CIVIL PROCEDURE LAW

(Adopted by the fourth session of the seventh National People’s Congress on 9th April 1991)

Part One General Principles

Chapter I. Tasks, Scope of Application and Basic Principles

   Article 1. The Law of Civil Procedure of the PRC takes the Constitution as its basis. It is enacted in the light of China’s experience in handling
civil cases and the actual conditions.

   Article 2. The tasks of the Law of Civil Procedure of the PRC are to protect the party from a lawsuit in exercising its litigant rights and
to ensure that the People’s Court establishes the truth based on facts, distinguishes right from wrong, applies laws correctly, handles
civil cases promptly, ascertains the relationship between civil rights and obligations, takes sanctions against civil violations,
safeguards the legitimate rights and interests of the party to a lawsuit, educates the citizens to abide conscientiously by the law,
safeguards social and economic order and ensures the smooth progress of socialist construction.

   Article 3. Provisions of the Law apply to civil lawsuits between citizens, between legal persons and between other organizations, as well as
among them, filed because of property and personal relationship, and are handled by the People’s Court.

   Article 4. Civil proceedings within the territory of the PRC shall abide by this Law.

   Article 5. In filing a lawsuit and responding to a lawsuit in the People’s Court, foreigners, people without nationality, foreign enterprises
and other organizations shall have the same equal litigant rights and obligations as the citizens, legal persons and other organizations
of the PRC.

Should the court of a foreign country restrict the civil litigant rights of the citizens, legal persons and other organizations of
the PRC, the People’s Court of the PRC shall exercise a reciprocal principle on the civil litigant rights of the citizens, enterprises
and other organizations of that country.

   Article 6. The judicial authority over civil cases is exercised by the People’s Court.

In civil proceedings, the People’s Court administers justice independently according to law, subject to no interference by administrative
organs, organizations or individuals.

   Article 7. In civil proceedings, the People’s Court shall base itself on facts and take the law as the criterion.

   Article 8. In civil proceedings, the litigants shall have equal litigant rights. In handling a civil case, the People’s Court shall ensure and
make it convenient for the litigants to exercise their litigant rights; in the application of the law, the litigants are deemed as
equals.

   Article 9. In civil proceedings, the People’s Court shall promote mediation in accordance with the principle of voluntariness and legitimacy;
a court decision shall be made promptly when mediation has failed.

   Article 10. In civil proceedings, the People’s Court practices the system of collegiate bench, withdrawal and public trial, and the system of
two instances, the first and the final.

   Article 11. Citizens of all nationalities have the right to use their own languages, spoken or written, in civil proceedings.

In districts compactly inhabited by a minority nationality or by a number of nationalities, the People’s Court shall hear cases and
issue legal documents in the commonly used language in the locality.

The People’s Court shall provide interpretation for a litigant participant unacquainted with the spoken or written language commonly
used in the locality.

   Article 12. When the People’s Court is hearing a civil case, the litigant has the right of debate.

   Article 13. Litigants have the right of disposing of their own civil rights and litigant rights within the limits prescribed by law.

   Article 14. The People’s Procuratorate has the right of legal supervision over the trials of civil cases.

   Article 15. Organs, social organizations, enterprises and institutions may support the injured units or individuals to file a suit with the People’s
Court against acts that damaged the civil rights or interests of the state, collectives or individuals.

   Article 16. The People’s Mediation Committee is a mass organization that mediates civil disputes under the guidance of the ground-level people’s
government and ground-level people’s court.

The People’s Mediation Committee conducts mediation according to the law and the principle of voluntariness. Litigants shall honor
the agreement reached through mediation; those who do not wish to mediate, or fail to reconcile their difference, or go back on their
word, may file a suit at the People’s Court.

The People’s Court shall correct any violations of law committed by the People’s Mediation Committee during mediation.

   Article 17. The People’s Congress of ethnic autonomous regions may draft flexible or supplementary provisions in accordance with the principles
incorporated in the Constitution and this Law, as well as the specific ethnic conditions in their localities. The provisions of an
autonomous region shall be reported to the NPC Standing Committee for ratification. The provisions of an autonomous prefecture and
county shall be reported to the standing committee of the provincial or autonomous regional people’s congress for ratification, and
to the NPC Standing Committee for the record.

Chapter II. Jurisdiction

Section One: Differentiated Jurisdiction

   Article 18. Unless otherwise stipulated in this Law, the ground-level people’s court is competent to rule on the first instance of civil cases.

   Article 19. The intermediate people’s court is competent to rule on the first instance of the following cases

(1) Major cases involving foreigners;

(2) Cases of great impact within its jurisdiction;

(3) Cases determined by the Supreme People’s Court as coming under its jurisdiction.

