In today’s world, China’s connections with foreign countries are becoming increasingly close. With frequent exchanges and growing trade and investment scales, civil, commercial, and even criminal legal disputes between Chinese citizens or enterprises and foreigners are inevitable. If such disputes are resolved through foreign court litigation outside of China, there may be a need to apply for compulsory enforcement in China. For example, if a foreign court rules that a Chinese company owes someone a sum of money, but the Chinese company does not have sufficient assets in that foreign country to fulfill the judgment, then the creditor of that judgment would need to apply for recognition and enforcement of that foreign judgment in China.

Applying for the recognition and enforcement of foreign court judgments primarily relies on Article 288 of China’s Civil Procedure Law, relevant judicial interpretations, and practices formed through judicial precedents. Here are the main points:

I. Scope of Recognizable and Enforceable Foreign Court Judgments

According to Article 288 of the Civil Procedure Law, a person identified as the entitled party in a legally effective judgment or ruling issued by a foreign court can apply for its recognition and enforcement in a Chinese court. Generally, foreign court judgments, rulings, and decisions on substantive disputes in civil and commercial cases, as well as judgments on civil damages in criminal cases, fall within the scope of recognition and enforcement. However, property preservation orders, litigation preservation orders, and other procedural legal documents issued by foreign courts are excluded.

II. Application Procedure

1. Applicant and Respondent:

– The applicant is the person entitled under the foreign court judgment, i.e., the party holding the rights to the judgment’s subject matter. If the entitled person has died or ceased to exist, their heirs or estate administrators can be the applicants. The party opposing the entitled party in the judgment is listed as the respondent. If both parties file applications, they are both listed as applicants.

– In practice, the court requires proof of the existence of the applicant or respondent, such as ID documents, passports, business registration certificates, and contract documents.

2. Jurisdiction:

– Generally, the intermediate people’s court where the respondent resides (if the respondent resides in China) or where the respondent’s property is located will have jurisdiction.

3. Application Time Limit:

– The time limit for applying for recognition and enforcement of a legally effective foreign court judgment, ruling, or foreign arbitration award is two years, starting from the date the obligation specified in the judgment must be fulfilled. If the application is overdue, the people’s court will not recognize and enforce it. This two-year period can be subject to suspension, interruption, and extension as per the rules of limitation. However, in practice, applying for enforcement in a foreign court may not constitute an interruption of the two-year period. Therefore, once the foreign court judgment becomes legally effective, it is crucial to promptly apply for recognition and enforcement in China if the obligor has assets in China to avoid missing the time limit.

4. Application Materials:

– Application Form: This should include the identity information of the applicant and respondent, the name of the foreign court that issued the judgment, the case number, the start date of the litigation process, the judgment date, and specific application requests and reasons. The application should also provide details of the respondent’s assets and their location and explain the execution status of the judgment outside China.

– Copy of the Foreign Judgment.

– Proof of the Judgment’s Legal Effectiveness: As an exception, if the foreign court judgment specifies this matter, no additional proof is required. The people’s court will review whether the judgment has taken legal effect according to the laws of the country where the judgment was made.

It should be noted that documents formed outside China must go through notarization and legalization procedures. China joined the Convention Abolishing the Requirement of Legalization for Foreign Public Documents in 2023. Thus, for documents from member countries of the convention, no embassy or consulate authentication is needed, and an attached certificate according to the convention is sufficient.

III. Review Procedure and Standards

1. Prerequisites for Review:

– To recognize and enforce foreign court judgments, Chinese courts first review whether the court’s country has concluded or jointly participated in an international treaty with China or has a reciprocal relationship with China. Detailed information on judicial assistance treaties concluded by China can be found on the Ministry of Foreign Affairs treaty database website (http://treaty.mfa.gov.cn). If no treaty or reciprocal relationship exists, the application will be procedurally dismissed, except for applications for recognizing foreign court judgments on divorce.

