plaintiff has genuine difficulty in presenting the statement of complaint in writing, he may state his complaint orally; the people's court shall transcribe the complaint and inform the other party of it accordingly.

Article 121. A statement of complaint shall clearly set forth the following:

(1) the name, gender, age, nationality, occupation, work unit, address, and contact information of the plaintiff, the name and address of the legal person or other organization, and the name, position and contact information of the legal representative or person in charge;

(2) the name, gender, work unit, address of the defendant, or the name, address and other information of the legal person or other organization;

(3) the claim or claims of the suit, the facts and grounds on which the suit is based; and

(4) the evidence and its source, as well as the names and home addresses of the witnesses.

Article 122. Mediation shall be carried out for a civil dispute brought to the people’s court if mediation is appropriate, unless the parties thereto refuse a mediation.

Article 123. The people's court shall guarantee the parties’ right to institute a litigation according to the law and must accept the lawsuits filed in conformity with the provisions of Article 119 of this law. If the lawsuit meets the requirements for acceptance, the court shall place the case on the docket within seven days and notify the parties concerned as such. If the lawsuit fails to meet the requirements for acceptance, the court shall make a ruling of rejection within seven days. If the plaintiff is dissatisfied with the ruling, he may lodge an appeal.

Article 124. With respect to the following lawsuits, the people’s court shall deal with them respectively according to their specific circumstances:

(1) For a lawsuit within the scope of administrative actions in accordance with the provisions of the Administrative Procedure Law, the people's court shall advise the plaintiff to institute administrative proceedings;

(2) if both parties, according to the law, have reached a written agreement to submit a dispute for arbitration and not to bring legal proceedings to a people’s court, the people's court shall notify the plaintiff to apply to the arbitral organ for arbitration;

(3) in case of disputes which, according to the law, shall be dealt with by other organs, the people's court shall advise the plaintiff to apply to the relevant organ for settlement;

(4) With respect to cases that are not under its jurisdiction, the people's court shall advise the plaintiff to bring a lawsuit in the competent people's court;

(5) With respect to cases on which a judgment, ruling or mediation decision has become legally effective, while a party brings a lawsuit again, the people's court shall notify that plaintiff to apply for a retrial, except where the people’s court has ruled to permit the withdrawal of a lawsuit;

(6) With respect to an action that may not be filed within a specified period according to the law, it shall not be accepted, if it is filed during that period; or

(7) in a divorce case in which a judgment has been made disallowing the divorce, or in which both parties have become reconciled after conciliation, or in a case concerning adoptive relationship in which a judgment has been made or conciliation has been made successfully conducted to maintain the adoptive relationship, if the plaintiff files a suit again within six months in the absence of any new developments or new reasons, it shall not be accepted.

§ 12-2 Preparations for Trial

Article 125. The people's court shall send a duplicate of the statement of complaint to the defendant within five days from the date it accepts the case, and the defendant shall file a statement of defence within 15 days from the date of receipt of the duplicate statement of the complaint. In the statement of defence shall be stated the name, gender, age, nationality, occupation, work unit, address and contact information of the defendant; or the name and address of the legal person or other organization, as well as the name, position and contact information of the legal representative or person in charge. The people’s court shall send a duplicate of the statement of defence to the plaintiff within five days from the date if receives the statement of defence.

Failure by the defendant to file a statement of defence shall not affect the trial of the case by the people’s court.

Article 126. The people's court shall, with respect to cases whose acceptance has been decided, inform the parties in the notification of acceptance and in the notification calling for responses to the action of their relevant litigation rights obligations or orally inform the parties of such information.

Article 127. If a party to an action objects to the jurisdiction of a people’s court after the court has accept the case, the party must raise the objection within the period prescribed for the submission of defence. The people’s court shall examine the objection. If the objection is established, the people’s court shall order the case to be transferred to the people’s court that has jurisdiction over it; if not, the people’s court shall reject it by making a ruling.

Where a party responds to the action without challenging the jurisdiction, the people’s court accepting the case shall be deemed to have jurisdiction hereby, provided that there is no violation of the provisions on hierarchical jurisdiction and exclusive jurisdiction.

Article 128. The parties shall be notified within three days after the members of the collegial panel are determined.

Article 129. The adjudicators must carefully examine and verify the case materials and carry out investigations and collection of necessary evidence.

Article 130. The personnel sent by a people's court to conduct investigations shall produce their papers before the person to be investigated.

The written record of an investigation shall be checked by the person investigated then signed or sealed by both the investigator and the investigated.

Article 131. A people's court may, when necessary, entrust a people's court in another locality with the investigations.

The entrusting people's court shall clearly set out the matters for and requirements of the entrusted investigations. The entrusted people's court may on its own initiative conduct supplementary investigations.

The entrusted people's court shall complete the investigations within 30 days after receiving the commission in writing. If for some reason it cannot complete the investigations, the said people's court shall notify the entrusting people's court in writing within the above-mentioned time limit.

Article 132. If a party who must participate in a joint action fails to participate in the proceedings, the people's court shall notify him to participate.

Article 133. The people’s court shall handle the accepted cases based on their specific circumstances:

(1) Where the parties to a case have no disputes and the case meets the requirements prescribed in the urge and supervision procedure, such procedure may be initiated;

(2) Where a case may be settled through mediation before trial, mediation shall be carried out to solve the dispute in time;

(3) Application of either summary procedures or ordinary procedures shall be decided according to the specific situation of a case; and

(4) Where a court session is needed, the people’s court shall require the parties concerned to exchange evidence or by other means, to clarify the core of the dispute.

§ 12-3 Trial in Court

Article 134. Civil cases shall be tried in public, except for those that involve State Secrets or personal privacy or are to be tried otherwise as provided by the law.

A divorce case or a case involving trade secrets may not be heard in public if a party so requests.

Article 135. For civil cases the people's court shall, whenever necessary, go on circuit to hold trials on the spot.

Article 136. For civil cases, the people's court shall notify the parties and other participants in the proceedings three days before the opening of a court session. If a case is to be tried in public, the names of the parties, the cause of action and the time and location of the court session shall be announced publicly.

Article 137. Before a court session is called to order, the court clerk shall ascertain whether or not the parties and other participants in the proceedings are present and announce the rules of order of the court.

At the beginning of a court session, the presiding judge shall check the parties present announce the cause of action and the names of the adjudicators and court clerks, inform the parties of their relevant litigation rights and obligations and ask the parties whether or not they wish to apply for the withdrawal of any court personnel.

Article 138. Court investigation shall be conducted in the following order:

(1) statements by the parties;

(2) informing the witnesses of their rights obligations, giving testimony by the witnesses and reading of the written statements of absentee witnesses;

(3) presentation of documentary evidence, physical evidence, audio-visual materials and electronic data;

(4) reading of expert opinions; and

(5) reading of records of inspection.

Article 139. The parties may present new evidence during a court session.

With the permission of the court, the parties may put questions to witnesses, expert witnesses and inspectors.

Any request by the parties concerned for a new investigation, expert evaluation or inspection shall be subject to the approval of the people's court.

Article 140. Additional claims by the plaintiff, counterclaims by the defendant and third-party claims related to the case may be tried in combination.

Article 141. Court debate shall be conducted in the following order:

(1) oral statements by the plaintiff and his agents ad litem;

(2) defence by the defendant and his agents ad litem;

(3) oral statement or defence by the third party and his agents ad litem;

(4) debate between the two sides.

At the end of the court debate, the presiding judge shall ask each side, first the plaintiff, then the defendant, then the third party, for their final opinion respectively.

Article 142. At the end of the court debate, a judgment shall be made according to the law. Where mediation is possible prior to the rendering of a judgment, mediation efforts may be made; if mediation proves to be unsuccessful, a judgment shall be made without delay.