   Article 20. The Higher People’s Court is competent to rule on the first instance of civil cases having great impact within its jurisdiction.

   Article 21. The Supreme People’s Court is competent to rule on the first instance of the following civil cases

(1) Cases having great impact nationwide;

(2) Cases it deems necessary to try.

Section Two: Regional Jurisdiction

   Article 22. A civil suit against a citizen comes under the jurisdiction of the people’s court at the place where the defendant is domiciled;
where the defendant’s domicile and regular abode is different, the case comes under the jurisdiction of the people’s court at the
place of his regular abode.

A civil suit against an institution or any other organization comes under the jurisdiction of the people’s court at the place where
the defendant is registered.

When the domiciles and regular abodes of several defendants in the same civil suit come under the jurisdiction of two or more people’s
courts, they all have the right of jurisdiction.

   Article 23. The following civil suits come under the jurisdiction of the people’s court at the place where the plaintiff is domiciled; where
the plaintiff’s domicile and regular abode is different, the case comes under the jurisdiction of the people’s court at the place
of his regular abode

(1) Actions concerning the identity of persons who do not reside within the domain of the PRC;

(2) Actions concerning the identity of persons whose whereabouts are unknown or who have been declared missing;

(3) Actions against persons undergoing re-education through labor;

(4) Actions against persons in prison.

   Article 24. Actions arising from disputes over contracts come under the jurisdiction of the people’s court at the place of their signing or the
place of their implementation.

   Article 25. The two parties to a contract may specify in writing, the jurisdiction of the people’s court of their choice with regard to the defendant’s
registered address, the place for honoring the contract, the place where the contract is signed, the plaintiff’s registered address
and the place of the tendered object, but they must not violate the provisions on differentiated jurisdiction and special jurisdiction
in this Law.

   Article 26. Actions arising from disputes over insurance contracts come under the jurisdiction of the people’s court at the place of the defendant’s
registered address, or at the place of the insured objects.

   Article 27. Actions arising from disputes over negotiable instruments come under the jurisdiction of the people’s court at the place where the
payment is to be made, or at the place where the defendant domiciled.

   Article 28. Actions arising from disputes over contracts concerning rail, road, water, air or through transportation come under the jurisdiction
of people’s court at the place of departure, destination or the place where the defendant is registered.

   Article 29. Actions against acts of encroachment come under the jurisdiction of the people’s court at the place where such acts are committed
or at the place where the defendant is domiciled.

Articles 30. Actions claiming compensation for damage arising from rail, road, water and air accidents come under the jurisdiction
of the people’s court at the place where such accidents occurred, or at the place where the vehicles or ships first arrived, or at
the place where the aircraft first landed, or at the place where the defendant is registered.

   Article 31. Actions claiming compensation for damage from ship collisions or other maritime accidents come under the jurisdiction of the people’s
court at the place where such collisions took place, or at the port where the damaged ship first arrived, or at the port where the
ship responsible for the damage is detained or registered.

   Article 32. Actions claiming salvage money come under the jurisdiction of the people’s court at the place of the salvage or at the port where
the salvaged ship first arrived.

   Article 33. Actions claiming common sea damage come under the jurisdiction of the people’s court at the port where the ship first arrived, or
at the place where common sea damage is settled, or at the port where the journey ends.

   Article 34. The following cases come under the special jurisdiction of the people’s court provided for by this article:

(1) Actions started on account of disputes over immovable property come under the jurisdiction of the people’s court at the place
of the immovable property;

(2) Actions started on account of disputes arising from harbor operations come under the jurisdiction of the people’s court at the
place of the harbor;

(3) Actions started on account of disputes over inheriting property come under the jurisdiction of the people’s court at the place
of the residence of the benefactor at the time of his death or the place of the principal property.

   Article 35. Where an action comes under the jurisdiction of two or more people’s courts, the plaintiff may file a suit at any of them; where
the plaintiff brings an action with two or more people’s courts which are competent, the case shall be handled by the people’s court
that is the first to place the case on file.

Section Three: Transferred Jurisdiction and Designated Jurisdiction

   Article 36. When a people’s court becomes aware that the case it is handling does not come under its jurisdiction, it shall transfer the case
to the competent people’s court which shall handle the case. When a people’s court considers that, according to the rules, it does
not have the right of jurisdiction over a case referred to it, it shall request the superior people’s court level to designate the
jurisdiction and shall make no further transfer by itself.

   Article 37. Where the competent people’s court is unable to perform its right of jurisdiction on special accounts.