Based on current judicial practice, Chinese courts, when reviewing applications for recognizing and enforcing foreign court judgments, determine the existence of a reciprocal relationship on a case-by-case basis:

– Whether under the law of the court’s country, civil and commercial judgments made by Chinese courts can be recognized and enforced.

– Whether China and the court’s country have reached a reciprocal understanding or consensus.

– Whether the court’s country has made a reciprocal commitment through diplomatic channels to China or China has made such a commitment to the court’s country, without evidence showing that the court’s country has refused to recognize and enforce Chinese court judgments on the grounds of a lack of reciprocity.

2. Specific Review Standards:

– If there is a treaty or reciprocal relationship between the two countries, the Chinese court will review the substantive content of the foreign court judgment to determine if it is eligible for recognition and enforcement.

– In the case of a judicial assistance treaty, if the foreign judgment does not violate the basic principles of Chinese law or China’s sovereignty, security, or public interest, the court will typically issue a ruling to recognize its validity based on the party’s application. If enforcement is needed, the court will issue an enforcement order.

– For countries with a reciprocal relationship, if the judgment violates the basic principles of Chinese law, sovereignty, security, or public interest, the court will not recognize and enforce it. Additionally, the court will not recognize or enforce the judgment if:

– The foreign court lacks jurisdiction over the case according to Chinese law.

– The respondent was not properly summoned or, despite proper summons, did not receive a fair opportunity to present their case, or if an incapable party did not receive appropriate representation.

– The judgment was obtained through fraud.

– A Chinese court has already ruled on the same dispute, or a third country’s judgment or arbitration award on the same dispute has been recognized and enforced in China.

Author Introduction

Ouyang Chenggou, Master of Law, Senior Lawyer in China, Director of Beijing Baokun Law Firm, has extensive experience in corporate management, real estate, and dispute resolution.

Spain, May 14, 2024 — Are you eager to expand your business horizons and explore new opportunities abroad? Securing a business visa is often the first step in realizing your international ambitions. At WCHAM, we understand the importance of smooth and efficient visa application processes, which is why we offer tailored services to assist our members every step of the way.

Preparing the necessary documents for a business visa application can seem daunting, but with the right guidance, it becomes a manageable task. Here’s a comprehensive guide to help you navigate the document preparation process with confidence:

1. Passport: Ensure your passport is valid for at least six months beyond your intended stay in the destination country. Make copies of the main page and any previous visas.
2. Visa Application Form: Complete the visa application form accurately and truthfully. Pay attention to specific instructions regarding photo requirements and supporting documents.
3. Invitation Letter: If required, obtain an invitation letter from your business contacts or host organization in the destination country. The letter should outline the purpose and duration of your visit.
4. Business Plan or Itinerary: Provide a detailed itinerary or business plan outlining your activities during your stay, including meetings, conferences, and site visits.
5. Proof of Financial Means: Demonstrate sufficient financial means to cover your expenses while abroad, such as bank statements, sponsorship letters, or proof of employment.
6. Travel Insurance: Obtain travel insurance that meets the requirements of the destination country, covering medical expenses, emergency evacuation, and repatriation.
7. Additional Documents: Depending on the specific requirements of the destination country, you may need to provide additional documents such as a letter of support from your employer, proof of accommodation, or a certificate of vaccination.

At WCHAM, our team of visa application experts is here to assist you at every stage of the process. Whether you need guidance on document preparation, visa requirements, or submission procedures, we are committed to providing personalized support tailored to your needs. Our features: fast visa processing, one-on-one guidance, simplified documentation, and stable visa issuance.

For personalized assistance with your business visa application or any visa-related inquiries, please contact our visa application experts. Embark on your international business journey with confidence – WCHAM is here to support you every step of the way.

For more news from the WCHAM, stay tuned to the World Chamber of Commerce Platform WCHAM‘s public account, where we continue to share the narratives that drive progress and change around the world.