Article 143. If a plaintiff, having been served with a summons, refuses to appear in court without justified reasons, or if he withdraws during a court session without the permission of the court, the case may be considered as withdrawn by him; if the defendant files a counterclaim in the mean time, the court may make a judgment by default.

Article 144. If a defendant, having been served with a summons, refuses to appear in court without justified reasons, or if he withdraws during a court session without the permission of the court, the court may make a judgment by default.

Article 145. If a plaintiff applies for withdrawal of the case before the judgment is pronounced, the people's court shall decide whether to approve or disapprove it.

If withdrawal of the case is not allowed by a ruling of the people's court, and the plaintiff, having been served with a summons refuses to appear in court without justified reasons the people's court may make a judgment by default.

Article 146. Under any of the following circumstances, the trial may be adjourned:

(1) the parties concerned and other participants in the proceedings required to appear in court fail to do so for justified reasons;

(2) any party concerned makes an extempore application for the withdrawal of any court personnel;

(3) it is necessary to summon new witnesses to court, collect new evidence, make a new expert evaluation, new inspection, or to make a supplementary investigation; or

(4) other circumstances that warrant the adjournment.

Article 147. The court clerk shall make a written record of the entire court proceedings, which shall be signed by him and the adjudicators.

The court record shall be read out in court, or else the parties and other participants in the proceedings may be notified to read the record while in court or within five days. If they consider that there are omissions or errors in the record of their own statements, the parties or other participants in the proceedings shall have the right to apply for rectifications. If such rectifications are not made the application shall be placed on record in the case file.

The court record shall be signed or sealed by the parties other participants in the proceedings. Refusal to do so shall be put on record in the case file.

Article 148. The people's court shall publicly pronounce its judgment in all cases, whether publicly tried or not.

If a judgment is pronounced in court, the written judgment shall be issued and delivered within ten days; if a judgment is pronounced later on a fixed date, the written judgment shall be issued and given immediately after the pronouncement.

Upon pronouncement of a judgment, the parties concerned must be informed of their right to file an appeal, the time limit for appeal the court to which they may appeal.

Upon pronouncement of a divorce judgment, the parties concerned must be informed not to remarry before the judgment takes legal effect.

Article 149. A people's court trying a case in which the ordinary procedure is followed, shall conclude the case within six months from the date of docketing the case. Where an extension of the period is necessary under special circumstances, a six-month extension may be allowed subject to the approval of the president of the court. Further extension, if needed, shall be reported to the people's court at a higher level for approval.

§ 12-4 Suspension and Termination of Legal Proceedings

Article 150. Legal proceedings shall be suspended in any of the following circumstances:

(1) one of the parties dies and it is necessary to wait for the heir or heiress to make clear whether to participate or not in the proceedings;

(2) one of the parties has lost the capacity to engage in litigation and his agent ad item has not been designated yet;

(3) the legal person or any other organization as one of the parties has dissolved, and the successor to its rights and obligations has not been determined yet;

(4) one of the parties is unable to participate in the proceedings for reasons of force majeure;

(5) the adjudication of the pending case is dependent on the results of the trial of another case that has not yet been concluded; or

(6) other circumstances that the litigation shall be suspended.

The proceedings shall resume after the causes of the suspension have been eliminated.

Article 151. Legal proceedings shall be terminated in any of the following circumstances:

(1) the plaintiff dies without a successor, or the successor waives the right to litigate;

(2) the decedent dies with no estate, nor any one to succeed to his obligations;

(3) one of the parties in a divorce case dies; or

(4) one of the parties in a case involving a claim for alimony, support for elders or children or for the termination of adoptive relationship dies.

§ 12-5 Judgement and Ruling

Article 152. A judgment shall state the outcome of judgement and reasoning, and shall include the following content:

(1) cause of action, the claims, facts and causes of the dispute;

(2) the facts and causes affirmed by the judgment, applicable laws and the causes;

(3) the outcome of adjudication and the litigation costs to be borne; and

(4) the time limit for filing an appeal the appellate court with which the appeal may be filed.

The judgment shall be signed by the adjudicators and the court clerk, with the seal of the people's court affixed to it.

Article 153. If some of the facts in a case being tried by the people's court are already evident, the court may pass judgment on that part of the case first.

Article 154. A ruling in writing is to be made in any of the following conditions:

(1) refusal to accept a case;

(2) objection to the jurisdiction of a court;

(3) rejection of a complaint;

(4) preservation and advance execution;

(5) approval or disapproval of withdrawal of a suit;

(6) suspension or termination of legal proceedings;

(7) correction of errata in the judgment;

(8) suspension or termination of execution;

(9) cancellation of, or refusal to enforce an arbitration award;

(10) refusal to enforce a document of a notary office evidencing the rights of a creditor entitling him to its compulsory execution; or

(11) other matters to be decided in the form of a ruling.

An appeal may be lodged against a ruling prescribed in Subparagraph (1), (2) and (3) of the preceding paragraph.

A written ruling shall specify the results of ruling and the reasons thereof, and shall be signed by the adjudicators and the court clerk, with the seal of the people's court affixed to it. If a ruling is given orally, the ruling shall be entered in the record.

Article 155. All judgements and ruling of the Supreme People’s Court, as well as judgements and ruling that may not be appealed against according to the law or that have not been appealed against within the prescribed time limit, shall be legally effective.

Article 156. The public may consult the legally effective written judgments and rulings, except the ones involving the State secret, business secret and personal privacy.

§ 13 Summary Procedure

Article 157. When trying simple civil cases in which the facts are evident, the rights and obligations clear and the disputes trivial in character, the primary people's courts and the tribunals dispatched by them shall apply the provisions of this Chapter.

For civil cases other than those specified in the preceding paragraph and which are tried by the primary people’s courts and their dispatched tribunals, the parties thereto may also reach an agreement on adopting the summary procedure.

Article 158. In simple civil cases, the plaintiff may lodge his complaint orally.

The two parties concerned may at the same time come before a primary people's court or a tribunal dispatched by it for a solution of their dispute. The primary people's court or the tribunal it dispatched may try the case immediately or set a date for the trial.

Article 159. In trying a simple civil case, a primary people's court or its dispatched tribunal may use simple and convenient methods to summon the parties and witnesses, serve litigation documents and hear the case provided that the right of the parties to make statements is guaranteed.

Article 160. Simple civil cases shall be tried by a single judge alone and the trial of such cases shall not be bound by the provisions of Articles 136, 138, and 141 of this Law.

Article 161. The people's court trying a case in which summary procedure is followed shall conclude the case within three months from the date of placing the case on the docket.

Article 162. The judgement of first instance shall be final if a simple civil case tried by a primary people’s court or its dispatched tribunal meets the requirements stipulated in the first paragraph of Article 157, and the disputed amount is not more than 30% of the annual average employee salary of the relevant province, autonomous region or municipality directly under the Central Government in the preceding year.

Article 163. If, during the trial of a case, the people’s court finds it is improper to adopt the summary procedure, it may rule to adopt ordinary procedure for the case.

§ 14 Procedure of Second Instance

Article 164. If a party refuses to accept a judgment of first instance of a local people's court, he shall have the right to file an appeal with the people's court at the next higher level within 15 days from the date on which the written judgment was served.

If a party refuses to accept a ruling of first instance of a local people's court, he shall have the right to file an appeal with a people's court at the next higher level within 10 days from the date on which the ruling was served.

Article 165. For filing an appeal, a petition for the purpose shall be submitted.

The content of the appeal petition shall include the names of the parties, the names of the legal persons and their legal representatives or names of other organizations and their principal heads; the name of the people's court where the case was originally tried; file number of the case and the cause of action; and the claims of the appeal and the reasons.

Article 166. The appeal petition shall be submitted through the people's court which originally tried the case, and copies of it shall be provided according to the number of persons in the other party or of the representatives thereof.