Where the right of jurisdiction is in dispute between people’s courts, it shall be resolved through consultation by the two parties
involved; where consultation has failed, they shall request their common superior people’s court to designate the jurisdiction.

   Article 38. Where a party has an objection to the right of jurisdiction after the case is accepted by the people’s court, the party shall raise
its objection at the time of submitting a written reply. The people’s court shall examine the objection raised by the party. Where
the objection is tenable, a ruling shall be made to transfer the case to the competent people’s court; where the objection is untenable,
it shall reject the objection.

   Article 39. A superior people’s court has the right to conduct as the first instance the trial of a civil case which is under the jurisdiction
of an inferior people’s court; it may also refer a civil case under its own jurisdiction of first instance to an inferior people’s
court for trial.

Where an inferior people’s court considers that a civil case of first instance under its jurisdiction should be tried by a superior
people’s court, it may request that the case be referred to the latter.

Chapter III. Trial Group

   Article 40. In civil cases of first instance in the people’s court, justice is administered by a collegiate bench made up of either judges and
assessors, or only of judges. Members of the collegiate bench must total an odd number.

In civil cases where simple procedures are applicable, justice is administered by one judge independently.

Assessors during the exercise of their functions have equal rights and obligations with the judges.

   Article 41. In civil cases of second instance in the people’s court, justice is administered by a collegiate bench made up of judges. Members
of the collegiate bench must total an odd number. The trial de novo of a case returned shall be conducted by a newly organized collegiate
bench in the trial court in accordance with the procedure of first instance.

A case originally of first instance shall be tried de novo by a newly organized collegiate bench in accordance with the procedure
of first instance; a case originally of second instance shall be tried de novo by a newly organized collegiate bench in accordance
with the procedure of second instance.

   Article 42. The presiding judge of the collegiate bench shall be appointed by the president of the court or by a chief judge from among the judges;
where the president of the court or the chief judge takes part in the trial, he shall act as the presiding judge.

   Article 43. The principle of the minority being subordinate to the majority is followed in the deliberation of the collegiate bench. The minutes
of the deliberation shall be made and signed by all members of the collegiate bench. Differing opinions must be recorded accurately.

   Article 44. Judges shall handle cases impartially and in accordance with the law.

Judges may not accept dinner invitations or gifts from the litigants or their legal representatives.

The legal liability of judges, who take bribes, practice favouritism, engage in fraudulent practices and bend the law in administering
justice, shall be pursued. In cases where such acts constitute crimes, the criminal liability involved shall be investigated pursuant
to the law.

Chapter IV. Withdrawal

   Article 45. In any of the following circumstances, a judge must withdraw from the exercise of his functions, and a litigant is enpost_titled to challenge
him in verbal or written form

(1) Where he is a litigant in the case or a close relative of a litigant or his legal representative;

(2) Where he has an interest in the case;

(3) Where he has other relations with a litigant, which may affect fairness in the administration of justice.

The provisions of the preceding paragraph are applicable to recording clerks, interpreters, expert witnesses and inspectors.

   Article 46. In challenging, a litigant shall submit the reasons at the beginning of the hearing; where the cause of the withdrawal is learned
after the hearing commences, the challenge may be raised before the conclusion of arguments in court.

Except for emergency measures required by the case, the person who is thus challenged shall temporarily stop exercising his functions
in the case before a people’s court makes a decision on the challenge.

   Article 47. The withdrawal of a court president who serves as the presiding judge shall be decided by a judicial committee, while that of a judge
shall be decided by the president; the withdrawal of other personnel shall be decided by the presiding judge.

   Article 48. A people’s court shall make a verbal or written decision on a litigant’s application for withdrawal within three days of filing the
application. If the applicant is dissatisfied with the decision, he may apply for reconsideration upon receipt of the decision. During
the period of reconsideration, the person who is challenged shall not stop exercising his functions in the case. The people’s court
shall make a decision on reconsideration and notify the applicant accordingly within three days of receiving the application.

Chapter V. Litigant Participants

Section One: Litigants

   Article 49. Citizens, legal persons and other organizations may act as litigants in civil proceedings.

A legal person shall be represented by his legal representative in the proceedings, while other organizations shall be represented
by their principal leaders.

   Article 50. A litigant has the right to entrust his representative with applying for withdrawal, collecting and presenting evidence, taking part
in arguments, requesting mediation, filing an appeal and requesting execution.

A litigant may inspect materials pertaining to the case, and copy such materials and legal documents. The extent to which materials
pertaining to the case can be inspected and copied, and the methods for doing so, shall be specified by the Supreme People’s Court.

