Chinese Civil Procedure System

The Chinese civil procedure system is governed by the Civil Procedure Law (Minshi Susong Fa, 民事诉讼法), originally enacted in 1991 and amended in 2007, 2012, 2017, and 2021. The law establishes the rules for civil litigation, including jurisdiction, parties, evidence, trial procedures, appeals, retrials, and enforcement. The 2021 revision introduced significant reforms for electronic litigation and smart court procedures.

Jurisdiction (Guanxia)

Jurisdiction in civil cases is determined by three dimensions: subject matter jurisdiction (court level), territorial jurisdiction (geographic location), and hierarchical jurisdiction (first instance vs appeal). The 2021 revision adjusted jurisdiction rules to concentrate complex cases in higher-level courts while empowering basic-level courts to handle routine cases.

Subject matter jurisdiction determines which level of court hears the case. Basic-level people’s courts hear the majority of civil cases as courts of first instance. Intermediate people’s courts hear cases involving foreign elements, significant amounts in dispute (typically exceeding RMB 50 million for property cases), and complex or novel legal issues. Higher people’s courts and the SPC hear cases of national significance.

Territorial jurisdiction determines the geographic location of the competent court. The general rule is that the defendant’s domicile determines jurisdiction. In contract cases, the plaintiff may also sue at the place of contract performance. In tort cases, the plaintiff may sue at the place of the tort or the defendant’s domicile. The parties may agree on jurisdiction by contract, subject to certain limitations.

Parties

The Civil Procedure Law recognizes plaintiffs, defendants, and third parties. Third parties may be independent third parties (with independent claims) or dependent third parties (without independent claims but with legal interest in the outcome). Class actions (daibiao susong) are available in certain cases, including securities fraud, environmental pollution, and consumer protection.

The 2012 revision introduced representative litigation for multiple parties with common claims. The representative action allows one or more persons to sue on behalf of a group where the claims involve common questions of law or fact. The SPC has issued guidance on securities class actions, which have become an important mechanism for investor protection.

Evidence

The Civil Procedure Law recognizes seven categories of evidence: documentary, physical, audiovisual, electronic, witness, party statements, and expert opinions. The 2019 amendment formally recognized electronic data as a separate category. The burden of proof generally falls on the party asserting the claim or defense.

The court has the power to investigate and collect evidence on its own motion where the parties cannot reasonably obtain evidence. The SPC’s Provisions on Evidence in Civil Proceedings (2019) provide detailed rules on: evidence submission deadlines; evidence exchange; expert evidence; and evidence preservation. The provisions also address the admissibility of electronic evidence and the use of blockchain evidence platforms.

Trial Procedure: Summary and Ordinary

The ordinary procedure (putong chengxu) is the standard trial process, involving: case filing; pre-trial preparation; court investigation (including evidence presentation and examination); court debate; mediation; and judgment. The ordinary procedure must be completed within six months from the date of case filing (extendable by six months with court approval).

The summary procedure (jianyi chengxu) is available where the facts are clear, the rights and obligations are明确, and the dispute is not significant. Summary procedure is heard by a single judge and must be completed within three months. The summary procedure reduces procedural formalities, including simplified evidence rules and abbreviated judgments.

Appeal and Retrial (Zai Shen)

Appeals from first-instance judgments are heard by the next higher level court. The appeal must be filed within 15 days of service of the judgment (10 days for rulings). The appellate court reviews both factual and legal issues and may: affirm the judgment; modify the judgment; quash and remand; or dismiss the appeal. The appellate procedure must be completed within three months from the date of case filing.

Retrial (zai shen) is an extraordinary remedy available where: the judgment is based on falsified or forged evidence; new evidence is discovered that could not have been obtained at trial; the court lacked jurisdiction; the judgment violates mandatory legal provisions; or the judge committed criminal conduct in connection with the case. The retrial application must be filed within six months of knowledge of the grounds. The SPC has exercised retrial in high-profile cases, including the Nie Shubin criminal retrial.

Enforcement (Zhixing)

Enforcement of civil judgments is governed by the enforcement provisions of the Civil Procedure Law. The successful party may apply for enforcement within two years of the judgment becoming effective. The court may: investigate the judgment debtor’s assets; freeze bank accounts; seize property; order wage garnishment; auction property; and impose enforcement measures including fines and detention.

Electronic Litigation and Smart Court Procedures

The 2021 revision formally recognized electronic litigation. Parties may: file cases electronically; submit evidence electronically; participate in hearings via video link; and receive electronic service of documents. The Internet courts (Hangzhou, Beijing, Guangzhou) operate primarily through online proceedings. The SPC’s smart court system integrates: AI-assisted case management; blockchain evidence authentication; automated judgment drafting; and online enforcement procedures.

The electronic litigation provisions have significantly improved efficiency and reduced costs. However, concerns remain about: digital divide issues for less technologically sophisticated parties; the reliability of AI-assisted judicial decision-making; the security of litigation data; and the quality of justice in fully online proceedings.