If a party appeals directly to a people's court of second instance, the said court shall within five days transmit the appeal petition to the people's court which originally tried the case.

Article 167. The people's court which originally tried the case shall, within five days after receiving the appeal petition, serve a copy of it on the other party, who shall submit his defence within 15 days from the date of receipt of such copy. The people's court shall, within five days from the date of receiving the statement of defence, serve a copy of it on the appellant.

Failure by the other party to submit a statement of defence shall not prevent the case from being tried by the people's court.

After receiving the appeal petition and the defence, the people's court which originally tried the case shall, within five days, deliver them together with the entire case file and evidence to the people's court of second instance. Article 168. With respect to an appealed case, the people's court of second instance shall review the relevant facts the application of the law. Article 169. With respect to a case of appeal, the people's court of second instance shall form a collegial panel to conduct the trial. After consulting the files, making investigations and inquiring the parties concerned, if no new facts, evidences or causes are raised, and the collegial panel considers that a court trial unnecessary, the collegial panel may decide not to conduct a court trial.

The people's court of second instance may try a case of appeal at its own site or in the place where the case originated or where the people's court which originally tried the case is located.

Article 170. After trying a case of appeal, the people's court of second instance shall handle such a case according to the following situations:

(1) If, in the original judgement or ruling, the facts are clearly ascertained and the law and regulations are correctly applied, the people’s court of second instance shall make a judgement or ruling to reject the appeal and affirm the original judgment or ruling;

(2) If, in the original judgment or ruling, there is error in ascertaining of the facts or application of the law or regulations, the people’s court of second instance shall make a judgement or ruling to amend, cancel or alter the original judgement or ruling in accordance with the law;

(3) If, in the original judgment, the facts essential are not clearly ascertained, the people's court of second instance may make a ruling to cancel the original judgement, remand the case to the original trying people's court for retrial, or may amend the judgment after further investigating and ascertaining of the facts; or

(4) If there is serious violation of legal procedures in making the original judgement, such as a party concerned being omitted in the judgement or a default judgement being made in violation of the law, the people’s court of second instance shall rule to cancel the original judgement and remand the case to the original trying people’s court for retail.

Where the parties concerned lodge a second appeal after the original trying people’s court makes a judgement upon retry, the people’s court of second instance shall not remand the case for another retrial.

Article 171. The people's court of second instance shall handle all cases of appeal against the rulings made by the people’s court of first instance in the form of rulings.

Article 172. In dealing with a case of appeal, a people's court of second instance may conduct mediation. If an agreement is reached through mediation, a mediation agreement shall be made and signed by the adjudicators and the court clerk, with the seal of the people's court affixed to it. After the mediation agreement has been served, the original judgment shall be deemed as cancelled.

Article 173. If an appellant applies for withdrawal of his appeal before a people's court of second instance pronounces its judgment, the court shall decide whether to approve the application or not in the form of ruling.

Article 174. In the trial of a case on appeal, the people's court of second instance shall, apart from observing the provisions of this Chapter, follow the ordinary procedure for trials of first instance.

Article 175. The judgment and the ruling of a people's court of second instance shall be final.

Article 176. The people's court trying a case of appeal shall conclude the case within three months from the date of docketing the case for second instance trial. Any extension of the period necessitated by special circumstances shall be subject to the approval of the president of the court.

The people's court trying a case on appeal against a ruling shall, within 30 days from the date of docketing the case for second instance trial, make a ruling which is final.

§ 15 Special Procedure

§ 15-1 General Stipulations

Article 177. When the people's courts tries a cases involving the qualification of voters, the declaration of a person as missing or dead, the determination of legal incapacity or restricted legal capacity of a citizen, the determination of a piece of property as ownerless, the confirmation of mediation agreement and realization of security interest in the property, the provisions of this Chapter shall apply. In the absence of stipulation by this Chapter, the relevant provisions of this Law and other laws shall apply.

Article 178. In cases tried in accordance with the procedure provided in this Chapter, the judgment of first instance shall be final. A collegial panel of judges shall be formed for the trial of any case in involving the qualification of voters of any major, difficult or complicated case; other cases shall be tried by a single judge alone.

Article 179. If a people's court, while trying a case in accordance with the procedure provided in this Chapter, finds that the case involves a dispute over civil rights and interests, it shall make a ruling to terminate the special procedure and inform the interested parties to otherwise institute an action.

Article 180. A people's court trying a case in which special procedure is followed shall conclude the case within 30 days from the date of placing the case on the docket or within 30 days after expiration of the period stated in the public notice. Any extension of the time limit necessitated by special circumstances shall be subject to the approval of the president of the court. A case concerning the qualification of voters shall be an exception to these provisions.

§ 15-2 Cases Concerning the Qualification of Voters

Article 181. If a citizen refuses to accept an election committee's decision on an appeal concerning his voting qualification, he may, five days before the election day, bring a suit in the primary people's court located in the electoral district.

Article 182. After accepting a case concerning voting qualification, a people's court must conclude the trial before the election day.

The party who brings the suit, the representative of the election committee and other citizens concerned must participate in the proceedings.

The written judgement of the people's court shall be served on the election committee and the party who brings the suit before the election day; other citizens concerned shall be notified of the judgement.

§ 15-3 Cases Concerning the Declaration of a Person as Missing or Dead

Article 183. With respect to a citizen whose whereabouts are unknown for two years in full, if the interested party applies for declaring the person as missing, the application shall be filed with the primary people's court in the locality where the missing person has his domicile.

The application shall clearly state the facts and time of the disappearance of the person missing as well as the motion; documentary evidence from a public security organ or other relevant organs concerning the disappearance of the citizen shall be appended to the application.

Article 184. With respect to a citizen whose whereabouts are unknown for four years in full or whose whereabouts are unknown for two years in full after an accident in which he was involved, or with respect to a citizen whose whereabouts are unknown after such an accident upon proof furnished by the relevant authorities that it is impossible for him to survive, if the interested party applies for declaring such person as dead, the application shall be filed with the primary people's court in the locality where the missing person has his domicile.

The application shall clearly state the facts and time of the disappearance as well as the motion; documentary evidence from a public security organ or other relevant organs concerning the disappearance of the citizen shall be appended to the application.

Article 185. After accepting a case concerning the declaration of a person as missing or dead, the people's court shall issue a public notice in search of the person missing. The period of the public notice for declaring a person as missing shall be three months, and that for declaring a person as dead shall be one year. Where a citizen's whereabouts are unknown after an accident in which he was involved and, upon proof furnished by the relevant authorities that it is impossible for him to survive, the period of the public notice for proclaiming such person as dead shall be three months.

On the expiration of the period of the public notice, the people's court shall depending on whether the fact of the missing or death of the person has been confirmed, make a judgment declaring the person missing or dead or make a judgment rejecting the application.

Article 186. If a person who has been declared missing or dead by a people's court reappears, the people's court shall, upon the application of that person or of an interested party, make a new judgment and annul the previous one.

§ 15-4 Cases Concerning the Determination of Legal Incapacity or Restricted Legal Capacity of Citizens

Article 187. An application for adjudgment of legal incapacity or restricted legal capacity of a citizen shall be filed by the citizen's near relatives or any other interested party with the primary people's court in the locality where the citizen has his domicile.

The application shall clearly state the fact and grounds of the citizen's legal incapacity or restricted legal capacity.

Article 188. After accepting such an application, the people's court shall when necessary, have an expert evaluation of the citizen of whom the determination of legal incapacity or restricted legal capacity is sought; if the applicant has already provided an expert opinions, the people's court shall examine such opinions.