A litigant must exercise his rights in accordance with the law, observe procedural order, and implement any legally binding verdict,
ruling and mediation agreement.

   Article 51. Litigants of the two parties may reconcile of their own accord.

   Article 52. The plaintiff may abandon or alter his request for litigation. The defendant may admit or retort the request, and has the right to
file a counter suit.

   Article 53. A joinder is a case in which the litigants of one or both parties involve two or more people with common litigant objects or objects
of the same type, and which a people’s court deems appropriate to handle together after obtaining the litigants’ consent.

Where the litigants of one party in a joinder have common rights and obligations regarding the litigant objects, the litigant acts
of one of them are binding on the others if the latter recognize the acts; where the litigants have no common rights or obligations
regarding the litigant objects, the litigant acts of any of them are not binding on the others.

   Article 54. The litigants of one party involving many people in a joinder may name a representative to handle the litigation. The representative’s
litigant acts are binding on the litigants he represents. However, the consent of the litigants thus represented must be obtained
when it comes to changing the representative, abandoning the request for litigation, recognizing the other party’s request for litigation
and seeking reconciliation.

   Article 55. Where a case exists in which the litigants are two or more in number with litigant objectives of the same type, but the exact number
is still not determined at the time of litigation, the people’s court may issue a public notice explaining the case and litigant
request and notifying those who have the right to join the litigation to register with the people’s court within a prescribed period.

The registered litigants may elect a representative; if they are unable to elect a representative, the court shall choose a representative
through consultation with the registered litigants.

The litigation acts of the representative are binding on the litigants he represents. When the representative acts to alter or abandon
the litigant request, recognize the litigant request of the other party, or reconcile, he must have the approval of the litigants
he represents.

The judgment or ruling of the people’s court is binding on all the registered individuals who have the right to join; it is also binding
on those with the right to join who did not take part in the registration but apply to start an action within the prescribed litigation
period.

   Article 56. A third party who deems himself enpost_titled to an independent request with regard to the litigant objectives of both parties has the
right to start an action.

Where a third party is not enpost_titled to an independent request as regards the litigant objectives in dispute, but is legally interested
in the results of the civil proceedings, he may apply to take part in the action or the people’s court may notify him to do so. A
third

party who is ordered to accept civil responsibility by the people’s court has the rights and obligations of a litigant.

Section Two: Litigant Representatives

   Article 57. Where the litigant is incapable of litigant action, he may be represented by his legal representative; where he has no legal representatives,
the people’s court shall appoint a representative for him. Where the legal representatives shirk the representation responsibilities
among themselves, the people’s court shall appoint one of them to represent the litigant in the action.

   Article 58. Litigants or legal representatives may entrust one or two persons to represent them in the action.

Lawyers, close relatives of the litigants, persons recommended by social organizations or the units where the litigants work, or other
citizens approved by the people’s court may be entrusted as litigant representatives.

   Article 59. Where a representative is entrusted in the action, a letter of attorney signed or sealed by the party that entrusted the representative
must be presented to the people’s court.

The letter of attorney must list the items of trust and the limit of powers. Where the litigant representative acts to recognize,
abandon or alter the litigant request, lodge a counter-charge or file an appeal, he must have the special authorization of the represented.

The letter of attorney from a Chinese citizen residing abroad must be certified by the Chinese embassy or consulate in the said country.
If there is no Chinese embassy or consulate, it should be certified by the embassy or consulate of a third country that has diplomatic
relations with China and then delivered to the Chinese embassy or consulate in that third country for certification, or it may be
certified by a patriotic overseas Chinese organization.

   Article 60. Where the power of a litigant representative is changed or removed, the litigant shall inform the people’s court in writing, and
the latter shall notify the litigant of the other party.

   Article 61. Lawyers acting as litigant representatives or other representatives of the litigant have the rights to investigate, collect evidence
and inspect the files of the case in question. The scope and procedure for inspecting the files of the case in question shall be
formulated by the Supreme People’s Court.

   Article 62. The parties involved in divorce cases shall appear before the court, except those incapable of expressing themselves, even though
there are litigant representatives; where the party is unable to appear before the court in special circumstances, he or she must
present his or her views in written form to the people’s court.

Chapter VI. Evidence

   Article 63. Evidence falls into the following categories

(1) Documentary evidence;

(2) Material evidence;

(3) Video and audio material;

(4) Testimony of witnesses;

(5) Statement by litigants;

(6) Conclusion of expert corroborations;

(7) Records of inspection.