Beijing Baokun Law Firm is a comprehensive law firm with a professional foundation and market orientation. After years of development, it has established multiple specialized departments in areas such as commercial, criminal, family, real estate, labor, intellectual property, cybersecurity and data protection, financial investment, and enforcement. Our main partners each have over 10 years of legal practice or legal experience, with deep expertise and rich industry resources, enjoying a good reputation in their respective fields and client base. Our main practicing lawyers are graduates of renowned domestic law schools, with some having overseas study experience, ensuring a solid legal foundation and abundant academic resources.

Baokun Law Firm serves a diverse clientele, including state-owned enterprises, private enterprises, listed companies, multinational corporations, government departments, social organizations, and individuals, covering a wide range of industries such as finance, real estate, construction, commercial leasing, telecommunications, media and entertainment, education and training, biotechnology and medical, retail, high technology, energy and natural resources, manufacturing, and property management.

Baokun Law Firm adheres to the service philosophy of “professionalism, standardization, integrity, and diligence,” and upholds the professional ethics of “professionalism, standardized practice, integrity, and diligence,” focusing on providing clients with “professional and reliable, comprehensive and trustworthy” legal services.

Lawyer Ouyang Chenggou graduated from the Law School of Zhongnan University of Economics and Law and the Law School of Peking University, holding a Master of Laws degree. He began practicing law in 2008 and founded the Beijing Baokun Law Firm in 2023.

Lawyer Ouyang has a solid foundation in legal expertise, a broad knowledge base, comprehensive skills, strong comprehension of emerging issues, and is adept at handling complex cases. He employs a comprehensive approach to assist clients in resolving legal issues, with main practice areas including investment and operation, real estate, construction engineering, enforcement, family disputes, criminal defense, and intellectual property. Lawyer Ouyang is an expert in litigation and arbitration, maintaining long-term communication with courts and judges at all levels in China, and is familiar with the trial thinking and judgment standards of first-instance, second-instance, and retrial cases. With extensive experience in handling civil and criminal cases, Lawyer Ouyang is adept at managing cross-cutting issues between civil and criminal matters to better meet the diverse legal needs of clients.

Lawyer Ouyang is familiar with enterprise management, production and operation, compliance and risk control, investment and financing, financial accounting, taxation, and other management issues. He has long provided annual and special legal advisory services to various enterprises, comprehensively considering both operational and legal needs to provide clients with practical legal solutions and adeptly handle complex investment and operational disputes.

On March 18th, 2024, the Baokun Law Firm collaborated with WCHAM to host an online legal seminar for WCHAM members, focusing on the theme of “Understanding Chinese Commercial Law.”

By collaborating with Baokun Law Firm, you will benefit from the following advantages:

1. Professional Consultation: Our lawyers possess rich legal knowledge and experience, capable of providing you with professional legal advice and recommendations.
2. Customized Services: Tailored to your specific needs, we will develop personalized legal solutions to ensure the best protection of your rights and interests.
3. Efficient Resolution: We emphasize efficient communication and problem-solving speed, providing you with fast and accurate legal services to help you resolve legal challenges.
4. Confidentiality and Trust: We strictly adhere to confidentiality principles, ensuring that your personal information and business secrets are fully protected. You can trust us to handle your legal matters with integrity and discretion.

Whether you are an individual or a business entity, and regardless of the legal issues you face, Beijing Baokun Law Firm is ready to provide you with support and assistance. When you encounter legal challenges, do not hesitate to contact us – we are here to serve you wholeheartedly!

Contact Information:

• Headquarters: Room 2308B, Building 8, Wanda Plaza, No. 93 Jianguo Road, Chaoyang District, Beijing
• Cell/WeChat: 13011262115
• Website: https://www.busilaw.com/
• Email: admin@busilaw.com

For more news from the WCHAM, stay tuned to the World Chamber of Commerce Platform WCHAM‘s public account, where we continue to share the narratives that drive progress and change around the world.