Article 189. In the trial by the people's court of a case for the determination of legal incapacity or restricted legal capacity of a citizen, a near relative of the citizen shall be his agent, the applicant being excluded. If the near relatives of the citizen shift responsibility onto one another, the people's court shall appoint one of them as agent for the citizen. If the citizen's condition of health permits, the people's court shall also seek the opinion of the citizen on the matter.

If, through the trial, the people's court finds that the application is based on facts, a judgment of legal incapacity or restricted legal capacity of the citizen shall be made; if the court finds that the application is not based on facts, it shall make a judgment rejecting the application.

Article 190. If, upon the application of a person who has been determined as one of legal incapacity or restricted legal capacity or upon the application of his guardian, the people's court confirms that the causes of that person's legal incapacity or restricted legal capacity have been eliminated, a new judgment shall be made and the previous one shall be annulled.

§ 15-5 Cases Concerning Determination of a Property as Ownerless

Article 191. An application for determining a property as ownerless shall be filed by a citizen, legal person or any other organization with the primary people's court in the place where the property is located.

The application shall clearly state the type and quantity of the property and the grounds on which the application for determining the property as ownerless is filed.

Article 192. The people's court shall, after accepting such an application and upon examination and verification of it, issue a public notice calling on the owner to claim the property. If no one claims the property one year after the issue of the public notice, the people's court shall make a judgment determining the property as ownerless and turn it over to the State or the collective concerned.

Article 193. If, after a property has been determined by a judgment as ownerless, the owner of the property or his successor appears, such a person may file a claim for the property within the period of limitation specified in the General Principles of the Civil Law. The people's court shall after examination and verification of the claim make a new judgment, and annul the previous one.

§ 15-6 Cases Involving Confirmation of Mediation Agreement

Article 194. An application for judicial confirmation of mediation agreement shall be jointly filed by both of the parties within 30 days from the date the mediation agreement becomes effective with the primary people’s court in the place where the mediation organization is located in accordance with the People’s Mediation Law and other relevant laws.

Article 195. After accepting the application for judicial confirmation of a mediation agreement, the people’s court shall make a review and, if the mediation agreement is compliance with the law, shall rule that the mediation agreement is valid. If one party refuses to perform or fails to completely perform the mediation agreement, the other party may apply with the people’s court for execution. If the mediation agreement is not in compliance with the law, the application for confirmation shall be rejected, and the parties may alter the agreement through mediation or reach a new mediation agreement, or bring a lawsuit before the people’s court.

§ 15-7 Cases Concerning Realization of Security Interest in Property

Article 196. An application for realizing security interest in property shall be filed in accordance with the Property Law and other relevant laws by the creditor of the security interest or any other person who has the right to request the realization of the security interest with the primary people’s court in the place where the property is located or where the security interest is registered.

Article 197. After accepting the application, the people’s court shall make a review and, if realizing security interest in property is in compliance with the law, make a ruling on auctioning or selling the said property. The party may apply with the people’s court for enforcement according to the ruling. If realizing security interest in property is not compliance with the law, the application shall be rejected and the parties concerned may bring a lawsuit before the people’s court.

§ 16 Procedure for Trial Supervision

Article 198. If the president of a people's court at any level discovers that a legally effective judgment, ruling or mediation agreement made by the people’s court is indeed erroneous and believes a retrial is necessary, he shall refer it to the judicial committee for discussion and decision.

If the Supreme People's Court discovers that a legally effective judgement, ruling or mediation agreement made by a local people's court, or a people’s court discovers that a legally effective judgement, ruling or mediation agreement made by a people’s court at a lower level is indeed erroneous, the Supreme People’s Court or the people's court at a higher level shall have the power to bring the case up for trial by itself or direct the people's court at a lower level to conduct a retrial.

Article 199. If a party believes that there is an error in a legally effective judgment or ruling, the party may apply with the people's court at the next higher level for a retrial. If one party to the case involves a large number of persons, or both parties to the case are citizens, the party may also apply with the original trying people’s court for retrial. However, for a case applied for retrial, the execution of the judgement or ruling shall not be suspended.

Article 200. If an application made by a party meets any one of the following conditions, the people's court shall retry the case:

(1) There is new evidence which is sufficient to set aside the original judgment or ruling;

(2) There is a lack of evidence for establishing the basic facts ascertained in the original judgment or ruling;

(3) The main evidence for the facts ascertained in the original judgement or ruling is falsified;

(4) The main evidence for the facts ascertained in the original judgement or ruling is not cross-examined;

(5) The parties concerned are unable to collect the main evidence of the case by themselves for objective reasons and apply for the collection of such evidence by the people’s court, but the people’s court fails to do so;

(6) There is definite error in the application of law to the making of the original judgement or ruling;

(7) Formation of the trial organization is unlawful or the adjudicator that should withdraw has not done so;

(8) The person incapable of judicial act is not represented by his statutory agent, or the party that should participate in the litigation fails to do so for reasons not attributable to himself or his agent ad litem;

(9) The party’s right to debate is deprived of in violation of the provisions of the law;

(10) The default judgement in the absence of the party is made where a summons is not served on the party;

(11) Some claims are omitted or excessive claims are confirmed in the original judgement or ruling;

(12) The legal document on the basis of which the original judgement or ruling is cancelled or revised; or

(13) An adjudicator commits embezzlement, accept bribes, engages in malpractices for personal gains or bends the law when trying a case.

Article 201.With respect to a legally effective mediation agreement, if evidence furnished by a party proves that the mediation violates the principle of voluntariness or that the content of the mediation agreement violates the law, the party may apply for a retrial. If the foregoing proves true after its examination, the people's court shall retry the case.

Article 202. With respect to a legally effective judgment or mediation agreement on dissolution of marriage, neither of the two parties shall apply for a retrial.

Article 203. Where a party applies for a retrial, he shall submit a written application for retrial and other material. The people’s court shall, within five days after receiving the application, serve the duplicate of the written application for retrial on the other party.. The other party shall submit written opinions within 15 days after receiving the said duplicate; and failure on the part of the other party to submit the written opinions shall not prevent the review by the people’s court. The people’s court may require the applicant and the other party to supplement the relevant material and inquire about relevant matters.

Article 204. The people’s court shall review the application for retrial within three months from the date of receiving it, and shall rule for retrial if it is in compliance with the provisions of this Law, or otherwise rule to reject the application. If, under special circumstances, the period of review need be extended, the matter shall be subject to the approval of the president of the court.

If a case is ruled to be retried upon application by a party to the case, the case shall be retried by an intermediate people’s court or a people’s court at a higher level, unless the party chooses to apply for retrial to the primary people’s court according to the provisions of Article 199 herein. If the retrial of a case is ruled by the Supreme People’s Court or a high people’s court, or may be handed over to another people’s court or to the original trying people’s court for retrial.

Article 205. A party applying for retrial shall submit an application within six months after the judgement or ruling becomes legally effective; under the circumstances stipulated in Subparagraph (1), (3), (12) or (13) or Article 200, the party shall submit such an application within six months from the date when he becomes aware of or should be aware of the fact.

Article 206. When a decision is made to retry a case in accordance with the procedure for trial supervision, a ruling for suspension of the execution of the original judgment, ruling or mediation agreement shall be made, however, as to cases involving claims for alimony, support for children or elders, pension for the disabled or the family of a decedent, expenses for medical care or labor remuneration, such execution need not be suspended.

Article 207. With respect to a case pending retrial by a people's court in accordance with the procedure for trial supervision, if the legally effective judgment or ruling was made by a court of first instance, the case shall be tried in accordance with the procedure of first instance, and the parties concerned may appeal against the new judgment or ruling; if the legally effective judgment or ruling was made by a court of second instance, the case shall be tried in accordance with the procedure of second instance, and the new judgment or ruling shall be legally effective; if it is a case which was brought up for trial by a people's court at a higher level, it shall be tried in accordance with the procedure of second instance, and the new judgment or ruling shall be legally effective.