T SIZE=”-1″>None of the aforementioned evidence shall serve as the basis of establishment of facts before it has been ascertained
and verified.

   Article 64. Litigants are obliged to present evidence for their assertions.

The people’s court shall investigate and collect evidence which litigants and their representatives cannot collect because of objective
reasons, or evidence which the people’s court deems necessary for the hearing.

The people’s court shall, in accordance with the legal procedure, examine and verify the evidence fully and objectively.

   Article 65. The people’s court has the right to acquire evidence from the relevant units and individuals, and they shall not refuse it.

The people’s court shall examine the documents provided as evidence by relevant units and individuals, distinguish the true from the
false and determine validity.

   Article 66. The evidence shall be displayed and cross-examined by the litigants at the court. Evidence involving state secrets, commercial secrets
and personal secrets shall be kept confidential. Where it is necessary to display such evidence, it shall not be done in public hearing.

   Article 67. The people’s court shall acknowledge the validity of legal acts, legal facts and documents that have been notarized through legal
procedure, except those that can be overturned by counter-evidence.

   Article 68. Originals shall be presented as documentary or material evidence. Where there is indeed difficulty in presenting the originals, reproductions,
photos, copies or abridged versions may be presented.

Documentary evidence in foreign languages must be accompanied by a Chinese translation.

   Article 69. The people’s court shall distinguish the true from the false video and audio material, and, in conjunction with other evidence, determine
whether they can serve as the basis for the establishment of facts.

   Article 70. Whoever knows something about the case in question has the obligation to testify at the hearing. Leaders of the relevant units shall
support the witnesses to testify. Where the witness has difficulty in appearing at a hearing, he may present written testimony upon
the permission of the people’s court.

Those who are unable to express themselves accurately are unqualified to act as witnesses.

   Article 71. The people’s court shall examine the statement of a litigant in the light of the other evidence in the case and determine whether
it can serve as the basis of establishment of a fact.

Where a litigant refuses to make a statement, it shall not affect the establishment of facts in the case by the people’s court on
the basis of the evidence.

   Article 72. When the people’s court needs to corroborate special problems, it shall refer them to a legal corroboratory department; where there
is no legal corroboratory department, the people’s court shall designate a corroboratory department.

The corroboratory department and its designated expert witness have the right to acquaint themselves with the files of the case requiring
corroboration, and question the litigants and witnesses when necessary.

The corroboratory department and the expert witness shall submit a written conclusion of corroboration and sign or seal the corroboration
bill. Where it is corroborated by an expert witness, the bill shall be sealed by the unit where he works to prove his identity.

   Article 73. In inspecting material evidence or the scene, the inspector must produce the document of the people’s court and invite the local
basic organization or the litigant’s unit to send people to take part. The litigant or an adult member of his family shall be present
on the scene; if he refuses to be present, it shall not affect the inspection.

The relevant units and individuals, in accordance with the notice of the people’s court, have the obligation to protect the scene
and assist the inspection.

The inspector shall prepare a written record of the inspection and its results, which shall be signed or sealed by the inspector,
the litigant and the invited participants.

   Article 74. If the evidence should possibly be destroyed or lost, or if it would be difficult to obtain afterwards, the litigant participant
may request the people’s court for security of evidence; the people’s court may also take security measures on its own initiative.

Chapter VII. Period and Service

Section I: Period

   Article 75. The period includes the legal period and the period designated by the people’s court.

The period is computed in hours, days, months and years. The hour and the day from which the period begins are not included therein.

When the final day of the period falls on a holiday, the first day after the holiday shall be the date of the expiration of the period.

The period does not include the time of travel. Litigant documents which have been collected by the post office prior to the expiration
of the period are not deemed to be overdue.

   Article 76. Where the time limit has been exceeded owing to force majeure or other legitimate grounds, the litigant may, within 10 days after
the obstacle is removed, request an extension of the time limit; the people’s court shall decide on granting such a request.

Section II: Service

   Article 77. The service of litigant documents must be accompanied by a certificate of delivery upon which the addressee shall mark the date of
delivery and sign or seal.

The delivery date marked by the addressee on the certificate of delivery is the date of service.

   Article 78. Litigant documents shall be delivered directly to the addressee in person. When the addressee is a citizen and is absent, the documents
may be delivered to an adult member of his family who lives with him, and he shall sign upon delivery; when the addressee is a legal
person or other organizations, the legal representative of the legal person, the principal persons in charge of the organizations
or persons delegated by them shall accept the delivery and sign on their behalf; when the addressee delegates a litigant representative,
the documents shall be served upon this representative who shall sign upon delivery; and when the addressee already delegates a person
on

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