We are pleased to announce the successful completion of the WILSH Online Legal Seminar on the topic of “Understanding Chinese Commercial Law.” The seminar, organized jointly by WCHAM and Beijing Baokun Law Firm, was held on March 18th, 2024.

The seminar aimed to provide participants with valuable insights into the intricacies of Chinese commercial law and equip them with the knowledge necessary to navigate the legal landscape in China. Through a series of informative sessions, attendees gained a deeper understanding of key legal concepts, compliance requirements, and focus areas for investment and business operations in China.

The seminar featured distinguished speakers and legal experts who shared their expertise and practical insights with the participants. Topics covered during the seminar included:

1. Overview of the Chinese legal environment.
2. Business compliance and regulatory requirements.
3. Key issues in investment and operations.

Attendees had the opportunity to engage in interactive discussions, ask questions, and seek clarification on various legal matters relevant to their business interests in China.

The seminar received positive feedback from participants, who found the sessions to be informative, insightful, and valuable for their business endeavors in China. The successful completion of the seminar underscores WILSH’s commitment to providing high-quality legal education and support to businesses operating in the global market.

We extend our sincere thanks to all the participants, speakers, and organizers for their contributions to making this seminar a success. We look forward to organizing more informative events in the future to further enhance our participants’ understanding of legal matters in international business environments.

The Wcham International Legal Services Hub (WILSH) is a platform that connects local and international legal professionals, provides high-quality legal services, and fosters a culture of arbitration and mediation.

WILSH is proud to enhance arbitration capacity and promote its best practices to the global community. We invite all law firms and lawyers who are interested in arbitration and dispute resolution to join our legal service hub, a network of experts, practitioners, and institutions that share knowledge, experience, and opportunities in this field.

WILSH is a global platform that connects law firms, enterprises, and businessmen with the latest trends, insights, and opportunities in the international legal sector. WILSH offers its members exclusive benefits such as:

– Priority of recommendation of the right law firms to members in need.
– Invitations to participate in WILSH’s events, such as trade missions, matchmaking sessions, webinars, and workshops, where you can meet potential clients, partners, and experts from different regions and sectors.
– Access to WILSH’s online portal, where you can find relevant information, resources, and contacts to help you navigate the complex and dynamic legal environment.
– Opportunities to showcase your expertise and services to a wide audience of decision-makers and influencers through WILSH’s publications, newsletters, social media, and website.
– Discounts on WILSH’s training and conferences, where you can learn from the leading practitioners and academics on topics such as cross-border dispute resolution, international arbitration, intellectual property, compliance, and more.
– The opportunity to participate in online and offline events, such as webinars, workshops, seminars and conferences, featuring renowned speakers and experts
– The opportunity to give keynote speeches at different seminars and meetings, as well as hold events to interact with international clients.
– The chance to network and collaborate with other members of the WCHAM Platform, including arbitrators, mediators, lawyers, academics and representatives of arbitration institutions
– The possibility to showcase your expertise and achievements in arbitration and dispute resolution through publications, case studies and awards

In addition, WCHAM will also host several training sessions and conferences during 2024. These events will cover topics such as:

– The role of arbitration in international trade and investment
– The best practices and challenges of arbitration
– The impact of technology and innovation on arbitration
– The future trends and opportunities of arbitration

These events will feature distinguished speakers from China and abroad, including arbitrators, lawyers, academics and officials. They will also provide a platform for dialogue and exchange among participants from different backgrounds and perspectives.

By joining WILSH, you will not only enhance your professional development and reputation but also contribute to the advancement of the global legal community and the promotion of the rule of law.

Don’t miss this chance to join WILSH and boost your business opportunities in 2024. To learn more about WILSH and how to become a member, visit www.wcham.org/wilsh or contact us at wilsh@wcham.org.