The people's court shall form a new collegial panel for the purpose of t the retrial.

Article 208. If the Supreme People's Procuratorate discovers that a legally effective judgment or ruling made by a people's court falls in any level of the circumstances prescribed in Article 200 of this Law or a people's procuratorate discovers that a legally effective judgement or ruling made by a people’s court at a lower level falls in any of the circumstances prescribed in Article 200 of this Law, or if the Supreme People’s Procuratorate discovers that a mediation agreement made by a people’s court endangers national or public interest or a people’s procuratorate discovers that a mediation agreement made by a lower level endangers national or public interest, the Supreme People’s Procuratorate or the said people’s procuratorate at a higher level shall lodge a protest.

If a local people’s procuratorate discovers that a legally effective judgement or ruling made by a people’s court at the same level falls in any of the circumstances prescribed in Article 200 of this Law, or that a mediation agreement made by a people’s court at the same level endangers the national or public interest, the people’s procuratorate may raise procuratorial suggestions to the people’court in question at the same level and report to the people’s procuratorate at a higher level to lodge a protest to the people’s court in question.

The people’s procuratorates at various levels shall have the right to raise procuratorial suggestions to the people’s courts at the same level regarding any illegal acts committed by the adjudicators in judicial procedures other than the procedure for trial supervision.

Article 209. Under any of the following circumstances, the party concerned may apply with the people’s procuratorate to raise procuratorial suggestions or lodge a protest:

(1) The people’s court rejects a retrial application;

(2) The people’s court fails to make a ruling on the retrial application within the prescribed period; or

(3) The retrial judgement or ruling is definitely erroneous.

The People’s procuratorate shall review the application filed by the party concerned the application filed by the party concerned within three months and make a decision whether or not to raise procuratorial suggestions or lodge a protest. The party concerned shall not make another application with the people’s procuratorate to raise procuratorial suggestions or lodge a protest.

Article 210. Where a people’s procuratorate needs to raise procuratorial suggestions or lodge a protest for performing its duty of legal supervision, it may investigate or confirm the relevant information with the parties concerned or other persons.

Article 211. With respect to a case against which the people’s procuratorate lodges a protest, the people’s court that receives the protest shall, within 30 days after receipt of the protest, make a ruling to retry the case. Under any of the circumstances prescribed in Subparagraph (1) through (5) of Article 200 of this Law, the people’s court may transfer the case to a people’s court at the next lower level for retrial, except where the case has already been retried by the said people’s court at the next lower level.

Article 212. When a people's procuratorate decides to lodge a protest against a judgment, ruling or mediation agreement made by a people's court, it shall make the protest in writing.

Article 213. The people's court shall, in retrying a case in which protest was lodged by a people's procuratorate, notify the procuratorate to send representatives to attend the court session.

§ 17 Procedure for Hastening Debt Recovery

Article 214. When a creditor requests payment of a pecuniary debt or recovery of negotiable instruments from a debtor, he may, if the following requirements are met, apply to the primary people's court that has jurisdiction for an order of payment:

(1) no other debt disputes exist between the creditor the debtor; and

(2) the order of payment can be served on the debtor.

The application shall clearly state the requested amount of money or of the negotiable instruments and the facts and evidence on the basis of which the application is made.

Article 215. After the creditor has submitted his application, the people's court shall within five days inform the creditor whether it accepts the application or not.

Article 216. After accepting the application upon examination of the facts and evidence provided by the creditor, the people's court shall, if the rights and obligations relationship between the creditor the debtor is clear and legitimate, issue within 15 days from the date of accepting the application, an order of payment to the debtor; if the application is unfounded, the people's court shall make a ruling to reject it.

The debtor shall, within 15 days from the date of receipt of the order of payment, clear off his debts or submit to the people's court his dissent in writing.

If the debtor has neither dissented nor complied with the order of payment within the period specified in the preceding paragraph, the creditor may apply to the people's court for execution.

Article 217. The people's court shall, upon receiving a written objection submitted by a debtor, make a ruling to terminate the procedure for hastening debt recovery if the objection is established upon examination, and the order of payment shall automatically be invalidated.

Once the order of payment becomes invalid, the case shall enter into legal proceedings, unless the party applying for the order of payment objects to it.

§ 18 Procedure for Publicizing Public Notice for Assertion of Claims

Article 218. Any holder of a bill transferable by endorsement according to the law may, if the bill is stolen, lost, or destroyed, apply to the primary people's court of the place where the bill is to be paid for publication of public notice for assertion of claims. The provisions of this Chapter shall apply to other matters for which, according to the law, an application for publication of a public notice for assertion of claims may be made.

The applicant shall submit to the people's court an application which clearly states the main contents of the bill such as the face amount, the drawer, the holder, the endorser, and the facts and reasons in respect of the application.

Article 219. The people's court shall, upon deciding to accept the application, notify the payor concerned in the meantime to suspend the payment shall, within three days, issue a public notice for the interested parties to assert their rights. The period of the public notice shall be decided at the discretion of the people's court; however, it shall not be less than 60 days.

Article 220. The payor shall, upon receiving the notification by the people's court to suspend the payment, do so accordingly till the conclusion of the procedure for publicizing public notice for assertion of claims.

Within the period of the public notice, assignment of rights on the bill shall be void.

Article 221. Interested party or parties as claimants shall report their claims to the people's court within the period of the public notice.

After receiving the report on the claims by interested party or parties, the people's court shall make a ruling to terminate the procedure for publicizing public notice for assertion of claims, and notify the applicant and the payor.

The applicant or the claimants may bring an action in the people's court.

Article 222. If no claim is asserted, the people's court shall make a judgment on the basis of the application to declare the bill in question null and void. The judgment shall be published and the payor notified accordingly. From the date of publication of the judgment, the applicant shall be entitled to payment by the payor.

Article 223. If an interested party for justified reasons was unable to submit his claim to the people's court before the judgment is made, he may, within one year from the day he knows or should know the publication of the judgment, bring an action in the people's court which has made the judgment.

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PART THREE PROCEDURE EXECUTION

§ 19 General Stipulations

Article 224. Legally effective judgments or rulings in civil cases, as well as the parts of judgement or rulings that relate to property in criminal cases, shall be executed by the people’s court of first instance or by the people’s court at the same level as the people’s court of first instance, where the property subject to execution is located.

Other legal documents which are to be executed by a people’s court as prescribed by the law shall be executed by the people’s court of the place where the person subjected to execution has his domicile or where the property subject to execution is located.

Article 225. If a party or an interested party considers that the execution is in violation of legal provisions, it may raise a written objection to the people’s court that is responsible for the execution. If a party or an interested party raises a written objection, the people’s court shall review the written objection within 15 days after receiving it. If the reasons for objection are tenable, the people’s court shall rule to cancel or put to right the execution;

Otherwise, it shall rule to reject the objection. If the party or interested party is not satisfied with the ruling, it may apply for reconsideration to the people’s court at the next higher level within 10 days after the ruling is served. Article 226. If the people’s court fails to execute a judgement or ruling within Six months after receiving the application for execution, the person applying for execution, the person applying for execution may apply to the people’s court at the next higher level for execution. Upon review, the people’s court at the next higher level may order the original people’s court to execute within a specified period of time, or may decide to execute by itself or instruct any other people’s court to do it.

Article 227. If, in the course of execution, a person not involved in the case raises a written objection to the object subjected to execution,the people’s court shall review the written objection within 15 days after receiving it. If the reasons for objection are tenable, the people’s court shall rule to suspend the execution; otherwise, it shall rule to reject the objection. If the person not involved in the case or the party is not satisfied with the ruling and considers that there is error in the original judgement or ruling, the matter shall be dealt with according to the procedure for trial supervision; and if the unsatisfaction is irrelevant to the original judgement or ruling, the said person or party may bring a lawsuit to a people’s court within 15 days after the ruling is served.

