Dipute Resolution

Interpretations of the Supreme People's Court on Certain Issues concerning the Application of Law in the Trial of Consumer-related Civil Public Interest Actions

(Adopted at the 1677th Session of the Trial Committee of the Supreme People's Court on February 1, 2016 and effective as of May 1, 2016)

In order to ensure the correct trial of consumer-related civil public interest actions, these Interpretations are formulated in accordance with the Civil Procedure Law of the People's Republic of China, the Tort Liability Law of the People's Republic of China, the Law of the People's Republic of China on Protection of Consumers' Rights and Interests and other relevant laws and based on judicial practices.

Article 1      Where the China Consumers Association and the consumers associations established in provinces, autonomous regions and municipalities directly under the Central Government institute consumer-related civil public interest actions against business operators on the grounds of their activities of infringing upon the lawful rights and interests of unspecific consumers in large number, endangering the personal or property safety of consumers or otherwise impairing social public interests, these Interpretations shall apply.

These Interpretations shall apply to the consumer-related civil public interest actions instituted by the organs and social organization prescribed by the law or authorized by the National People's Congress and its Standing Committee.

Article 2      Where the goods or services provided by business operators fall under any of the following circumstances, Article 47 of the Law on Protection of Consumers' Rights and Interests shall apply:

(1) Where the goods or services provided have defects, infringing upon the lawful rights and interests of unspecific consumers in large number;

(2) Where the goods or services provided may endanger the personal or property safety of consumers but neither the methods for correct use of the goods or correct acceptance of services nor the methods for preventing the occurrence of harm is indicated; making false or misleading publicity of the information such as the quality, performance, intended use or expiry date of the goods or services provided;

(3) Where there are dangers impairing the personal or property safety of consumers in the business premises such as hotels, department stores, restaurants, banks, airports, stations, ports, theaters, scenic spots and entertainment venues;

(4) Where the methods such as standard clauses, notices, announcements and entrance hall bulletins are used to exclude or restrict the rights of consumers, mitigate or exempt the liabilities of business operators, aggravate the liabilities of consumers or otherwise impose unfair or unreasonable requirements on consumers; and

(5) Other activities of infringing upon the lawful rights and interests of unspecific consumers in large number, endangering the persona or property safety of consumers or otherwise impairing social public interests.

Article 3      The jurisdiction over consumer-related public interest actions shall be subject to relevant provisions of Article 285 of the Interpretations of the Supreme People's Court on Application of the "Civil Procedure Law of the People's Republic of China".

Upon approval by the Supreme People's Court, high people's courts may designate some intermediate people's courts in their respective jurisdiction to accept the first-instance consumer-related public interest actions based on the actual situation in their respective jurisdiction.

Article 4      To institute a consumer-related public interest action, the following materials shall be submitted:

(1) Complaint in conformity with the provisions of Article 121 of the Civil Procedure Law and the copies thereof corresponding to the number of the defendants;

(2) Preliminary evidence showing that the activities of the defendants have infringed upon the lawful rights and interests of unspecific consumers in large number, endangered the personal or property safety of consumers or otherwise impaired social public interests; and

(3) Materials proving that the consumers organizations have performed public-interest duties in accordance with Item (4) or Item (5) of Article 37 of the Law on Protection of Consumers' Rights and Interests.

Article 5      Where the people's court finds that the claims filed by the plaintiff are not sufficient to protect the social public interests, it may explain to the plaintiff for modifying or adding the claims such as cessation of infringement.

Article 6      The people's court shall, after accepting a consumer-related civil public interest action, make announcement of the information on acceptance of the case and notify in writing relevant competent administrative departments thereof within ten days after the date when the case in placed on file.

Article 7      After the people's court has accepted a consumer-related public interest action, any other organ or social organization may, prior to the first-instance court session, apply to the people's court to participate in the litigation.

The applicant shall be listed as co-plaintiff if it is approved by the people's court to participate in the litigation; any application filed beyond the time limit shall be rejected.

Article 8      Organs or social organizations entitled to institute consumer-related public interest actions may apply for evidence preservation in accordance with Article 81 of the Civil Procedure Law.

Article 9      Where, after the people's court has accepted a consumer-related public interest action, a consumer suffering damage due to the same act of infringement applies to participate in litigation, the people's court shall advise the consumer to claim rights in accordance with Article 119 of the Civil Procedure Law.

Article 10      Where, after a consumer-related public interest action has been accepted, the consumer suffering damage due to the same act of infringement applies for suspension of the action instituted thereby in accordance with Article 119 of the Civil Procedure Law, the people's court may approve such application.

Article 11      The people's court shall refuse to accept the counterclaim filed by the defendant during the trial of a consumer-related public interest action.

Article 12      Regarding the facts that are unfavorable to and admitted by the plaintiff during the litigation, the people's court shall not affirm such facts if believing that they are detrimental to social public interests.

Article 13      Where the plaintiff in a consumer-related public interest action requests the defendant to stop infringement, remove obstacles, eliminate danger, offer an apology or bear other civil liability, the people's court may uphold such request.

Where the business operator uses standard clauses, notices, announcements or entrance hall bulletins, etc. to exclude or restrict the rights of consumers, mitigate or exempt the liabilities of business operators or aggravate the liabilities of consumers, which the plaintiff believes are unfair and unreasonable to consumers and claims to be invalid, the people's court may uphold such claim.

Article 14      After the ruling for a consumer-related public interest action becomes effective, the people's court shall notify in writing relevant competent administrative department thereof within ten days and may put forward judicial suggestion.

Article 15      After the ruling for a consumer-related public interest action becomes legally effective, the people's court shall refuse to accept the consumer-related public interest action filed separately by any other organ or social organization qualified as the plaintiff under the law on the ground of the same act of infringement.

Article 16      Regarding the facts ascertained by the effective ruling for a consumer-related civil public interest action, if a consumer suffering damage due to the same act of infringement institutes a lawsuit in accordance with Article 119 of the Civil Procedure Law, neither the plaintiff nor the defendant is required to present evidence therefor, unless a party concerned has objection to such facts and present evident to the contrary sufficient to overturn such facts.

Where the effective ruling for a consumer-related public interest action determines that the business operator has committed illegal act and the plaintiff in the lawsuit instituted by a consumer suffering damage due to the same act of infringement in accordance with Article 119 of the Civil Procedure Law claims application of such determination, the people's court may uphold such claim, unless the defendant presents evidence to the contrary sufficient to overturn the determination. Where the defendant claims direct application of the determination favorable thereto, the people's court shall not uphold such claim and the defendant shall bear appropriate burden of proof.

Article 17      Where the plaintiff requests the defendant to bear the expenses incurred in adopting reasonable prevention or disposal measures in order to stop infringement, remove obstacles or eliminate dangers, the people's court may uphold such request.

Article 18      Regarding the reasonable expenses for conducting investigation and collecting evidence, expenses for authentication and reasonable attorney's fees in respect of the act of infringement incurred by the plaintiff and the agent ad litem thereof, the people's court may decide in favor thereof appropriately according to actual situation.

Article 19      These Interpretations shall come into effect on May 1, 2016.

These Interpretations shall apply to the first-instance cases accepted by people's courts after the effectiveness of these Interpretations.

These Interpretations shall not apply to the first-instance or second-instance cases accepted by people's courts before, but not concluded after, the effectiveness hereof and the cases which have been concluded before the effectiveness hereof but of which retrial is requested by the party concerned or decided according to the trial supervision procedures after the effectiveness hereof.