Article 228. Execution work shall be carried out by the execution officer. When carrying out a compulsory execution measure, the execution officer shall produce his papers. After the execution is completed, the execution officer shall make a record of the particulars of the execution, and have it signed and sealed by the persons concerned on the scene.

The people's court may, when necessary, establish execution organs.

Article 229. If a person or property subjected to execution is in another locality, the people's court in that locality may be entrusted with the carrying out of the execution. The entrusted people's court shall begin the execution within 15 days after receiving a letter of entrustment and shall not refuse to do so. After the execution has been completed, the entrusted people's court shall promptly inform the entrusting people’s court, by letter, of the result of the execution. If the execution has not been completed within 30 days, the entrusted people's court shall also inform the entrusting people's court, by letter, of the particulars of the execution.

If the entrusted people's court does not carry out the execution within 15 days from the date of receiving the letter of entrustment, the entrusting people's court may request the people's court at a higher level over the entrusted people's court to instruct the entrusted people's court to carry out the execution.

Article 230. If in the course of execution the two parties become reconciled and reach a settlement agreement on their own initiative, the execution officer shall make a record of the contents of the agreement, and both parties shall affix their signatures or seals to the record.

If an applicant for execution enters into a mediation agreement with the person subject to execution as a result of fraud or coercion by the latter, or one party concerned fails to fulfill the settlement agreement, the people’s court may, at the request of the other party, resume the execution of legal document which was originally effective.

Article 231. In the course of execution, if the person subjected to execution provides a guarantee, the people's court may, with the consent of the person who has applied for execution, decide on the suspension of the execution and the time limit for such suspension. If the person subjected to execution still fails to perform his obligations after the time limit, the people's court shall have the power to execute the property he provided as security or the property of the guarantor.

Article 232. If the citizen subjected to execution dies, his debts shall be paid off from the estate of the deceased; if a legal person or any other organization subjected to execution dissolves, the party that succeeds to its rights and obligations shall fulfil the obligations.

Article 233. After the completion of execution, if definite error is found in the executed judgment, ruling or other legal documents resulting in the annulment of such judgment, ruling or legal documents by the people's court, the said court shall, with respect to the property which has been executed, make a ruling that persons who have obtained the property shall return it. In the event of refusal to return such property, compulsory execution shall be carried out.

Article 234. The provisions of this Part shall be applicable to the execution of the mediation agreement as drawn up by the people's court.

Article 235. The people’s procuratorate shall have the power to perform legal supervision over the execution activities in civil cases.

§ 20 Application for Execution and Referral

Article 236. The parties concerned must comply with legally effective judgments or rulings in civil cases. If a party refuses to do so, the other party may apply to the people's court for execution, or the judge may refer the matter to the execution officer for enforcement.

The parties concerned must comply with the mediation agreement and other legal documents that are to be executed by the people's court. If a party refuses to do so, the other party may apply to the people's court for execution.

Article 237. If a party fails to comply with an award of an arbitral organ established according to the law,the other party may apply for execution to the people's court which has jurisdiction over the case. The people's court applied to shall enforce the award.

If the party against whom the application is made furnishes proof that the arbitral award involves any of the following circumstances,the people's court shall, after examination and verification by a collegial panel, make a ruling not to allow the enforcement:

(1) the parties have had no arbitration clause in their contract, nor have subsequently reached a written agreement on arbitration;

(2) the matters dealt with by the award fall outside the scope of the arbitration agreement or are matters which the arbitral organ has no power to arbitrate;

(3) the composition of the arbitration tribunal or the procedure for arbitration contradicts the procedure prescribed by the law;

(4) the main evidence based on which the arbitral award is made is falsified;

(5) The other party conceals from the arbitral organ the evidence which is suffivient to affect the impartiality of the arbitral award; or

(6) the arbitrators have committed embezzlement, accepted bribes or done malpractice for personal benefits or perverted the law in the arbitration of the case.

If the people's court determines that the execution of the arbitral award is against the social public interest, it shall make a ruling not to allow the execution.

The above-mentioned ruling shall be served on both parties and the arbitral organ.

If the execution of an arbitral award is disallowed by a ruling of the people's court, the parties may, in accordance with a written agreement on arbitration reached between them, apply for arbitration again; they may also bring an action in a people's court.

Article 238. If a party fails to comply with a document evidencing the creditor's rights made enforceable according to the law by a notary office, the other party may apply to the people's court which has jurisdiction over the case for execution. The people's court applied to shall enforce such document.

If the people's court finds definite error in the document of creditor's rights, it shall make a ruling not to allow the execution serve the ruling on both parties concerned as well as the notary office.

Article 239. The time limit for the submission of an application for execution shall be two year. The termination or suspension of time limit for submission of an application for execution shall be governed by the provisions of law on the termination or suspension of limitation of action.

The time limit prescribed in the preceding paragraph shall be calculated from the last day of the period specified in a legal document for performance of the execution. If a legal document specifies performance of the execution in stages, the time limit shall be calculated from the last day of the period specified for each stage of performance. If no period of performance is specified in a legal document, the time limit shall be calculated from the date when the legal document takes effect.

Article 240. The execution officer shall, upon receiving the application for execution or the writ of referral directing execution, send an execution notice to the person subjected to execution and carry out compulsory execution immediately.

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§ 21 Execution Measures

Article 241. If a person subjected to execution fails to fulfil the obligations, specified in a legal document, in compliance with the notification for execution with the notification for execution, he shall report his property situation existing at the moment and one year before he has received the notification. If he refuses to do so or makes a false report, the people’s court may, in light of the seriousness of the case, impose a fine or detention on him, or his legal representative, the principal leading person or the person directly responsible of the unit concerned.

Article 242. If the person subjected to execution fails to, according to the execution notice, fulfil the obligations specified in the legal document, the people's court shall be empowered to make inquiries with relevant entities about the said person’s property, such as bank deposits, bonds, stocks and funds, and shall be empowered to seize, freeze, allocate or sell his property according to different circumstances. The property under the inquiry or seizure or to be allocated or sold by the people’s court shall not exceed the scope of obligation of the person subject to execution.

The people’s court shall make a ruling for seizing, freezing, allocating or selling the property, and issue a notice for assistance in execution, and the entities concerned must cooperate.

Article 243. If the person subjected to execution fails to, according to the execution notice, fulfil the obligations specified in the legal document, the people's court shall be empowered to withhold or withdraw part of income of the person subjected to execution, for the fulfillment of his obligations.

However, it shall leave out the necessary living expenses for the person subjected to execution and his dependent family members.

The people’s court shall, when withholding or withdrawing the income, make a ruling and issue a notice for assistance in execution. The unit in which the person subjected to execution works, banks, credit cooperatives or other units that deal with savings deposit must comply with the notice.

Article 245. When the people's court seals up or distrains a property, it shall, if the person subjected to execution is a citizen, notify him or an adult member of his family to appear on the scene; if the party subjected to execution is a legal person or any other organization, it shall notify its legal representatives or its principal heads to be present. Their refusal to appear on the scene shall not hinder the execution. If the person subjected to execution is a citizen, his unit or the grass-roots organization of the place where his property is located shall send a representative to attend the execution.

An inventory of the sealed-up or distrained property must be made by the execution officer and, after the inventory has been signed or sealed by the persons on the scene a copy of it shall be given to the person subjected to execution. If the person subjected to execution is a citizen, another copy may be given to an adult member of his family.

Article 246. The execution officer may commit the sealed-up property to the person subjected to execution for safekeeping, and the person shall be held responsible for any losses incurred due to his fault.

Article 247. After a property has been sealed up or seized, the execution officer shall instruct the person subjected to execution to fulfil his obligations specified in the legal document within the prescribed period. If the said person has not fulfilled his obligations upon expiration of the time limit, the people's court shall auction the sealed-up or seized property. If the property is not suitable for auction or neither party agrees on auctioning the property, the people’s court may entrust the relevant entities to sell the property or sell the property itself. If the property is prohibited from free trading by the State, the property shall be purchased by the relevant entities at the price prescribed by the State.

Article 248. If the person subjected to execution fails to fulfil his obligations specified in the legal document and conceals his property, the people's court shall be empowered to issue a search warrant and search him and his domicile or the place where the property was concealed.

In adopting the measure mentioned in the preceding paragraph, the president of the people's court shall sign and issue the search warrant.

Article 249. With respect to the property or negotiable instruments specified for delivery in the legal document, the execution officer shall summon both parties concerned deliver them in their presence or the execution officer may forward them to the recipient who shall sign give a receipt.

Any unit concerned that has in possession the property or negotiable instruments shall turn them over to the recipient in accordance with the notice of the people's court for assistance in execution, and the recipient shall sign give a receipt.

If any citizen concerned has in possession the property or negotiable instruments the people's court shall notify him to hand them over. If he refuses to do so, compulsory execution shall be carried out.

Article 250. Compulsory eviction from a building or a plot of land shall require a public notice signed and issued by the president of a people's court, instructing the person subjected to execution to comply within a specified period of time. If the person subjected to execution fails to do so upon the expiration of the period, compulsory execution shall be carried out by the execution officer.

When compulsory execution is being carried out, if the person subjected to execution is a citizen, the person or an adult member of his family shall be notified to be present; if the party subjected to execution is a legal person or any other organization its legal representatives or principal heads shall be notified to be present; their refusal to be present shall not hinder the execution. If the person subjected to execution is a citizen his work unit of the grass-roots organization in the locality of the building or the plot of land shall send a representative for attendance. The execution officer shall make a record of the particulars of the compulsory execution with the signatures or seals of the persons on the scene affixed to it.

The people's court shall assign personnel to transport the property removed in a compulsory eviction from a building to a designated location and turn it over to the person subjected to execution or, if the person is a citizen to an adult member of his family; if any loss is incurred due to such person's refusal to accept the property, the loss shall be borne by the person subjected to execution.

Article 251. In the course of execution, if certain formalities for the transfer of certificates of property right need to be gone through, the people's court may issue a notice for assistance in execution to the relevant units, and they must comply with it.

Article 252. If the person subjected to execution fails to perform acts specified in a judgement or ruling or any other legal document according to the execution notice, the people's court may carry out compulsory execution or entrust the task to a relevant unit or other persons, and the person subjected to execution shall bear the expenses thus incurred.

Article 253. If the person subjected to execution fails to fulfil his obligations with respect to pecuniary payment within the period specified by a judgment or ruling or any other legal document, he shall pay double interest on the debt for the belated payment. If the person subjected to execution fails to fulfil his other obligations within the period specified in the judgment or ruling or any other legal document, he shall pay a charge for the dilatory fulfilment.

Article 254. After the adoption of the execution measures stipulated in Articles 242, 243 and 244 of this Law, if the person subjected to execution is still unable to repay the debts, he shall continue to fulfil his obligations. If the creditor finds that the person subjected to execution has any other property, he may at any time apply to the people's court for execution.

Article 255. If a person subjected to execution fails to fulfill the obligations specified in a legal document, the people’s court may adopt, or advise the unit concerned to assist in adoption of, the measure of restricting the person’s departure from the country, making records in the credibility system, publishing information about his failure to perform his obligations through the media, or other measures stipulated by law.

§ 22 Suspension and Termination of Execution

Article 256. The people's court shall make a ruling to suspend execution under any of the following circumstances:

(1) the applicant indicates that the execution may be postponed;

(2) an outsider raises an obviously reasonable objection to the object of the execution;

(3) a citizen as one of the parties dies and it is necessary to wait for the successor to inherit the rights of the deceased or to succeed to his obligations;

(4) a legal person or any other organization as one of the parties dissolves the party succeeding to its rights obligations has not been determined; or

(5) other circumstances occur under which the people's court deems the suspension of execution necessary.

Execution shall be resumed when the circumstances warranting the suspension of execution have disappeared.

Article 257. The people's court shall make a ruling to terminate execution under any of the following circumstances:

(1) the applicant has withdrawn his application;

(2) the legal document on which the execution is based has been revoked;

(3) the citizen subjected to execution dies and there is no estate that may be subjected to execution, nor anyone to succeed to his obligations;

(4) the person entitled to claim alimony or support for elders or children dies;

(5) the citizen subjected to execution is too badly off to repay his debts, has no source of income and has lost his ability to work as well; or

(6) other circumstances occur under which the people's court deems the termination of execution necessary.

Article 258. A ruling to suspend or terminate execution shall become effective immediately after being served on the parties concerned.

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PART FOUR SPECIAL PROVISIONS FOR CIVIL PROCEEDINGS OF CASES INVOLVING FOREIGN ELEMENT

§ 23 General Principles

Article 259. The provisions of this Part shall be applicable to civil proceedings within the territory of the People's Republic of China in regard to cases involving foreign element. Where it is not covered by the provisions of this Part, other relevant provisions of this Law shall apply.

Article 260. If an international treaty concluded or acceded to by the People's Republic of China contains provisions that differ provisions of this Law the provisions of the international treaty shall apply except those on which China has made reservations.

Article 261. Civil actions brought against a foreign national, a foreign organization or an international organization that enjoys diplomatic privileges and immunities shall be dealt with in accordance with the relevant law of the People's Republic of China and the provisions of the international treaties concluded or acceded to by the People's Republic of China.

Article 262. The people's court shall conduct trials of civil cases involving foreign element in the spoken and written language commonly used in the People's Republic of China. Translation may be provided at the request of the parties concerned, and the expenses shall be borne by them.

Article 263. When foreign nationals, stateless persons or foreign enterprises and organizations need lawyers as agents ad litem to bring an action or enter appearance on their behalf in the people's court, they must appoint lawyers of the People's Republic of China.

Article 264. Any power of attorney mailed or forwarded by other means outside the territory of the People's Republic of China by a foreign national, stateless person or a foreign enterprise or organization that has no domicile in the People's Republic of China for the appointment of a lawyer or any other person of the People's Republic of China as an agent ad litem must be notarized by a notarial office in the country of domicile and authenticated by the Chinese embassy or consulate accredited to that country or, for the purpose of verification, must go through the formalities stipulated in the relevant bilateral treaties between China and that country before it becomes effective.

§ 24 Jurisdiction

Article 265. In the case of an action concerning a contract dispute or other disputes over property rights interests, brought against a defendant who has no domicile within the territory of the People's Republic of China, if the contract is signed or performed within the territory of the People's Republic of China, or if the object of the action is located within the territory of the People's Republic of China, or if the defendant has distrainable property within the territory of the People's Republic of China, or if the defendant has its representative office within the territory of the People's Republic of China, the people's court of the place where the contract is signed or performed, or where the object of the action is, or where the defendant's distrainable property is located, or where the torts are done, or where the defendant's representative office is located, shall have jurisdiction.

Article 266. Actions brought on disputes arising from the performance of contracts for Chinese-foreign equity joint ventures, or Chinese-foreign contractual joint ventures, or Chinese-foreign cooperative exploration and development of the natural resources in the People's Republic of China shall fall under the jurisdiction of the people's courts of the People's Republic of China.

§ 25 Service and Time Periods

Article 267. A people's court may serve litigation documents on a party who has no domicile within the territory of the People's Republic of China in the following ways:

(1) in the way specified in the international treaties concluded or acceded to by both the People's Republic of China and the country the person on whom service is to be made resides;

(2) by making the service through diplomatic channels;

(3) with respect to the person on whom the service is to be made and who is of the nationality of the People's Republic of China, service may be entrusted to the embassy ir consulate of the People's Republic of China accredited to the country where the person resides;

(4) by making the service on the agent ad litem who is authorized to receive the documents served;

(5) by serving the documents on the representative office established in the People's Republic of China by the person on whom the service is to be made or on his branch office or business agents there who have the right to receive the documents;

(6) by mail if the law of the country where the person to be served resides so permits; in the event that the receipt of delivery has not been returned within three months after the date on which the service documents are mailed, and that the circumstances justify the assumption that service has been made, the service shall be deemed completed upon the expiration of the said time period;

(7) by other means provided the receipt can be confirmed, such as fax, email, etc., and

(8) by public notice, if none of the aforesaid methods can be employed for service, and the service shall be deemed completed three months from the date on which the public notice is issued.

Article 268. If a defendant has no domicile within the territory of the People's Republic of China, the people's court shall serve a copy of the statement of complaint on the defendant notify him to submit his defence within 30 days after he receives the copy of the statement of complaint. Extension of the period requested by the defendant shall be at the discretion of the people's court.

Article 269. If a party who has no domicile within the territory of the People's Republic of China is not satisfied with a judgment or ruling made by a people's court of first instance, he shall have the right to file an appeal within 30 days from the date the written judgment or ruling is served. The appellee shall submit his defence within 30 days after receipt of a copy of the appeal petition. If a party who is unable to file an appeal or submit a defence within the period prescribed by the law requests an extension of the period, the people's court shall decide whether to grant it.

Article 270. The period for the trials of civil cases involving foreign element by the people's court shall not be restricted by the provisions of Articles 149 and 176 of this Law.

§ 26 Arbitration

Article 271. In the case of a dispute arising the economic, trade, transport or maritime activities involving foreign element, if the parties have had an arbitration clause in the contract concerned or have subsequently reached a written arbitration agreement stipulating the submission of the dispute for arbitration to an arbitral organ in the People's Republic of China handling cases involving foreign element, or to any other arbitral body, they may not bring an action in a people's court.

If the parties have not had an arbitration clause in the contract concerned or have not subsequently reached a written arbitration agreement, they may bring an action in a people's court.

Article 272. If a party has applied for preservation measures, the arbitral organ of the People's Republic of China handling cases involving foreign element shall refer the party's application for a ruling to the intermediate people's court of the place where the party against whom the application is made has his domicile or where his property is located.

Article 273. In a case in which an award has been made by an arbitral organ of the People's Republic of China handling cases involving foreign element, the parties may not bring an action in a people's court. If one party fails to comply with the arbitral award, the other party may apply for its enforcement to the intermediate people's court of the place where the party against whom the application for enforcement is made has his domicile or his property is located.

Article 274. A people's court shall, after examination verification by a collegial panel of the court, make a ruling not to allow the enforcement of the award rendered by an arbitral organ of the People's Republic of China handling cases involving foreign element if the party against whom the application for enforcement is made furnishes proof that:

(1) the parties have not had an arbitration clause in the contract or have not subsequently reached a written arbitration agreement;

(2) the party against whom the application for enforcement is made was not given notice for the appointment of an arbitrator or for the inception of the arbitration proceedings was unable to present his case due to causes for which he is not responsible;

(3) the composition of the arbitration tribunal or the procedure for arbitration was not in conformity with the rules of arbitration; or

(4) the matters dealt with by the award fall outside the scope of the arbitration agreement or which the arbitral organ was not empowered to arbitrate.

If the people's court determines that the enforcement of the award goes against the social public interest of the country, the people's court shall make a ruling not to allow the enforcement of the arbitral award.

Article 275. If the enforcement of an arbitral award is disallowed by a ruling of a people's court, the parties may, in accordance with a written arbitration agreement reached between them, apply for arbitration again; they may also bring an action in a people's court.

§ 27 Judicial Assistance

Article 276. In accordance with the international treaties concluded or acceded to by the People's Republic of China or with the principle of reciprocity, the people's courts of China foreign courts may make mutual requests for assistance in the service of legal documents in investigation and collection of evidence or in other litigation actions.

The people's court shall not render the assistance requested by a foreign court, if it impairs the sovereignty, security, social and public interest of the People's Republic of China.

Article 277. Making a request for and providing judicial assistance shall be effected through channels provided in the international treaties concluded or acceded to by the People's Republic of China; in the absence of such treaties they shall be effected through diplomatic channels.

A foreign embassy or consulate accredited to the People's Republic of China may serve documents on its citizens make investigations and collect evidence among them, provided that the laws of the People's Republic of China are not violated and no compulsory measures are taken.

Except for the conditions provided in the preceding paragraph, no foreign organization or individual may, without the consent of the competent authorities of the People's Republic of China, serve documents or make investigations and collect evidence within the territory of the People's Republic of China.

Article 278. The letter of request for judicial assistance and its annexes sent by a foreign court to a people's court shall be appended with a Chinese translation or a text in any other language or languages specified in the relevant international treaties.

The letter of request and its annexes sent to a foreign court by a people's court for judicial assistance shall be appended with a translation in the language of that country or a text in any other language or languages specified in the relevant international treaties.

Article 279. The judicial assistance provided by the people's courts shall be rendered in accordance with the procedure prescribed by the laws of the People's Republic of China. If a special form of judicial assistance is requested by a foreign court it may also be rendered, provided that the special form requested does not contradict the laws of the People's Republic of China.

Article 280. If a party applies for enforcement of a legally effective judgment or ruling made by a people's court, and the opposite party or his property is not within the territory of the People's Republic of China, the applicant may directly apply for recognition enforcement to the foreign court which has jurisdiction. The people's court may also in accordance with the relevant provisions of the international treaties concluded or acceded to by China, or with the principle of reciprocity, request recognition enforcement by the foreign court.

If a party applies for enforcement of a legally effective arbitral award made by an arbitral organ in the People's Republic of China handling cases involving foreign element the opposite party or his property is not within the territory of the People's Republic of China he may directly apply for recognition enforcement of the award to the foreign court which has jurisdiction.

Article 281. If a legally effective judgment or ruling made by a foreign court requires recognition and enforcement by a people's court of the People's Republic of China, the party concerned may directly apply for recognition and enforcement to the intermediate people's court of the People's Republic of China which has jurisdiction. The foreign court may also in accordance with the provisions of the international treaties concluded or acceded to by that foreign country and the People's Republic of China or with the principle of reciprocity, request recognition and enforcement by a people's court.

Article 282. In the case of an application or request for recognition and enforcement of a legally effective judgment or ruling of a foreign court, the people's court shall, after examining it in accordance with the international treaties concluded or acceded to by the People's Republic of China or with the principle of reciprocity arriving at the conclusion that it does not contradict the primary principles of the law of the People's Republic of China nor violates State sovereignty, security and social and public interest of the country, make a ruling to recognize the validity of the judgment or ruling, and, if required, issue a writ of execution to enforce it in accordance with the relevant provisions of this Law; if the application or request contradicts the primary principles of the law of the People's Republic of China or violates State sovereignty, security, social and public interest of the country, the people's court shall not recognize and enforce it.

Article 283. If an award made by a foreign arbitral organ requires the recognition and enforcement by a people's court of the People's Republic of China, the party concerned shall directly apply to the intermediate people's court of the place where the party subjected to enforcement has his domicile or his property is located. The people's court shall deal with the matter in accordance with the international treaties concluded or acceded to by the People's Republic of China or with the principle of reciprocity.

Article 284. This Law shall go into effect as of the date of promulgation,and the Civil Procedure Law of the People's Republic of China(for Trial Implementation)shall be abrogated simultaneously.

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